READING
QUESTIONS 1-45
PART ONE
Questions 1-7
Look at the sentences below and the job advertisements on the opposite page.
Which job does each sentence 1-7 refer to?
For each sentence, mark one letter (A, B, C or D) on your Answer Sheet.
Y ou will need to use some of these letters more than once.
0 A B C D
This post involves some secretarial duties.
1 Y ou will be responsible for the operation of a computer system.
2 Y ou must be able to forecast what people will want to wear.
3 Y ou will be able to work with people from many different countries and backgrounds.
4 Y ou will have a qualification which covers two subject areas.
5 It is necessary to have worked in this sector before.
6 Y ou will need to keep in contact with the headquarters of the organization.
7 The advertisement emphasises the need to have a suitable approach to important people.
A
BUSINESS MANAGERY ou will be responsible for our global business within specific countries and will have a good understanding of international distribution, possibly based on previous experience, plus the ability to work in markets that are highly varied in their culture. Y ou will be fluent in a second language, be willing to travel extensively, and preferably have a degree.
B
DEPARTMENT STORE BUYERBased at our head office in London, you will select and order stock from our suppliers in Italy. Y ou will need to predict fashion trends and build a strong relationship with our Italian office. Y ou will have gained your buying experience in women＇s fashion and will hold a degree in design with a business studies component.
C
LEGAL SERVICES ADMINISTRA TORAs head of the legal office, your work will include managing the office IT network, typing reports, diary maintenance and supervision of another staff member. Y ou will need good organizational skills in order to keep ahead of a varied workload. Y ou will be dealing with senior executives and government officials, so a mature and efficient manner is essential.
D
REGIONAL LEISURE SITES MANAGERY ou will b e responsible for budgetary planning, contract negotiations, local marketing and effective administration. Y ou will communicate frequently with our main office using the latest technology. Y our experience could be from any business sector but you should enjoy outdoor life and will ideally possess an estate management qualification.
PART TWO
Questions 8-12
ead the extract below from an article about the coffee industry.
hoose the best sentence from the list on the opposite page to fill each of the gaps.
or each gap 8-12, mark one letter (A-I)on your Answer Sheet.
o not use any letter more than once.
Coffee is worth approximately $50-60bn per annum in terms of world sales. It is a truly international commodity, and today more than 50 countries in the world grow coffee beans. (example) ______I_____. ICO organization helps coffee producers and promotes coffee conumption worldwide.ICO estimates that world production next year will reach 97.5 million bags.11.3 million bags higher than the current year. (8) ____________. As the largest producing country, Brazil is particularly important in the coffee world. In 1994 Brazil was responsible for 25% of world production, Colombia was next with 13.4%, Indonesia had 7.5%, Mexico 4.7%, Guatemala 3.8% and Ethiopia and V ietnam were equal with 3.4%.Coffee is a tough crop, and can be grown in areas where it is difficult or impossible to grow other crops. (9) However, disease is always problem for coffee production, as we can see in some parts of South America at the moment.ICO is active in educating farmers about avoiding disease and dealing with problems when they occur.The distribution chain varies from country to country, explains Pablo Dubois. In most countries the smaller farmers sell their crop to a local trader, who then sells it on to exporters. There are, however, other distribution systems.(10) ____________. Some countries, like Vietnam, have special government marketing organizations for coffee.Coffee prices often vary greatly from one year to the next. In 1997, for example, there was a large rise in the world price, which was immediately felt by the consumer. Rising prices always result in a drop in sales, which will have a bad effect on those developing countries, which are highly dependent on foreign exchange from coffee exports. (11)____________.In the opinion of Pablo Dubois, the biggest problem for his organisation is to create greater consumer awareness of the different varieties of coffee and different ways of preparing it. (12)____________. ICO is therefore concentrating its promotional activities on Russia and China. It is also encouraging environmentally friendly coffee production, and last year＇s seminar on coffee and the environment created a lot of interest.The future looks bright for the coffee industry. It is estimated that consumption over the next few years will continue to rise steadily. New markets like Eastern Europe and China are expected to develop fast.
