Entrepreneurship and Personality Traits

This assignment delves into the relationship between personality traits and entrepreneurship. It examines five specific personality traits commonly associated with successful entrepreneurs, providing insights into how these characteristics contribute to business development and performance. Students are encouraged to analyze academic research and real-world examples to understand the impact of personality on entrepreneurial ventures.

Entrepreneurship

Table of Contents
INTRODUCTION...........................................................................................................................1
P1. Types of entrepreneurial venture..........................................................................................1
P2. Similarities and differences between all the venture............................................................2
P3. Impact of micro and small business on the economy of UK................................................4
P4. Importance of small businesses and business starts-ups to the growth of the economy of
UK...............................................................................................................................................6
P5. Traits, Skills and Characteristics of successful entrepreneur. ..............................................7
P6. Reflection of aspects of entrepreneurial personalities on motivation...................................8
P7. Analysing the background and experience that hinder and foster entrepreneurship..........10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
The capableness and willingness to build the organization or business venture along with
the risk in the hope of earning profit is known as Entrepreneurship. Entrepreneur makes
innovative ideas and plans to develop the enterprise. A person who takes initiatives and develop
the enterprise by taking advantages of opportunities in the market place is known to be
Entrepreneur. The study is about the types of entrepreneurial ventures and the similarities and
difference between all the ventures. The assessment is also about the significance of small,
medium and micro enterprises. More over, the traits, characteristic and skills of entrepreneur is
also discussed in this report. Furthermore, the personality traits of entrepreneurial is also
discussed in this report. The background and experience of Bill Gates and Steve Jobs that hinder
and foster the entrepreneurship come to understand in this report. The report is also discussing
the impact of small entrepreneurship on the economy of United Kingdom is also illustrated in
this assessment.
P1. Types of entrepreneurial venture.
Private Entrepreneurship- this are those entrepreneurial ventures which are governed
and control by a sole individual or it may be group of person. The main intention of private
entrepreneurship is to maximise profit by earning more and more. The risk in the business is
born by the person himself. The private entrepreneurship provide employment people.
Public Entrepreneurship- this are those entrepreneurial undertakings which have entire
control and management is in the hand of the government. The entire function and operation is
controlled and governed by legal bodies of the country (Carter and Tamayo, 2017). The intention
of the public enterprises is to provide employment to large amount of people. The profit earned
by those enterprises are use for the betterment of the country.
Small entrepreneurship- this are those entrepreneurial ventures which start with the
small investment. There is no huge amount of investment in small enterprises. The functional
activities are also too small and it is at tiny scale of measurement. The workforce in the small
businesses are also not so large. Example of small enterprises are general store, medical store,
small travel agency etc.
Social Entrepreneurship- this entrepreneurship are those whose main intention is to do
welfare for the society, profit earning is not the main intention of social entrepreneurship. Social
entrepreneurship is mainly developed by group of people. The profit generated by social
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entrepreneurship is utilized for welfare of the society not for the personal use. In UK there are so
many social entrepreneurship's are operating, OSEP is one of the famous social entrepreneurship.
Large entrepreneurship- this entrepreneurship are those which operate on the large scale
and the investment of those businesses are also very large. In starting large enterprises there is
huge amount needed. The infrastructure and asserts are also giant. In the operation of large
enterprises there no one time fund needed but there is regular supply of the fund. Moreover,
The employees in large enterprises are in large quantity.
Trading entrepreneurship- this entrepreneurship are those which only conduct a business
of supply of the products and services. The main intentions of this enterprise are only to transfer
the trade goods from one place to another (Dai, Ivanov and Cole, 2017). They do not conduct
any production activities. Mainly these business are belongs to transportation company which
supply goods and services from one place to another.
P2. Similarities and differences between all the venture.
All these ventures are different from each others as all have different aims and objectives,
different types of operational activities and distinctive functional strategies and plans. But Still
there are some similarities in between all these ventures as the aim and objectives are somewhat
similar, size and functional activities are also similar.
Basis of difference Private Public Social
Goals Private enterprise are
those enterprises
which have main goal
to maximize profit and
expand the business in
all over the world.
