Entrepreneurial Ventures Analysis: Types, Impact, and Characteristics

This report delves into the multifaceted world of entrepreneurship, examining the various types of entrepreneurial ventures, from micro to large enterprises, and highlighting their key differences and similarities. It explores the significant impact of micro and small businesses on the economy, particularly in the UK, emphasizing their contribution to employment, GDP growth, and increased consumer choice. The report also analyzes the importance of SMEs in fostering social and economic development, including their role in providing access to credit and stimulating capital formation. Furthermore, it outlines the characteristic traits and skills of successful entrepreneurs, discussing how aspects of entrepreneurial personality reflect motivation and mindset. The report also uses examples to illustrate how background and experience can either facilitate or hinder entrepreneurial endeavors. The report emphasizes the vital role of entrepreneurs and small businesses in driving economic growth, fostering innovation, and improving the quality of life within a society. This insightful analysis is an essential resource for students seeking to understand the dynamics of entrepreneurship and its broad impact.

ENTREPRENEUR
AND SMALL-
BUSINESS

Table of Contents
INTRODUCTION...........................................................................................................................3
P 1 Types of Entrepreneur Ventures............................................................................................3
P 2 Differences and Similarities between Entrepreneurial Ventures..........................................5
P 3 Impact of Micro and Small Entrepreneur Businesses on Economy......................................7
P 5 Importance of SME in Growth of Social Economy...............................................................8
P 5 Characteristic Traits and Skills of Entrepreneur....................................................................9
P 6 Asses how aspects of the entrepreneurial personality reflect entrepreneurial motivation and
mindset.......................................................................................................................................10
P7 Examine using relevant examples, how background and experience can hinder or foster
entrepreneurship. .......................................................................................................................12
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Entrepreneur and small business are two different aspects of the business world.
Entrepreneur is the person who own the business and do activities to earn the profits and a small
business is the scale or the size of the business where the business is measured. Entrepreneur
focus on the froth of the business to earn more from it with some unique traits and also some
unique techniques and strategies which will differentiate the entrepreneur with his competitors.
A small business is not focused on its profitability its only focus on survival in the current
market as there is much competition going on in the market. In this report there is brief study
about the roles and responsibility of entrepreneur and nature and techniques of small business so
that they can grow in the market and increase their productivity. There is also an understanding
that how internal and external factors of the business environment effect the business and
entrepreneurial decisions.
P 1 Types of Entrepreneur Ventures
There is competitive need of improving the strategies and policies of the business for that
the business owner or entrepreneur need to analyse some different kind to tools and techniques to
establish a sound productivity of the business as there are different scale of business which can
be owned by an entrepreneur. (Julien, 2018)
Small ventures
As the small this venture is handled by the entrepreneur which is only associated with
some limited products and services but have a vision to innovate that product which will give its
product a competitive edge in the market. A small business is the end of delivery channel which
provide their products and services to their customers to stabilize their roots in the market so that
they can grow. These business are usually the small stores which provide the products to their
customers which is scattered all over the market as it help the market to grow. These business
needs very fewer investments and strategies to start their nature of their business. (Spence, 2016)
Medium ventures
This the type of business scale where there is potential to grow it business but do not
have right techniques and strategies to become a large scale company, they can be a family
businesses which may be done traditionally with new technological advances they are more
focused on earning their profits and sales of their products and services. They are very keen to
enter new markets to establish them so that they can increase their growth and have more

goodwill than before.(Allen and Truman, 2016) These scale of business need some capital to
start their business, and they also need to analyse their competitors and also the market trends so
to increase their productivity as there is a huge competition due to high percentage of
competition.
Large Ventures
These are established with the help of huge capital investment and also focusing on all
the aspects of they have employed many individuals and also have a very huge impact in product
reachability to its customers.(Ribeiro-Soriano, 2017) These scale of business are the role models
for small and medium scale business industries as they have reached to the top and are now
leaders of the industries. The large scale business focus their manpower ion efficiency to lower
the cost and also innovate their products and services so that they can reach their objectives by
increasing the productivity of the organization.
Typology of Entrepreneurship ventures
The entrepreneurship is a trait which is very essential in the individual as it helps the
business to grow and there are different type of entrepreneurship ventures which are started to
earn the profits.
Survival Ventures
This type of venture aims at completion of their business nature to fulfil the projected
financial reports. This venture focus to stay in the market to earn the profits as long as possible.
As they are not established properly in the market, so they do not take any future risks and work
on short terms results so that they can be sure in their position. They aim in lowering their cost
by employing low cost labour and also finding cost-efficient alternative to increase the
productivity of the business.
Lifestyle Ventures
These ventures are more focused on the quality of product and services given to their
customers as they believe in increasing the lining standards of the population. The disadvantages
of this venture is that It do not aim at the managerial aspect and also do not exploit their
resources which does not support the growth of business.(Chell and et.al., 2016)
Managed growth ventures