A. As a result, the membership now represents 94% of all exporters and 60% of all importers.
B. In some of these countries, this can amount to as much as 50% of all export earning.
C. In North America, most consumers already have above average knowledge of the range available.
D. For example, frost and wind are particularly damaging to coffee crops.
E. Larger coffee growers, for example, frequently export directly.
F. The main reason for this is higher Brazilian output as production recovers from weather damage to crops.
G. It is cultivated in mountain regions which can only be reached by animal transport, and in other difficult areas where modern agricultural equipment cannot be used.
H. This is because there is a demand for coffee in Germany, and it is also sold in the UK and in the US.
I. This make the coffee industry fairly universal, according to Pablo Dubois, Head of the International Coffee Organisation (ICO), based in London.
PART THREE
Questions 13-20
Read the artic le below about stress management, and answer questions 13-20 on the opposite page.
A Lesson In Stress Management
Demands placed on us at work can often lead to considerable worry and discomfort. There are, however, ways of protecting ourselves from the stress we face at work. We interviewed Jane Collard, a consultant in stress management.
1. In Jane Collard＇s opinion, stress is becoming an increasingly common feature of the workplace. Stress is a highly individual reaction, which varies considerably from person to person, and it is difficult for some employees to avoid it. Indeed, stress is regarded by many as part of the organizational culture of our institutions: it comes with the job. Recent figures indicate that time taken off work because of stress has increased by 500 per cent since the 1950s. Undoubtedly, changes in working conditions have led to greater pressure at work at all levels. With reductions in staffing, workloads for individual employees have increased. In addition, many employees are left worrying about the security of their jobs.
2. On the stress management courses that she runs, Jane Collard tries to make the trainees realise that stress in itself is not harmful. Everyone needs a certain level of stress to enable them to feel motivated and to perform effectively. A complete absence of stress can be as damaging as overstress, since it can make people lose interest in their work, and even lead to depression. The difficulties occur when the amount of stress rises above a level which is healthy for a particular individual. If this happens, the effects are very obvious and the trainees are taught to recognize the signs. Stress may be expressed physically, for example through headaches and tiredness, or through emotional problems such as depression. A person suffering from stress may also start to behave differently, and can be difficult to deal with.
3. While it may not always be possible to prevent stress, there are a number of ways in which it can be controlled. The first thing that the trainees learn is how to manage their time effectively. This involves, first of all, setting realistic goals for both the short and long term. Once this framework has been established, tasks are then prioritised on a daily basis. The trainees are also reminded that when they are under pressure the less important items should be left, and they should never hesitate to delegate. Everyone is encouraged to look at ways of reducing ＇wasted time ＇, for example by grouping similar tasks together or dealing with items immedkiately.
4. Jane feels that one of the most useful features of the course is that it enables trainees to deal with those demands or deadlines that they regard as unreasonable. They are encouraged to avoid being defensive, but at the same time they are advised not to be afraid of saying ＇no＇. They are asked to give reasons only if necessary. The training helps them to foresee difficult situations or
unwanted demands, and they learn how to prepare themselves mentally. Everyone is encouraged not to get stuck in negative thought patterns, where stress can feed a circular sense of helplessness. One solution they discuss is to think of a more encouraging alternative for each negative message. They learn, for example, to remind themselves that nothing terrible happens when a demand is refused or a deadline missed. Life goes on.
Questions 13-16
For questions 13-16, choose the best title for each numbered paragraph from the list below.
For each numbered paragraph 1-4, mark one letter (A-G) on your Answer Sheet.
Do not use any letter more than once.
13 Paragraph 1 ___________
14 Paragraph 2 ___________
15 Paragraph 3 ___________
16 Paragraph 4 ___________
A Higher stress levels among top managers
B Coping with stress through a positive attitude
C Time lost at work through sickness
D Causes of increased stress in the work environment
E Explanations for missed deadlines
F stress reduction through better organisation
G Typical problems associated with stressQuestions 17-20
Using the information in the text, complete each sentence 17-20 with a phrase A-G from the list below.
For each question 17-20, mark one letter (A-G) on your Answer Sheet.
Do not use any letter more than once.
