Teachers enhancing powerful vocabulary 4a ed

Trend School
Center for Business
Communication
Enhancing Powerful
Vocabulary
Fourth Edition

[ENHANCING POWERFUL
VOCABULARY – TEACHER’S
GUIDE]


Enhancing Powerful Vocabulary – Teacher’s Guide

INDEX

In the Classroom
Syllabus

03

Unit 1 – The Corporation

05

Unit 2 – International Marketing

18

Unit 3 – The Workplace

33

Unit 4 – Using Powerful Vocabulary

42

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ENHANCING POWERFUL VOCABULARY
Topic
You are exposed to a variety of topics within business communication so as to provide you with
opportunities to discuss issues, concepts, and all interrelated subjects.

Business Communication Concept
Here you will work with a specific business communication concept in order to enhance
your management skills and provide you with tools for effective communication.

Business Communication Skills
The focus of this section is to practice oral communication skills (listening and speaking).

Business Communication Tools
This section encompasses the language skills that are necessary to communicate with accuracy.
You will review grammar concepts, expand your vocabulary, and practice your reading and writing
skills.

Case Study
The case studies throughout the book provide you with an overview of multinational companies,

global markets, business situations and current global and business issues.

Multicultural Business Communication
Multicultural business communication is essential to companies which are entering the global
market where diversity and cultural awareness play an important role in doing business. Here, you
will work with cultural awareness and how diversity affects businesses.

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Teacher Information
Material required:
DVD The Corporation, Tracks:
o

What is a corporation (Unit 1)

o

Birth (Unit 1)

o

Legal Person (Unit 1)

o

Externalities (Unit 1)

o

E-mail Tune-Up (Unit 4)

Special Difficulties Card Game (game board and cards 1-3) (Unit 2)
Audio – Eight Things Successful People Do (Unit 3)
Vocabulary Game (game board and cards 1-6) (Unit 4)
Dictionary
Note: Transcripts to Videos 1-4 are provided at the end of the Student’s Book.

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ENHANCING
POWERFUL
VOCABULARY
UNIT 1 – THE CORPORATION

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Warm Up
1. What is a Corporation?
2. What is Corporate Agenda?
3. How would you define Corporate Responsibility?

4. What is the difference between responsibility and
accountability?
Accountability: The state of being accountable; liability to be called on to render an account; the
obligation to bear the consequences for failure to perform as expected; accountableness. Syn.
Answerability.
Responsibility: An act or course of action that is demanded of one, as by position, custom, law, or
religion. The obligation to carry forward an assigned task to a successful conclusion. Syn. Burden,
commitment, duty.

Pre-viewing vocabulary
A

B

1

all-persuasive (d)

a

2

inquiry (i)

b

a thorough, often drastic reorganization,
as of the personnel in a business or
government
legal right to the possession of a thing

3

assets (m)

c

trust or faith in a person or thing

4

ownership (b)

d

to be present in all places

5

compensation programs (l)

e

at the cost of someone or something; the
using of someone to gain advantage

6

shakeups (a)

f

something to be done, especially an item
on a program or list

7

overhang (j)

g

to accomplish something desired or
intended

8

confidence (c)

h

to affect deeply in mind or emotion

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9

broker (o)

i

a close examination of a matter in search
of information or truth

10 whistle blower (q)

j

to project or extend beyond

11 to harm (n)

k

12 to succeed (g)

l

13 principled company (p)

m

the return received on a business
undertaking after all operating expenses
have been met
something, such as money, given or
received as payment or reparation, as for
a service or loss

anything of material value or usefulness

14 profit (k)

n

physical or psychological injury or damage

15 at someone’s expense (e)

o

16 overwhelm (h)

p

one that acts as an agent for others, as in
negotiating contracts, purchases, or sales
in return for a fee or commission
based on or manifesting objectively
defined standards of rightness or morality

17 agenda (f)

q

one who reveals wrongdoing within an
organization to the public or to those in
positions of authority

