Concentration on the formal features of language and on developing speaking skills in a second language fails to provide the language student with the necessary level of conversational ability. The concept of communicative competence has resulted in a new emphasis on the nature of interaction and the rules of discourse. Interest has shifted from studies on language structure to studies on social interaction, the meaning of utterances, and the functions of speech. This paper explores how recent advances in sociolinguistics and discourse analysis can aid one's understanding of the roles and privileges of teachers and students engaged in verbal interaction and how verbal behavior can be changed or acquired for greater conversational competence. Areas discussed include: (1) natural discourse (speech acts, pragmatics, turn taking, moves, topic), (2) natural discourse and first and second language acquisition, (3) classroom discourse, and (4) practical applications (including exercises for developing skills for participating in debates and discussions). Excerpts from English, French, and German language conversations are cited throughout. The appendices present hesitation and expansion strategies in conversation and some conversational management strategies used by French and German native speakers. (JK)