Public enterprise are
those enterprises
which have prime goal
to provide more and
more employment to
many people.
Social enterprise are
those enterprises
which have prime goal
to do welfare of the
community. The profit
earned is not utilized
for personal use, it is
devoted in the welfare
of the community.
Function and
Operation
The function and
operation of private
enterprises are in
The functional and
operation of public
enterprise are to
The function and
operation of social
enterprise is to welfare
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urban area. develop and growth of
entire country.
the community
whether it is rural area
or urban area.
Possession The possession and
ownership is wholly
controlled and
managed by the single
person or group of
people.
The possession and the
ownership of public
enterprises are
governed and manage
by the legal body of
the nation (Wajdi and
et.al, 2017).
The possession and
ownership of social
enterprise is in the
hand of sole person or
group of people or
sometimes by the
government as well.
Example Hilton Hotel The Forestry
Commission
Age concern
Infrastructure The infrastructure of
the private enterprise
are very huge.
The infrastructure of
public enterprise is
also very large but it is
not in well condition.
Social enterprises are
run by the charity or
help so there
infrastructure is not
vast.
Basis of Similarities Private Public Social
Profit The main objective of
private enterprises are
to maximize more and
more profit and
expand the business.
Public enterprises also
operate for earning
profit and invest in the
development and
growth of the nation.
Social enterprises are
also aims to earn profit
by different ways and
the profit generated is
used for the social
welfare of the
community.
Employment Private enterprise
assist to render more
and more employment
Public enterprise also
render employment to
large number of
Social enterprise also
render employment to
people as they are
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to people. The salary
offered by private
enterprises are also
excellent.
people in the country
as the main intentions
of public enterprise is
giving more and more
employment to people.
working for the
betterment of the
community.
Entrepreneur Private enterprises are
operated by male or
female entrepreneur
both (Simba and
Ojong, 2017).
Public enterprises are
also be operated by
male or female
entrepreneur both.
Social entrepreneur are
also operated by male
or female entrepreneur
both.
Marketing plans The main aim of
planning of market is
to develop the
company and enhance
the sales revenue.
The main aim of
formulating market
plan is also the growth
of the company and
operate according to
needs and
requirements of the
market environment.
The main aim of
conducting marketing
and making plans is to
develop the enterprise
and promote the
enterprise in the
market so that people
come and make use of
their services or
products.
P3. Impact of micro and small business on the economy of UK.
Micro and small enterprises are the heart of the economy of United Kingdom. Company
has great impact on the economy of the nation. These are contributing very large to the growth
and development of the country.
There are different types of small enterprises-
Economic ability- There are large number of small enterprises working in the United Kingdom.
The work force in these small scale enterprises are also not so large it is limited. But small scale
enterprises provide employment to large number of people as according to the statistical data
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which states that about 35% people are employees in small scale businesses (Acs, Szerb and
Lloyd, 2017).
Small scale enterprises not only upgrade the capital of the country but it also contributes to GDP
of the country. There are some data which aid in identifying the effect of small and micro
businesses.
Small and micro enterprises is determined by-
Micro enterprise- the workers are less than 10 and the output is about £2.5 million.
Small enterprise- the workers are less than 50 and the output is about £12 million.
Medium enterprise- the workers are less than 100 and the output is about £48 million.
Total companies in UK are as follows-
Country Total companies Percentage of SSI
UK £5.8 million 92.00%
The above table concluded that there are £5.8 million companies in UK, out of which £5.1
million are Small scale business which shows that the major part of the share of UK in the
growth and development of the economy is imparted by Small scale enterprises. By this above
table it is stated that small scale enterprises are very important for the development and growth
of the economy of UK (Collins and et.al, 2017).
Total employment in UK are as follows-
Country Total employment Percentage of SSI
UK £14 million 62.00%
The above table concluded that there are about £14 million people employed in UK about which
£10 million people are employed in Small scale enterprises which shows that more than half of
the people are employed in small scale business.
Gross Value Added in UK are as follows-
Country Gross Annual Turnover Percentage of SSI
UK £1.7 million 40.00%
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The above table concluded that there are about £1.7 million of GDP is furnished by UK about
which £88 million us contributed by the small scale enterprises and about 40% of small
industries are imparting to gross value added.