Video – What is a Corporation?
/>
Narration: 150 years ago, the business corporation was a relatively insignificant institution. Today, it is allpervasive.
Like the Church, the Monarchy, and the Communist Party in other times and places, the corporation is
today’s dominant institution. This documentary examines the nature, evolution, impacts, and possible
futures of the modern business corporation. Initially given a narrow legal mandate, what has allowed
today’s corporation to achieve such extraordinary power and influence over our lives? We begin our inquiry
as scandals threaten to trigger a wide debate about the lack of public control over big corporations.
News clip: George Bush: “I do think there is an overhang over the market of distrust. Listen, 95%, or some
percent, huge percentage of the business community are honest, and uh, reveal all their assets, got
compensation programs that are balanced. But there are some bad apples…”
Narration: The media debate about the basic operating principles of the corporate world was quickly
reduced to a game of “follow the leader”.
I still happen to think the United States is the greatest place in the world to invest. We have some shakeups
that are going on because of a few bad apples.
ACCOUNTING FOR GREED PROTECTING YOUR MONEY FOCUS: CORPORATE CRACKDOWN

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Lyrics to “Bad Apple”: “Some people call me a bad apple, well I may be bruised, but I still taste sweet. Some
people call me a bad apple, but I may be the sweetest apple on the tree”.
Man with white hair: These are not just a bunch of bad apples.
CNBC host: This is just a few bad apples.
Sarbanes: It’s not just a few bad apples
Rep. Scott McInnis: We’ve gotta get rid of the bad apples … you can start with Tyco.
Lou Dobbs: Bad apples
Rep. Scott McInnis: We know all about Worldcom.

Woman announcer: Bad apples
Rep. Scott McInnis: Xerox corporation
Greta Van Sustern: Bad apples
Rep. Scott McInnis: Arthur Anderson
Chris Mathews: Bad apples
Rep. Scott McInnis: Enron, obviously
Ari Fleischer: Bad apples
Rep. Scott McInnis: Kmart Corporation
Red haired guy: The fruit cart is getting a little more full.
Charles Lewis: I don’t think it’s just a few apples, unfortunately. I think this is the worst crisis of confidence in
business –
Narration: What’s wrong with this picture? Can’t we pick a better metaphor to describe the dominant
institution of our time? Through the voices of CEOs, whistleblowers, brokers, gurus and spies – insiders and
outsiders – we present the corporation as a paradox, an institution that creates great wealth, but causes
enormous, and often hidden harms.
Sir Mark Moody-Stuart: I see the corporation as part of a jigsaw in society as a whole, which if you remove it,
the picture’s incomplete. But equally, if it’s the only part, it’s not going to work.
Hank Mckinnell: A sports team. Some of us are blocking and tackling. Some of us are running the ball. Some
of us are throwing the ball. But we all have a common purpose, which is to succeed as an organization.
Wigand: A corporation’s like a family unit. People in a corporation work together for a common end.
Badaracco: Like the telephone system, it reaches almost everywhere. It’s extraordinarily powerful, it’s pretty
hard to avoid. And it transforms the lives of people, I think on balance, for the better.
Ira Jackson (V/O): The eagle. Soaring, clear eyed, competitive, prepared to strike, but not a vulture. Noble,
visionary, majestic, that people can believe in, and be inspired by, that creates such a lift that it soars … I can
see that being a good logo for the principled company … Okay, guys, enough bullshit.
Howard Zinn: Corporations are artificial creations. You might say they’re monsters trying to devour as much
profit as possible at anyone’s expense.
THE BIGGEST THING SINCE CREATION
Michael Moore: I think of a whale. A gentle, big fish, which could swallow you in an instant.
Mary Zepernick: Dr. Frankenstein’s creation, has

overwhelmed and overpowered him, as the corporate form has done with us.
Keyes: The word “corporate” gets attached in almost, you know, in a pejorative sense to – and gets married
with – the word “a-gen-da.” And one hears a lot about the corporate a-gen-da. As though it is evil. As though
it is an agenda which is trying to take over the world. Personally, I don’t use the word “corporation.” I use
the word “business.”
I will use the word “company.” I will use the words “business community.” ’Cause I think that is a much
fairer representation than zeroing in on just this word “corporation.”
WHAT IS A CORPORATION?
Badaracco: It’s funny that I’ve taught in a business school for as long as I have without every having been
asked so pointedly to say what I think a corporation is.
It is one form of business ownership.
Badaracco: It’s a group of individuals working together to serve a variety of objectives , the principle one of
which is earning large, growing, sustained, legal returns for the people who own the business.

