Different Types of Entrepreneurial Ventures and Their Impact on the Economy

This article explores different types of entrepreneurial ventures such as intrapreneurship, managerial, lifestyle entrepreneurship, and social entrepreneurship. It also discusses the impact of small and micro businesses on the economy with relevant statistics and data. Additionally, it examines the significance of small businesses and start-ups for the development of the social economy and assesses the variances among large, medium, and small businesses that have been made to the economy.

[Entrepreneurship]
2018

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Table of Contents
Task1..........................................................................................................................................2
Entrepreneurial Venture.........................................................................................................2
Intrapreneurship.....................................................................................................................3
Managerial..............................................................................................................................3
Lifestyle Entrepreneurship.....................................................................................................4
Social Entrepreneurship.........................................................................................................4
Statistics.................................................................................................................................8
Impact of Small and Micro Business.....................................................................................8
TASK 2....................................................................................................................................13
Entrepreneurial leadership: The most important job...........................................................14
Establishing the Entrepreneurial Frame...............................................................................16
Creating a well-stocked opportunity register.......................................................................18
Creating Focus using real options reasoning.......................................................................19
Promoting adaptive execution by discovery-driven planning..............................................20

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Task1.
Examine various kinds of entrepreneurial ventures and how they are linked with the
entrepreneurship venture’s topology; explain comprising instances of every kind.
Entrepreneurial Venture
An Entrepreneurial Venture is said to be a business whose main aim is growth and
profitability and that might be considered as an innovative practice. The fundamental
variance between a small business and entrepreneurial venture does not lie in their kind of
services and goods they are offering but their basic perception about innovation and growth.
Therefore, as per Donald Sexton, power on entrepreneurship, strategic planning is said to be
an essential part of the venture as compared to a small-business firm.
"Many businesses begin with an individual or single product. Those businesses are concerned
toward the growth and instantly start searching for another product. It is said to be that
approach of planning that provides help in distinguishing an entrepreneur from the owner of
small business."
A person or individual who commences and operates a business operation with limited
resources and takes all the responsibilities of the risk, as well as rewards of her or his
business, is known as an entrepreneur. The business plan is generally a new innovation,
service or product, in place of associating existing model of business.
These type of entrepreneurial ventures are focused towards high-returns, with high
uncertainty. The entrepreneur does not feel bad while investing money and keeping the job at
stake in order to take limitless risks on a motivation, investing capital and time still on an
uncertain venture.

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Intrapreneurship
Intrapreneurship is similar to an entrepreneur in a large business organization. They are
typically very enthusiastic, action-oriented and proactive people who can effortlessly make
decision or creativities of their own, in the organization’s boundaries, in order to make
innovative services and products. One of the essential aspects is that intrapreneur remains in
the comfort zone as they believe that business failure does not involve any type of personal
cost as it is similar for an entrepreneur because business will recuperate the loss arising from
the failure.
An intrapreneur concentrate on particular concern and their area is to manage company’s
procedure instead of overall business. The precise issues can be lacking skills or increasing
productivity, etc. An intrapreneur can account for innovative ideas in order to serve improved
situations for the company.
Intrapreneurs in the company love to be free and their characteristics substitute independence
in themselves. They are fundamentally proficient in creating charts of workflow and they can
envisage the forthcoming competition towards the business and how to diminish them with
full swing.
Managerial
The workforce who is focused towards handling the people in the company is known as a
managerial workforce. They are mainly paid workers who possess the power and
responsibility to make alterations in the company with former approval. In terms of nature,
the managerial workforce is very much tactical and always remain in urgency to handle
subordinates. They are ultimately responsible for the daily activities takes place in the
company. It is fine if they do not offer innovative ideas to the company because they are

