Szakmai angol ttelsor

KERESKEDELMI SZAKNYELV SZBELI TMAKRK

ANGOL KZPFOK

1. DOING BUSINESS......................................................................................- 1 -
2. ADVERTISING............................................................................................- 2 -
3. COMPLAINTS.............................................................................................- 4 -
4. DOCUMENTS USED IN FOREIGN TRADE............................................- 5 -
5. BUSINESS LETTERS.................................................................................- 7 -
6. THE MARKET...........................................................................................- 11 -
7. TYPES OF BUSINESS ORGANISATIONS.............................................- 13 -
8. QUALITY...................................................................................................- 16 -
9. EMPLOYMENT.........................................................................................- 18 -
10. TELECOMMUNICATIONS EQUIPMENT............................................- 20 -
11. FOOD STORE..........................................................................................- 21 -
12. AT THE GREENGROCERS...................................................................- 23 -
13. PERFUMERY...........................................................................................- 25 -
14. SOUVENIR SHOP...................................................................................- 27 -
15. BOOKSTORE..........................................................................................- 28 -
16. ELECTRICAL APPLIANCES.................................................................- 30 -
17. BANKS.....................................................................................................- 31 -
18. THE ROLE OF BANKS..........................................................................- 32 -
19. CLOTHES SHOP.....................................................................................- 34 -
20. SPORTS SHOP.........................................................................................- 36 -
21. MARKETING AND PROMOTION........................................................- 37 -
22. E-COMMERCE........................................................................................- 39 -
23. WAREHOUSING.....................................................................................- 41 -
24. SMALL SHOPS VERSUS SHOPPING MALLS....................................- 42 -
25. TRANSPORT...........................................................................................- 44 -

1. DOING BUSINESS

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When businessmen and firms want to sell or buy a product, they can obtain information of
possible business partners from different sources: newspapers, catalogues, market reports,
exhibitions or other business partners.
Both the seller and the buyer can start a business contact. It usually happens through business
letters. The manufacturer can send sales letters or unsolicited offers to the prospective buyers
or the buyer can send an inquiry to the producer.
If the seller and the buyer want to meet, they can fix an appointment in a letter or on the
phone. When they meet, after a short small talk they start negotiating. They presenting their
positions but usually they are different, since they have different business interests. The seller
wants to sell at a high price, while the buyer wants to pay the least possible price. The next
step is to make positions get closer through mutual concessions. This called bargaining. At the
end, if the negotiations have been successful, the two parties reach an agreement. Finally, they
prepare the contract and sign it.

FAIRS AND EXHIBITIONS

An exhibition or fair is a display of manufactured goods and is held for business purposes in
great commercial centers. Some are general, others serve only one industry. A face-to-face
meeting with a prospective business partner can be more effective than a business letter. The
chance for visitors to see, touch, hear or try out a product is a great advantage of exhibitions.
Trade fairs deal with one or more industries product and may be visited only business people.
No goods are directly sold at stands; sales are made on the basis of samples. Exhibitions are
also for the general public. They provide opportunities to test consumers reactions.

When a firm wants to take part in a fair or exhibition, it has to obtain the application form and
conditions of participation from the fair management. Applicants are listed in the Exhibitors
Catalogue. The cost of participation includes not only the stand rental, but the cost of delivery
and the customs duty if the exhibition is held abroad. It is advisable to concentrate on a
limited number of goods, because too many articles on one stand may have a tiring and
confusing effect on visitors. All goods must be shipped in good time before the opening of the
fair.

2. ADVERTISING

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Advertising is non-personal communication directed at target audiences through various

media. Most people would never hear about goods and services offered without advertising,
so advertising plays an important role in informing people about the advantages of a product.
There are various steps that must be followed in an advertising campaign.
The first step is to set the objectives of the campaign, which can be classified as follows:
1. to create awareness of the product;
2. to provide information;
3. to persuade;
4. to remind;
5. to reinforce purchase decision.

The next stage is to identify target customers. (age, social class, income)

The third stage is to specify the unique features of a product which will be communicate,
called USP Unique Selling Points. The copywriter bases his work on USP.

The next step is called media planning. It means selecting the media most suitable for
achieving the given objectives. Media types are : press, radio, television, cinema, outdoor
display, personal sales people etc.
When choosing the medium for the advertisement, the following things must be considered:
o geographical coverage;
o size of the audience or circulation;
o power to reach the target group;
o ability to demonstrate;
o repetition;
o timing.

An advertisement in the press must have a good layout, look clean and be easy to understand.
A special target group can be easily reached through specialist magazines. But there is a
disadvantage of often being overlooked.
Radio advertising means wider audience. But probably the most persuasive medium of all is
television since it transmits sound, music, slogans as well as visual images, colour, shape and
motion. The cost of a TV commercial depends on the time and popularity of the programme,

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therefore, they can only be cost effective for big companies. However, the main disadvantage
is that there are certain restrictions on ads on TV.
Posters alone are not very effective, so they are usually combined with other media in a
campaign.

The next stage is to write the text of the ad and the slogans. After that, designers make
illustrations or design a record for TV. Big companies usually have their own advertising
departments but smaller companies hire an advertising agency to do the creative work.
Advertising is a part of promotion. Promotion involves everything that can help the sales:
media advertising, personal selling, sales promotion, merchandising, branding, sponsorship,
public relations.
Sales promotion aims to persuade people to buy the product with awake the interests.
It may be a free gift, a free sample
Merchandising means the manner the product is presented for sale. It includes
packaging, display stands etc.
Branding means to crate an image of a brand, to create brand loyalty.
Sponsorship means that a company contributes to the cost of public entertainment such
as a concert or a sporting event.
Personal selling is done by personal salesmen who find and contact new potential
customers. The problem is with this promotional tool is that many people refuse to listen to
them.
Public relations: the relation between a company and the general public. Companies do
a lot to improve this relation and to maintain the publics goodwill. PR experts are employed
to create a particular image about the company.

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3. COMPLAINTS

Unfortunately, errors may occur in any business transaction. They may be caused either by the
seller or by the buyer, but sometimes unforeseeable circumstances (wars, strikes) can also
happen. It is important for the buyer to write a letter of complaint as soon as the error
becomes apparent.

The most frequent reasons for complaints are the following:

1. The wrong goods have been delivered.
2. The quality of the products isnt good.
3. The goods have been sent in not enough quantity.
4. The packaging is damaged.
5. There is a delay in delivery.
6. There is an error in the invoice.

If one of these errors happens, the buyer should immediately send a letter of complaint to the
seller. After the seller gets the letter, he has to find out what actually happened, and then,
adjust the problem. If the complaint is justified the seller must put the matter right. If the
complaint is unjustified, the seller should always be very tactful and polite when refusing
complaints. It can also happen that the defect of a product only becomes apparent after buying
and taking it home. In this case the consumer can return the faulty product to the shop and the
receipt is the evidence of the purchase.

The most frequent reasons can be:

o The product is broken , does not work or damaged;
o A product is not as described;
o A product is not fit for its purpose;
o A product goes bad before the expiry date indicated;
o A product is not durable enough.
The main principle of treating a customer is the consumer is always right. It is important to
the manufacturer to set up an after-sales service in order to settle matters of complaints as
quickly as possible.