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A. Watch the video. Write true (T) or false (F) on the space next to each statement.
1.
2.
3.
4.

T_____
F_____
F_____
T_____

5.
6.
7.
8.
9.

T_____
F_____
F_____
T_____
T_____

The Corporation is today’s dominant institution.
50 percent of the business community is honest.
There are no bad apples in the business community.
The Corporation is an institution that creates great wealth but
causes hidden harms.
People in a Corporation should work together for a common end.
Corporations are real creations and can’t be compared to monsters.
The corporate form has not overwhelmed nor overpowered us.
The corporate agenda is trying to take over the world.
A Corporation is a group of individuals working together to serve objectives such as
earning large, growing, sustained legal returns for the people who own the
business.

B. Do you agree with the statements above? Explain.
Teacher’s Note: Choose 3-4 statements and ask students to individually elaborate on their views.
Interrupt where necessary to provide new words or rephrase. Force the students to use the new
words.

Pre-viewing vocabulary
A. Before watching the next video, choose the best definition for the words below:
1. A steam pump is:
a. a car driven by steam power
b. a small pumping engine operated by steam. It is usually direct-acting.
c. a pipe
2. A coal mine is:
a. a mine that contains gold
b. a place where there are precious stones
c. a mine where coal is dug from the ground
3. To haul means:
a. to pull or drag forcibly
b. to call someone
c. to greet someone
4. A gizmo is:
a. a small thing
b. a mechanical device or part whose name is forgotten or unknown
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5.

6.

7.

8.

9.

c. something unknown
A charter is:
a. a bus or plane
b. a company
c. a document outlining the principles, functions, and organization of a corporate
body; a constitution
A shareholder is:
a. one that owns or holds a share or shares of stock
b. a company’s stock
c. the CEO of a company
To be liable for something means to be:
a. in charge of something
b. legally obligated; responsible
c. likely to happen
Constraints are:
a. restrictions, limits and regulations
b. embarrassing situations
c. legal restrictions
To deprive someone of something means to:
a. eliminate something from someone
b. restrict the use of something
c. take something away from someone

Video – Birth (4.55)
/>
A. Watch the video once.
B. Watch again and try to fill in the missing information.
The modern corporation 1) has grown out of the industrial age. The industrial age began in 2)

1712, when an Englishmen named 3) Thomas Newcument invented a 4) steam driven 5) pump to
pump water out of the English 5) coal mine, so the English coal miners could get more coal to the
mine rather than 6) haul in buckets of water out of the mine. It was all about productivity, more
coal per man-hour. And today it’s more 7) chips per man hour, more 8) gizmos per man hour.
The system is basically the same producing more sophisticated products today.
Noam Chomsky: The dominant role of corporations in our lives is essentially the product of roughly the past
century. Corporations were originally associations of people who were charted by state to perform a
particular function like a group of people want to build a bridge over the Charles River or something like
that.

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There were very few 9. chartered Corporations in the early United States history. And the ones
that existed had clear 10. stipulations in their state 11. issued charters, how long they could 12.
operate, the amount of 13. capitalization, what they 14. made or did or maintained, a turnpike or
whatever was in their charter, and they didn’t do anything else. They didn’t 15. own or couldn’t
own another corporation. Their 16. shareholders were 17. liable and so on.
C. Answer the questions
1) What caused the Corporation to change so dramatically? The civil war, the industrial
revolution and the growth of banking.
2) What was the purpose of the 14th amendment? It was to give equal rights to black people.
It stated that no state can take away life, liberty or property from people without due
process of law.
3) What effect did the 14th amendment have on Corporations? It actually ended up helping
the corporation, because lawyers turned it to their favor by defending the fact that a
corporation was a person and therefore it had the same rights. The Supreme Court agreed
to it.

