1

INTRODUCTION

The barter system that had existed in the good old days was replaced by money with the advent of
civilization and the spread of affluence. In the ancient days when business was conducted by a
single man, and was limited to a small area, it was easy to keep up personal contacts. It was not
necessary to write letters to communicate matters regarding business. But, in modern society, letters
have come to play an indescribably important role. Before the invention of typewriters, letters were
written with quill-pen and carried to the addressee by agents or servants. Now an efficient network
of a medium of communication is offered by the postal and telegraph department in every country.

Correspondence is communication in the form of letters. Business correspondence means the

exchange of information in a written format for the process of business activities. Business
correspondence can take place between organizations, within organizations or between the
customers and the organization.
The letter which is drafted by a business organization is called business letter. Oral communication
is not possible in everywhere. So, written communication is preferable for communication in
business organization. Generally, it is written for making inquiry, giving reply, placing order,
confirming an order, making complaint, adjusting complaint and collecting dues.

TYPES OF LETTERS

All persons have business of some kind to transact. Letters may be divided into three: 1. PRIVATE
LETTERS are those letters which are written on personal matters. Such letters are exchanged
between father and son, wife and husband, friends, relatives etc. Such letters are outside the scope
of the book. 2. BUSINESS OR COMMERCIAL LETTERS are those letters exchanged between
business houses. They may be written for ordering goods, seeking information on business matters
etc. 3. OFFICIAL LETTERS are those letters that are written to and by officers of Government.

When one writes a letter, there is a purpose behind it. It may be either to get something or to
sell something. The reaction to such a letter by the recipient is based upon the presentation of the
letter in an appreciable manner. So one must be very careful in the choice and use of words. They
must be clear, proper and precise. Use simple words; do not use "long words". Grammatical
accuracy and clearness must be aimed at. In the construction of sentences, arrange the words
properly to avoid ambiguity. Clear thinking makes clear writing. Short sentences are easy to write
and easier to read than long ones. Express ever distinct thought or fact in a distinct sentence; and be
very sparing in the use of "ands" and "buts".

The letters must be properly worded. Badly worded letters may annoy the recipient and
prevent him from writing a reply. A businessman may even lose his customer. A major part of the
success in business depends upon good correspondence. A good and impressive letter will retain the
old customers and fetch new customers, thereby increase sales and in turn bring more profit.
Indecent and improperly worded letters will annoy the customer and ruin the business completely.
Telephonic message is also widely used in business; but a written letter can carry assurance of
transactions, confirmation of dealings and is a reliable record for further references.

If it is a business concern, prompt reply must be sent against enquiries. An enquiry letter
may or may not turn into sales. One cannot expect business from all enquiries, but one can sow a
 2

seed of correspondence. In the world of competition on effective correspondence is a must. A good

letter can easily bring about an agreement between the customer and the businessman. A firm has
goodwill if it possesses an investment of good correspondence. A letter written in good taste will
guarantee a business. A letter which is brief, is read through carefully; but a long letter may not
receive that much attention. If the letter is well-begun, it will urge the reader to read on.

Importance of Business Correspondence

In the field of trade and commerce, business letters of commercial correspondence have played a
significant role. Letters are the only channels which facilitate the firm to maintain a constant touch
with the other business world. Easy and effective conveying of information is possible through
letters.

A good business letter, of course, is expected to invite new customers and retain the old
ones, thus promote the business. It creates a link between the buyers and sellers, who have never
met nor are likely to meet. It can maintain close business relations. Therefore, a business letter acts
as a messenger.

Effective business letters are the "lifeblood" of modern business because expansion of
business or market from one corner of the world to another is possible in the cheapest manner.

In the business world, time is a precious factor. One cannot waste time by dealing with the
person through talks, but can conclude through letters. Moreover, writing makes a lot of difference
when compared to talking because people will have more faith in pen (letters) than in tongue
(talks). Further, the possibility to commit errors through letters is far less when compared to verbal
dealings.

A goods business letter can:

1. Attract new customers.

2. Bring back lost customers.
3. Sell goods and services.
4. Adjust complaints.
5. Open new markets.
6. Encourage dealers.
7. Create goodwill.
8. Collect bad debts.
9. Act as a messenger and
10. Compromise disputes.

Letter writing, no doubt, is an art. A letter should be capable of attracting the attention of the
reader. Defects in a letter will definitely endanger the chances of winning the attention and the
favourable consideration of the reader. The high quality of the goods to be sold should be reflected
in the letter- the paper on which the letter is written, the style of the letter head, the neatness of
writing etc. It is very important to remember that the general appearance of the letter will govern the
impressions created in the mind of the reader. It is, therefore, advisable to remember the following
points when a letter is written:
 3

"A letter is a means of communication between two persons, the writer and the recipient.
The writer is the one who writes the letter. The recipient is the one who reads it. The writer has
something to say to the recipient. What and how the writer puts down in words is of utmost
importance. A well written letter will certainly make a favourable impression on the recipient,
whereas badly written offensive one may produce the opposite effect."