From all these above tables it can be determined that Small, medium and micro enterprises have
outstanding impact on the economy of the United Kingdom. Moreover, the above circumstance
also render all the statical data for the contribution of Small and Micro enterprise (Dees, 2017).
P4. Importance of small businesses and business starts-ups to the growth of the economy of UK.
The small and business starts-ups of the development and growth of the economy of
United Kingdom. They play crucial role in upgrading and enhancing the economy of the nation.
Increase Employment- Small scale enterprise has outstanding function in increasing the
employment in United Kingdom. As from above statical data, it was examined that more than
half of the employment is created by Small and Micro enterprises which is about 62%.
Moreover, increasing in the globalization, many people execute their own start up which
decreased ample sum of unemployment in the nation. Rate of employment is reduced by small
and new starts-ups in much effective way (Ribeiro-Soriano, 2017).
Increase innovation- The good and services of the small business are extremely
innovative which pull many people towards them. The new start up always come up with
advanced and brand-new ideas. Furthermore, with increase in competition small enterprise
focused on continuous innovations so that more and more products and services can be serve to
people which lead to boost in the economy of the country as well addition in the purchasing
power of consumers.
Develop the standard of living- Small scale enterprises not only open their business in
urban area, but they also open their business in rural areas which helps in improving and
increasing the standard of people of the country. Small business always innovate new and
advanced ideas which in turn improve the standard of living of the people (Dugguh, 2017).
Contribution to national economy- With analysing the relevant statistical data from
various sources, it was appreciated that small and micro enterprises along with new starts-ups
undertaking contributes more than to the economy of United Kingdom. It was also identified that
more than half of sharing in gross domestic product was acknowledged by small and new starts-
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ups enterprises. Therefore, it indicates that small and medium scale enterprise plays critical role
in upgrading the economy of United Kingdom efficaciously and with efficiency.
Maintaining effective relationship- Small enterprise and new starts-ups makes effective
relationship with consumers, employer's, and from the public. It is very important to make
significant and effective interaction with public to become a successful business man.
Flexible in term of challenges and issues- Small enterprises and new starts-ups has small
operation in which they are much more flexible to the changes and challenges in the
organization. They accept all the challenges and make powerful decisions on the issues and
troubles. Large enterprise are not accepted changes easily as because it is very hard for them to
change, they are not flexible.
Low Expenses- The expenses and the cost of operation is not so high it is nominal, so the
products and services render to them are also at nominal cost. The infrastructure, building, and
tools and equipments are also at low cost. The small enterprise and starts-ups mostly adopt low
cost leadership which attracted many customers.
P5. Traits, Skills and Characteristics of successful entrepreneur.
There are so many entrepreneurs which are leading in United Kingdom. There are small
number of people who get name or achieve heights. Peter Jones and Simon Cowell are the
leading entrepreneurs in United Kingdom. There are the most successful entrepreneurs, as they
start their business with small investment and now they are the billionaires of the country. The
skills and characteristics makes a successful entrepreneur and achieve heights in society.
Skills, traits and Characteristics are as follows-
Innovation- the invention and the advanced creativity and their thoughts makes them a
successful entrepreneur as they are excellent. The ideas and innovations helps the society or
community to alter and modify and increase the standard of living. The creative inventions and
adorable ideas of Peter Jones and Simon Cowell are highly affected to the standard of living of
the people (Bhachu, 2017).
Persistent- To become a successful entrepreneur, a person should be persistent towards
achieving the goals and objectives of organization. Peter Jones and Simon Cowell are the most
consistence towards the achievement of their goals and objectives.
Forecasting risk- To become a successful entrepreneur it is very important to evaluate
and anticipate the future risk. They should no avoid the risk factor or get panic from the risk.
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Risk is the main elements in the business. A successful entrepreneur makes his all his efforts to
minimise the risk factor. Peter Jones and Simon Cowell are excellent risk taker as they didn't
hesitate to invest their fund in the new opportunities.
Passionate- A successful entrepreneur are who is passionate towards their work to
achieve the goals and objectives. A successful entrepreneur not only plans to achieve the present
goals but they also make plans for achieving the future goals and objectives of the organization.