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4. DOCUMENTS USED IN FOREIGN TRADE

There are several documents which accompany the goods during delivery for example:
shipping documents, insurances, invoices and various certificates should be mentioned.

1. Shipping documents: the holder of this document is entitled to take possession of the goods.
There are several types of shipping documents:
a) Bills of Lading (B/L) are the most important documents in sea transport. It is
o A receipt for the goods
o A contract of carriage
o A document of title to the goods.
The Bill of Lading is made out by the ship owner in three originals with two copies. The
original are sent to the buyer, one copy remains with the seller and one is given to the master
of the ship.
b) Rail Consignment Notes used in international railway transport. They are made out by
the sender and handed to the carrier.
c) Road Consignment Notes accompany the goods when they are carried by road.
d) Air Consignment Notes are used when goods are transported by air. It is made out by
an air transport company and it is not a document of title.
2. Insurance documents: are usually certificates of insurance. The owner pays a certain
amount to the insurer to cover against risks of loss or damage.
3. Invoices: give the full description of goods. There are 3 types of invoices:
a) Commercial invoices are printed notes sent to the buyer in at least two copies.
b) Consular invoices are made out to correctly charge the import duties.
c) Customs invoice.
4. Customs Declaration Forms are to be presented to customs authorities in order to clear the
goods that pass the border of the country.
5. Certificates may also be needed.
a) Certificates of Origin certify what country made the product. They are issued
by the Chamber of Commerce of the country of origin.
b) Certificates of Quality

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c) Veterinary Certificates are necessary to certify the good health if living animal
is shipped.

THE CONTRACT
The contract is a legally binding agreement between two or more parties. It must be written
clearly and precisely.
It must contain the following points:
1. The detailed description of the goods.
2. The quantity of the goods.
3. Time of delivery.
4. Terms of delivery
5. Price and payment.
6. The packing of the goods.

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5. BUSINESS LETTERS

Letter writing is an important part of business transactions. There are some rules that must be
observed concerning the form and the content of the letter. It must consist of the following
parts:
1) Letterhead
2) Inside address
3) Salutation
4) Body of the letter
5) Complimentary closing
6) Signature
7) References
8) Date

Inquiries and replies to inquiries:

When businessmen want to obtain information about goods they are interested in, they usually
send an inquiry to the manufacturer or supplier.
An inquiry can be
- general (when you ask for a catalogue or price list)
- specific (when you ask for detailed information on a particular product)

An inquiry contains
a short introduciton about your firm
an explanation of why you need information
a statement about how you obtained the suppliers name (you met a representative,
heard about the firm from another company, have seen a product in a trade exhibition)
a request for catalogues, samples, patterns
a description of the goods wanted
the quantity you intend to buy

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a request for a quotation with given terms of payment and method of delivery
time of delivery

All inquiries must be answered promptly. If the information requested is not available, or if
the quotation takes a few days to prepare, a letter should be sent without delay, saying that the
desired information will follow soon.
First you have to thank the sender for the inquiry, then refer to the date of the letter you are
answering and quote the reference number. Then you give information, and you can also
enclose samples or catalogues. In most cases a reply to an inquiry is an offer.

Offers:
If the offer is a reply to an inquiry, it is called a solicited offer.
If the firm sends an offer on its own initiative, its an unsolicited offer (a sales letter or
circular).
The aim of such letters is to convince a company/range of companies to do business with the
firm. An offer can be firm or binding (when the company binds itself to all the conditions
given int he offer for a fixed period of time). Or it may not the firm, in which case it is called
a quotation. If you cannot quote the price exactly because the cost can change, you send an
estimate.

Orders:
After you have received an offer or a quotation, you can place an order. It cna be written int
he form of a letter, or a printed form can be used. Orders must be written very carefully and
accurately, because any error may cause trouble which cannot be put right later (the firm is
legally liable to pay for the things ordered!). Orders contain detailed information about
- the goods (description, quantity, quality, price)
- the delivery (method, packing, insurance, time of delivery, special documents)
- the payment (method, time of payment)
If you want to introduce a product in the market, you can playe a trial order, if you order
goods ont he same condition as previously, you send a repeat order.

In reply to an order, a letter of confirmation is sent immediately by the seller. Later, when the
goods are ready to despatch, a letter of advice is sent, quoting the number and date of the

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order, the form of packing and the marking of the packages. At the same time, the invoice is
sent.

Delivery terms:
Delivery can be done by different means of transportation: by air, by sea or by land (road or
trail). Whichever of them is used, there are many costs: packing, obtaining documentation,
insurance, freight, duty.
before signing a contract, the buyer/client/customer and the seller/supplier must decide who is
going to pay for these costs. So that the parties would not have to specify their responsibilities
in each case, standardised commercial terms have been developed in international trade. The
most widely used terms are INCOTERMS (International Commercial Terms), which define
who bears the costs and risks of the delivery of the goods, and where the point is int he
process of forwarding where the responsibilities are passed over. The most commonly used
terms are Ex Works, FOB, CIF, DDP.

Terms of payment:

1) Payment in advance is very disadvantageous for the buyer. It is used when goods are
manufactured according to the buyers own special wishes.
2) Payment after delivery is a kind of credit deal, and it is the worst term for the seller.
3) Payment simultaneously with the delivery involves documents and banks. It can be a
documentary collection and a documentary credit. The most widely used terms of payment in
foreign trade are:
A) Documentary Collection / Collection Arrangement: the seller entrusts his bank
to collect the money from the buyer. The seller presents the documents of title to the
goods to his bank with a collection order. The bank forwards the papers to the buyers
bank, which collects the money from the buyer and presents the documents of title to
him. It also forwards the money to the sellers bank, which pays it to the seller. The
basic form of documentary collections are:
> Documents against Payment (D/P) or cash against documents (c.a.d)
The bank only releases the documents when the invoiced amount has been paid
> Documents against Acceptance (D/A)

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The bank releases the documents when the buyer has accepted a Bill of
Exchange or a Bill.

B) Documentary Credit / Letter of Credit: The process of establishing a Letter of

Credit is the following: the buyer deposits a certain amount of money with his bank
and instructs it to open a L/C in favour of the seller. The seller prepares the documents
and makes a shipment, then he presents the documents to his bank. The sellers bank
forwards the documents to the buyers bank, which makes the payment in return. The
sellers bank pays the seller, the buyers bank releases the documents to the buyer.

The basic forms of a L/C are:

I. Revocable L/C: it can be cancelled by the buyers bank at any time.
II. Irrevocable L/C: cancellation and amendment are not possible.
III. Confirmed L/C: in addition to the buyers bank, another bank assumes
commitment to pay if the buyers bank goes bankrupt.
IV. Unconfirmed L/C: there is no such commitment on behalf of another bank.
V. Revolving L/C: it is automatically renewed when exhausted.

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6. THE MARKET

Market is a place where buyers and sellers establish contact in order to exchange goods and
services and fix prices. The underlying principle of a market is that prices are determined by
the interaction of demand and supply.

