Bob: ‘Did you hear that R&S is going to expand in Eastern Europe?’Jane: ‘Yes, I did and in my opinion it’s a big mistake. R&S is doing well and should be concentrating on its existing stores and not be thinking of any expansion at all.’
Bob: ‘I don’t really agree with you. It seems to me that the Eastern Europe market has great potential and taking no action is not a good strategy. Don’t you think it’s important for firms to develop more of their stores and expand internationally?’
Jane: ‘I don’t think so. I think firms should be trying to increase their turnover for example by widening the product range or reducing costs.’
Bob: ‘Sorry, but I strongly disagree with you. Firstly, in case of R&S there is no space for its further expansion in the country. And secondly, reducing costs could have a negative impact on the quality of products.’
Jane: ‘I suppose I agree up to a point that there’re risks related to the reduction of costs, but I still don’t think it’s such a bad idea. If there’s a good quality control guaranteed then the risks could be limited.’
Glossary
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