17 Most people agree that the recent increase in stress is due to changes in ____________.
18 The trainees are taught that the right level of stress at work is important for good.
19 Trainees learn that one way of limiting stress is by deciding upon.
20 One of the most important parts of the course is learning how to react to
PART FOUR
Questions 21-35
ead the text below about job prospects at the Provincial Bank.
hoose the correct word A, B, C, or, D on the opposite page to fill each gap.
or each question 21-35, mark one letter (A, B, C, or D) on your Answer Sheet.
Employment Opportunities for Graduates with the Provincial
BankThe Provincial Bank is one of the biggest (example) ____________ institutions in the U.K. With its 1,900 branches and 58,000 employees, it has (21) ____________ a household name. Almost 4,000 of these employees (22) ____________ managerial or executive positions. The bank has an outstanding (23) ____________ of profitability, which has been achieved by introducing
innovations at the same time as maintaining leadership of the (24) ____________. The bank＇s comprehensive training programme concentrates on (25) ____________ the most important skills that graduates need in order to (26) ____________ early management responsibility. Trainees take responsibility for their own continuous self-development through visiting other branches and departments, and by (27)____________ courses in management skills. They also receive training in order to increase their knowledge of the bank＇s (28) ___________. The bank supports (29)____________ of staff who wish to take professional examinations, and its Graduate Training Scheme is (30)_____________ to the nationally recognized Diploma in Management.Obviously the quality of its mangers is of (31)____________ importance to the bank＇s performance. It welcomes good graduates in any subject area, (32)____________ they can demonstrate the ability to influence events, and have the potential to (33)____________ both as leaders and as part of a team. Most graduate trainees join the Retail Banking division initially. Those starting on this programme will soon have the (34)____________ to work in other parts of the bank and can (35)____________ a varied and flexible working life.
Example:A budgetary B fiscal C financial D economic Example
21 A opened B entered C turned D become
22 A hold B do C keep D own
23 A career B catalogue C record D experience
24 A area B trade C record D market
25 A making B reaching C developing D heightening
26 A present B treat C deal D handle
27 A observing B attending C involving D staying
28 A services B goods C creations D abilities
29 A colleague B members C people D persons
30 A qualified B combined C fastened D linked
31 A main B vital C necessary D superior
32 A therefore B thus C provided D only
33 A succeed B realize C gain D overcome
34 A choice B chance C likelihood D probability
35 A forecast B believe C suppose D expect
PART FIVE
Section A
Questions 36-40
Read the text below about a special kind of competition.
In most of the lines 36-40 there is one extra word which does not fit. One or two lines, however, are correct.
If a line is correct, write CORRECT on your Answer Sheet.
If there is an extra word in the line, write the extra word in CAPITAL LETTERS on your Answer Sheet.
Examples:0 The international Y outh Skills Olympics is a vocational skills competition in 0 C O R R E C T00 which the young people demonstrate their achievements in a range of areas. 00 T H E
36 The competition, which there is held every two years, is organized by the international
37 Training Organisation. All U.K. competitors qualify for the team by getting through
38 a tough national competition.Their backgrounds are vary from arts to sciences,
39 and students to the self-employed. Since they do not know which skill area they
40 will be tested in, they must to train for everything before the start of the competition.
Section B
Questions 41-45
Read the text below about market research.
In each line 41-45 there is one wrong word.
For each line 41-45,write the correct word in CAPITAL LETTERS on your Answer Sheet. Examples:0 Y our business will only success if customers like your product 0 S U C C E E D00 or service and are prepared to give you money in exchange about it 00 F O R
Market Research41 Before you start a business, it is importance to undertake market research42 and to assess the results with great care: you need to finding out about your43 potential customers and the state of the market, included your competitors.44 The more detailed your market research are, the more profitable your business45 is likely to be. Carry out your study thorough, and repeat it to ensure your results are reliable.
WRITING
QUESTIONS 46 and 47
PART ONE
Question 46
Y ou are the training manager of a company which has won a large export order. Y ou have been asked to organize foreign language training for some of your staff.
Write a memo of 40-50 words to staff:
explaining why the courses are necessary
saying which members of staff should attend
announcing when the courses will start
Write on your Answer Sheet.
RART TWO
Question 47
Y our company exports to a number of countries around the world. The company is looking for new agents for international freight.
Read the two advertisements below, on which you have made some notes.