Demand measured the desire to buy a commodity and the ability to pay for it. It is affected by
2 main factors: the needs and the income of consumers.

Supply refers to the quantity of goods and services produced and offered for sale at various
prices.

Price is the value of a commodity or service in the market, expressed in money.

Demand for and supply of a product depend on the price. If the price rises, the demand for the
product will decrease, however if the price falls, the demand will increase. The supply will
increase if price rises and decrease if price falls.
In summary: the higher the price, the greater the quantity that will be supplied, but the smaller
the quantity that will be demanded.

The price at which demand and supply are equal is called equilibrium price. If a product is
offered at this price there will be neither surplus nor shortage in the market.
The determination of a price by the interaction of supply and demand is known as the price
mechanism.

Elasticity measures whether or not demand and supply respond to changes in price.

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If the market shows a substantial increase or decrease in demand with no (or relatively small)
change in price, we say that demand is elastic.
Conversely, if demand remains fairly constant, even after a relatively large change in price,
the demand is inelastic.

Market research:

Before making goods for a new market it is necessary to discover first of all if the goods can
be sold profitably in the market. The answer to this question is given by market research.
Market research can be carried out to find out
- if a new product is likely to find a market
- whether an established product is likely to find brisk demand in a new market
- why the sales of a product have declined either generally or in a certain area

A market research campaign does not guarantee that a product will be successful, but from it
the manufacturer can learn what the attitude of potential customers are, how they would react
to this product if it were on sale at a certain price, what competition already exists in its field.

The steps of market research are the following. First, the aim should be set or a problem
should be determined. Next, information must be gathered from the public.
Data for research purposes can be classified into primary and secondary data. Secondary
data is data already compiled and published. It is cheaper and sometimes information can be
obtained entirely from it. Primary data is data not yet published but obtained by the
researcher. There are basically three forms of obtaining primary data: by observation,
experiment and interview.
When using the method of observation, a sample of the target market is chosen. The
shopping behaviour of these people is observed.
Experiments are designed to find out what would happen if a change were introduced into
the marketing situation.
There are three types of interviews. To make a personal interview. The main disadvantages of
personal interviews are that they are time-absorbing and expensive.
Telephone interviews are time-sparing and quite cheap.

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Mail interviews, questionnaires are prepared and mailed out to select respondents who are
asked to complete and return them.

The final stage of market research is the analysis of the data. Analysis is concerned with
editing, coding, tabulating and presenting collected raw material into a form suitable for
problem solving and decision-making.

7. TYPES OF BUSINESS ORGANISATIONS

When starting a business you have to make a decision on the form of ownership.
You have to consider
how much capital you can raise and whether you have the amount of capital
required for the chosen form of business organisation
the size of the risk involved
the freedom of action you desire
the type of business you want to start (manufacturing industry, commerce,
services)
the size of the business (corner shop, hypermarket-chain)

The types of business organisations are:

1) SOLE PROPRIETORSHIP / SOLE TRADER / PRIVATE ENTERPRISE

When a business is run and controlled by one person, who is called a sole proprietor / sole
trader / entrepreneur. He/She is self-employed and may also employ other people. They can be
small farmers, local retailers (grocers,butchers,tobacconists), local services (hairdressers,
restaurants) or local manufacturing (craftsmen).
The advantages of this form of ownership are:
o the owner doesnt have a boss, he makes the decisions
o he can keep all the profit his business makes
o there are few legal requirements to follow
o he doesnt need much capital to start the business
However, there are some disadvantages too:
he has to accept the risk of loss if the business fails

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he may not have enough capital to expand the business

he has unlimited liability, that is personally and completely liable for any losses
of the business he can lose his personal assets (house, car, other possessions)
might have to be sold in order to pay his business debts
there is nobody to take over from him if he is ill or goes on holiday

2) PARTNERSHIPS
It is an association of 2 or more people (co-owners) who carry on a business in common for a
profit. If a sole trader has difficulty in expanding a business, he can establish or join a
partnership. Partners can introduce more capital, they share the responsibilities and risks, they
make decisions together. There are 2 types of partnerships:
I. general partnerships have unlimited liability, so in case of a business failure, they
are responsible for debts with their personal assets. These are common is the
professions (accountants, lawyers)
II. limiter partnerships are made up of at least one general partner who carries
unlimited liability, and limited partners whose liability is limited to the extent of their
investments. This form is very common.

3) LIMITED LIABILITY COMPANY

It is perhaps the most common form of private ownership in Hungary (Korltlan Felelssg
Trsasg). The members have limited liability, their risk is only extended to their investment
(money or objects). The starting capital must be minimum 500 000 forints. The managers can
be members or employees. Members can be private individuals and legal bodies as well. LLC
has a separate legal personality, which means that in law it is separate from its members. The
companys assets and debts belong to it alone and not to its members.

4) CORPORATIONS / JOINT STOCK COMPANIES / LIMITED COMPANIES

A company/corporation is incorporated by registration with the Registrar of Companies. It
issues a Certificate of Incorporation, which proves that the registration requirements have
been satisfied. It has a separate legal personality and the members have limited liability. In
case of failure, they can lose their investments, but not their personal assets.

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A joint stock company (Rszvnytrsasg) is usually a big company of solid capital, which is
made up of small units called shares or stocks. These represent ownership in a company, and
can be freely sold and bought. The company is owned by the shareholders, people who own
shares of the company. The ownership and control are separated. The shareholders are the
owners, and theoretocally they also control it by the votes at the meetings. In practice, the
board of directors are responsible for the management of the firm.

5) CO-OPERATIVES
It is jointly owned and run by the people who work in it. Membership of a co-operative
society is obtained by purchasing a share or shares. The voting rights are one vote per
member, rather than one vote per share.

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8. QUALITY
Manufacturers and services have to face big competition both in the industrial and the
comsumer market. Careful pricing, extensive advertising can help to gain a good position, but
the final thing that determines whether the consumer will buy a product is quality. The most
successful will be the manufacturer who produces good quality.
In the long run it is more cost effective to buy a good quality product at a higher price than a
bad quality one at a lower price.

Quality is the sum total of the characteristic features of a product or a service which make it
suitable for meeting certain demands. Such characteristics can vary from one product to
another.
The main possible dimensions of quality are:
1) Performance (low energy comsumption of appliances, the clarity of the picture, sound and
colour for a TV set)
2) Features (colours, patterns, fabrics that are available in furniture, the adjustment abailable
on a stereo to improve the sound)
3) Reliability (how long a product performs properly, how often a machine needs repairs)
4) Conformance (how a product meets desired standards such as size, consistency of colour)
5) Durability (how long a product will last)
6) Serviceability (the ease of repair or maintenance of a product)
7) Aesthetics (how a product looks, feels, sounds, tastes, smells)
8) Perceived quality (reputation of a product, its brandname and label)

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Products and services can be ranked into quality classes depending on how much they meet
the standards and the expectations. It is essential for customers to be aware of what quality
they want to purchase. Prices are usually in accordance with quality the better the quality of
a product or service, the higher the price.