APPEARANCE OF A BUSINESS LETTER

1. Paper: Cheaper quality of paper will definitely harm the prestige of the firm using it. Generally,
a good letter, type written on a paper of good quality gives a pleasant feeling to the reader and lasts
long in his memory. Good businessmen, therefore, use the best stationery and consider it as a good
investment. It conduces to fine penmanship and perhaps inspires the writer with the thoughts.

No colour is more elegant and tasteful that white, for any kind of letter. So white paper is always
good to be used in business transactions and is popularly accepted. The ribbons of most type writers
are black or purple and on white paper the colour gives a good look. There is no objection in using
any colour of one's choice.
The size of the letter may be according to the suitability of each business. Generally the size must
be about 10" x 8" or 9" x 4". Fullscape paper is generally used by the government departments.

2. Typing: Nowadays, no businessman has handwritten correspondence. The typewritten letter has
superseded the handwritten commercial letters. By using a typewriter, we not only save time but
give a pleasant appearance; we can take copies. Apart from this, the typist has to perform his
functions neatly. An efficient typist, even at a little higher salary will earn good name to the firm.

3. Margin: As the frame of a picture, the letter should have decent margin on all sides. This margin
and all sides will give attractiveness and beauty. Providing small margin in letters creates a crowded
look. The margin must be correlated to the size of the paper on which the letter is written; one inch
margin on all sides may be decent.

4. Folding: Great care should be taken to have the edge of the letter; when folded, exactly even
folding of a letter must be based on the size of the envelope. It should be done with a minimum
number of folds and the letter should not look bulky when placed in a cover. The folds must be well
pressed down. A letter, folded in an unsystematical way and dressed in a cover will not draw the
attention of the reader. When the letter is placed in a cover it must give a fine look, as if it is dressed
in a tight cover.

5. Envelope: The colour and quality of the cover must match with the inside letter. The size of the
cover is also important. It should be a little longer than the width of the paper. Manuscripts, legal
documents and all large communications should be enclosed in what are called "official envelopes"
which are about 10" long-long enough to take in the full width of letter or fullscape paper.
 4

Essentials of Effective Correspondence

1. Simplicity
It must first of all be made clear to a modern student of business communication that there is no
essential difference between the language of a business letter and that of a personal letter. It must be
kept in mind that the writer of a letter is a person communicating with another person. It is,
therefore, the polite, personal touch that proves to be more effective than the stiff, detached style
generally associated with business correspondence. To highlight this point some typical expressions
used in business correspondence are given below along with reasons for objection and suggested
alternatives:
Typical expression Reasons for objection Suggested alternative

"I beg to acknowledge (i) Verbose "Thank you for your letter
receipt of yours of..." (ii) Tone servile and of... "
insincere. Why beg?
(iii) Phrase lacks firmness.
(iv) "Yours of" : not a
normal phrase.

"Kindly acknowledge (i) The use of 'same' as a "Please send us a receipt for
receipt of same per return". pronoun is foreign to it at once".
English. Its effect is
some-what ludicrous.
"Enclosed herewith please (i) Not standard English "I enclose a cheque for
find cheque to the value of (ii) A more personal way Rs. 500".
Rs. 500". of putting the idea is
avoided needlessly.
(iii) "Please find" seems a
rediculous phrase.
(iv) "Herewith" is a
pretentious legalism.
"We apologise for the (i) The use of quasi-legal "We send our deep
delay, and we trust that you terms of phrase like apologies for the delay".
may not be seriously "inconvenienced
inconvenienced thereby". thereby" suggests that
the apology is only
formal.
(ii) The second statement is
superfluous - it can be
taken for granted.
"At your early (i) Not a normal English "As soon as you can".
convenience". idiom.
(ii) Abstract and
impersonal.
"... your letter dated the (i) 'Dated' is superfluous "Thank you for your letter
25th inst. is to hand for (ii) Phrase worded in a of 25th (name of month)"
which we thak you". roundabout manner.
 5

2. Conversational Style
As a corollary to the point discussed above we can safely say that the modern executive likes to use
friendly and conversational style in preference to the stilted, dull, stiff and standoffish style of
correspondence that was in fashion till about half a century ago. He likes to follow the soundest
principles of communication that demand a letter, like face-to-face talking, to be interactive. All
writing, like all speaking is interactive. In other words, it is a kind of dialogue with the reader. Of
all kinds of writing it is the letter that is the most interactive or conversational.

In this respect there is not much difference between a personal letter and an effective business letter.
Let us see the difference between the old, stiff style specimens with their conversational versions as
given below:

Stiff Conversational
Please be advised that you should submit the You should submit the form before 30th June.
form before 30th June.

Thanking you in advance.... I/we sincerely appreciate....

I hope this meets with your requirement and I hope you approve.
approval.

Kindly advise/ inform at an early convenient Please let me know soon

date.

3. Clarity of goal
Both in thought and expressions we have to be clear in our correspondence. Every letter is a
reflection of the writer's mind. He should therefore be clear about what information he is seeking or
wishing to give. This is his primary goal, and he must have all the facts and figures about that
information ready at hand. All the facts and figures must be stated in the simplest possible language.
It means that there is no scope for ambiguity and flowery language in business letters.