4) Why does Ms. Zepernick state that this was, “particularly grotesque?”
Grossman: In both law and the culture, the corporation was considered a subordinate entity that was a gift
from the people in order to serve the public good. So, you have that history, and we shouldn’t be misled by it,
it’s not as if those were the halcyon days, when all corporations served the public trust, but there’s a lot to
learn from that.
Zepernick: The Civil War and the Industrial Revolution created enormous growth in corporations. And so
there was an explosion of railroads who got large federal subsidies of land. Banking, heavy manufacturing.
And corporate lawyers, a century and a half ago, realized that they needed more power to operate, and
wanted to remove some of the constraints that had historically been placed on the corporate form.
Zinn: The 14th Amendment was passed at the end of the Civil War to give equal rights to black people. And
therefore it said, “no State can deprive any person of life, liberty or property without due process of law.”
And that was intended to prevent the States from taking away life, liberty or property from black people as
they had done for so much of our history. And what happens is the corporations come into court and
corporation lawyers are very clever, and they say, “oh you can’t deprive a person of life, liberty or property.
We are a person, a corporation is a person.” And so Supreme Court goes along with that.
Zepernick: And what was particularly grotesque about this was that the 14th amendment was passed to
protect newly freed slaves. So, for instance, between 1890 and 1910, there were 307 cases brought before
the court under the 14th amendment. 288 of these brought by corporations, 19 by African Americans.
Grossman: Six hundred thousand people were killed to get rights for people, and then with strokes of the pen
over the next thirty years, judges applied those rights to capital and property while stripping them from
people.

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Pre-viewing vocabulary
A. Match the words to their definitions.
1

incorporate (e)

a

to accrue as proceeds or profit: Little money issued from the stocks.

2

limited liability
company (h)

b

to institute legal proceedings.

3

to issue (a)

c

the final result or outcome

4

individual
person (i)

d

to deal with.

5

legal person (l)

e

to cause to form into a legal corporation: incorporate a business.

6

to sue(b)

f

to be without or in need of.

7

to be
concerned (g)

g

to be preoccupied

8

the bottom
line (c)

h

an unincorporated company formed under applicable state statute
whose members cannot be held liable for the acts, debts, or
obligations of the company and that may elect to be taxed as a
partnership.

9

to lack (f)

i

not a corporation

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10

to address (d)

j

Involving or lasting a relatively brief time.

11

to be legally
bound (k)

k

having to obey rules and regulations.

12

short-term (j)

l

a body of persons or an entity (as a corporation) considered as
having many of the rights and responsibilities of a natural person
and esp. the capacity to sue and be sued

Video – A Legal Person (5.48)
/>
A. Watch the video once.
Archive footage:
Man 1: “Every body makes a mistake once in awhile. But I just can’t be personally responsible. That’s one of
the weaknesses of a partnership. Isn’t it, Sid?”
Man 2: “Well, maybe you’d better incorporate the store.”
Man 1: “Incorporate?!”
Man 2: “Yes. Incorporating would give you the big advantage of what you want right now - limited liability.
You start with a group of people, who want to invest their Money in a company. Then these people apply for

a charter as a corporation.
This government issues a charter to that corporation. Now that corporation operates legally as an individual
person. It is not a group of people. It is under the law, a legal person.”
ARCHIVE NARRATOR: Imperial Steel Incorporated has many of the legal rights of a person. It can buy and sell
property. It can borrow money. It can sue in court, and be sued. It carries on a business. Imperial Steel, along
with thousands of other legal persons, is a part of our daily living. It is a member of our society.
Narration:
Having acquired the legal rights and protections of a “person”, the question arises: “What kind of person is
the corporation?”
Chomsky: Corporations were given the rights, of immortal persons. But then special kinds of persons.
Persons who had no moral conscience. These are a special kind of persons which are designed by law, to be
concerned only for their stockholders. And not, say, what are sometimes called their stakeholders, like the
community or the work force or whatever.
Monks: The great problem of having corporate citizens is that they aren’t like the rest of us. As Baron
Thurlow in England is supposed to have said “they have no soul to save, and they have no body to
incarcerate.”
Moore: I believe the mistake that a lot of people make when they think about corporations, is they think you
know, corporations are like us…
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Streeters:
Woman in jean jacket: General Electric - is a kind, old man with lots of stories
Black couple: Nike – young, energetic
Black dude w/sunglasses: Microsoft – aggressive
White dude w/glasses: McDonald’s – young, outgoing, enthusiastic
White dude: Monsanto - immaculately dressed
Woman w/sunglasses: Disney – goofy