Quality can be indicated in the following ways:

quality marks, supervised labels
trade marks, brand names
comparative tests and charts
hotels are classified with stars, restaurant can be first- and second-class
When a product is sold in the industrial market or moves through various channels of
distribution before it reaches the consumer, it is also important for business partners to agree
what quality is to be delivered.
It is customary to indicate required quality as fair average quality or good marketable quality.

The quality of products which reach customers are determined by 2 main factors:

1) The manufacturer (design, raw materials, applied technology)

Quality control must be maintained at all stages of production (materials must be inspected,
processes must be examined, workers must be trained, final products should be tested before
they leave the factory).

2) The environment which receives the product or service (delivery, attitude of shop
assistants and customers)
Some products must not be stored together (bread and washing powder), others must be
delivered at a special temperature (deep-frozen products). Instructions, cautions and warnings
about handling and storing must be clearly indicated in the packaging (fragile; lift here; this
side up; store in a cool, dry place)

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9. EMPLOYMENT

When there is a job vacancy in a company, the Personnel Manager and the Personnel
Department have to manage the recruitment of a new employee. One way a company can find
staff is to recruit in-company, from among the existing workforce. The other way is to recruit
outside the company in this case, the company may hire an employment agency or may it
prefer to put its own advertisement in a newspaper (Situatuons Vacant column) or online.

Job advertisement: gives a short description of the vacant job (conditions, responsibilities,
salary), specifies the qualities of the ideal candidate (qualifications, experience, skills) and
invites applicants to submit their job-applications.

When you are looking for a job, you have to write a job-application which consists of
- a letter of application
- a CV with photo (if asked for)
- the copy of degrees and certificates of education
You should show professionalism and seriousness by being careful about the form as well as
the content the employer gets the first impression of you from your job-application. The
letter has to meet all the requirements of a formal letter (inside address, closing, date).

A CV (Curriculum Vitae) or Resume (used mostly in the US) must contain:

some personal datas (name, nationality, address, marital status)
education and qualifications (name of schools, degrees)

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job experience (place of work, position, responsibilities)

skills (computer, driving licence, languages)
hobbies, current intentions
references (from previous employers)

The managers consider age, experience, qualifications and compare these with the personnel
specification, and decide which applicants they will short-list for interview.
The interview panel is the staff who conduct an interview together. In order to get more
information, they ask questions about future goals, personal strengths and weaknesses. If there
is a big competition, a second interview may be held, after which the managers decide on the
person to be employed. The applicant chosen for the position signs a contract and becomes an
employee.
If you want to make a good impression, you have to be polite, you have to introduce yourself,
you have to wear a suit, etc.

Unemployment:

Not all people are so lucky to find a job for themselves. Actually, unemployment is a big
problem is Hungary, like in many other countries. The unemployment rate is high and in some
regions it is growing year by year.

A person can be unemployed if

he is dismissed from his workplace
the company goes bankrupt or closes down
he leaved school

When a person becomes unemployed, he has to register with the local Employment Centre,
where he gets benefit (not more than the minimum wage in the country). The Centre may
offer him a job or it can provide a re-training program free of charge. The government grants
tax allowance to companies that accept unemployed people for their workforce.

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10. TELECOMMUNICATIONS EQUIPMENT

The office where the administrative work is performed is an essential part of a business. The
most important functions of an office are to provide the necessary communication with
customers, banks, government departments and other organizations. Most of the paperwork,
preparing, checking, sorting, copying and filing documents, invoices and correspondence used
to be the responsibility of the clerical staff. The growing range of office machines and the
development of information technology has changed office work dramatically.

Computer technology has facilitated handling a mass of data rapidly. Nowadays no office can
operate efficiently without the use of computer. Computers are used for word processing as
well. You can easily write letters, invoices, memos, reports and other documents. Mistakes
can easily be corrected, and it is also possible to give a nicer format to the text. Other
important software applications are desktop publishing, which facilitates the edition of
brochures.

The internet has brought the world into the office, you can download any information
necessary for your business. You can write e-mail letters and exchange information. In
summary, nobody in an office can work without a computer. Very often documents, letters and
invoices are needed in several copies, so you can use the copy machine.
The telecommunications equipment in an office also includes a telephone. An answering
machine connected to the phone is not inevitable, but it may be well worth having one, so that
clients can leave a message after business hours. A fax machine, also using a telephone line,
facilitates quick written communication.

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The office should create a good atmosphere for working. When furnishing a new office, it is
important to make sure there will be enough room and light. You will need a desk for work
and some cupboards and shelves for storing files and documents. The furniture should be very
practical. A separate part of the office should be the room for negotiations, furnished with a
big table and comfortable chairs.

It is important to create a good image for the company. It is a good idea to design a logo and
choose a colour or a combination of colours as identification to your business and use them
everywhere: on letters, on business cards, on company cars, on furniture etc.

11. FOOD STORE

If you want to shop for food, you can go to the closest grocers or to a supermarket. Some
housewives still prefer the personal service of a grocer, but most people like supermarkets and
hypermarkets better, because they offer a large selection of goods at competitive prices.

Food stores now operate in the self-service system. There are shelves and refrigerators where
goods are displayed attractively packed. This system is advantageous for the shop because it
cuts down the expenses, since fewer assistants are required. Supermarkets have longer
opening hours, so you can go there at any time of the day.
Bigger foodstores and other retail outlets have an Electronic Point of Sale System. Products
are identified and sold with the help of bar codes indicated in the packaging. A bar code
consists of black and white vertical lines. The cashier only has to use a scanner, and a
computer attached to it identifies the product, indicates the price, makes the receipt of
purchase, and reduce the stock wit the quantity and value sold of the product.

FOODSTUFFS

Foodstuffs are either of vegetable or animal origin and can be consumed directly or after
food-processing. Fruits and some vegetables are suitable for direct consumption.

Milling industry products are foodstuffs made from cereals by grinding husking or flaking.
They include flour, semolina and cornflakes, muesli.

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Bakery produce, bread and cakes are usually made from wheat flour, water or milk, salt,
yeast, and some of them also contain sugar or honey. The choice of breads available in shops
is becoming wider and wider. Bakery products are delivered to shops every day because they
must be sold and eaten fresh. Customers always have to check the expiry date.

Meat and cold cuts are available in supermarkets and the butchers. Pork, beef, veal, mutton
and lamb as well as poultry and fish are sold there. Cold cuts are easily perishable, so these
products are subject to very strict storage rules and must be kept refrigerated or deep-frozen.

Dairy produce includes milk, cream, sour cream, yoghurt, cheese, cottage cheese and butter.
They must be stored in a refrigerator to keep them fresh and must be sold and eaten before the
short expiry date.

Beverages can be divided into two groups: alcoholic drinks and soft drinks. Among alcoholic
drinks the most popular ones are wine and beer. Hard drinks contain more alcohol. Soft drinks
are very popular among people who do not drink spirits.

Deep-frozen products must be stored in a freezer. Fruits and vegetables, meat, fish and
poultry are available in this form. Deep-frozen is a kind of conservation process.