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hired for the regular job or work or task. Their duty is to think how to make employees
effective and how to connect one aspect with another aspect.
2. Explore the differences and similarities among entrepreneurial ventures as
discussed above
Lifestyle Entrepreneurship
A person who starts a business organization not for the sake of earning a profit and for the
purpose of changing lifestyle is known as lifestyle Entrepreneurship. In reality, a lifestyle
entrepreneur concentrates majorly on the life reward and occasionally on the business
operations. This type of entrepreneur does this for their passion.
For example, Elizabeth is a lifestyle entrepreneur in EG Solution PLC as she was operating
the business operations with her passion.
Social Entrepreneurship
Social entrepreneurship is said to be a method or technique by which businesses are
commenced, to develop other entrepreneurs, offer funds, and offer solutions to the cultural,
environmental, or social issues. This concept might vary from one organization to another
organization with different aims, beliefs, and sizes.
For example, Grammen Bank is one of the Social Entrepreneurship’s examples
Topic Lifestyle Entrepreneurship Social Entrepreneurship

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Exit Strategy The lifestyle entrepreneurs
do not have an existing plan
or strategy because they
operate their business
operations with a passion
Social Entrepreneur is the
passionate entrepreneurs with
all set strategies and existing
plan.
Profit Seeking Lifestyle Entrepreneur is not
concerned about the profit
because they operate the
business for the purpose of
lifestyle.
Social Entrepreneur is always
concerned about the profit as
if there is a failure then they
will not be able to survive in
the market.
Investment Lifestyle Entrepreneurs does
not search for the investors
for their business because
they run the business with
their own money.
Social Entrepreneurship
search for different investors
as they have an objective to
expand the business from the
initial stage and for this, they
require investors to invest
their money in the business
organization.
Donation Lifestyle entrepreneurs are
those who do not offer a
donation or believe in this
concept.
Social Entrepreneur donates
or charity when they will be
rich.
Organizational goal This type of entrepreneurs
does not focus on the
organizational goals as
Social Entrepreneur is very
much concerned about and
focuses on the organizational

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compared to social
entrepreneur.
goal
Organizational Structure Organizational structure is
not framed by the lifestyle
Entrepreneur in the company.
Organizational structure is
created by the Social
Entrepreneur such that
business activities are
performed properly under
some rules and regulations.
Location These type of entrepreneurs
are not restricted with the
location because they operate
the business the way they
like.
These type of entrepreneurs
are restricted in the locations.
Working hour Lifestyle entrepreneurs are
known for maintaining a
balance between personal life
and work.
Social Entrepreneurs are
always ready to work for an
extra hour and not for other
benefits such as money.
Making corporation They are not focused towards
making a corporation.
They are normally for the
corporation at a level of time.
3. Examine a varied type of entrepreneurial ventures in order to validate an
knowledge of the entrepreneurship in community or public sector as well as corporate
sector.

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Corporate and Public Sector Entrepreneurship: This type of entrepreneurship can be referred
to as a company that is a division of the economy and operating activities to make a profit.
Businesses of the Corporate sector are not government owned dissimilar to the businesses of
the public sector, which are registered as a property of the government and offers services
that are government-oriented or accessible in the stock market.
Some of the examples of the Intrapreneur venture which are the part of the public sector, as
specified are 3M. A business gets famous for the supporter line of services or goods like
masking tape, scotches brand tapes, and waterproof sandpaper, (Thomas, 2017). 3M is said to
be a corporation of public-sector as it performs trading of the shares in their stock market.
The key shareholder of 3M is Vanguard Group Inc. which had maintained 45,793,887
numbers of shares till 2017. Along with this it has various shareholders consequently
lowering their liability.
One of the perfect examples in the field of corporate of Intrapreneur is W.L. Gore and it is
also called as Gore-Tex fabric. It is an international company of manufacturing specific in the
production of fabrics which is imitative from fluoropolymers. This business is managed in
Newakrd, Delaware, privately. W.L. Gore offers its workforce 10% of their work in order to
offer their innovative ideas and put their efforts on their personal projects (Vocoli, 2014).
Intrapreneurs are not the one who directly operates their business with the clients of the
company. They are said to be the individuals in an organization whose purpose is to produce
goods innovatively that can provide benefit to the target market and company. Same as 3M’s
Dr. Spencer Silver, who unintentionally created a tough kind of glue that could be utilized in
the aerospace and workforces of W.L. Gore that are offered with plenty of time to have a
thought about innovative and fresh ideas that could offer advantage to the entire textile world.

