Negotiating

Welcome back to Business English Pod for today’s lesson on English for purchasing and negotiating price and terms.

We’ve talked a lot about how important it is to find the right vendor. They can make or break your business. That’s why we put so much work into meeting, interviewing, screening, and qualifying potential vendors. But once you’ve found the right vendor, you still need to actually make a deal. Specifically, you need to agree on price and terms.

To set yourself up for success, it’s a good idea to do some research and preparation. If you know what things should cost, and you know what you need from a deal, and you can anticipate what the vendor needs, then you’ll be in a good position to negotiate.

In your discussion, you’ll likely make price comparisons in your efforts to get a deal. You’ll have to propose terms to the vendor, and show consideration for their position in the negotiation. Because things like delivery and quality are so important, you’ll also want to discuss penalties. And, like any negotiation, at some point you’ll probably suggest a compromise. With these skills, you should be able to get a price and terms that work for you.

In today’s business English conversation, we’ll hear Adam, a purchasing manager who works for a company that makes fitness equipment called XFit. He’s been talking with Jenny, a sales rep for a manufacturer that can make pulleys for XFit’s equipment. XFit has chosen Jenny’s company as a vendor, so Adam now has to negotiate the price and terms.

Listening Questions

1. What is the first issue that Adam brings up in the negotiation?
2. What does Adam first propose for delivery terms?
3. What is Adam willing to agree to if Jenny agrees to his suggestion about penalties?

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Welcome back to Business English Pod for today’s lesson on English for purchasing and sourcing suppliers.

Every company is in the business of selling something. But you can’t be a seller of goods or services without also being a buyer of goods and services. All companies require professional services, equipment, and supplies in order to function. And if they sell goods, they also need the raw materials and parts to build those goods.

Buying all these goods and services is called purchasing. Purchasing managers work hard to find the right products and suppliers, and to negotiate good prices. Bad purchasing decisions can impact profit margins, efficiency, and quality. Good decisions can make a company a lot more competitive and profitable. While purchasing managers can find suppliers in a variety of ways, one common way is looking for suppliers at trade shows.

And what kinds of questions do purchasing managers need to ask when talking with potential suppliers at a trade show? Well, for starters, you can begin the conversation by commenting on display products. Next, you can ask about their experience, their capabilities, and their turnaround time. And finally, you’ll also want to ask about their company’s business priorities. After all, a regular supplier functions a bit like a business partner, and you want a good overall match.

In today’s dialog, we’ll hear Adam, a purchasing manager who works for xFit, a company that makes fitness equipment. Adam’s at a trade show looking for a new supplier for an important part for one of their fitness machines. He’s talking with Jenny, who is representing a Vietnamese manufacturer. Adam is trying to find out if Jenny’s company is a good fit.

Listening Questions

1. What does Adam comment on to begin the conversation?
2. What does Adam suggest might cause challenges for a company in Vietnam?
3. After Jenny talks about tariffs, what specific issue does Adam ask about?

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Download: Podcast MP3[/tp]