Spices and seasonings: The most important ones are salt, sugar, oil, vinegar, black pepper,
red pepper, mustard, parsley, bay leaf.

Sweets include milk chocolate and dark chocolate, white chocolate, drops, fudge etc.
Chewing gum and bubble gum are special kinds of sweets.

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12. AT THE GREENGROCERS

Fruits and vegetables make an essential part of our diet since they are the main sources of
vitamins. They are sold at greengrocers, in marketplaces and supermarkets. Some people are
satisfied with the poor assortment that supermarkets offer of fruits and vegs. Other people buy
them at the greengrocers.

At the greengrocers products are displayed in crates and arranged in a nice way. The
customer is usually allowed to choose among them and pick them out. Then the greengrocer
weighs the products. Most fruits and vegs are sold by the kilo, but some are sold by the piece
or bunch.

The most common vegs that cannot be missing from a Hungarian kitchen are potatoes,
tomatoes, paprika, cabbage, carrots, onion. There are other vegs which are also in demand.
These include broccoli, zucchini, aubergine, mushrooms etc. These vegs stored for a long
time in a cool, dry place.

Fruits grown in Hungary include apples, pears, cherries, sour cherries, strawberries,
raspberries, peaches. Most fruits have a very high water content, so they cannot be stored for a
long time. Of course the choice is the biggest in summer, and there is a different choice in
autumn.

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Some fruits are not grown in Hungary but are imported from other countries. Most of these
are tropical fruits, which are grown in tropical or subtropical climates.

According to their lasting we differentiate between:

- fresh tropical fruits e.g. lemons, oranges, bananas, pineapples
- dried tropical fruits e.g. figs, dates, raisins

Some greengrocers also sell special, rare fruits.

Vegetables and fruits must be packed, delivered and stored carefully in order to preserve their
quality, to prevent them from contusion and deterioration. Owing to their high water content,
the quality of fruits can deteriorate very easily: they can rot, perish, wither or mould.
A greengrocers is a risky business, because he cannot get ride of the rotten products if he has
stocked too much. He can sell in a few days and get a fresh supply often.

Fruits and vegetables can also be conserved by:

- sterilization
- quick freezing
- extraction of water/ drying
- pickling/ bottling

Most greengrocers only sell fresh fruits and vegs.

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13. PERFUMERY

Perfumeries sell cosmetic articles for personal hygiene and household goods. Shops usually
operate in the self- services system, where products are displayed on shelves according to type
for customers to make their selection. Nevertheless, shop assistants are needed to inform
customers. Some customers insist on the brand they are accustomed to. However, most brands
offer approximately the same quality.

Household goods help with doing the housework, therefore they are mainly bought by
housewives. These include washing powders, softeners, stain removers, washing-up liquids.

Relying on human vanity, shops offer a huge assortment of cosmetic articles, products for skin
care and personal hygiene at various prices. Manufacturers, many of which are multinational,
try to support their lines by world-wide advertising campaigns to be able to withstand the big
competition.

Customers whose attention is captured by an advertisement can well be manipulated, but at

the same time, as a result of the ads, customers are becoming more and more conscious about
their choice, and demanding about the ingredients and effects of the cosmetic articles.
Other products used for facial care include cleaners and toners for removing make-up and
cleaning the face, facial scrubs and peel-off masks for purifying the skin. For a better result, it
is important to known what skin type you have: dry, normal, oily or sensitive. Shop assistants
have to be ready to advise on these products.

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As for personal hygiene and the treatment of the body, soaps, liquid soaps, shower gels, foam
baths, body lotions and hand creams are available in various scents and with nourishing
ingredients. Products for hair treatment: shampoos, conditioners, styling mousses, hair sprays
and hair dyes.

There is also a wide range of tooth pastes, mouthwashes, toothbrushes and dental flosses.

Special product lines are designed for men: razors and razor blades, shaving foams, after-
shaves and deodorants. Deodorants, a less expensive alternative to perfumes, are usually
displayed on self-service shelves.
Yet another section in a drug store, frequented by young women, is the separate stands where
different brands of make-up are displayed. For example: blushers, loose, eye-shadows, eye
liners, mascara, lipsticks etc.

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14. SOUVENIR SHOP

People usually buy gifts and souvenirs when they visit a place as tourists or when they want to
give a present to somebody on a certain occasion. When people go abroad, they usually want
to take a souvenir back home, something characteristic of the place or country they visit.
Tourists often buy folk art ornaments in Hungary: embroidered table cloth or blouse for
example from Kalocsa, Srkz and the Maty region; and also famous is pottery, especially
from Srospatak, Karcag. A shop stores various kinds of glazed or unglazed hand-painted
pottery: bowls, plates, vases, jugs Other pieces of folk art are wood carvings, folkweave
and crochetwork from Halas. Hungarian hand-painted porcelain made in Herend and
Hollhza is world-famous. Probably the best-selling goods in a gift shop are Hungarian
wines and other beverages. The wine of Tokaj is very famous and the red wine of Eger is
well-known too.
Postcards, tourist maps, road maps and guidebooks must be available for tourists. They are
usually displayed on revolving stands. Other souvenirs are plush animals, cuddly toys, mugs,
T-shirts with a drawing or inscription. People who want to buy a present for their friends or a
family member on a certain occasion such as Christmas, weddings, birthdays etc., can also
find nice gifts in a shop.
In a gift shop, more than in any other shop, the assistant will be frequently asked to made a
gift-wrapping. A beautiful gift-wrapping consists of good quality wrapping paper decorated
with a coloured band.

SWEET SHOPS
Very often, when we visit a foreign country, we want to taste the chocolate and other
confectionery made in that country. We might also want to buy a box of assorted sweeties,

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bonbons, bars of chocolate, etc. as a present. These are available in sweets shops and in some
souvenir shops.

15. BOOKSTORE

If you want to buy a book you can go to a bookstore or a second-hand book shop. You may
need a book for various reasons such as reading for fun, learning or giving a present to
somebody.

In a bookstore books are usually displayed on shelves and are grouped according to type and
topic. One such larger group of books is literature, including poetry, fiction and drama.

Bookstores keep quite a large stock of childrens books, story-books and juvenile novels as
well as folding tale-books for the youngest.

Yet another group of books is technical or specialist books. Some of these show a high
scientific or scholarly standard, others are popular scientific works written for educational
purposes.

Language course books, textbooks facilitating language learning and a successful preparation
for language exams. Dictionaries account for a significant part of the stock of a bookstore.

Maps of countries, guidebooks in Hungarian and foreign languages are offered for tourists
and holiday-markers.

Probably the most beautiful and perhaps the most expensive books are fine art albums and
other albums alongside encyclopaedias.

MUSIC STORE

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In music stores you can also choose among a wide range of cassettes and CDs, which are
displayed in alphabetical order and recordings are arranged according to music style. Pop
music, rock music or classical music.

Music stores offer a service of listening-in to the recordings. Some music houses also store
video cassettes.

STATIONERY

In a stationery you can buy everything you can write on or with. Paper of all kinds and quality
is available for printing, copying, letter-writting, etc. You can buy writing pads, notebooks,
and drawing paper. Fountain pens and ball-pint pens are also sold.