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2. Understand and measure applicable statistics and information in order to clarify
how micro and small businesses influence the economy.
Statistics
The meaning of SMEs i.e. small and medium-sized enterprises is a commercial with less than
250 workers. In U.K, till 2016 there were 5.4 million Small and Medium Enterprises, which
was around 99% of overall businesses.
Around there are 0-9 employees in Micro businesses. According to the report in U.K till
2017, there were 5.3 million micro businesses available, which are comprised of approx. 96%
of all the businesses.
The revenue of the small business has a major influence on the U.K economy and on the
other hand, the medium enterprise does not possess significant influence. Around 99% of the
overall business involves small and medium business. In the economy of U.K, there is a huge
competition between different industries.
Impact of Small and Micro Business
In Medium business, around 250 employees are hired in the company whereas in the case of
Microbusiness there are maximum 9 people are hired which results in restricted opportunities
of employment. However, the fact is that the number of businesses ate increasing which can
result in increasing opportunities for employment for the youth candidates.
The revenue of the small business has a major influence on the U.K economy and on the
other hand, the medium enterprise does not possess significant influence. Around 99% of the
overall business involves small and medium business. In the economy of U.K, there is a huge
competition between different industries.

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Source: Thomas, 2017
1. Describe the significance of small businesses and start-ups for the development
of the social economy.
Small and medium-sized enterprises or SMEs involve around 60- 70 % of the jobs in most of
the OECD countries, with specifically major share in Japan and Italy, and a comparatively
less share in U.S. but, there are various jobs particularly in the nations which have reflected
record of employment including Netherland and United States
Some indicating points to the significance of age, in spite of the size, in the job creation: new
companies create more employment opportunities as compared to their share. Though not
even half of them survive for the longest time period and only a portion is developed in the
high-growth firms which offer significant contributions in the job creation. High job turnover
raises issues for the security of employment and small formations are frequently get
exempted from providing notice to the workers.
Small companies also incline to invest very less in the training programs and depend
comparatively more on the external recruitment for rising competence. The demand for
dependable, pertinent and globally comparable information of small and medium enterprises
is on the growth, and statistical offices have initiated expanding their publication and

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collection of data. Global comparability is yet very weak, though, because of divergent size-
class explanations and sector classifications. In order to enhance valuable analysis of policy,
OECD governments have to enhance their build-up of data, deprived of making additional
problems for companies by the load of extreme paperwork.
1. Assess the variances among large, medium, and small businesses that has been
made to the economy, put some applicable statistics and data. Deliver a critical
inspection of the influence of small business on diverse economy levels comprising
national, local, international, and regional.
Various high-growth Small and Medium Enterprises make significant contributions in the job
creation and efficiency progress in the OECD area. In the initial stages, capabilities of the
management are important for the survival because company grows, innovation strategies and
human resource increases significantly. By the time company establishes, innovation
becomes very important for the growth of the company. The fastest rising applicants are
those that convert policies into planned actions in the form of Research & Development,
training, and innovation, which offer maximum emphasis on the employment of talented and
skilled workers and employee’s motivation, and balance the improvement of their
competencies in diverse areas - the last being mainly significant in the sector of high-
knowledge.
The central hurdle to the progress of high-growth Small Medium Enterprises is government
regulations, foreign market access, market failures in the capital markets, problems in hiring
skilled and talented employees, and indirect labor costs. Small and Medium enterprises that
are owned by women are progressing very fast as compared to the overall economy in
various OECD countries, permitting capitalization of the knowledge of trained and skilled
women who can else be obstructed in corporate development because of the “glass ceiling”.

