INTRO

FINANCE
Explain the history of money
Nowadays, we use both coins and money paper, but back in the past people used things such as
shark teeth, seashells, and bird feathers… to exchange goods.
Bird’s feather is the lightest type of money that ever existed while rock is the heaviest one.
Many years later, humans started using mental money. They used gold, silver, or iron to make
coins, and the value of each coin was determined by the humans and animals on it.
These coins had little value; therefore, to buy goods people had to use a large amount of them.
It was so inconvenient that the government started printing paper money, which was used to
receive coins from banks. This is the first sign of the use of paper money.

What can be the future of money

Digital money or currency will be more and more popular
Nowadays, people prefer online banking to paying cash because of its convenience, time-saving
and fast speed. This phenomenon started becoming popular when COVID-19 happened.
Dwellers could not go out to buy things so all they could do was stay in their house and
purchase goods via E-commerce platforms, which led to online shopping habits. The more
people shop online, the more digital money is used, and now even when people buy things in
physical stores, they tend to transfer digital money into the sellers’ bank accounts instead of
paying cash.
Besides, there is a well-known digital currency that many businessmen use, called Bitcoin.
Bitcoin is a cryptocurrency, which is designed to act as money and a form of payment outside
the control of anyone, removing the need for a third party.
A cashless society
The growth of online banking with digital money has been replacing paper money gradually,
and it is predicted that there will be no more cash used in the future. Moreover, environmental
issues are gaining a lot of attention these days. If humans no longer use paper money, producing
it will be unnecessary, so not only costs but also natural resources will be saved.
How do we measure the health of an economy (tr10 slide 1)

What are the main income sources of banks

Explain how banks make money

 Different ways
 Interest Income: Banks = lenders:
 Borrow money from depositors → Compensate with a certain interest rate
 Deposit funds to borrowers → Repay funds with a higher interest rate
 Profit from the interest rate spread, which is the difference between interest paid and
interest received
 Capital markets: Provide capital market services for corporations and investors: Sales and
Trading; Underwriting; Mergers & Acquisitions
  Fee-based income: a depositor opens a bank account, the bank may charge monthly
account fees for keeping the account open
Why can’t we just print more money?
To understand and answer this question in an easy-to-understand way. Imagine that a family has
10 tons of rice and 10 children. The father and mother wanted to give each child a ton of rice,
but instead of distributing rice, they printed out 10 tickets and gave one to each child. It is easy
to see that the tickets here can be considered as money, and the value of each ticket is equivalent
to 1 ton of rice. So if parents now print 90 more tickets and distribute them to their children,
will they be richer not because the amount of rice remains unchanged is still only 10 tons?
Printing more tickets only makes rice prices higher than before, not making them richer, this is
inflation, the phenomenon in which the currency depreciates.

What’s inflation? What are its consequences? Relation between inflation and interest rates
Definition: Inflation= a general, continuous increase in prices
When the general price level rises, each unit of currency buys fewer goods and services;
consequently, inflation corresponds to a reduction in the purchasing power of money

Consequences:
Positive: If inflation is under control, it will encourage consumption, lending, and investment
and reduce unemployment in society.
Negative:
 Inflation → More money to afford goods → Unable to buy → Borrow money from
banks…→ A lot of borrowers → Banks increase interest rates → Businesses used the
borrowed funds but profits gain < money borrow → Financial crisis
 The decline of the national economy
 The growth of unemployed
 The rich accumulate their possessions, while the poor don’t have enough money to pay
for basic needs
 Interest rate is the interest percent that a bank or other financial company charges you
when you borrow money, or the interest percent it pays you when you keep money in
an account
 Relation between inflation and interest rate:
 Interaction
 Inflation increase, interest rates grow: money loses its value

Explain stock. How does it work

 Stock: A stock is a share of a company's assets and earnings as well as a share in the
ownership of the business. As a result, investors own a part of the business. The value of
the stock fluctuates along with the business's worth.
 How do stocks work?
To raise money, businesses sell shares of their company. They then use that money for a variety
of purposes: A business may use the funds received from a stock offering to fund new goods or
product lines, invest in business expansion, repay debt, or invest in growth.
An initial public offering, or IPO, is how businesses normally start offering shares of their
stock. When a company's stock is listed on the stock market, investors can buy and sell it. If you
choose to buy a stock, you will frequently do so from an investor who wants to sell, not the
company itself. In the same way, if you wish to sell a stock, you'll sell it to another investor.
 As a stock investor, there are two basic ways you can make money:
 Capital gains: If you sell your shares for more than you paid for them, you keep the
difference, which is referred to as a capital gain. Conversely, if you sell your shares for
less than what you paid for them, this is called a capital loss.
 Dividends: Dividends are a little piece of the company’s profits, typically paid quarterly.
Companies don’t have to pay dividends to their shareholders, but many times they do. It’s
important to note, even companies that have historically paid a dividend can stop at any
time.
Why do people buy and store gold
1. Protection from the economic downturn
Gold has always been a means of payment in special economic activities. Negative events such
as inflation also increase the value of gold.
2. The value of gold has a future to rise in the long term
Ever since people started using gold to exchange, until now, the rise of the jewelry industry has
increased its value of it. Additionally, during market crises, customers tend to buy more gold,
making the prices continue to go up.
3. Gold is rare
The amount of exploited gold is small compared to coal and other metals, and the process of
exploiting and making pure gold is also very expensive and takes a long time, that’s why its
price is much higher.
4. Gold rarely becomes outdated
Gold plays many roles in our lives, and it also becomes a symbol of wealth. Applying
technology in the work of processing and crafting diversifies the model, shape, and size of
golden products, which increases the value of itself and its users.
5. Storing gold is a long-standing tradition
That’s because the important value of gold is irreplaceable. Storing gold ensures a financial
source for yourself and your family. Buying gold is not just to sell when the price rises, but it’s
also for the urgent need for money. In Vietnam, gold is a necessary dowry at weddings. Golden
objects are also passed down from generation to generation as a family tradition
Explain Bitcoin. How does it work?
 Bitcoin= a cryptocurrency, which is designed to act as money and a form of payment
outside the control of anyone, removing the need for third-party
 It works:
 Digital money is part of a blockchain and a network is needed to run it. A blockchain is a
''distributed ledger"' - a shared database that stores data. The data history of the
blockchain is secured and it's unable to be changed
 When a Bitcoin trade takes place on the blockchain, information from the previous block
is copied to a new block with the new data, encoded, and the trade is verified by Bitcoin
miners. When a deal is confirmed, a new block is opened, and a Bitcoin is created and
given as a payment to the miners
Why does the government collect taxes?
 Collecting taxes and fees is a way for countries to have funds for investing in national
programs, infrastructure, and public services for citizens and businesses like education,
housing... Tax is the way to preserve sustainable growth and benefits for a nation and its
citizens