Then, using the notes, write a short report for the Export Sales Manager, covering all your points and saying which agent you recommend.
Write 120-140 words.
READING
1. C
2. B
3.A
4.B
5.A
6.D 7C 8.F 9.G 10.E 11.B 12.C 13.D 14.G 15.F 16.B 1
7.C 1
8.A 1
9.G 20.E 21.D 22.A23.C 24.B 25.C 26.D 27.B 28.A29.B 30.D 31.B 32.A33.A34.B 35.D 36.THERE 37.CORRECT 38.ARE 39.CORRECT 40.TO 41.IMPORTANT 42.FIND 43.INCLUDING 44.IS 45.THOROUGHLY
WRITING
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A DE TAILED LOOK AT THE TASKS
Part One
This is a matching task. There are four short texts on a
related theme (e.g. descriptions of a group of products, or
advertisements for jobs) or a single text divided into four
sections. Although the context of each text will be similar,
there will also be information that is particular to each text.
The texts are labelled A – D. Candidates are presented with a
set of seven items which are statements related to the texts.
They are expected to match each statement with the relevant
text.
Questions in this part tend to focus mostly on the
identification of specific information and detail, although
some items may focus on gist.
Preparation
In order to prepare for this part it would be useful to
familiarise students with sets of short texts that have a similar
theme. Newspapers, magazines and catalogues are useful
sources in which to find such texts. Students should be
encouraged to look closely at all the information,
particularly as short texts often include additional snippets of
information on separate lines (such as prices, dates, titles,
measurements, etc.) that can easily be overlooked.
Students could be set questions which test global reading
skills prior to reading the texts, so that they are trained to
think of who a text is written for and why it was written.
Part Two
This is a matching task, comprising a text that has had six
sentences removed from it and a set of seven sentences
labelled A – G. Candidates are required to match each gap
with the sentence which they think fits in terms of meaning
and structure. The first gap is always given as an example so
that candidates have five gaps left to complete. When they
have finished this part there will be one sentence left which
they have not used.
The texts for this part will have been chosen because they
have a clear line of thought or argument that can still be
discerned by the reader with the sentences removed. In
doing the task, therefore, students should be trained to read
through the gapped text and the list of sentences first, in
order to get an idea of what it is about. Having done that,
they should be reassured that there is only one sentence that
fits each gap.
This part tests understanding of text structure as well as
meaning and the gaps will be reasonably far apart so that
candidates can successfully anticipate the appropriate lexical
and grammatical features of the missing sentence.
Candidates can be expected to be tested on a variety of
cohesive features with both a backward and forward
reference, sometimes going beyond the sentence level. Thus,
while selecting the appropriate sentence for a gap, they
should read before and after the text to ensure that it fits
well. At the end of this part, they should read through the
entire text, inserting the gapped sentences as they go along,
to ensure that the information is coherent.
Number of
PART Main Skill Focus Input Response Questions
1 Reading – scanning and gist One longer or four shorter Matching 7
informational texts
(approx. 250 – 350 words in total)
2 Reading – understanding text Single text: article, report, etc. with Matching 5
structure sentence level gaps (text plus 7
option sentences approx. 450 – 550
words in total)
3 Reading for gist and specific Single text (approx. 450 – 550 words) 4-option multiple 6 information choice
4 Reading – vocabulary and structure Single informational text with lexical 4-option multiple 1
5 gaps (text including gapped words choice cloze
approx. 200 – 300 words)
5 Reading – understanding sentence Short text (approx. 150 – 200 words) Proof reading 12 structure / error identification Identification of additional
unnecessary words in text
TEST OF READING
Time: 1 hour
Preparation
This can be quite a difficult task, especially for candidates who are unfamiliar with such an exercise. In preparing them for this part, it would be a good idea to select a number of graded texts that have clear, familiar ideas and evident cohesive features. Texts can be cut up as they are in the test or simply discussed in their entirety. In this way, students can work up to dealing with more complex material and identifying the many different ways that ideas are connected. It would also be useful when doing gapped texts to look at sentences that do not fit in gaps and discuss the reasons for this. Sometimes it is possible to make a sentence fit a gap by simply changing a few words. Discussion on areas such as this would also be fruitful.