Peter Jones and Simon Cowell both are more passionate towards their work which makes them a
successful entrepreneur of the country.
Motivation- Motivation is the heart and soul of every business. Without motivation, no
one can achieve its goals and objectives. In each and every field there is need of motivation. By
giving motivation to their employees and subordinated, the target of the business is easily
achieved. Peter Jones and Simon Cowell have excellent skills of motivation.
Powerful management of wealth- A successful entrepreneur are those who have
powerful management and monitor of wealth. When there is new start-up opened, the fund and
resources both are limited, so entrepreneur has to work as per the stock of money available in the
business. A successful entrepreneur is very essential to plan the money for present and for future
as well. It compulsory keeping complete handle on cash flows Peter Jones and Simon Cowell
both have strong management of wealth.
P6. Reflection of aspects of entrepreneurial personalities on motivation.
To determine the personalities of the entrepreneur, the big five personality model or
theory is used. This model will help us to identify the personality traits of Peter Jones and Simon
Cowell. Th e model consists of five kinds of personalities that posses by an entrepreneur which
makes them a successful entrepreneur. Professionals of human resource make use of this model
to determine the personality of employer's (Pansiri and Yalala, 2017). The theory of five
personality traits covers all the attribute of personalities.
The model is explained below-
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Illustration 1: Five Traits of Personality
(Source: Five Traits to rule them.)
Extraversion- It determines the sociability, excitability, assertiveness and huge amount of
emotions. These all factors affect the decisions of the entrepreneurs. Entrepreneur who posses
high degree of extraversion tends to be more societal and by societal interaction they make their
energy. Beside this entrepreneur who posses low degree of extraversion tends to make by
themselves. It is very fruitful for the organization to interact with people. By interacting with
people entrepreneur will get more and more creative and innovative ideas. Peter Jones and
Simon Cowell was extroverted and interact with many people to get creative and innovative
ideas.
Agreeableness- In these traits of personalities includes love, affection, kindness and other
prosy behaviour. This helps to make interest in other people and awareness and care about
others. It is very essential to have love and affection in the company as because without love and
affection it not easy to do any work in the campus. In the company it is very important to
develop the skills of talking and interacting with others in much polite manner. Peter Jones and
Simon Cowell both are the very kind to their employees and their subordinated. They talk in
more polite way to others in the company (Pisani and et.al, 2017).
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Openness- Imagination and insight is included in these traits of personality. Entrepreneur
who posses high level of openness tends to have broad range of interest and entrepreneur who
have high in this personality are more creative and innovative as well as adventurous towards
their work. A successful entrepreneur is who posses high level of openness in their personality
as it leads to success. In the world of globalization, every one is attracted towards the new and
innovative technologies. Peter Jones and Simon Cowell possess high degree of openness.
Conscientiousness- A successful entrepreneur is one who possess high level of ideas
with effective motivation management and control and goal oriented behaviour. This personality
includes the type of entrepreneur who consumer more time in completing and accomplishing the
significant project first. This entrepreneur always makes their agenda and after that they pay
attention towards the prime work.
Neuroticism- In this kind of personality includes by sadness, moodiness and emotional
instability. Entrepreneur who have high grade of neuroticism posses to be more emotional and
unstable. Low grade of neuroticism, there is more stability in emotions of the individual. A
successful entrepreneur it is very essential to acquire to negotiate the behaviours and emotions.
In the enterprise, emotion is not bad but high degree of emotion leads to failure of the
organization. Stableness plays a critical role. Peter Jones and Simon Cowell both have low grade
of neuroticism in their personality. Both have power to control their emotions and over come the
stress in most effective manner, in result they are leading in the world.
P7. Analysing the background and experience that hinder and foster entrepreneurship.
To become famous and successful entrepreneur is not an easy task. There arises lots of
issues and troubles and difficulties when they are going to the path of success. They also face
that time when nobody is with them they bear all the pains by themselves. The prosperity of the
entrepreneur is not evaluated by their heights they achieve but they are evaluated by their
failures. Peter Jones and Simon Cowell both face ample of troubles and difficulties in respect to
their background. The qualities in their personality males them to overcome all the difficulties
and troubles and they move forward efficiently. They are passionate towards their goals. They
are also very motivated towards their work (Welter and et.al, 2017). Any failure did not
demotivated them. They also have effective way to fight and overcome all the risk and become
the leader in United Kingdom.