Woman on bike: The Body Shop – um, deceptive
Black couple:
man – very lovely
woman – (laughter) do you know what The Body Shop is?
man – nope (laughter)
Moore: They think they have feelings, they have politics, they have belief systems, they really only have one
thing: the bottom line. How to make as much money as they can in any given quarter. That’s it.
Archival footage: b&w students around a table
Boy: Of course they make a profit, and it’s a good thing. That’s the incentive that makes capitalism work. To
give us more of the things that we need. That’s the incentive that other economic systems lack.
Moody-Stuart: People accuse us of only paying attention to the economic leg, because they think that’s
what a business person’s mindset is, it’s just money. And it’s not so, because we as business people know
that we need to certainly address the environment, but also we need to be seen as constructive members of
society.
Moore: There are companies that do good for the communities. They produce services and goods that are
of value to all of us, that make our lives better, and that’s a good thing. The problem comes in, in the profit
motivation here, because these people, there’s no such thing as enough.
Moody-Stuart: And I always counter-point out, there’s no organization on this planet, that can neglect it’s
economic foundation. Even someone living under a banyan tree is dependent on support from someone.
Economic lack has to be addressed by everyone – it’s not just a business issue.
Narration:
But, unlike someone under a banyan tree, all publicly traded corporations have been structured — through a
series of legal decisions — to have a peculiar and disturbing characteristic. They are required --- by law ---- to
place the financial interests of their owners above competing interests. In fact, the corporation is legally
bound to put its bottom line ahead of everything else, even the public good.
Chomsky: That’s not a law of nature that’s a very specific decision, in fact a judicial decision. So they’re
concerned only for the short term profit of their stockholders who are very highly concentrated.

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B. Choose the best alternatives for the statements below:
1. The advantage of incorporating is:
a. being able to manufacture products
b. being able to have regulations
c. having limited liability
2. Imperial Steel Incorporated has the following rights:
a. it can buy and sell property
b. it can borrow money
c. it can sue in court and be sued
d. it can carry a business
e. all of the above
3. Corporations were given the legal rights of:
a. immortal person
b. the Constitution
c. the Government
4. Corporations are designed by law to be concerned only for their:
a. customers
b. stockholders
c. clients
5. The bottom line of a Corporation is:
a. to provide services for the community
b. to invent new products and technology
c. to make as much money as it can in any given period of time
B. Match each Corporation to its corresponding adjective according to the documentary:
1. General Electric
2. Nike
3. Microsoft

4. McDonald’s
5. Monsanto
6. Disney
7. The Body Shop

a. young, energetic (2)
b. goofy (6)
c. a kind, old man with lots of stories (1)
d. aggressive (3)
e. deceptive (7)
f. young, outgoing, enthusiastic (4)
g. immaculately dressed (5)

C) Do you agree with these adjectives? Can you think of other adjectives you would give to
other Corporations? How about your company? How would you best define it?

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Post-viewing vocabulary
A. Use the words in the box to complete the sentences below. Make sure you conjugate the
verbs whenever necessary.
short-term
the bottom line

to be legally bound
legal person
sue

address to issue
incorporate limited liability

1. People can’t be legally responsible for a business, therefore; they INCORPORATE it.
2. LIMITED LIABILITY is one of the major advantages of organizing a business as a
corporation.
3. Little money IS ISSUED from the stocks.
4. A LEGAL PERSON has responsibilities and rights under the law.
5. Companies that emit too much pollution are sometimes SUED by a community.
6. A lot can happen between now and December, but THE BOTTOM LINE, for now, is that
the city is still heading toward default.
7. The CEO ADDRESSED the issue of absenteeism.
8. Our economy will not improve in the SHORT-TERM.
9. The corporation is LEGALLY BOUND to put its bottom line ahead of everything else, even
the public good.

