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Adam discusses business words often used when shopping, such as warranty, guarantee, refund, rebate, exchange, and credit. He points out the importance of spelling, specifically emphasizing the "u" in guarantee for IELTS students. Warranty and guarantee are often confused, but they have subtle differences. Warranty refers to a promise regarding the quality of a product, while guarantee is a promise of satisfaction or something will be done. Adam aims to clarify the meanings and usage of these terms.