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Skills, attributes, qualities, parents support, education, positivity are all the factors
considered. The background of Peter Jones and Simon Cowell partially hinder and partially
foster their growth and development. The positivity is that they get support from their parents to
get achieve the objectives and goals of their company. The negative effect is from the society or
community as they did not get support from the society. Sometimes they become nervous when
society did not support them but both the entrepreneur overcome all the bad situations and make
them good. They have positivity in their personality which makes them never give up their
opinions and thoughts of changing or modifying their system of company. They get failure and
failure but they did not wind up their business, they carry on by their excellent personality. Thus,
it analysis that Peter Jones and Simon Cowell faced ample of issues and difficulties that
embarrass their development and they handle them with efficiency and become famous and they
handle them with effectively and efficaciously. They become famous in the world by their skills
and traits. Their inventions are not beatable by anyone. They are listed in the top 10
entrepreneurs in United Kingdom (Amato and et.al, 2017).
CONCLUSION
From the above report it is concluded that the small business have great impact on the
economy of the United Kingdom. The different types of entrepreneurial ventures is also
discussed in the report. The difference and similarities is also illustrated in the above report.
Furthermore, the importance of small scale industries is also understood. The background and
experience of Peter Jones and Simon Cowell is also studied in this assessment.
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REFERENCES
Books and Journals
Acs, Z.J., Szerb, L. and Lloyd, A., 2017. The global entrepreneurship and development index. In
Global Entrepreneurship and Development Index 2017 (pp. 29-53). Springer, Cham.
Amato, C and et.al, 2017. Regulatory modes and entrepreneurship: the mediational role of
alertness in small business success. Journal of Small Business Management. 55(S1). pp.27-
42.
Bhachu, P. ed., 2017. Immigration and entrepreneurship: culture, capital, and ethnic networks.
Routledge.
Carter, M. and Tamayo, A., 2017. Entrepreneurial and intrapreneurial skills of managers as
determinant of organizational performance of small and medium enterprises in Davao
region, Philippines.
Collins, J, and et.al, 2017. Indigenous culture and entrepreneurship in small businesses in
Australia. Small Enterprise Research. 24(1). pp.36-48.
Dai, N., Ivanov, V. and Cole, R.A., 2017. Entrepreneurial optimism, credit availability, and cost
of financing: Evidence from US small businesses. Journal of Corporate Finance. 44.
pp.289-307.
Dees, J.G., 2017. 1 The Meaning of Social Entrepreneurship. In Case Studies in Social
Entrepreneurship and Sustainability(pp. 34-42). Routledge.
Dugguh, S.I., 2017. Entrepreneurship and small business: Strategic approach to alleviating
poverty and corruption in Nigeria. GSTF Journal on Business Review (GBR). 3(1).
Pansiri, J. and Yalala, A.T., 2017. The Evolution of Entrepreneurship and Small-to-Medium
Business Development in Botswana. Botswana Journal of Business. 10(1). pp.53-82.
Pisani, M.J and et.al, 2017. Small business enterprises and Latino entrepreneurship: An enclave
or mainstream activity in South Texas?. Journal of International Entrepreneurship. 15(3).
pp.295-323.
Ribeiro-Soriano, D., 2017. Small business and entrepreneurship: their role in economic and
social development.
Simba, A. and Ojong, N., 2017. Engaged scholarship: Encouraging interactionism in
entrepreneurship and small-to-medium enterprise (SME) research. Journal of Small
Business and Enterprise Development, 24(4), pp.1009-1027.
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Wajdi, M.B.N and et.al, 2017. UKM Development Business Loan. IJEBD (International
Journal Of Entrepreneurship And Business Development). 1(1). pp.99-109.
Welter, F and et.al, 2017. Everyday entrepreneurship—a call for entrepreneurship research to
embrace entrepreneurial diversity.
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