If you need something to collect and store your notes and documents in, you can buy files,
folders and portfolios. Fancy postcards, photo albums, calendars and different kinds of
wrapping paper are also in stock.

Office tools like liners, glue, cellotape, drawing pins, clippers, punches and paper clips can be
obtained in a stationery.

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16. ELECTRICAL APPLIANCES

The modern household cannot exist without electrical appliances. If you want to buy a gadget,
it is best to go to the electrical appliances department of a department store. Some people are
loyal to one particular brand that they like.

Electrical appliances can be grouped in the following way. One group of machines is used for
replacing hand work. They are called labour-saving devices, among which the most
significant ones are washing machines, tumble driers, vacuum cleaners, dishwashers and
irons. Other household gadgets are used in the kitchen for storing or processing food:
refrigerators, freezers, electric and gas cookers, ovens, microwave ovens etc. Another group
of appliances is used for personal hygiene: razors, ladyshaves, hair driers, electrical tooth
brushes, etc. The climate of the flat can be maintained with air conditioners, electric fans,
heaters and extractors. A separate group of gadgets is aimed at home entertainment: TV sets,
radios, video recorders, CD players, hi-fi systems, etc.

As these appliances are quite expensive, shops offer credit facilities to customers who cannot
afford to pay the whole price at once. You can buy these products on hire purchase, which
means that you pay a certain amount of deposit and you pay the rest in monthly instalments.
Shops provide one year guarantee on the gadgets, which means if it goes wrong during the
guarantee period, it will be repaired or replaced without having to pay for it.
Manufacturers always enclose operating instructions to machines, which give information
about how to use, handle, operate, maintain and clean them. Electrical appliances can be
operated from the mains or some of them with batteries.
Example: How to use a cassette recorder?

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A cassette recorder is operated by the play, the sop/eject, the pause, the fast forward, the
rewind and the record button. It can be listened to through the four-track two speaker system
or via stereo head-phones. You can make recordings from the radio or your own voice with
the use of a built-in microphone or a microphone connected to the mic-jack.

17. BANKS

Commercial banks are financial institutions which offer a wide range of financial services for
private individuals and corporate clients.
One of the basic services of a bank is managing accounts. Business as well as private
individuals can deposit money with the bank and open a bank account. There are three types
of bank account: current, deposit and savings account.

Current account is opened when a customer deposits money with the bank and asks the bank
to make payments from it and to accept payments into it. The bank can issue a chequebook.
Another possibility is to give a plastic card to the customer with which he can pay in shops,
restaurants and hotels or withdraw money from the account. If you have cash dispenser card,
you need not go to the bank, just find a cash dispenser machine in the street. With a current
account you can pay in or draw out money whenever you want. If you have exceeded the
amount deposited in your account, you are in the red, but most bank offer overdraft
facilities, and you do not need to be worried about your having spent more than paid in, since
the bank grants you a credit automatically what will be settled from the next payment.

A deposit account is an account into which money is deposited to earn interest. If you want
to withdraw money from a deposit account, you have to give some days notice. The
consumer can get his money back only at the end of an agreed term.

A savings account is a bank account into which small, regular payments are made in order to
accumulate savings.

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Another important service of a bank is lending money to customers for various purposes such
a buying house, car, starting a business. The price of making a loan is the interest, which must
be paid together with the monthly instalments over a fixed period of time. There are short,
medium, long-term loans.

Commercial banks also deal in foreign currencies. When you want to travel abroad you need
some money in foreign currency. You can exchange your Hungarian forints into dollars, euro,
etc. When you change your money into a foreign currency, sometimes you have to pay a
commission for the transaction. Nowadays Hungary, like many other countries, employs a
floating exchange rate, which means that rates are determined by the market. Earlier, Hungary
had a fixed exchange rate, i.e. the government kept the price fixed.

18. THE ROLE OF BANKS

Central banks play a very important role in both national and international finance. The
functions of a central bank of a country are the following:

- It acts as the central national bank of the country, it is responsible for the monetary
policy of the country.
- It controls commercial banks and other financial institutions.
- It does business with international institutions such as the World Bank the
International Monetary Fund (IMF) the European Bank for Reconstruction and
Development (EBRD) etc.
- It manages the countrys exchange rate.
- It controls the monetary system by:
- accepting deposits from and
- making loans to commercial banks and the monetary market,
- controlling money market interest rates by setting the rates at
which loans of last resort will be made.
- It carries out open market operations

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Commercial banks collect funds from the public, use these funds to make loans and
investments. Their aim is to earn money for the savers and the owners of the bank. They also
manage their clients accounts.
Loans made for businessman include business start-up loans. Cash loans for private
individuals can be made for different purposes. Mortgages are usually given for buying a
house. Loans are made for fixed periods.
There are three loan-maturity periods:
- short-term: up to 1 year
- medium-term: 1 to 5 years
- long-term: more than 5 years

When a bank makes a loan, it makes sure that the client is able and willing to repay. It may
also check your assets and monthly income, and may inquire about your financial obligations.
Loans must be repaid in monthly instalments, stated by the bank.

Method of payment

There are several possibilities for the buyer to pay the seller:

Cash is often used in consumer transactions, but rarely used in international trade.

Postal orders or money orders are used when goods are delivered by the post.

Credit cards and bankcards are becoming more and more popular as a means of payment in
consumer transactions.

A cheque is a written order by a person (drawer) to a bank (drawee) to pay a certain amount
of money from the drawers bank account to another person (payee).

A bill of exchange is an unconditional order in writing.

Electronic Fund Transfer makes payments easier through banks.

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19. CLOTHES SHOP

Clothes shops and department stores offer a wide range of overclothes and underwear for
men, women and children. There are separate mens, ladies, childrens wear and underwear.

When people buy clothes, they consider their financial ability, their age, size, taste, style and
the occasion. The stock of a shop must be built according to the customers demand. It must
contain fashionable clothes and evergreens. Fashion is a decisive factor in clothing. The
shopkeeper must be aware of these trends, but at the same time he should not forget that a lot
of people are not fanatical about fashion.

The assortment of clothes changes according to season. At the end of winter and summer
there are sales in shops to clear old stock by offering price reductions of 20-30, some time he
sometimes 50 or 70%. It is advantageous for customers.

In most clothes shops people can browse among clothes that are displayed on rails or shelves
according to size. You can also ask an assistant for help. You can try clothes on in the fitting
room.

CLOTHES

Ladies wear includes skirts, blouses, suits, trousers, dresses. Women like traditional two-
piece suits made up of a coat and skirt or a pair of trousers. They are quite expensive but look
elegant. Skirts are available in various styles and lengths: mini and long, full or tight. Dresses
make an essential part of a womans wardrobe.

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Mens wear includes suits, trousers, shirts and ties.

Knitted pullovers, jumpers and cardigans belong to casual wear for both women and men.
They keep the body warm in cold weather and are very comfortable to wear. There are winter,
suede, between-season and fur coats. There is a big choice in style and cut. Some clothes can
be worn by women and men. These include jeans, T-shirts and sweatshirts.

