
Chapter 1 Fundamentals of Business Letters
Lead-in
Since China joined the WTO, business activities and information exchanges across borders have been increasing rapidly. Today almost all the business communities recognize with one consent the significance of essential communicating skills, for all business activities rely on satisfactory exchange of information. Among the several communication tools, business letters remain an indispensable part of business communication in the internet era.
Learning Objectives
By studying this chapter, you will be able to
\*Understand the functions of business letters
\star Learn the principles of business-letter writing
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Functions of Business Letters
Since China joined the WTO, business activities and information exchanges across borders have been increasing rapidly. Today almost all the business communities recognize with one consent the significance of essential communicating skills, for all business activities rely on satisfactory exchange of information. Among the several communication tools, business letters still remain an indispensable part of business communication in the internet era.Without them, much of the ordinary activities of business would be impossible. They are used to sell products or services, request material or information, answer customers inquiries, maintain good public relations,and perform a variety of other business functions.
In this age of rapid communications, you may ask if many of these activities couldnt be handled over the phone or in person. In some cases, these two methods may be the best ways to get message across.But few business people have the time to visit clients personally, and long-distance telephone calls can be time-consuming and expensive. More importantly, most people retain only about 2 5 % of what they hear. The chances of your message being forgotten or misunderstood greatly increase if you rely on oral communication.
As a result, business letters are one of the best ways to ensure that your message is accurately received, particularly if you are discussing technical or highly detailed information.
Business letters also serve as a part of a company's permanent record. They can be used to verify bookkeeping and inventory entries. If you have a question about a customer's order, whether someone's inquiry has been answered, or about the details in an agreement, you can check your file copy of the letter.You cannot do the same with a phone conversation unless you record every outgoing and incoming call!
Letters also function as written contracts, fully recognized by the courts. Letters of agreement are often drawn up between companies and independent suppliers or consultants.Job offers made through the mail are regarded as legally binding on the sender. If you accept in writing, your letter is a binding contract of employment.

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Letters can act as formal or informal public relations material. They can help build goodwill between you and your clients, creditors, suppliers, and other public groups. Your letter represents you and your firm to people you may never meet personally or call on the phone. How you express yourself and the appearance of your letter form an impression in the reader's mind of you and your business.
Every letter that leaves our office fulfills several purposes.As a result your business letters deserve considerable care and attention.
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Principles of Business Letter Writing
The most effective business letter should be easy to read and easy to understand. They must be friendly and courteous.We should put in mind the point that business letters play important roles in development of goodwill and friendly trade relationship. Generally speaking, we need to apply some specific writing principles while writing a business letter. They are: consideration, completeness, correctness, concreteness, conciseness, clarity and courtesy.
1.Consideration
Consideration is an important rule of good business writing.The letters you send out must create a good impression. Try to put yourself in his or her place to give the consideration to his or her varied wishes, demand, interest and difficulties. Emphasize the "You" attitude rather than the I" or "We attitude. Find the best way to express your better understanding and present the message. That enables a request to be refused without killing all hope of business or allows a refusal to do a favor to be made without harming friendship.
Compare the following pairs of sentences:
You-attitude
We-attitude
Congratulations to you on your success.
We'd like to send my congratulations to you.


We will send you the sample next month.
You earn 2 % discount when you pay cash.
We won't be able to send you the sample this month.
We allow you 2 % discount for cash payment.
2.Correctness
Correctness means not only proper expression with correct grammar, punctuation and spelling, but also appropriate tone which is a help to achieve the purpose. It is likely to convey the real message in a way that will not cause offence even if it is a complaint or an answer to such a letter.Business letters must be factual information, accurate figures and exact terms in particular, for they involve the right, the duties and the interest of both sides often as the base of all kinds of documents. Therefore, we should not understate nor overstate as understatement might lead to less confidence and hold up the trade development while overstatement would throw you in an awkward position.
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3.Completeness
A business letter is successful and functions well only when it contains all the necessary information. An outline helps for the letter to be full and complete. See to it that all the matters are discussed, and all questions are answered. Incompleteness is not only impolite, it also leads to the recipients unfavorable impression towards your firm. He may give up the deal if other firms can provide him with all the information needed, or if he would not take the trouble inquiring once again.
As you work hard for completeness, keep the following guidelines in mind why do you write the letter? What are the facts supporting the reasons? Have you answered the questions asked and what is the reader expects to do?