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The augmented flexibility intrinsic in possessing one’s business permits women to add to
their family’s income by maintaining responsibilities of family and balancing work. Though,
the women entrepreneur’s economic potential stays partially untouched; measures are
essential to enhance statistics and information in this particular field, along with
strengthening the prerequisites for technology, networks, and financing. Entrepreneurship
inclines to differ evidently across regions. The augmented number of regions is considered to
be creating dynamic firm’s clusters which get benefited from “information spill-over” and
intangible factors. Policies for regional development have been established to support those
regions that are suffering from declining stage.
Critically inspect the growth, development, and scope of the entrepreneurial ventures
The entrepreneurial ventures are very essential for all the company's level. The development
and scope of the sector are increasing as the downturn is declining daily in the United
Kingdom. Citizens are today investing in new and innovative businesses apart from their own
business and youth are very much concentrated towards conducting their own business in
place of doing jobs. In this sense, it can be said that the scope and increasing.
On the other side, not a single company will be operated smoothly deprived of the format of 3
entrepreneurial ventures. Individuals today are very much innovative and putting their efforts
to get involved in various ventures in the company.
However, one thing is very simple in the figures that the development and scope of these
ventures are completely open for the SME’s as approx. 99.03% of the overall business is
operated by the SME’s. Therefore, there is high profitability, that in future all the small
businesses will accept the venture in a competitive field.

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TASK 2
The entrepreneurial mindset:
Approaches for the uninterrupted creation of opportunities in a period of uncertainty
Executive Summary
Entrepreneurship is not just about initiating new business venture, it is just a mindset. It needs
some type of skills and knowledge to become a successful entrepreneur. Several individuals
are born with this type of mindset; others grab their attitude and skills through education. In
the current scenario, the education aim is to get a job in a well-known organization with a
heavy package. Education is today completing with an attractive placement. After the
placements in a company, there are only 2 possibilities. One is either student do get receive
the job for which they desire or another one is that student is not able to fit in the
organization's criteria. Any of the two circumstances result in dissatisfaction with the job and
unemployment which also lead to suppression and frustration of the knowledge of the
student.
The requirement of the time is to absorb attitudinal qualities of motivation, positivity, open-
mindedness, innovation, a balanced approach towards the life and telescopic vision. All these
traits are imbibed in a successful entrepreneur. An entrepreneur is an individual who can deal
with the challenges, is an innovator, a leader, a risk-taker, a visionary, a decision-maker, and
one who can form agreement and direct from the front. Today, we require these type of
workforce, who possess this attitude, such that they can be adjusted in the organization’s
structure, who can create a tough position with their operations, who can convert the
discussions in their own favour, who are dedicated and passionate towards their effort and
also who possess determination and the courage to deal whatever come in their way. These

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kinds of employees are said to be an asset that can contribute to the organization's growth
they are related with.
Furthermore, if such type of individual starts their own business, they contribute to the
economy’s total growth of the country. As it is known that the backbone of the economy of
the MSME sector, therefore, the development of the sector is very important and this will
lead to the economy's propulsion.
Either it is the worker of the company or the business owner, the presence of entrepreneurial
attitude and abilities are obligatory. This might be a genetic attribute or might be developed
by appropriate education. If the system of education generates this type of attitude and talent
within the students, then they might be able to modify the earth’s face with their advanced
ideas and dynamic energy. This increases the responsibilities of institute’s management
which are at the center of the responsible position for the teaching management abilities to
the students. The institute’s management and its faculties have to make an environment that
is appropriate for the upcoming generation entrepreneurship yield. The correct environment
and platform can assist the student in developing the mindset to become an entrepreneur that
will allow them to become better owners and employees of businesses. The unseen aptitude
and abilities of the student should be recognized and refined to perfection. The course of
management must not only explain the abilities to handle a business however also nurture the
anticipated approach and mindset resulting to the modification in the complete personality of
the student.
Entrepreneurial leadership
Though improbability may origin numerous entrepreneurs to restriction, it could be utilized
for their benefit. Indeterminate circumstances are filled with different opportunities. The job
of all discriminating entrepreneur is to unceasingly classify high-potential opportunities of