Part Three
This task consists of a text accompanied by four-option multiple choice items. The stem of a multiple choice item may take the form of a question or an incomplete sentence. There are six items, which are placed after the text. Sources of original texts may be the general and business press, company literature and books on topics such as management. Texts may be edited, but the source is authentic.
Preparation
? Multiple choice questions are a familiar and
long-standing type of test; here they are used to test
opinion and inference rather than straightforward facts.
? Correct answers are not designed to depend on simple word-matching, and students’ ability to interpret paraphrasing should be developed.
? Students sh ould be encouraged to pursue their own interpretation of relevant parts of the text and then
check their idea against the options offered, rather than reading all the options first.
? It could be useful for students to be given perhaps one
of the wrong options only, and for them to try to write
the correct answer and another wrong option.
Part Four
This is a multiple choice cloze test with fifteen gaps, most
of which test lexical items, and may focus on correct word choice, lexical collocations and fixed phrases. The texts chosen for this part will come from varied sources but they will all have a straightforward message or meaning, so that candidates are being tested on vocabulary and not on their comprehension of the passage.
Preparation
Candidates are usually familiar with this type of task and so it is most important to try to improve their range of vocabulary. The options provided for each item in the test will have similar meanings but only one word will be correct within the context provided. Familiarity with typical collocations would be especially useful. The language of business is often very precise and so it is worth spending time looking at the vocabulary used in different types of text, getting students to keep a vocabulary list and encouraging them to make active use of the lexical items that are new to them.
Part Five
In this task, candidates identify words that have been introduced into a text in error.
This exercise can be related to the authentic task of checking a text for errors, and suitable text types therefore include letters, publicity materials, etc. The text contains twelve numbered lines, which are the test items. Further lines at the end may complete the text, but these are not test items. Preparation
? Students should be reminded th at this task represents a kind of editing that is common practice, even in their
first language.
? Any work on error analysis is likely to be helpful for
this task.
? Areverse of the exercise (giving students texts with
missing words) might prove beneficial.
A
B
C
D
The mobile phone business is behav ing like the
internet industr y in take-up and the pac e of
innovation, and it’s important not to be l eft
delivering the produc t to the cus tomer. In
terms of s erv ice prov ision, you c an draw
comparisons between us and our clos est ri v al,
but cl early all the mai n mobile phone retailers
hav e succeeded in tak ing the industr y forward.
Growth has accelerated rapi dly and the mobile
telephone has changed from simply bei ng a
business tool, to being a means of
communication for everyone.
Over a few y ears, prices have dropped sharply and technol ogical advanc es hav e meant
produc ts hav e changed – and are c hanging. Succ essful retailers must try to k eep on top of
thes e dev elopments and i nv est in the training of empl oy ees so they are abl e to offer impartial
adv ice to c ustomers. E-commerce is tak ing off but this won’t necess arily replace traditi onal
retail outlets. In order to s tand out, y ou need innov ative ideas on customer ser v ice. We don’t
believ e in criticising other retailers, but there’s nothing particularly ex citing out ther e at
present.
When I first started in the industry, mobile
phones were retailing at a thousand pounds and
were as large as box files. Now, prices are
constantly being driven down and handsets are
considerably more compact. There is intense
competition between the network providers,
and every time they lower their tariffs, more
people come into the market. This will
continue, and while retail dealers’ profits will
be affected dramatically, network providers
will have to generate more revenue by offering
internet provision and data services to the
mobile user.
Market awareness of the mobile telephone has exploded and the retailer who specialises
in mobile phones is seeing growth like never before. Admittedly, some customers buy
their first mobile phone in the supermarket, but for advice, add-ons and particular
services they turn to the specialist. There are a large number of mobile phone retailers and
I can’t help but feel the market only has room for four players. Undoubtedly, customer service is the factor that differentiates operators and I think this year we will probably see rationalisation in the sector.
3
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2
PART ONE
Questions 1 – 7
? Look at the statements below and the c omments gi v en on the opposite page by mobile phone
retailers.
? Which s ection (A, B, C or D) does each s tatement 1 – 7 refer to?
? You will need to us e some of these l etters more than once.
