End of Section 1 revision.

The following question is about Budget Hotels plc.

Read the text and use the words and phrases below to fill in the gaps.

Budget Hotels plc own and manage a chain of low price hotels. The business has been operating
for 20 years and has grown steadily by adding additional hotels to the chain. Budget Hotels was started
by a young ____________________ called Sam. He took the ________ of investing his own savings in
his business idea. He produced a business ___________ and this helped him gain additional
finance from banks. The government offered support and ____________. Sam started the business as
a ____________________.

He soon realized the importance of limited _______________ so he converted his business to a

______________ limited company 10 years ago. He decided to expand the business with finance
obtained by selling shares to the public 5 years ago. So Budget Hotels became a ____________
limited company.

Budget Hotels has established a high market ___________ and has a reputation for good
____________ at a cheap price. The business is very successful and its continued
____________ has resulted in steadily increasing ______________ each year. The
____________________ of the company have established an _________________ of continued
growth for the business. They are considering alternative methods of ______________ it.

The market for cheap hotels is becoming _________________ in the home country and if they
want to expand further they will have to look abroad. One option is to grow ____________________
by taking over a chain of hotels in another country. Several ________________________ groups
would be affected by this decision. For example, ____________________ would expect higher
_________________ from the expansion.

[Entrepreneur] [risk] [plan] [advice] [sole-trader] [liability] [private] [public] [service] [share]
[growth] [profits] [directors] [objective] [expanding] [horizontally] [stakeholders] [shareholders]
[dividends] [saturated] [profits]