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business and using these opportunities with full confidence and speed. Therefore, uncertainty
can be converted into their friend, not the enemy.
Entrepreneurial leaders are different from the executives in terms of their personal does.
These lie under 6 sets: setting the climate of work, education, age, composing opportunity-
looking for and moving the ventures forward individually.
 Practices of setting the climate makes a universal sense of insistence for everybody to
operate or perform new initiatives of business. Offer an uneven share of own time,
discretionary resources and attention in searching and assisting new model of
business. Gary Wendt, who drove enormous progress at the economic services of
General Electric, validated this principle. He reliably and certainly created new
business development and considered them to be the item of high priority agenda in
every meeting and chance meeting.
 Arranging opportunities that are looking for eliminating uncertainties from people by
obviously identifying what kind of entrepreneurial opportunities are required it is
known as 'ballparking.' An entrepreneur of Swedish whose small business out-shined
at technology CAD/CAM defined a field of entrepreneurial playing for his individuals
of "50 to the power of 4." This defines that he was concerned in those offers that
possessed the possibilities to offer 50 million of Swedish kroner ($8 million) in terms
of profits, by taking 50% of the market share, with margin of 50% in approx. 50
countries. The reason was to pursue opportunities where he resolved an actual issue
for sufficient consumers that he might capture the share of lion of an impregnable
worldwide market deprived of operating with opposition from international
companies. This offered his people possibility, however also kept them concentrated
towards those opportunities where he analysed that his business can create a tough
position in the market.

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 Precise practices of hands-on management identifies that the mission for awareness is
the sole essential competition source difference that can be brought in a company by
the team of management. For instance, Linda Mason and Robert Brown, who are the
founders of a child, care centers i.e. Bright Horizons exploited on a perception which
permitted them to make an appealing model of business in a usually unappealing
industry. In place of concentrating on single family’s needs for the care of the child,
the couple in its place redefined their consumer as the corporations. In 15 years, the
business venture cultivated from a notion to a flourishing business with around 340
centres.
Launching the Entrepreneurial Frame
The entrepreneurial frame describes your objectives. The indication is to trust you and the
team members to accept those enterprises that go outside measly incremental development to
actually make a modification. Framing has 2 portions: one is the success definition, and
another one is an enunciation of planned direction.
The procedure for creating a frame includes working by subsequent questions:
1. If you were supposed to do some activities in the following 3 to 5 years that you,
investor of company and the boss would be regarded as the main win, what would this
seems to be like?
2. What is the lowest profit amount you want from the fresh business ventures (at the
maturity) in order to do a change into your business? From your recognized business,
what growth rate should be sustained?
3. What is the upsurge in the profitability you want to attain in the subsequent 3 to 5
years?
4. What ROI you are looking for?

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The outcomes could be considered as:
Desired
performance
Present
performance
Specification of the
Success
Profit of last year At least 10%
enhancement
200 220
Sales return or
return on sales
At least 5%
enhancement
10% 10.5%
Required revenue in
order to earn profit
10.5% (above)/
220(above)
2000 2095
Return on assets 10% enhancement 15% 16.5%
Required assets in
order to make
profits
ROA objective/ Goal
of profit
1333 1333
Next coherent strategic direction is done by creating criteria for screening which is
dependable with the 'ballparking' description. Criteria for Screening-out are said to be "drop
dead" if an offer has that features. Criteria of Screening-in are "more the merrier" (it means
the more of these specified characteristics, there will be a more appealing opportunity).
Consider by the subsequent questions:
1. What have the minimum required businesses in which you have been involved with,
and what are the features that have made them disagreeable? What are the areas that
it talks about that needs to be avoided in the coming future?
2. What things made an opportunity satisfying for you? What does this thing talk about
the parts to follow in the coming future?

