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International Business & Trade

Resolving a Trade Dispute

Two companies are attempting to resolve a disagreement over a trade agreement, possibly involving product quality, payment discrepancies, or contract breaches.

Dialogue

Listen and follow along with the conversation

1
John (Male)
Good morning, Lisa. Thanks for making time to discuss the recent quality control issues with the last shipment of components.
2
Lisa (Female)
Good morning, John. Of course, it's essential we address this promptly. We're quite concerned about the high defect rate reported.
3
John (Male)
Indeed. Our analysis shows approximately 15% of the units are non-compliant with the agreed-upon specifications. This has caused significant delays in our production line.
4
Lisa (Female)
I understand the impact. We've conducted an internal review, and it appears there was a calibration error in one of our new manufacturing machines. We take full responsibility for this oversight.
5
John (Male)
That's helpful to know. What steps are you proposing to rectify the situation? We'd ideally like a replacement shipment that meets our standards as soon as possible.
6
Lisa (Female)
We're prepared to expedite a replacement shipment at no additional cost to you, with a 30% discount on your next order as a gesture of goodwill. We've also recalibrated all relevant machinery.
7
John (Male)
A 30% discount is a fair offer. What's the earliest you could dispatch the replacement? Our production schedule is quite tight.
8
Lisa (Female)
We can have it ready for dispatch within three business days. Our quality assurance team will also perform an extra inspection before it leaves our facility.
9
John (Male)
That sounds like a reasonable solution, Lisa. I appreciate your swift response and understanding in resolving this. Let's confirm these terms in writing.
10
Lisa (Female)
Absolutely, John. I'll send over a revised proposal outlining everything we've discussed within the hour. Thank you for your continued partnership.

Vocabulary

Essential words and phrases from the dialogue

defect rate

The percentage of items in a batch that are faulty or have problems. In business, it's used to measure quality issues in products.

non-compliant

Not following or meeting the required rules or standards. In trade, it describes products that don't match the agreement.

specifications

Detailed descriptions of the requirements or standards for a product. Often shortened to 'specs' in business talks.

oversight

A mistake caused by not paying enough attention. In professional settings, it's a polite way to say 'error' without blame.

rectify

To fix or correct a problem. Useful in business negotiations when discussing solutions to issues.

expedite

To make a process faster. In trade, it's used when requesting quick action on shipments or orders.

gesture of goodwill

A kind action to show good intentions and build trust. Common in business to apologize or maintain relationships.

dispatch

To send something off, like a shipment. In logistics, it means preparing and shipping goods promptly.

Key Sentences

Important phrases to remember and practice

Thanks for making time to discuss the recent quality control issues.

This polite opening shows appreciation for the meeting. Use it to start business discussions on problems. 'Making time' means setting aside schedule; it's a common courteous phrase in professional English.

It's essential we address this promptly.

Emphasizes the need to handle an issue quickly. 'Essential' means very important; 'promptly' means without delay. Useful in urgent business situations to stress importance and urgency.

Our analysis shows approximately 15% of the units are non-compliant with the agreed-upon specifications.

Reports a problem with data. 'Approximately' means about; 'agreed-upon' uses a hyphen for 'decided together.' This sentence pattern is practical for presenting facts in trade disputes.

We take full responsibility for this oversight.

Admits fault politely. 'Take responsibility' is a key phrase in apologies; it's professional and shows accountability. Use in negotiations to build trust by owning up to mistakes.

What steps are you proposing to rectify the situation?

Asks for solutions. 'Proposing' means suggesting; present continuous for ongoing ideas. This is useful in resolving disputes to move the conversation toward fixes.

We're prepared to expedite a replacement shipment at no additional cost.

Offers a solution. 'Prepared to' shows readiness; 'at no additional cost' means free extra. Common in business offers to resolve issues without extra charges.

That sounds like a reasonable solution.

Agrees positively. 'Sounds like' is informal agreement; 'reasonable' means fair. Use to accept proposals in negotiations, keeping the tone collaborative.

Let's confirm these terms in writing.

Suggests formalizing an agreement. 'Confirm in writing' ensures clarity and legality. Essential in business to avoid misunderstandings; 'let's' invites joint action.