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Market Leader Intermediate 3rd edition SB

ACTIVITY FILE 4

ACTIVITY FILE 4 Organisation, Case study, page 43 Manager B You are in favour of the relocation. Listen to the opinions of the other members of the committee. Try to persuade them to agree to the relocation. These are some of your reasons. Add any other points you can think of. • Relocation will reduce costs and boost proAts in the long run. • Having everyone on one site will improve communication. • Excellent facilities in the new building will motivate staff. For example, there is a top· floor cafe, fitness centre and a swimming pool in the basement. • Relocation grants and tax incentives will be available from the local authority in the area. • Overseas visitors will enjoy the surrounding countryside. • There are several cheap hotels in Beauchamp and the surrounding area. 4 Organisation, Case study, page 43 Independent Management Consultant You have advised many companies on relocation. You think the relocation would be good for the company. Add any other points you can think of. • The new building will have a large, open·plan ofAce, which is very good for communication and staff relations. • Teamwork should improve in the new building because there is a spacious lounge where staff can relax and share ideas. • InStep will help staff to relocate. The company will provide: - vans to help them move their belongings; - subsidised meals in the canteen; - child care facilities (creche); - petrol subsidies; - fiexitime working hours for staff with young children. 6 Money, Case study, page 59 On-the-Spot car cleaning Description Two years ago you started up a business, hiring and training unemployed youngsters to clean cars in car parks and garages in Atlanta. You provide modern, high·powered equipment. This enables your workers to clean car interiors and exteriors quickly and to a high standard. Why you want the money To expand your cleaning service to other cities in Georgia. Advantages to tycoons The business is providing work for unemployed people. This would be good for the tycoons' image. It is a very successful local business. Last year's turnover was $1.5 million. ProAt: $O.3m. Turnover/profit projections Year 1: $2.5m/$0.5m Year 2: $4m/$0.8m Negotiating terms Year 3: $6m/$1.4m You want the tycoons to invest $500,000 for a stake of 20% in your business. Yo u may invent any other information you wish. Note: it is likely that the tycoons will ask fo r 0 bigger stake in your business. You must decide if it is worth increasing your offe r. Try to predict what questions they will ask you. 144 scanned for Paul Jennings

ACTIVITY FILE 6 Money, Case study, page 59 Tycoons The entrepreneur(s) will give a short presentation of their product/service, then they will answer your questions. You decide whether to invest in their project and on what terms. You normally ask for a bigger stake than the amount the entrepreneurs offer. Here are some suggested questions. Try to add three questions to the list. • Tell us about your background. • How much of your own money have you spent on it? • Where did you meet? • Do you have a business plan? • How would you describe the market for your product? • What is special about your product/service? What are its USPs (unique selling points)? • Do you have a patent for it? • What about competitors? • What are your forecasts for (a) turnover and (b) profit? • What do you want from us, in addition to money? • Who will make your product? • How will you market your product/service? Note: If you are working with another tycoon, you may wish to offer the whole o{the stoke yourself in order to make as much profit as possible. You don't have to divide the stoke between the two of you! 11 leadership, Case study, page 111 Other members of the board (not presenting) 1 As one group, discuss the three strategies. What are the advantages and disadvantages of each one? Which will be a) the most risky, b) the most expensive? 2 Prepare some questions to ask after you have heard each presentation by the three directors. 12 Competition, Case study, page 119 Supplier 2 You represent Pacific Traders. These are the terms you can offer. • Delivery: by sea; 3,000 necklaces and bracelets within 30 days of receipt of order; 2,000 necklaces and bracelets by 15 November; earrings should be available by the end of November. • Trade discount of 5% off list prices • Returned goods: no returns unless the goods are faulty. • Guarantee: three months 12 Competition, Case study, page 119 Supplier 3 You represent The Artisans co·operative. These are the terms you can offer. • Delivery: normally 30 days by sea after receiving an order, but there have been problems with delivery recently. Your company has just appointed a new shipping agent, who should be more reliable. • Trade discount of 10% for new customers • Returned goods: no returns except for faulty or damaged goods • Guarantee: six months scanned for Paul Jennings 145

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