Введение в теорию и практику перевода (на материале английского языка) - стр. 6
Sometimes transliteration is used for the same purpose, but transcription is preferable because it renders the original sound-form of the word, while transliteration is based upon its graphical presentation (cf. two ways of rendering the name of Shakespeare in Russian: its transcription is Шекспир while its transliteration is Схакеспеаре). It is evident that for the purposes of oral communication it is necessary to know the sound-form of the names, so with the growth of contacts between the countries transliteration is being gradually ousted by transcription. Those names which have already been rendered by means of transliteration are now traditionally used in this form (King George – король Георг, not король Джордж) and there is no need to change them. Such names should not be translated anew, they have their translated equivalents. However, in translating names hat have no equivalents, it is preferable to use transcription.
Being a very good way of rendering proper names, transcription is not very convenient for translating notional words. Substitution of the Russian sounds for the English ones does not make the English word understandable for the Russian readers. The words "драгстор" or "ламп" are hardly more informative for them than the original "drugstore" or "lump". That is why transcription is often combined with footnotes or explanations introduced into the text by the translator. As soon as the new word is thus explained it can be freely used in the text in its transcribed form. A good example of such introduction of a foreign word is found in one of G.Simenon’s books:
…они отправились на авеню Фридланд к юрисконсульту посольства – к "солиситору", как его называют американцы. …Солиситор позвонил по телефону следователю… А затем они возвратились в "Мажестик", и там Кларк в компании с солиситором выпили в баре по две рюмки виски…
(translated by Н. Немчинова)
The word "solicitor" here is transcribed and its meaning is explained ("юрисконсульт"), after which the transcription is used without further explanation.
The same method is used when translating the names of companies or titles of periodicals. E.g. " 'Daily Express' reports…" should be translated as "Английская консервативная газета 'Дейли Экспресс' сообщает…" because the title "Daily Express" is well known in England and "Дейли Экспресс" is not so widely known (and not informative in itself) for the Russian readers.
It is necessary to remember that explanations and footnotes contain additional information which is not expressed directly in the original text and is introduced by the translator. So it demands great knowledge on the part of the translator.