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Pre-viewing vocabulary
A. Look up these three words in the dictionary before viewing the next video. Define using your
own words.
Naive: One who is artless, credulous, or uncritical.
Bill: An itemized list or statement of fees or charges.
Unwary: Not alert to danger or deception.

Video – Externalities (2.13)
A. Watch the video once.

Monks: To whom do these companies owe loyalty? What does loyalty mean? Well, it turns out that that was
a rather naïve concept anyway as corporations are always owed obligation to themselves to get large and to
get profitable. In doing this, it tends to be more profitable to the extent it can make other people pay the
bills for its impact on society. There‘s a terrible word that economists use for this called “externalities”.
Friedman: An externality is the effect of a transaction between two individuals on a third party who has not
consented to, or played any role in, the carrying out of that transaction. And there are real problems in that
area there’s no doubt about it.
Anderson: Running a business is a tough proposition, there are costs to be minimized at every turn, and at
some point the corporation says, you know, let somebody else deal with that. Let’s let somebody else supply
the military power to the Middle East to protect the oil at its source, let’s let somebody else build the roads
that we can drive these automobiles on, let’s let somebody else have those problems, and that is where
externalities come from, that notion of, let somebody else deal with that – I got all I can handle myself.
Monks: A corporation is an externalizing machine in the same way that a shark is a killing machine. Each one
is designed in a very efficient way, to accomplish particular objectives. In the achievement of those
objectives, there isn’t any question of malevolence or of will, the enterprise has within it, and the shark has
within it, those characteristics that enable it to do that for which it was designed.
Anderson: So, the pressure’s on the corporation to deliver results now, and to externalize any cost that this
unwary or uncaring public will allow it to externalize.

B. According to the documentary, what is an “externality”?

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ENHANCING
POWERFUL
VOCABULARY
UNIT 2 – INTERNATIONAL

MARKETING

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Warm Up
1. What products do you know that are marketed internationally?
2. What kind of problems do companies face when they go international?
3. What methods can companies use to enter overseas markets?

Below are some collocations that are related to the topic of International Marketing. Can you
explain their meaning?
Buying habits
Government bureaucracy
Monetary regulations
Economic situation
Income distribution
Political stability

Vocabulary Development
A. Now fill in the following sentences with the collocations above.
1. Because of tight MONETARY REGULATIONS- company profits could not be taken out of
the country.
2. Red tape and other examples of GOVERNMENT BUREAUCRACY— hinder a company’s
entry into a market.
3. The country is attractive to exporters because it has enjoyed POLITICAL STABILITY for the
last 50 years.
4. The purchasing behavior of consumers can be described as their BUYING HABITS.

5. The ECONOMIC SITUATION— is improving, leading to a rise in employment.
6. INCOME DISTRIBUTION- is a term used by economists to describe how wealth is shared in
a country.

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B. Can you think of other collocations using the words below?
Government

…………………………………………………………………………………………………………………...

Income

……………………………………………………………………………………………………………………

Political

……………………………………………………………………………………………………………………

C. Write 5 sentences about Brazil and Brazilian companies using the collocations above. Read
them to your class for feedback.
……………………………………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………………………………

……………………………………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………………………………

Let’s now consider a widespread international product:
Sneakers

D. Answer the following questions:
1. Are they internationally marketed products?
2. What is the message behind a pair of sneakers?
3. Who are the target customers for a sneakers’ manufacturer?
4. What are the strategies adopted by sneakers’ manufacturers to attract consumers?