MARKETING
1. Marketing is simply another word for advertising
Disagree because marketing is not only advertising, it includes research, buying, selling,
promotion, and other activities. Advertising is just the tip of the iceberg, which companies use
to attract customers’ attention to a specific message

2. The main goal of marketing is to maximize the number of customers, all other goals
are not as important
Disagree. It depends on the purpose of marketing. In business, profit is the primary factor so for
companies, it is mainly used to maximize the number of customers. However, marketing is not
only for business but also for all people. Many non-profit organizations or governments use
marketing to convey messages. For example, the Vietnamese Ministry of Public Health made a
song with the contribution of famous singers such as Min and Erik to raise the awareness of
residents in protecting themselves in Covid 19 pandemic

3. People who are successful in marketing are creative and outgoing but are not good
with numbers and statistics
Disagree. The first is about being creative. Creativity is a necessary element in marketing but it
is not really. People can be creative with many initiatives but their creativity is within the
framework. Secondly, not all marketers are outgoing. Lastly, people who work in marketing can
be good with numbers and statistics. Of course, marketing does not have to work with many
numbers like accounting and finance. However, doing marketing still has to deal with numbers
such as budget, and customer data. Marketers now sometimes just need to stay at home and
collect customer data and then analyze that data.

4. Marketing makes people more materialistic and over-buying as people buy products
that they don’t need
Agree.
Nowadays, thanks to the development of media, advertisements are made so complicated and
perfect with colorful images, lively sounds, and meaningful messages that attract buyers to
purchase goods although they do not need them. Marketing is trying to create an illusive need
for products rather than showing their real benefits to consumers. For instance, a company sells
eco-friendly bags, and it promotes to customers that using their products could protect nature.
With this meaningful message, people are immediately attracted to buy. They think they can
contribute to saving the environment when using these bags, but they don't have to purchase
them because there are many other ways to preserve nature.

5. Why do many people buy fake luxury products?

 Asian culture: People care what others think about them. If they dress nicely and look
expensive, they can be treated better or admired by many people around them.
  Another reason: Buyers love luxury products but they can not afford them because of
their top dollar. In this situation, they may purchase fake ones, so they still own the
design of these items but buy them at a cheaper price.
 Third reason: People who desire or are under pressure to follow the latest trend tend to
buy counterfeit goods. They only use them to take photos posted on social media to share
their fashion style

6. Can/ should we trust Marketing

 Trust it partly not completely
 What people can see are things arranged and planned carefully, which is just a small part
of marketing, and all these things are made deliberately to seek attraction. People only
know images appearing in front of their eyes, not what happened behind them. Therefore,
it is inadvisable to believe in marketing completely. Instead, we need critical thinking to
differentiate what is right and what is wrong

MARKETING
1.The main goal of marketing is to maximize the profits, all other goals are not as
important

2.People who are successful in marketing are really creative and outgoing - but are not
good with numbers and statistics
3.Marketing makes people become more materialistic and over-buying as people buy
products that they don't really need

4.Social media (such as Facebook and Instagram) now can replace a traditional website

5.There is no need for offline stores anymore

Disagree with all. Reason:
1. Profit is important, but not everything: While increasing sales and profit is a key goal,
marketing also focuses on building brand awareness, customer engagement, and loyalty.
These efforts support long-term growth and sustainability.
2. Data is king: Successful marketers are analytical and data-driven. They use metrics to
track campaigns, measure success, and optimize their strategies. Creativity is important,
but it needs to be backed by data to be effective.
3. Marketing informs buying decisions: Marketing is about informing consumers about
products and services that can improve their lives. It should focus on the value
proposition and how a product solves a problem or fills a need.
4. Websites and social media work together: Social media is a powerful marketing tool,
but it often directs users to a company's website where they can learn more, make
purchases, and get support.
5. Offline stores still have a role: Brick-and-mortar stores provide a physical shopping
experience that some consumers prefer. They can also be important for building brand
image and customer relationships.