listen to the second part of the interview. Note down five things which stop people trading freely. Explain briefly the meaning of each one.



EXAMPLE:  Tariffs: These are taxes  on imported goods.

D- listen to the third part of the interview and do these exercises.
1 Choose the best answer.



When there is a policy of deregulation, ...

Discuss the questions.

1 To what extent do you have free trade in your country?
2 Should certain industries in your country be protected? If so, which ones?
3 Is free trade always a good thing, in your opinion?

READING : Trade between China and the US

A- Work in pairs. Read the two articles quickly and choose the best title for each one.

Article 1

1 The US should concentrate on being more competitive economically.

What do you think will happen to the trade situation between China and the US?

Conditionals

• We use the first conditional when we think the expected outcome of a situation is very likely.
If you give us a 10% discount, we'll place a firm order of 2,000 units. (This is a promise.)
If you don't deliver on time, we won't order from you again. (This is a threat.)
Will you give us a discount if we double our order?
• We use the second conditional when the outcome is less certain or is imaginary.
We also use it in negotiations to make the offer or proposal less direct.
If you gave us a 5% discount, we would place a much bigger order.
If they didn't have a guaranteed market, their business wouldn't survive.
What discount would you offer us if we decided to go to another supplier?

Choose the correct verbs to complete the sentences.

1 If  you ____a discount of 5%, we ____ a firm order.

Listen to the final part and answer the questions.



1 What behaviours are appropriate for being a good negotiator?
2 How do you tell if there is more scope for negotiation?

D- Discuss the questions.

1 What do you think makes a really good negotiator?
2 Do you prefer high-conflict win-lose negotiations or cooperative win-win negotiations?
3 How common is negotiating in your country?

Role-play these negotiations. Try to get a good outcome in each situation.

An Argentinian exporter is negotiating to sell into the US m a rket.It must reach a deal on the best possible terms while seeking to build a long-term relationship with its distributor.

Background

The Pampas Leather Company is based in Buenos Aires, Argentina. This well-established business exports leather and fur jackets, as well as accessories such as handbags, belts and wallets, to world markets. It uses the best quality leather, introduces creative designs in its collections, has excellent quality control and a reliable delivery service.
A major US distributor in Seattle, West Coast Apparel (WCA) , has contacted Pampas Leather about marketing a range of Pampas's men's leather jackets under the WCA brand name. WCA has a chain of stores in all the large cities on the West Coast of the US. WCA's President, Brad Schulz, wants to put three models of the jackets on the market: the Clubman (the most expensive model), the Nightrider and the Look.
It is now May. Pampas Leather has agreed to make the jackets and have them ready for shipment to Seattle early in November. This will not be easy, as Pampas has to fulfil several large orders before dealing with the WCA order.
Several points of the contract need to be negotiated. Roberto Gonzalez of Pampas has flown to Seattle to meet Brad Schulz. The Marketing Director of each company will also be present at the meeting. The purpose of the meeting is to make a deal acceptable to both sides, which could be the basis for a long-term relationship.

Task

You are negotiating as either:

• the Pampas Leather team (Roberto Gonzalez and his Marketing Director): 


• the WCA team (Brad Schulz and his Marketing Director): 



Read your information files, identify your priorities and work out your strategy and tactics. Then negotiate so that you get the best dealnfor your company.