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5. When you think of a pair of sneakers, which brand name immediately comes to your
mind? Why? (Get students to talk about advertisements, stars they relate to the chosen
brand)

Reading
A. Read the text below. Don’t worry about words that you don’t know; just read for the overall
meaning.
Rebound For Reebok - Paul Fireman is
injecting one of the biggest brands in sports
with a new kind of cool, and he's betting it
will make Nike run for cover. Reebok's fall
and rise are a classic tale of the wonders of
the entrepreneurial world. Fireman was

selling sports equipment for his father's
business when in 1979, during a Chicago
trade show, he became impressed by a
hand-sewn (stitched by hand) leather
sneaker called Reebok, named after a type of
African gazelle and marketed by the
heralded (publicly praised) British athleticshoe company J.W. Foster & Sons (a familyowned company that made the running
shoes worn in the 1924 Olympics by the
athletes celebrated in Chariots of Fire).
Fireman bought the U.S. distribution rights to
Reebok, and by 1984 had dropped out of
college and was putting all his time into
marketing his company's soft, brightly
colored leather sneakers. His timing was
perfect.
Reeboks became standard
equipment for the suddenly booming
women's aerobics movement. And they
became such a hip (modern and
fashionable) fashion icon (something
famous, representing an important idea)
that in 1986 Mick Jagger had to write
Fireman directly to request a pair because
they were sold out in London, and
everywhere else.
21

But the late 1980s saw a backlash among
management gurus against the idea of
entrepreneurs running their own companies.

Instead, professional managers came into
vogue (into fashion, popular), so that at
places like Apple, Lotus and even Ben &
Jerry's, the founding fathers stepped, or
were eased (moved slowly or carefully),
aside. At Reebok, which had begun an
aggressive push into foreign markets, the
board feared that Fireman might finally be in
over his head.

Reebok's problems began under the new
cast of professional managers; there were
five presidents in a decade. In an effort to
broaden (to increase something) its
customer base, Reebok in 1992 ventured out
from its core recreational-fitness customers
to make sneakers in more competitive sports
categories like baseball, basketball and
soccer, where such rivals as Nike, Adidas and
New Balance were already slugging it out.

Trend School – Center for Business Communication | Enhancing Powerful Vocabulary


"Women started feeling like we had lost
track of them," says David Perdue, who was
brought in by Fireman this year to run
Reebok's main lines of business, sneakers
and apparel (clothing). "And kids too found
us not to be relevant." As declining sales

forced the company to cut back on R&D, the
styling of Reeboks across the board fell out
of favor. John Shanley, an analyst with Wells
Fargo Van Kasper, puts it this way: "Reebok
shoes started looking like they belonged on
the shelf of an orthopedic patient."
Not anymore. Back in December 1999,
Fireman--who with his wife Phyllis owns
about a 20% stake in Reebok--won the
board's approval for a turnaround plan. At
the heart of his strategy was a return to the
company's roots--sharp, provocative design.
Moreover, he decided to hire Allen Iverson,
prince of the National Basketball Association
and a 6-ft.-tall 26-year-old who spends his
spare time playing video games and singing
gangsta rap music to market his products.
In addition, he began pushing innovation
from his engineers. They came up with
Reebok's DMX technology, a sole containing
numerous air channels for cushioned
comfort, and Traxtar, a line of shoes for kids
that contain built-in computer chips and
motion sensors that measure the wearer's
running speed and jumping height. "Most
people's view of entrepreneurs is that their
business eventually outgrows them," says
Reebok CFO Ken Watchmaker.
"We've
learned the hard way that Paul is the

lifeblood of this business."
Of course, Fireman knows that gizmos
(informal word which means a small piece
of equipment or a small thing that the
speaker doesn’t know the name of) won't

bring down Nike-- unless Reebok has a lot of
well-marketed attitude to go with them. He
calls this "the Cool Factor"--the mysterious
marketing mojo that powers the $11 billion
athletic-footwear market.
The way Fireman sees it, the conventional
approach to business is boring, so bring on
the controversy, play the game by your own
rules, be a real entrepreneur. Back in the
early 1990s, when he was already earning a
seven-figure salary and bonuses, he was
denied membership at a country club near
his New England home. Fireman assumed
the club turned him down because he is
Jewish. He didn't fight for entry; he bought
his own country club, decked out (decorated
for a special occasion) with an 18-hole golf
course, an Olympic-size pool and tennis
courts. That helps explain why he identifies
with stars like Iverson and Williams, who fit
the mold because they break it. They aren't
heroes like Tiger Woods, but they attract
attention. And they have the stuff of
greatness, which means big rewards if

they're on your team.
Reebok's big-league deals will really start
paying off in three years through a
heightened profile among youth, about the
time that Michael Jordan will have to hang
up his high-tops (sports shoe that supports
the ankle, used by basketball players) for
good. "You don't get cool by writing checks,"
says Fireman. The Reebok chief is counting
on his big-league deals and projects like
Diamond, a kind of high-end designer
boutique within Reebok that aims to develop
the trendsetting sneakers and street fashion
of tomorrow.
This time around, Paul
Fireman's state of rebellion may be here to
stay for a while.

