Want to increase the chance of getting your desired IELTS score? If yes, then learning business-related vocabulary can be beneficial for you as it can help you form your answers well! This specialised set of words and phrases not only enhances your overall English proficiency but also provides a competitive edge in the IELTS test.
Whether you're aiming for a higher band score or preparing for a career in the global business environment, focusing on business vocabulary will significantly improve your language skills and confidence.
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Importance of using rich vocabulary related to business in your IELTS test
Using rich vocabulary related to business in your IELTS test can significantly enhance your performance, especially if you plan to study or work in a business-related field. Here's why it's important:
1. Demonstrates proficiency
Using business-specific vocabulary shows examiners that you have a high level of English proficiency and can communicate effectively in a professional context. This can help you score higher in both the Speaking and Writing sections.
2. Reflects real-world application
IELTS is designed to assess your readiness for real-life situations. Being able to use business terminology accurately reflects your ability to handle real-world business communications, whether in meetings, reports, or presentations.
3. Increases clarity and precision
Rich vocabulary allows you to express your ideas more clearly and precisely. Instead of using general terms, you can use specific business jargon that conveys your message more effectively, making your responses more compelling and professional.
4. Enhances task achievement
In the Writing section, particularly Task 2, topics often relate to work, technology, or global issues, where business vocabulary can be very relevant. Using appropriate terms can help you address the task more comprehensively and meet the criteria for task achievement.
5. Shows preparation and knowledge
Using business vocabulary indicates that you are well-prepared and knowledgeable about your field of interest. This can impress examiners and contribute to a positive impression of your overall language ability.
List of IELTS vocabulary related to business
Here is the list of IELTS vocabulary words with meaning and examples related to the business that you can consider using in your IELTS test to score higher:
Vocabulary Word | Meaning | Example |
|---|---|---|
Merger | Combination of two companies to form one | The merger between the two tech giants created a powerful new entity in the industry. |
Profit Margin | Difference between revenue and cost | A higher profit margin indicates a more profitable company. |
Stakeholder | A person with an interest in a company's success | Stakeholders were concerned about the recent decline in stock prices. |
Revenue | Income generated from sales | The company reported an increase in revenue for the third quarter. |
Bankruptcy | Legal status when a person or entity can't repay debts | The retailer declared bankruptcy after years of declining sales. |
Asset | Resources owned by a company | The company's assets include properties, equipment, and cash. |
Liability | Debts or obligations of a company | Reducing liabilities can improve the company's financial health. |
Equity | Ownership interest in a company | The investors received equity in the startup in exchange for funding. |
Dividend | Share of profits distributed to shareholders | The company announced a higher dividend payout this year. |
Market Share | Percentage of an industry's sales a company controls | The brand has a 25% market share in the smartphone industry. |
Inflation | General increase in prices over time | Rising inflation affects the purchasing power of consumers. |
Recession | Period of economic decline | The recession led to widespread job losses and reduced consumer spending. |
Supply Chain | Network involved in producing and delivering products | Disruptions in the supply chain can affect product availability. |
Entrepreneurship | Process of starting and running a new business | Entrepreneurship requires innovation, risk-taking, and determination. |
Investment | Allocating resources with the expectation of profit | Investing in stocks can be a good way to grow your wealth over time. |
Outsourcing | Hiring external firms to perform business functions | The company outsourced its customer service operations to a firm in India. |
Monopoly | Market condition where one seller dominates | The government regulates monopolies to prevent abuse of market power. |
Fiscal Policy | Government policies on taxation and spending | Fiscal policy can influence economic growth and stability. |
Market Research | Gathering information about consumers' needs | Market research is essential for developing effective marketing strategies. |
Branding | Creating a unique image and identity for a product | Successful branding can differentiate a product in a competitive market. |
CEO (Chief Executive Officer) | Highest-ranking executive in a company | The CEO is responsible for making major corporate decisions. |
Business Model | Plan for how a company will generate revenue | The startup's innovative business model attracted many investors. |
Cash Flow | Movement of money in and out of a business | Positive cash flow is crucial for a company's survival and growth. |
E-commerce | Buying and selling goods online | E-commerce has grown rapidly, especially during the pandemic. |
Market Segmentation | Dividing a market into distinct groups of buyers | Market segmentation helps companies target their marketing efforts more effectively. |
Competitive Advantage | A unique benefit that sets a company apart | Innovation is often a key source of competitive advantage. |
SWOT Analysis | Framework for identifying strengths, weaknesses, opportunities, and threats | Conducting a SWOT analysis can help in strategic planning. |
Balance Sheet | Financial statement showing a company's assets, liabilities, and equity | The balance sheet provides a snapshot of the company's financial health. |
Customer Retention | Ability to keep existing customers | High customer retention rates are indicative of customer satisfaction. |
Supply and Demand | Economic model of price determination | Prices are influenced by the balance of supply and demand in the market. |
Business-related questions asked in the IELTS Speaking test
Part 1: Introduction and Interview
What is your occupation?
Do you enjoy your job? Why or why not?
What are your main responsibilities at work?
Do you think your job is important? Why?
Have you ever thought of starting your own business? Why or why not?
Part 2: Long turn (Cue Card)
Describe a business you would like to start. You should say:
What the business would do
Where it would be located
Who your customers would be
And explain why you would like to start this business
Part 3: Discussion
What are the advantages and disadvantages of running your own business?
How has technology impacted businesses in recent years?
Do you think businesses should be responsible for the social and environmental impacts of their activities? Why or why not?
How do large corporations affect local businesses?
What skills are important for someone who wants to work in business?
Hope these vocabulary words improve your language skills and help you effectively discuss business-related questions asked in your IELTS exam. We recommend you include these words in your learning to score a high band in the IELTS test.
If you want to know more about the IELTS test, you can get in touch with your nearest IDP IELTS test centre. Our team of IELTS experts will guide you with all your doubts.