Example:
0 the extent to which mobile phones hav e c hanged i n size
1 the need for retail staff to s tay i nfor med about the mobile phones they are selling
2 the belief that the mar ket will not sustain the pres ent number of mobile phone retailers
3 the us e of mobile phones no l onger being restricted to a s pecific group of people
4 the relations hip between charges and the number of mobile phone us ers
5 a negati ve v iew of competing mobile phone retailers
6 a c omparison between c hange in the mobile phone industr y and that i n a different sector
7 those s er v ices av ailabl e at mobile phone outlets that are not prov ided by other retailers
A B C D
READING SAMPLE PAPER
A The hotel staff ass umed they shoul d be
booked i nto the same room.
B But there is clear ev idence that things are
slowl y improv ing.
C This would enabl e women to mak e an
informed c hoice about a hotel, and they
would not be plac ed i n the unc omfortable
position of hav ing to c omplain about poor
serv ice.
D It is adv isable for them to do this during
their stay rather than waiting until they
chec k out.
E Mak ing sure that facilities in gues t
bedrooms cater equally for the needs of
male and female guests is one suc h idea.
F Most of the women, when questioned
further, thought that the r eason for this
was that they were female and travelling
alone.
G This is ev ident from the r esults of a
questionnaire distributed to hotel guests by
the Business Travel Associ ation.
5
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A B C D E F G
Example:
PART TW O
Questions 8 – 12
? Choos e the best sentence fr om the opposite page to fill each of the gaps.? For eac h gap 8 – 12, mar k one letter (A – G) on your Ans wer Sheet. ? Do not us e any letter more than onc e.
? There is an ex ampl e at the beginning, (0).
4
Hoteliers should take note because they are facing
serious criticism! Women account for more than
half of all business travellers, but hotels are not
doing enough for them. (0) . . . .G . . . . . These show
that the number of complaints made about the way
women guests are treated is increasing.
The Bartonsfield Hotel in London also conducted a
recent survey of UK businesswomen, which
reveals that 70% feel they receive an inferior
service. (8) . . . . . . . The attitude of hotel staff made
them feel out of place in public areas; for example,
62% chose to eat in their rooms because they were
made to feel uncomfortable by staff when dining
alone. (9) . . . . . . . Four years ago, for example, a
similar survey had revealed that a significant
number of women travelling alone and wishing to
use the hotel restaurant were actually turned away.
Many of the suggestions for improved services put
forward by the Business Travel Association are
relatively simple. (10) . . . . . . . Placing tables in
restaurants in a way that allows the head waiter to
introduce guests to one another, so they can
choose to sit together over a meal, was a further
suggestion. Guests in the dining room would then
have the opportunity to meet up with others who
might, for example, be attending the same
conference, or have the same business interests.
Wendy Manning, executive manager of the
Bartonsfield Hotel, agreed with the Business Travel
Association that hotel star ratings should be
influenced by the level of service they offer to
female business guests. (11) . . . . . . . ‘Our survey
highlighted the unwillingness of many women to
air their views if they are treated badly,’ Wendy
Manning pointed out.
A group of influential businesswomen recently met
to discuss the results of the Business Travel
businesswomen should not hesitate to make it
clear if they have a problem. (12) . . . . . . . Once
clients have gone, it is all too easy for the issue to
be ignored by hotel managers, and it will also be
forgotten by the overworked business executives
themselves.
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7
13 Acc ording to the tex t, the end of a pr oduc t’s life c y cle is marked by
A a sharp rise in production c osts.
B the product bec omi ng outdated.
C an increase in c ustomer c omplaints.
D less support from sales management.
14 What does the writer say about sales management in the first paragraph?
A Companies should spend more ti me on their sales planning.
B There are many managers who need to i mprove their sal es performanc e.
C Most sales managers fail to recognise which stage a product has reac hed.
D The sal es approach should c hange with eac h phas e of the product life c y cl e.
15 Acc ording to the tex t, a greater sales effort is required for a pr oduc t when
A it is particularl y innovati v e.
B the advertising budget has been c ut.
C riv al compani es start to produce something similar.
D consumer i nteres t s witches to a new product c ategor y.
16 Acc ording to the tex t, a good mar k eting strategy mus t primarily be c onc erned with
A sal es statistics.
B produc t details.