In this type of venture the business owner focus on gaining the growth to increase their
profits to motivate their investors, and they also invest the profits in the research and
development of the product and services to increase the sales of the product, they also focus on
the development of their human resources to increase the productivity of the company.(Amato
and et.al., 2017)
Speculative Ventures
The entrepreneurs of this venture stats with the aim to show the competitors and investors
the efficiency and the innovative ideas which will increase the profitability of the venture there
will be many speculators who will be analysing the potential of the venture and will approach the
entrepreneur to purchase the concept and make profits from it by their own.
P 2 Differences and Similarities between Entrepreneurial Ventures
Similarities
 Micro, small, medium and large enterprises have a main aim to earn their profits with
respect to their cost and their strategies.
 All the scale of enterprises focus on satisfaction of their customers and all the
entrepreneur enterprises are customer centric.
 All the entrepreneur enterprises have the authority designated to their entrepreneurs, and
they take all the decisions depending on the size of the enterprise as in different level of
enterprise the risk of decision-making also increases.(Volery and Mazzarol, 2015) All the enterprises have the tendency to increase their sale and increase their productivity
by using different marketing strategy according to their industry and products and
services.
Differences
Micro enterprise Small enterprise Medium
enterprise
Large
enterprise
Annual
Growth
Rate
Low medium Depending on
the right
strategies the
medium level
High as they
use proper
planning and
strategy with

enterprise will
grow rapid
annually.
increasing the
efficiency of
the human
resource of the
enterprise.
Time
Horizon
They do not focus
on long term life of
the enterprise and
only focus on the
profit maximization.
They focus on
productivity to
increase the sales
of the enterprise to
survive the
competition in the
market.
They focus on
long term
stability of the
company and
also tend to
increase the
quality of the
products to reach
the expectation
of the customers.
They focus on
the long term
survival as the
company has
invested so
many funds to
increase the
product's
potential and
also provide
efficiency with
rules and
guidelines of
the
government.
Manageri
al focus
This enterprises do
not have much
employee under it,
so they do not need
to make any
strategies for it.
They focus on
productivity and
all the managerial
function are taken
by enterprises
itself.
They appoint
some managers
who take care of
other employees
to increase the
work efficiency
of the enterprise.
They focus on
hierarchy of
managerial
delegation to
divide their
workload to
increase the
productivity of
the enterprises.
Technolo
gy
They do not use the
technology as they
They only use the
technology where
They focus on
technological
These
enterprises

Investme
nt
are more very small
business and for
investing in the
technology they
need large
investments which is
not possible.
it is required and
do not invest in
the technology
much as their
focus is to survive
the market
competition and
earn maximum
profits.
changes to
increase the
current
efficiency, so
they do not have
to employee
more employee
and will get
better output.
focus on the
investment in
technology to
get a
competitive
advantage in
the market by
research and
development.
P 3 Impact of Micro and Small Entrepreneur Businesses on Economy.
Small and medium enterprises have a very large impact on UK economy as they
contribute 47% in overall growth of UK. SME is a major factor in giving employment to the
population which increases the per capita income and also living standard of the economy. SME
due to its small size and large quantity of business motivates many individual to establish their
own enterprises because the investment in establishing the enterprises is very less which helps
the economy to increase its growth more. UK's economy is largely controlled by private sector
which help the economy to grow upwards as the main objective of private sector is profit
maximization and which will also give employment to many people I the country which many
opportunities.(Schaper ed., 2016) UK's government also emphasized on starting their own
enterprises by giving them start-up loans and also free investments. Small and medium
enterprises are the only major reason to provide employment to population of UK, In 2016 99%
of private employment was from SME which is also a major reason that government have come
up with many strategies to increase the number of SME to trigger the economic growth of UK.
small and medium enterprises also grow the GDP rates and help the economy, it increases
inflation which help the country in import export businesses as the value of currency in UK will
be more which will bring more currency to the country. The population will also have many
varieties of the market from where they can buy and that also give the customers a power to rule
the markets they can switch their products whenever they want. This will also increase the net
disposable income of UK which means high liquidity of currency in the market which will