4.Concreteness
What the letter comes to should be specific and definite rather than vague, abstract and general. Especially for letters calling for specific reply such as offer, inquiry about trade terms, etc. concreteness is always stressed. For example, some qualities or characters of goods should be shown with exact figures and words like short, long or good should be avoided. Give specific time with date, month year and even offer hour minute if necessary, but avoid expressions such as yesterday, next month, immediately and etc.
The following guidelines can help us write concretely: use specific facts and figures; put action in your verbs prefer active verbs to passive verbs or words in which action is hidden; choose vivid, image-building words; pay attention to word orders, put modifiers in right place.
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5.Conciseness
Conciseness is often considered to be the most important writing principle, it enables to save both the writer's and the recipient's time. Conciseness means most complete message but briefest expression with no sacrificing clarity or courtesy. A

good business letter should be precise and to the point. To achieve conciseness of your letter-writing, try to keep your sentences short, and avoid wordy languages and redundancy, or repetition, and eliminate excessive detail.
Paragraphing carefully can make a business letter clearer, easier to read and more attractive to readers. It is a good rule to confine each paragraph to only one point or topic.
Compare the following sentences;
Concise(
Wordy()
We will consider the delivery schedule at today's meeting.
They attend the Guangzhou Trade Fair to find a partner.
We've received your letter of March 15. We have received your L/C.
We are going to give consideration to the delivery schedule at today's meeting.
They attend the Guangzhou Trade Fair for the purpose of finding a business partner.
We are in receipt of the letter you send to us on March 15.
Please be advised we have received your L/C.
The writer wishes to acknowledge your letter of...
Enclosedplease find our new catalogue.
Thank you for your letter of ...
I/We enclose our new catalogue.
6.Clarity
You must express yourself clearly to make sure that the message conveys exactly what you wish to say and is not liable to misunderstanding. Avoid vague and ambiguous expressions.

When you are certain about what you want to say, express it in plain simple words or present it in well-constructed sentences and paragraphs, and include necessary transitional words or expressions to link them up. Good, straight-forward, and simple English is what is needed for business correspondence.
Compare the following pairs of sentences:
We sent you 4 samples yesterday of the goods which you requested in your letter of May 10 by air.
We sent you yesterday, by air, 4 samples of the goods which you requested in your letter of May 10.
The goods not only differ in quality but also in price.
The goods differ not only in quality, but also in price.
7.Courtesy
Courtesy plays a considerable role in business letter writing, as in all business activities. It is a favorable introduction card, helping to strengthen your business relations and establish new ones. Courtesy means to show tactfully in your letters the honest friendship, thoughtful appreciation, sincerely politeness, considerate understanding and heartfelt respecting.
Avoid irritating, offensive or belittling statements. Answer letters promptly, for punctuality will please your recipient who hates waiting for days before he obtains a reply to his letter. Sometimes, discrepancy may occur in business, but with diplomacy and tact it can be overcome and settled without ill-will on either side.Never show your anger in a business letter.
And you must also adopt the right tone. Before you begin to write, think carefully about the way in which you want to influence your customer, and then express yourself accordingly, being persuasive, firm, apologetic and so on.

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Compare the following sentences
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We are sorry you have misunderstood us.
We are sorry we didn't make ourselves clearly.
Your letter of May 5 regarding the shipment of this batch has been received.
Your letter of May 5 regarding the shipment of this batch has received our careful attention.
Functional Sentence Bank on Beginnings and Endings
1.We have duly received your letter dated July 8. 78
2. Thank you for your interest in our electric heaters, expressed in your letter of June 5. 65
3.We are pleased to inform you that we like to enter into business relations with you.
4.I'm pleased to tell you that your order will be delivered tomorrow.
5.Thank you very much for your inquiry of September 2 for our chemical fertilizers.