Business English Bits Issue 113
The 10-min homework newsletter that supports your advanced business and English language learning...
I’m very pleased to welcome you to this Saturday’s edition of Business English Bits.
Today’s video report, from Bloomberg, highlights an issue close to my heart. Although I now live in Spain, I was brought up* in a traditional British town (pop. 70,000) in the south of England. As with most towns, it had/has a main high street running through the centre where local retailers could set up shop**. Times have changed ‘a little’ since the 70/80’s, and even though the process was already in motion, many of these local shops have been replaced by chains.
*To Bring up (pv) - To look after a child until it is an adult
**To Set up shop (ph) - To create and operate a business
These chains offer millions of jobs to local populations both directly and indirectly through supply chains. They also provide the backbone* of our retail spending which greatly affects national GDP**. British high streets and retail parks were hit hard by COVID through reduced footfall*** and although these areas have mostly pick up again since the pandemic, the British economy didn’t see such a strong bounce in consumer spending as was the case in the US. When we add Brexit supply chain and job vacancy woes**** to the mixture and we’re left with deflated UK retail share prices which potentially offer more value than peers***** in the retail sector in the States.
**Backbone (n) - Chief support of a system or organisation
***GDP (acc) - Gross National Product
****Footfall (n) - Number of people entering an area
*****Woe (n) - Suffering, trouble
*****Peer (n) - Social/business equal
With depressed UK retail valuations, US private equity firms have a seen opportunity to pile into* the sector, often with the backing** of authorities who have been keen to see external investment into a ‘sluggish***’ British economy. There are many analysts, however, warning that these purchases have been made by putting huge amounts of debt onto the firm being acquired (leveraged buyout****), leading to huge interest repayments and financial instability for some of our most treasured chains.
*To Pile into (pv) - To enter or leave quickly in a rushed way
**Backing (n) - Support
**Sluggish (adj) - Moving slower than usual
****Leveraged buyout (cn) - When the buyer of a company takes on a significant debt as part of the purchase and in some cases places this debt onto the acquired firm
This report is very technical and, in places, it can be hard to understand all the concepts (first-hand experience), but it reveals an interesting picture of how private equity often functions and why some of our retailers and chains are struggling to make ends meet*.
*To Make ends meet (ph) - Earn enough income to provide for basic needs
Focus on some key new verbs from the video ….
1. VIDEO: Bloomberg - (8min) - How Private Equity Ate Britain
Key Words - (Smth = Something; Sb=Someone)
Charming (adj) - Pleasant or attractive
Cute (adj) - Appealing in a pretty or endearing way
To Lurk (v) - To present a threat
Unprecedented (adj) - Never done or known before
To Hoover up (pv) - Quickly absorb smth
Score (n) - Large number of smth
Aftermath (n) - The situation following an event, occurrence
To Unpack (v) - To analyse smth into its component elements
To Spruce up (pv) - To make sb/smth look cleaner, neater, or more attractive
To Pocket (v) - To take or keep smth, especially money
Proceeds (n) - Money obtained from an event or activity
To Go bust (ph) - To go bankrupt
Bump (n) - Push, drive, increase
Bidding war (cn) - When two or more prospective buyers compete for ownership through incrementally increasing bids
To Emerge (v) - To become apparent or prominent
Compounded (adj) - Making a problem or difficult situation worse
To Beset (v) - To trouble greatly
To Haul (v) - To drag
Price gouging (cn) - Increasing prices of goods or services in an unjust manner
To Crack down on (pv) - To take severe measures against sb/smth
Thin on the ground (ph) - Scarce
Proponent (n) - Sb/smth who advocates a theory, proposal, or course of action
Word of the Day … Guess the missing key word. Answer given below with examples!
Some new idioms to review …
Word of the Day Answer:
Glowing (adj) - Expressing great praise
Examples:
“We’ve heard glowing reports about your performance on the project.”
“I’ve received a glowing evaluation from my boss.”
ANSWERS TO WEDNESDAY’S PHRASAL VERB TEST …
Have a lovely weekend, and see you next Tuesday ….
Kevin