indirectly help SME to sell their products at higher prices and more profits this capital formation
cycle will go on to Develop the economy.
P 5 Importance of SME in Growth of Social Economy
Small and medium enterprise have very major role in contributing the economy of UK as
it helped the economy in growing rapidly in past few years this help to increase the efficiency of
the country and also created many employment opportunities.(Dana, 2018.) The SME are the
backbone the economy it helps the population to gain the living standards and also help them to
spend their income according to them because SME provide a large market with variety of
products with different price range according to the suitability of the individual. SME is usually
operated on credit system which also gave a movement of currency In the economy as it
stretches the formation of the capital further.(Storey, 2016) It helped the banks to decrease their
rate of interest so that the enterprises can take loans and also increase their productivity while
providing better quality products. Due to increase in technology there is a large impact on the
sales of SME as large enterprises have launched many E-commerce businesses online which are
cheaper and more convince to the customers which attracted them to buy their products. This
reduced the liquidity of currency in the market and also affected the buying power of the
consumer as the employment ratio have also been impacted by that. SME have attracted their
customers by innovating their products and also increased their sales and demand and supply.
As SME is the labor intensive sector which also provide knowledge and skills to their employees
which also develops their personality and help them to achieve their personal gaols in easy
manner. SME have also contributed in converting the competition in positive manner which will
help the in contributing in the economy as SME is absent in the market then there will be
monopoly of large enterprises which will exploit the customers and will maximize their profits
which will not increase the growth of the economy. SME is also a major supplier of raw
products to the big enterprises which help them to manufacture their products which save much
time and money of the large enterprise because if they started to make the raw material they need
to establish all the factories which will need lot investment and it will also require lot of
management which will not be possible to handle all the process at once and it will lose its
efficiency. SME supports lower class and lower middle class in purchasing o goods as these class
is more focused on budget as limited income. Due to high competition innovative products are
placed which give customer more knowledge about the products to make decision accordingly.

These sectors are only run by their entrepreneurs which give these enterprises and advantage of
low errors in management as the command will be given by the owner. This ensures that
Population of UK will be more knowledgeable and more cautious while purchasing their
products and services with better understanding of the product and price ranges available in the
market. (Cole, 2018)
P 5 Characteristic Traits and Skills of Entrepreneur
Entrepreneur refers to establish and operates a business, taking higher financial risk
during run away. A successful entrepreneur should keep different characteristic traits like given
below.
Self-motivating is a crucial trait of entrepreneur because if entrepreneur will self-motivate then
eligible to take upcoming challenges regarding business and financial. Entrepreneur should have
strong leadership qualities because a leader has strong communication skills and eligibility to
whole team of people toward a targeted goal in this manner where whole team motivate and
work effectively together.(Taneja and et.al., 2016) Entrepreneur must have strong sense of basic
ethics and integrity because it provides sustainability of business in business market. Ethic
provides transparency between employees and clients while integrity maintain high standards of
business. Thus, both leads sustaining of business in market. Entrepreneur must be innovator or
creator because if a entrepreneur will creative minds then will eligible to constantly develop new
ideas and can improvement on existing processes like product, services and strategy for growing
business in market.
Skills differentiation between entrepreneur and business manager:
Strategic orientation: entrepreneur creates ideas and convert into strategy accordingly to
percept of opportunity and refers to growth in market. while manager utilizes current resources
and obtains strategy for business development.
Management structure: entrepreneur follows flat structure with multiple informal network. In this
structure employees can direct communicate to owner and can give innovative ideas regrading
business development. This structure establishes good relationship between employees and
owner while manager follows formalized hierarchy where employees can't communicate directly
to owner.(Yunus, 2017)