C consumer data.
D profit information.
17 Acc ording to the tex t, profit lev els may fail to corres pond to t he volume of s ales bec aus e
A the full selling costs hav e not been taken i nto account.
B the production cos ts were not esti mated correctl y.
C there are unforeseen problems with distribution.
D there has been a l ac k of ec onomic stability.
18 What does the writer say about the charts that show sales progress?
A It is a matter of judgement wher e one s ales phase finishes and another begins.
B Managers should rev iew policy when a sharp fall in sal es is indic ated.
C It is diffic ult to see how sales charts can provi de s ufficient guidanc e to managers.
D Managers should get confirmation of the data they plot on the sales charts. Product Life Cycles and Sales Strategy One of the most important concepts in sales
management and marketing is that of the product life
product, showing the stage in its life the product has reached at a particular time. By identifying the stage
that a product is in or may be heading towards,
companies can formulate better marketing plans. All products have ‘lives’ in as much as they are created, sell with varying profitability over a period of time,
and then become obsolete and are replaced or simply
no longer produced. A product’s sales position and profitability can be expected to fluctuate over time
and so, at each successive stage in the product’s
cycle, it is necessary to adopt different tactics.
The two main features of the product life cycle are
unit sales and unit profit. The unit sales figures
usually jump on introduction, as a respons e to heavy advertising and promotion, as customers buy the
product experimentally. This is generally followed
by a levelling off while it is evaluated – the length of this period depending on the use to which the product
is put. Then, unit sales rise steadily through the
growth phase to the maturity phase, when the
product is widely accepted, and so on to saturation
level. By this time, competitors will have entered the market with their own version and, from this point,
the sales team will have to work eve n harder to win
all additional sales. Eventually, the product’s sales decline as better versions enter the market and
competition becomes too strong.
In retrospect, most firms know what happened to
their products from launch to withdrawal. They can
compile this information from the records of unit
sales.
Unfortunately, unit sales are not the complete story
as it is unit profit that is the decisive factor, although this is not always recorded accurately. It is this figure that sales management has to monitor, though, to
ensure an effective marketing strategy and to
produce effective profits.
At launch, the product is costed accurately on the
basis of production costs plus selling costs. Initially these remain fairly stable, but, when the product is proving successful, competitors will bring out their
own ‘copy-cat’ products. With a competitor in the
field, the original firm has to respond in order to maintain its market position. It can run special sales
sales calls and so on. Often the extra expenditure is
not accurately charged to the product and the result is
that, long before unit sales are noticeably falling, the
unit profit has already fallen.
The product life cycle, then, presents a picture of
what happened in the product’s ‘lifetime’, so how
can this be used as an ongoing aid to management
decision-making? Every sales manager has a chart on
which the progress of sales is plotted and this can be
used as a guide to the stage of development each
product is currently in. An essential management
skill is being able to interpret sales results and draw
in the stages as they occur. Deciding where each
stage begins and ends can be a random exercise,
though usually the stages are based on where the rate
of sales growth or decline becomes pronounced.
PART THREE
Questions 13 – 18
? Read the article below about product life c y cles and the questions on the opposite page.
? For eac h questi on 13 – 18, mark one letter (A, B, C or D) on your Ans wer Sheet for the ans wer y ou c hoos e.
6
Example:
A calc ulate
B depend
C deter mine
D lean
19 A produce B make C c onstruc t D build
20 A behav iour B habit C practice D routine
21 A method B law C rul e D course
22 A focus B define C target D direct
23 A gaining B acquiring C collecting D tak ing
24 A requests B c alls C bids D c ommands
25 A appoint B programme C schedule D catalogue
26 A parcels B pac kets C bundles D pac kages
27 A formation B design C structure D s y stem
28 A c atalogue B label C mar k D identify
29 A point B tend C lead D mov e
30 A disorder B mistake C c onfuse D c omplicate
31 A appointments B procedures C arrangements D organisations
32 A s hare B rol e C functi on D element
33 A precisel y B suitabl y C properly D accuratel y
0 A B C D
9
Turn Over _
PART FOUR
Questions 19 – 33
? Read the adv ice below about the us e of technolog y in presentations.
? Choos e the best word to fill each gap from A, B, C or D on the opposite page.