Underwear for women is available in many different colours. It includes knickers, bras, slips,
dressing gowns, tights and socks. Mens underwear include underpants, undershirts and socks.

SHOE SHOP

Footwear includes sandals, shoes, slippers, sports shoes or trainers, laced shoes, top boots,
high-ankle boots, Wellingtons, etc.

The most important function of footwear is that it has to protect feet against external effects,
while the heels have to support feet properly. Shoes are mad of leather, suede leather, fake
leather or canvas, while the sole is made of rubber, leather or plastic. Womens shoes can vary
in the height of heels. Some women prefer low-heeled shoes, but high-heeled shoes are very
fashionable and elegant. Shoes are available in different colours and sizes.

TEXTILES

Textiles are sold by the metre and are stored in rolls.

According to the production technology there are basically two types of textiles: woven fabric
and knitted material. As raw materials for textiles cotton, wool, silk, and synthetic fibre is
used. The most important types of textiles are: silk, nylon, velvet, canvas, rayon, and fabric.
Materials can be plain, checked, striped, dotted or patterned.

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20. SPORTS SHOP

Sports shops deal in sportswear, sports shoes and sports equipment as well as holiday and
camping equipment. There are special brand-name shops which sell trainers, swimsuits, T-
shirts, sweatshirts and other sportswear of just one brand. A general sports shop offers a wide
variety of well-known brands or no-name products. Sportswear must meet some basic
requirements, which are the following:
o comfortable to wear
o facilitate movements
o suitable for the specific sport
o support feet firmly
o fashionable
Sporting goods manufacturers, especially manufacturers of top brands have built a reputation.
They want to appeal to sportsmen by manufacturing for specific sports like basketball, tennis
and running. Brand logos are usually displayed on sportswear. The best-known brands are
Nike, Adidas, Budmil, Puma, etc.
Each sports needs special clothes and footwear. Sports equipments is on sale in sports shops
as well as: balls, tennis and badminton rackets, skis, skates, snowboards, etc.

TOY SHOP

It is most important for shop assistants in a toy shop to be able to advise customers on what
toy to purchase for their children. When a customer asks for help, the assistant must inquire
how old the child is, because toys must be bought according to their childs age. The most
important requirements is that they must be safe and must not be dangerous. Certain kinds of
plastic or paint can be poisonous. Toys containing small parts are not suitable for children

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under 3 because the child may swallow them. Most toys are labeled with the recommendation
for age. More expensive toys are electronic toys.

21. MARKETING AND PROMOTION

Marketing is the management process responsible for identifying, anticipating and satisfying
customers requirements profitably. Marketers have to identify or anticipate consumer needs.
They also need to persuade target customers to try the product or service. Marketers can
design particular features, attractive packaging, and effective advertising, that will influence
consumers' wants. Marketing thus combines market research, new product development,
distribution, advertising, promotion, and product improvement.

Advertising has merged into the daily life, economic life cannot even be imagined without it.
All the vital interest of the company is to find a connection with consumers. The basic
function of advertising is to inform and have an impact on consumers' decisions.
Advertising is non-personal communication directed at target audiences through various
media. Most people would never hear about goods and services offered without advertising,
so advertising plays an important role in informing people about the advantages of a product.
If we want advertise a product or a service we need to select the media most suitable for
achieving the given objectives. Media types are: press, radio, television, cinema, outdoor
display, or personal sales people, agents.

There are four basic research methods used by marketers:

Observation
Survey
Focus groups
Experimental research

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Marketing MIX
Once the basic offer, e.g. a product concept has been established, the company has to think
about the marketing mix these elements is the 4 Ps:
product (quality, features, style, brand name, size, packaging, services and guarantee)
place (distribution channels, locations of points of sale, transport, inventory size, etc.)
promotion (advertising; publicity, sales promotion, and personal selling)
price (basic list price, discounts, the length of payment period, possible credit terms)
The marketing mix can be changed during the life of the product if necessary.
Promotional MIX
Even a good, attractively priced product has to be made known to its target customers. During
the introduction and growth the company has to develop product or brand awareness, inform
potential customers or the other members of the distribution channel.

Promotion involves everything that can help the sales: media advertising, personal selling,
sales promotion, merchandising, branding, sponsorship, public relations.

Advertising
Sales promotion aims to persuade people to buy the product with awakening the
interests. It may be a free gift, a free sample
Public Relations is the relation between a company and the general public.
Personal selling is done by personal salesmen who find and contact new potential
customers. The problem is with this promotional tool is that many people refuse to listen
to them.
Merchandising means the manner the product is presented for sale. It includes
packaging, display stands
Sponsorship means that a company contributes to the cost of public entertainment such
as a concert or a sports event.
Branding means to create an image of a brand, to create brand loyalty.

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22. E-COMMERCE

In the 21st century there are many inventions which make peoples life more comfortable.
One of them is shopping on the Internet.

Advantages
Ecommerce websites can run all the time and an always open store is more convenient.
If you have got a real, physical shop, the potential customers are limited by region. Shopping
on the Internet, by contrast, is available for everyone from a Chinese teenager to a Mexican
retired. Irrespective of the age and residency the products are purchasable which are offered
on a website.
If you have got a webshop, you dont have to rent premise, you can stock the merchandise at
home. It follows that the operational costs are lower, so the products can be priced lower than
the usual market price.
The customer, who wants to shop on the Internet, can find the products in a few minutes. If
the offered article is suitable, the shopper can add it to the shopping cart. After that the
customer pays with credit or debit card. Delivery time depends on the distance. Usually the
purchased article arrives within few days.

Disadvantages
If you want to eat a bar of chocolate or drink a cup of coffee, you wouldnt like to wait for it.
You can buy it immediately in a real shop. Webshops cant provide prompt service.

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Ecommerce doesnt allow you to touch the product before you purchase it. Its especially
important in case you buy clothes. You cant try the music system, cant smell the perfume
and cant try on the skirt.
When you shop online, you have to add at least your credit card number, your name and your
email-address. Many ecommerce websites harvest other information about your online
behavior. This could lead to credit card fraud, or worse, identity theft.

Target group
Ecommerce shopping can be used by everyone, the target group is the whole world.
Ecommerce shopping requires a computer and Internet connection. If you dont have them,
its not a problem, you can use a computer in an Internet cafe. However, the younger
generation can use ecommerce website easier than elders.
Prices
Usually ecommerce shops prices are cheaper than the usual, real shops prices, because the
webshop-owner doesnt have to rent premise, so he can stock the merchandise at home. If you
buy something online, usually it costs the same as you would buy something from a
wholesaler. On the other hand, you have to pay delivery fee instead of going into a shop to
receive the product face-to-face.

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23. WAREHOUSING

Warehousing is a storage activity for companies who want to supply the market with their
own or 3rd companys goods by order or assignment. The target group can be every company
which needs to store something. The warehousing firm has to have a well-equipped building
or site to fulfill customers or other companies orders.

Running a warehouse is quite costly because a lot of expensive equipment has to be purchased
for the start.