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3. Assimilate these declarations into a list of at least ten statements of "screen out" and
ten statements of "screen in" that gets your experience. A "screen out" can be
considered as "the opportunity that will intake a long time from our important
people." A "screen in" can be a striking market where we actually have a tough
position. Try to create your statement of screening as precise to your business as
probable.
Ultimately, the objective is to possess around 10 statements of screening in, 10 statements of
screening out that company can decide precisely imitate the kinds of businesses that are
anticipated and not anticipated.
Creating a register of well-stocked opportunity
A list of the opportunities is said to be a resource of possibly appealing new and fresh
opportunities of business. The notion is that any time, you have ironic potential opportunities
set to select from, in place of possessing the choice of those that achieved to persist a
corporate examining procedure.
2 techniques are very valuable here, the one is said to be an analysis of the chain of
consumption. The chain of consumption is utilized to chart the complete experiences of the
customers with your service or product offering. It initiates with the activate event or
condition that makes the consumer attentive of a want and stays through every step
comprised in being your consumer. Any connection in the chain has different probabilities
that you can expose by searching into the experienced of the consumers at every link or
connection.
Another technique is quality recording. This involves how effectively your products or
services are tempting to the desires of the customers now. Initiate just, by recognizing an

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offering and a significant section of customer. Then examine to search where you can
improve optimistic qualities and remove undesirable ones, as specified in the chart.
With the help of these 2 techniques, you will be capable to identify more effective ideas that
can be executed with the possible resources you possess. The challenge is to examine them
to the maximum level while understanding that you do not desire to over-emphasize present
running business or new business venture.
Generating Emphasis by utilizing actual options reasoning
Identical to investing in a financial choice, actual choices reasoning includes doing small
investments that offer you the right of determining later. The idea behind this is to edge your
hitch experience till the advantageous opportunity probability is revealed. In combination
with the restrictive risk, an options approach enables you to make strategic alignment and
focus through your initiatives portfolio. The portfolio talks about whether the market is
definite or it is not, and whether the environment of technology is definite or not, as reflected
in the chart.

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Chart those creativities that the company is following. The recording must imitate your
policy. If the policy is to develop the present business you need to put extra stress on the
section i.e. lower left-hand. If the policy is an examination, you will require additional
options. Companies normally acquire from this practice that they are captivating various
projects and those projects that are present in the tube are not reliable with their policies.
Sole method to fix this is by assigning resources to various sections of the chart before the
projects are permitted when they are framed as competing with the comparable projects for
resources.
Endorsing adaptive implementation by discovery-driven planning
Detection of ambitious planning is a strategy to study, not to demonstrate that you have every
answer when you have written the plan or strategy. The technique needs the collaboration of
five procedures that are employed together. These procedures are:
1. Defining the frame (goals) at the project level;
2. Forming market and competitive benchmarks;
3. Describing operative specifications;
4. Recording assumptions;

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5. Launching important milestones. In indeterminate environments, conservative
planning does not make any sense. In its place, plan with restraint to the subsequent
main milestone, then break and re-plan as there is the availability of the new
information.
In all the specified methods, the concentration is on the identical actions of chasing
opportunity by staying attentive.
For More knowledge
McGrath, R. G., and MacMillan, I. C. 1995. 'Discovery Driven Planning' Harvard Business
Review. July-August, 1995. This article outlines the technique in more depth.
McGrath, R. G., and MacMillan, I. C. 2000. Assessing technology projects using Real
Options Reasoning. Research-Technology Management 43(4) pp. 35-49. This article offers
an evaluative methodology for uncertain technologies.