4. Public relations aspect

Besides aiming at the immediate goal, business correspondence is also deeply concerned with the
image of the company in the eyes of the public. People form images about companies from many
sources, and correspondence is a major factor among them. The letters flowing out of a company
makes strong impressions. Letters are, on the whole, highly personalized messages, and every letter
has an individual reader as a special person in view. Moreover, a letter has a more formal effect
than a face-to-face situation. Then, we must remember that letters have the quality of permanence.
Most of them are kept in files for future reference. All effective correspondence has therefore, the
broad objective of enhancing the company's public relations.

5. You-attitude
The most effective business letters are those that show the writer's interest in the receiver. It means
that the writer has to view things from the reader's point of view so as to get a favourable response
from him. Every human being is interested in himself and in furthering his own interest.
Communication experts, therefore, advise us to shift our focus from 'I' and 'we' to 'you' and 'your'.
As a result the drafting of the letter will be reflected in generous use of second person pronouns and
 6

will show genuine concern for the receiver. A comparison of the following examples shows the
difference in attitudes:

6. Courtesy
When we adopt the 'you-attitude' for mutual benefit it is but natural that our tone becomes
courteous. It involves writing directly to our reader; avoiding the outdated cold style and using
expressions like the following :
".....as you will agree, Mr. Chandra".
".....we wish you the best in your project".
It must also be kept in mind that the overall tone of courtesy excludes the elements of anger and
preaching that very often spoil communication. No receiver of a letter ever, likes to be berated and
told. This is why sentences like "We cannot permit it any further" or "A penny saved is a penny
gained" should be avoided in a business letter.

7. Persuasion
It has been pointed out earlier that persuasion is the main function of business communication. It is
most evident in effective business letters. Persuasive letters are written in a variety of circumstances
and for a variety of reasons. Just as the selling of a product or a service involves persuasion so does
the 'selling' of an idea or point of view or even oneself. The basic purpose of an effective letter is to
influence, or to sell an idea to the reader(s).

8. Sincerity
Sincerity means that our readers must believe what we say. They must be convinced that we are
genuinely interested in mutual profit-sharing and well-being. But it also means that we do not sound
insincere or hypocritical through words of questionable value: Words of exaggeration like
'extraordinary', 'sensational', 'revolutionary', 'greatest', 'amazing' etc. must be avoided in letters.
They may fit in informal conversation but not in business writing.

9. Positive language
A wise communicator tries, as far as possible, to use positive language. Use of positive language
becomes all the more important in a business-letter, the primary aim of which is to build-up the best
of human relations and to earn business. Positive words stir up positive feelings. Needless to say
that negative words have exactly opposite effect. As a result the receiver of the letter puts up
resistance. That is why it is advisable to avoid using negative words like 'failure', 'refuse', 'sorry'
'no', 'do not', 'mistake', 'loss' 'damage' etc. It should be our effort to find positive substitutes for
them.

10. Due emphasis

An effective letter emphasizes or highlights all important points by carefully positioning them in
sentences and paragraph. Normally the first and last sentences of a letter, the first and last sentences
of a paragraph and the first and last words of a sentence carry more weight than those in the middle.

More important points are given more space in the body of the letter. Thus one important point may
be given one full paragraph while minor points may be given a line or two. Emphasis by sentence
structure comes in a different way. Short and simple sentences are found to be more emphatic than
long and involved ones. Short and simple sentences are sentences of assertion or affirmative while
long, complex sentences are sentences of condition, concession, contrast, comparison,
exemplification etc.
 7

11. Coherence
Effective letters present information in logical order by careful use of linking devices, use of
pronouns that are reference words, and repetition of key words. Linking devices like 'besides',
'therefore', 'likewise', 'however' etc. and the pronouns like 'this', 'that', 'these' give a logical
progression to the thought content of the writer. Repetition of key words gives the content of the
letter a forceful thrust. A skilful writer knows which words to repeat.

12. Care for culture

The question of culture and communication has been discussed earlier in this book. Its application
to the letter writing is becoming more and more important. In international correspondence we have
to be specially careful in choice of words so as not to offend the receiver who may be having a very
different cultural background. We should avoid use of culturally derived words, slang,
colloquialisms and as far as possible, even idioms and phrases. It is best to write letters in simple,
general service list, words that are universally understood and acceptable.

13. Tactful approach

An effective letter is a tactfully planned letter. A business letter is not always a simple,
straightforward statement of a situation or giving out of some information. There may be a problem.
There may not be a good news to convey. The writer has to decide how best to approach the
problem or to convey the bad news. It has been observed that a good news is conveyed directly
while a bad news is conveyed indirectly. Certain other problems call for a 'middle ground' approach.

14. Ethical standard

All effective correspondence upholds a certain ethical standard. Quite often it is said that there are
no ethical considerations in business. But it is not so. We should be clear about our legitimate goals
and use our best thinking in achieving them through genuinely sincere expression. Persuasion and
tact do not mean indifference to ethics. It is reflected in every letter, depending on the genuineness
of our feeling, our concern for the receiver, our image of our organization and the legitimacy of our
goal.