The needed equipment is as follows:

Storage rack to hold the pallets high
Gates/Docks to load/unload the trucks
Forklifts to move and put the pallets to the right positions in storage rack
Warehouse Management System to follow the moving of goods
RF scanners
Clearly clarified processes
Appropriate storekeepers to handle the goods properly

The storekeepers have to know the processes well to make the orders right as the customers
ordered without any discrepancy or damage. There is a phrase in the warehouse safety first.
This is a simple thing to avoid any injury or damage during work.

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Different kinds of goods can be stored in a warehouse like FMCG, electrical/household

devices or any material that is packaged. It can be stored in a palette or bulk.

The advantage of warehousing is that goods can be stored close to the customers, the delivery
time can be reduced. The company can save money to keep their stock level close to the
minimum.
The disadvantage of warehousing is that to build and run a warehouse is qiute expensive. We
have to take the outsource activity of a warehousing company into consideration.

24. SMALL SHOPS VERSUS SHOPPING MALLS

Small shops can be corner shops, boutiques or other retailers. Their profit margin is higher
than the bigger shops or wholesalers. Usually these are family run businesses.
They are located everywhere, in the surburbs, in the city center, or where there are a lot of
potential customers.

The products can be everything. For example in a corner shop basic products are dairy
products, bakery products, cold cuts, alcoholic or non alkoholic drinks, tinned items, spices,
milling products, newspapers (daily, quality papers, tabloids), snacks, sweets, honey, flower,
jams, bus tickets, toiletries, household goods. These products can be bio products, imported
products from abroad (from (Non-)European Union Countries)
The products can you found on shelves, on ground, on the floor, on pallet, on the counter, in
display freezers, refrigerated shelves, bargain bins or on a newspaper stand.

The types of customers are local people, young people, tourists and if old people have
forgotten something during the big shopping. The target group is the young single men, who
dont have family, graduated in university, have a well paid job and dont mind the price.
In a small shop people usually can pay in cash or with credit card or debit card. The opening
hours are general, from 8am to 6pm.

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In my opinion, small shops have disadvantages and advantages. On one hand, the
athmosphere is friendly because the shop assistant has time to talk to you. Generally products
are fresh. You can easyly find the products. Small shops are near to everything. I like these
small shops, because there is always freshly made coffee there.
On the other hand, the price level is high in small shops, usually you can pay just in cash.
There arent wide range of goods, just basic goods.

In Hungary a new type of small shops have been introduced, they are the national tobacco
shops. Nowadays you can buy smoking articles, and after 8 pm. alcoholic drinks just from
national tobacco shops in Hungary.

A shopping mall is made up of many smaller and bigger shops.

Shopping plazas usually are located in the city centre, or close to the undergruond station,
close to public transport, junctions, or railway stations.

There are some shopping malls, which have different functions (Mom park). There customers
belong to a special layer of society. There are upper crust (fels tzezer) and many celebrities.
Typical products are clothes. However, there are do it yourself products, product for every day
life, many services, restaurants, bank offices, ordinary restaurants, fast food restaurants,
Chinese restaurants (Vapiano is a quite an exclusive restaurant)

Potential customers/ target groups are everybody. Possible there are local people, teenagers or
workers. People, who go around the city and drop around the shopping malls. People, who
want to spend their time or who work inside the building. A shopping mall could be a meeting
point, or could offer programs for teenagers. (cinema, eating icecream, food, clothes
shopping.) Shopping malls are attractive buildings, new buildings with modern technology.
They have glass walls, and you can look through. Malls have a basement, where there is a
parking lot. Parking lot is sometimes free for two hours, after that you must pay for parking.
There are safety surveillance systems.

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The price level is changing. There are very expensive shops, but there are shops with
reasonable prices. In smaller shops can you pay in cash, and the bigger shops accept credit
cards, debit cards, layerty cards or they can use point system.

In my opinion, shopping malls have some disadvantages and advantages. On one hand
everything can I found in shopping malls, they can provide family programs at the weekend.
There are entertainment centers in plazas too. People can go to enjoy wellness or fitness club,
special schools, organised programs for children.
On the other hand, there are some pickpockets and shoplifters. Malls are always crowded.
Going around is really tiring. But not at least toilets are very dirty. Pollution is also a
disadvantage. Air pollution caused by eating systems, trucks, transport every day, smoke
pollutre the environment. Lighting pollution all day and all night in the malls is a problem.
There is soil pollution caused by petrol. Malls destroy the habitat of animals, and the calmness
of flats around.

25. TRANSPORT
I. Land transport

Land transport can be divided into two groups:

1. Rail transport
2. Road transport

If we compare rail and road transport, we can find that there are advantages and disadvantages
of both, on basis of which we can decide which type of transport to use in case of the
individual consignments:

1) Rail transport is fast when actually moving, as it has a private way which is kept clear. So
if goods are to go a long way, rail transport is probably the best. However, the economic limit
is about 200 miles, below that limit road transport is more economical. Railway is economical
in the use of labour as one driver and two guards can take 60 carriages or trucks while in case
of road transport long distance lorries carrying only 32 tons also have a crew of two or three.

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The biggest problem of railway transport is the terminal problem which means that goods
must be loaded and unloaded at terminals to complete their journey by road vehicles. In case
of delay, pilfering or negligent handling, it is difficult to find out who is responsible.
The document used in rail transport is the Consignment Note. It is a receipt for the goods and
a contract of carriage, but it is not a document of title.
It is made out in several copies, the first copy accompanies to the goods. The duplicate of the
Consignment Note is of the greatest importance, for it serves as evidence of the dispatch of
the goods and is presented to the bank for payment together with other documents stipulated
in the contract.

2) Road Transport is getting more and more important, which is due to door-to-door
delivery
Delivery can be made directly from the producer to the consignees premises. It makes
delivery faster and safer. Although road vehicles (trucks, delivery vans) are slower than rail,
the slow speed is made up by the elimination of transloading, and the personal control of the
whole journey is also very important. There are special vehicles for bulk loads, containers,
packages, timber, etc.
The document used for international road transport is the Consignment Note (it is also called
Waybill), it is a receipt for the goods and a contract of carriage, but it is not a document of
title.

II. Air transport

In modern times an increasing amount of goods is sent by air.

Air cargoes suffer less than cargoes sent by other media. A saving can be made on packing
cost and the insurance premium may be lower. This type of transportation is used when the
goods are urgently required (medicines, spare parts, fruit, flowers, vegetables, for example) or
the commodities have high value compared to bulk (jewellery, furs, watches, and such)
The document used is: Air Consignment Note (Air Waybill). It is nor a document of title.
Three originals are issued, one for the carrier, one for the importer and one for the exporter.
The person named in the Air Waybill can obtain delivery of the goods if he has the Air
Waybill number.

III. River transport

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River transport has a great importance for Hungary, which is a landlocked country without
direct access to the sea. The Danube offers our country a cheap connection with our
neighbours. Rivers have the advantage that their maintenance costs are much inferior. They
are suitable for the transport of cargoes, where freight charges would be too considerable in
case of other means of transportation.

IV. Pipelines

Pipelines are used for the transportation of oil, gas or water. The capital costs of installing the
pipelines are considerable, but the running costs are rather low.

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