Unlocking Word Meanings
Read the following words/expressions found in today’s article.
1. jersey (n.) [jur-zee] – a sports uniform where a team member’s name and number is indicated
Read the following words/expressions found in today’s article.
1. jersey (n.) [jur-zee] – a sports uniform where a team member’s name and number is indicated
Example: The club members wear
their jerseys during important
matches.
2. boost (v.) [boost] – to increase or to raise
Example: The company’s new
advertisement was able to boost its sales.
3. logo (n.) [loh-goh] – a name or symbol that is designed for easy recognition of a product
Example: The organization gave
free T-shirts with their logo on it.
4. awareness (n.) [uh-wair-nis] – knowledge that something exists or is happening
Example: Good reviews from
magazines raised people’s awareness
of the new cellphone.
5. high-profile (adj.) [hahy proh-fahyl] –well-known to the public
Example: Only high-profile
families were invited to the politician’s celebration.
Article
Read the text below.
Article
Read the text below.
General Motors (GM) recently signed a jersey sponsorship contract with the popular UK soccer team Manchester United. GM hopes to boost its global market share with exposure to soccer fans worldwide.
GM has been experiencing
a huge decline in sales. The company’s share price decreased by 33% over the
past year. In the first half of 2012, its US market share dropped by 2%,
while its European market share went down by 0.2%.
To be able to strengthen
its market shares, GM paid a surprising $600 million for its Chevrolet logo to be placed on
the front of the soccer team’s red jerseys.
Manchester United could
raise people’s awareness of GM’s
brand. The soccer club is said to have more than 650 million fans around the
world.
But while partnering
with the soccer team seems an effective way to increase sales, some people
think GM overspent on its sponsorship. The price GM paid for their logo to be
placed on jerseys is as high as the cost of naming rights to the biggest
stadiums in the US.
The value of GM’s sponsorship
is also worth twice the amount paid by Manchester’s current sponsor,
insurance company AON.
Further proof that GM
may have made a bad decision is the firing of its high-profile marketing chief Joel Ewanick. He was fired after the
company learned he did not properly manage the financial deal with
Manchester.
However, some experts
believe it is still too early to say that GM overpaid. GM still has a high
chance of increasing sales through its investment with the soccer team.
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Viewpoint Discussion
Enjoy a discussion with your tutor.
Discussion A
·
Do you think GM’s strategy will really help
increase sales? Why or why not?
·
Do you pay attention to products or brands
shown in sports games, TV programs, magazine, etc.? What would make you
interested in a product?
Discussion B
·
How important are advertisements of products to
companies?
·
If you owned a business, would you invest large
amount of money in advertising? Why or why not?