? For eac h questi on 19 – 33, mark one letter (A, B, C or D) on your Ans wer Sheet.
? There is an ex ampl e at the beginning, (0).
Guidelines for giving Presentations
Most presentations today (0) . . .B . . . on the use of some sort of technology, such as a laptop computer linked to a p rojector. While this technology can help to (19) ...... p resentations better, it
also has a (20) ...... of getting in the wa y. As a gene ral (21) ...... , it is better to (22) ...... on t he content of a presentation as a means of (23) ...... your audience’s attention, rather than relying on sophisticated equipment.
Bear in mind that when an o rganisation invites (24) ...... for a cont ract, they ma y (25) ...... four o r five presentations from different companies on the same da y. Each of these companies will probably be using the same computer graphics (26) ...... and the same equipment. The chances are the presentations will be similar too.
That’s why the content and (27) ...... of what you say a re important.Think a bout what you w ant to
say and how to sa y it as clearly as possible. As a first step, you need to (28) ...... the main points you want to get across. Audiences are easily bored and (29) ...... to re member only the most ente rtaining, exciting or unusual ideas.
Next creat e you r mate rials, choosing the images for your presentation carefully. Remem ber you do
not want to stop your audience from listening to you, nor d o you want to (30) ...... the m.
Finally, make all the necessary (31) ...... for th e equipment you need. If technolog y is to be an important (32) ...... of your presentation, ma ke sure you know ho w to use it (33) ...... and test it out beforehand.
PART FIVE
Questions 34 – 45
? Read the article below about a training company.
? In most of the lines 34 – 45 ther e is one ex tra word. It is either grammatically incorrect or does not fit i n with the meaning of the text. Some lines, however, are correct.
? If a line is c orrect, write CORRECT on y our Answer Sheet.
? If there is an ex tra word in the line, write the extra w o rd in CAPITAL LETT ERS on your
Ans wer Sheet.
? The exercise begins with two ex amples, (0) and (00).
Examples 0 S O
00 C O R R E C T
0 There is little doubt that training has become so an accepted part of business but it is 00 equally true that companies take a much less scientific approach than they should. A
34 recent study suggested us that, while UK organisations spend nearly ￡10bn a year on
35 training, 37% of them have never evaluated that expenditure in strict terms of business
36 impact. Yet if training activities that are run along the same lines as other business
37 operations, in ways that maximise with opportunities, it becomes easier for training
39 awareness of what this principle is CT Solutions, a training business that has its own
40 premises in South London. The need for more train ing has combined it with cutbacks in
41 office accommodation to create plenty of business for those hiring out space, particularly
42 upper-end hotels. But while CT Solutions detected that many organisations were not
43 satisfied with hotels because they d o not always provide a good service. CT Solutions is
44 totally dedicated to providing of space for business, mostly for training, but also for
45 conferences and AGMs. Clearly, since the business has been grown in size, it is an approach that works.
10
READING ANSWER KEY
Part One Part Two Part Three Part Four Part Five
1 C 8 F 13 B 19 B 34 US
2 A 9 B 14 D 20 B 35 STRICT
3 D 10 E 15 C 21 C 36 THAT
4 B 11 C 16 D 22 A 37 WITH
5 C 12 D 17 A 23 A 38 CORRECT
6 D 18 A 24 C 39 WHAT
7 A 25 C 40 IT
26 D 41 CORRECT
27 C 42 WHILE
28 D 43 CORRECT
29 B 44 OF
30 C 45 BEEN
31 C
32 D
33 C
Part 3
Part 5
14
13
16
15
17
35
34 1 0
1 0
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36 1 0
1 0
38 1 0
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38
A B C D
A B C D
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23
22
Part 4 25
24
27
26
28
29
30
18
A B C D A B C D A B C D
A B C D
31
32
33
A B C D A B C D A B C D A B C D A B C D A B C D A B C D A B C D A B C D A B C D A B C D A B C D A B C D A B C D
A B C D
39 1 0
40 1 0
39
42 1 0
41
42
43 1 0
44 1 0
43
44
45 1 45 0
Supervisor:
V A N T A G E BEC Vantage Reading Answer Sheet
0 0 0 0
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