Responsibilities: entrepreneur has lots of responsibilities regarding business because he's owner
of business and many policies are accomplished by him to set up business or industry in business
market while manager has less responsibility because manager function is to apply policies
which is formulated by entrepreneur for business envelopment.
P 6 Asses how aspects of the entrepreneurial personality reflect entrepreneurial motivation and
mindset.
The entrepreneurial mindset is a certain way of thinking, it is all about the way in which
you approach challenges and mistakes. It needs to approve your skill set and try to try again. It
is defined as various factors stimulates design and activates enthusiasms in entrepreneur which
makes team to attain a particular goal.(Burns and Dewhurst, 2016)
 Personality is an easy concept for most of us to grasp. However, you define
personality, its an important part of who you are. In fact personality shows a
positive correlation with life satisfaction. With personality having such a large
impact on our lives. (Rey-Martí, Porcar and Mas-Tur, 2015)
 The most prevalent personality framework is a big five, also known as five factors
of personality
 Sir Richard Branson born in July 1950, he is an s a British business magnate,
investor, author and philanthropist. He founded the Virgin group in the 1970s,
which controls more than 400 companies in various fields. He became an
entrepreneur at a very young age. At his young age he opened a chain of records
sore, “virgin records” later known as “virgin megastores”.
 In 2000 March, Brandon was knighted at Buckingham Palace for “services to
entrepreneurship. For his work in retail, music and transport. He has become a
prominent global figure. Branson eventually a record shop in Oxford street in
London.
 Peter Jones born on 18 March 1966, is a British entrepreneur, businessman and
reality television personality with interest in mobiles phones, television, media,
leisure, retail & property.
 In the world of psychology research, personality is a little more complicated. The
definition of personality can be complex. With personality having such a large

impact on our lives, it's important to have a reliable way to conceptualize and
measure it.
 The five factors grew out of decades of personality research growing from the
foundation of cattle 16 factors and eventually becoming the most accepted model
of personality to dates. His model has been translated into several languages and
applied in dozens of cultures, resulting in research that not only confirms its
validity as a theory of personality but also establishes its validity on an
international level. For example, the factor agreeableness encompasses terms like
generosity, amiability, and warmth on the positive side and aggressiveness and
temper on the negative side.
The Big five OCEAN are
Openness to experience Openness to experience has been described as the depth and complexity
of an individual mental life and experiences. It is also sometimes called intellect or
imagination. Openness to experience concerns people willingness to try new things, their
ability to be vulnerable and their capability of think out of the box.
The common traits to openness to experience includes
 Imagination
 Insightfulness
 Varied Interest
 Originality
 Cleverness
 Complexity
 Depth
 Preference for variety
2. Conscientiousness – Conscientiousness is a trait that can be described as the
tendency to control impulses and act in socially acceptable ways, behaviours that
facilitate goal directed behaviour. (Epifanova and et.al., 2015)
The common traits to Conscientiousness to experience includes
 Planning
 Self Discipline
 Ambition

 Control
 Energy
 Hard Work
3. Extroversion – It concerns where an individual draws their energy from how they
interact with others.
The common traits to Extroversion to experience includes
 Fun Loving nature
 Friendliness
 Talkativeness
 Outgoing nature
4. Agreeableness It is a construct that rests on how an individual generally interacts
with others.
The common traits to Agreeableness to experience includes
 Trust
 Tact
 Politeness
 Cheerfulness
5. Neuroticism – It encompasses one's emotional stability and general temper.
The common traits to Neuroticism to experience includes
 Lack of confidence
 Timidness
 Self criticism
 Insecurity
P7 Examine using relevant examples, how background and experience can hinder or foster
entrepreneurship.
For an individual as an entrepreneur, personal background & experience highly effect its
business. These personal background & experiences can hinder than well as foster the business
of the individual.(Burns, P., 2016) Support from family, friends, strong financial background,
motivation from the relatives and others are all consists of personal background. For instance, if
an individual getting the best support from its family members, friends & relatives, then he must