(Text adapted for academic purposes from: Time.Com “Rebound for Reebok”)

22

Trend School – Center for Business Communication | Enhancing Powerful Vocabulary


B. Decide whether the statements below are True or False. Read the text again if necessary, then
write T or F below.
1. Fireman was working for his father selling sports equipment before he decided to buy
Reebok. __T__
2. Fireman graduated from college. __F___

3. Reeboks had become a hip fashion icon by 1986. __T__
4. In the late 1980’s there was a movement against entrepreneurs managing their own
businesses, and entrepreneurs were replaced by professional managers. ___T___
5. This new kind of management improved Reebok sales. _F__
6. In December 1999, Fireman proposed a new plan to the board which was approved. __T__
7. This new plan consisted of innovating Reebok’s line of shoes and hiring Allen Iverson to
market its products. __T__
8. Both Fireman and Iverson are conventional entrepreneurs. __F____
9. Reebok hopes to have a return on investment in 3 years. __T___
10. The main idea of this article is that the people who create and innovate new products
aren’t able to manage their businesses as they grow. __F__
C. Choose the best definition for each word. Refer to the text to see the words in context.
1. rebound
a. recovery
b. improvement
c. decrease
2. entrepreneurial
a. new, risky
b. international
c. joint venture
3. booming
a. declining
b. increasing
c. famous
4. backlash
a. question
b. reaction
c. event
5. running
a. moving

b. abandoning
c. managing
23

Trend School – Center for Business Communication | Enhancing Powerful Vocabulary


6. board
a. table
b. body of administrators
c. employees
7. core
a. central part
b. back
c. side
8. slugging out
a. fighting
b. quitting
c. closing
9. turnaround
a. quick
b. continuous
c. reversal
10. outgrows
a. gets too big for
b. gets too small for
c. stays the same for
11. bring down
a. cause to fall
b. cause to grow

c. cause to profit
12. figure
a. picture
b. number
c. diagram
13. rewards
a. prizes
b. gifts
c. losses
14. paying off
a. being profitable
b. losing money
c. going bankrupt
15. aims
a. helps
b. intends
c. prevents

24

Trend School – Center for Business Communication | Enhancing Powerful Vocabulary


D. Complete each of the sentences with one of the words below.

rebound

entrepreneurial

booming

backlash

running

board

core

slugging it out

turnaround

outgrow

bring down

figures

rewards

pay off

aim

1. What did the BOARD of directors say about your ideas for the new project?
2. I had never written a check with so many FIGURES! Buying a car these days is a huge
expense.
3. Some believe that a business can OUTGROW its original owner and should be run by
experts. Others think it’s the original owner who knows the core business best.

4. What is your AIM here? Although the presentation is informative, I see no clear objectives.
5. He hates RUNNING the restaurant for his family. He would like to be working in sales.
6. The two businessmen are SLUGGING OUT to get the best deal. The fight will be fierce.
7. E-commerce is BOOMING right now. Many people who used to buy in traditional stores
are now buying via internet.
8. Let’s talk about the CORE of the problem. The other issues are less important.
9. The investment is huge, but it will PAY OFF in the end.
10. To do this job you need ENTREPRENEURIAL skills – the kind of skills you would need to
start your own business.
11. After the recession is over, the market will REBOUND.
12. Let’s BRING DOWN the prices again to see if sales will increase.
13. Firing employees will only be followed by a BACKLASH. Workers won’t accept it.
14. The change of director led to a TURN AROUND in the company’s profits. They had been
losing money until then.
15. One of the REWARDS of my job is meeting people. It’s something that gives me pleasure.

25

Trend School – Center for Business Communication | Enhancing Powerful Vocabulary