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At a chemical exhibition




Mr. Menon, an Indian businessman called at the Russian pavilion. His firm was interested in radiators. After he had seen the latest models on display he met Mr. Sokolov, a Russian engineer.

Menon:Good morning.

Sokolov:Good morning. Glad to see you in Moscow again. How do you like the exhibition?

Menon:It's wonderful. It's the biggest chemical exhibition, isn't it?

Sokolov:Oh, yes, over a thousand firms are taking part in it.

Menon:I've just seen your pavilion. I must say you've made great progress, your exhibits show it.

Sokolov:Yes, we are doing good business in chemical goods now.

Menon:I saw your radiator model B-73 in operation. You've just started producing

it, haven't you?

Sokolov:Yes, six months ago.

Menon:It'll go for export, won't it?

Sokolov:Certainly. All the exhibits that are on display in our pavilion are for sale.

Menon:We'd like to place an order for model B-73. It meets our requirements.

Sokolov:I’m pleased to hear it.

Menon:When could we discuss the matter in detail?

Sokolov:What about Monday, say eleven in the morning?

Menon:That suits me all right, but I'm afraid I must be leaving now, I have an appointment at twelve. Thank you very much. Good bye.

Sokolov:Good bye. See you on Monday.

UNIT 14

The middlemen of trade

The middlemen of trade are involved in the channels of distribution. They are called middlemen because they lie between extractive and manufacturing industry and the public. They are involved in trade because they deal in the buying and selling of goods.

Types of middlemen

Wholesalers buy from manufacturers and sell to retailers hoping to make a profit, e.g. by buying at one price and selling at a higher price. Retailers buy from manufacturers and sell to customers hoping to make a profit. Larger retailers usually buy goods in bulk straight from manufacturers. Small retailers buy in smaller quantities from wholesalers.

Brokers, unlike wholesalers and retailers, don’t buy goods for themselves. Instead they act as agents by arranging deals for others, e.g. a manufacturer of chocolate might ask a broker to buy cocoa for him on a commodity exchange. Brokers never possess the goods in which they deal. They are used because they are specialists in the goods in which they deal; brokers earn commission.

In home trade the wholesaler is an example of a merchant and is sometimes called a wholesale merchant. In foreign trade there are export and import merchants who buy and sell goods just like a wholesaler. Merchants hope to make a profit.


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