Listen to a Business English Dialogue about Firm quote
Christopher: Hey Stella, do you know what a firm quote is in business?
Stella: Yeah, I think it’s a binding offer to buy or sell a security at a specified price.
Christopher: That’s right. It’s an offer that’s guaranteed to be executed at the stated price.
Stella: How does a firm quote differ from other types of quotes?
Christopher: Unlike a preliminary or indicative quote, a firm quote is legally binding and must be honored by both parties.
Stella: Are there any risks associated with firm quotes?
Christopher: Well, if market conditions change significantly after the quote is issued, it could lead to losses for the party making the offer.
Stella: So, it’s important for both parties to carefully consider market conditions before accepting a firm quote?
Christopher: Absolutely. Both buyers and sellers need to assess the risks and ensure they’re comfortable with the terms before agreeing to a firm quote.
Stella: Thanks for explaining that, Christopher. Firm quotes seem like an important aspect of conducting business transactions.
Christopher: No problem, Stella. They provide certainty and transparency in the buying and selling process.