Entrepreneurship Project

This project explores various aspects of entrepreneurship, including different types of ventures, their impact on the economy, especially after Brexit, and the skills and traits of successful entrepreneurs. It also examines the role of small businesses in social economy and analyzes factors that foster or hinder entrepreneurial success.

Entrepreneurship

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Different type of entrepreneurial project and their relation with typology......................1
P2. Similarities and differences between various entrepreneurial venture.............................3
TASK 2............................................................................................................................................5
P3.Assessment and interpretation of data to analyse micro and small business impact on
economy.................................................................................................................................5
P4. Importance of small business or start ups in social economy after Brexit.......................7
TASK 3............................................................................................................................................8
P.5 Skills and traits of entrepreneurs......................................................................................8
P6. Identify various aspects of entrepreneurial personality....................................................9
TASK 4..........................................................................................................................................10
P7. Background and experience that can foster entrepreneurship........................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................13

INTRODUCTION
Entrepreneurship is the business unit set up by individuals with some new concept that is
not common in society. These days entrepreneurship has much scope to expend business.
Through entrepreneurship there is benefits to person as well as society. This helps to generate
employment, increases living of standards, etc. government provides rebate in tax to
entrepreneurs to run business effectively. Entrepreneur is the person who comes with new idea
and establish business. In initial days there are possibilities of loss to business or no profits
afterwards it goes at hype (Aldrich, 2017). But at the same time risk is also there is go down,
hence there are some qualities which help person to be in long run competition. This report
discusses about types of entrepreneurial venture and its relation with typologies, effect of Brexit,
types of business firms which helps to achieve economic stability. Apart from this report also en-
lights hinder and foster for entrepreneurs.
TASK 1
P1. Different type of entrepreneurial project and their relation with typology
Entrepreneurship is known as the capacity to develop, organise and manage business
activities with various type of risks in order to generate number of profits. An entrepreneur is
individual who is taking high risk for starting and running a new business. They are forming an
idea and convert that concept into a business venture. Entrepreneur are risk takers who ready to
take an initiative to start a business by bearing financial losses in the hopes of generating higher
earnings in near future(entrepreneur. 2018). They are managing resources like land, man power,
capital and many more in an effective way to achieve desired objectives for maximising the
profit.
There are various types of entrepreneurial venture that are as follows:
 Small business entrepreneurship: This is type of an enterprise that is started by an
individual and it is managed by less number of employees and having low volume of
sales. Small businesses are hairdressers, electricians, carpenters, travel agents, etc. that
are run and managed by an individual and they recruit only local people or family
members. This type of business is funded by small business loan and family/ friends and
the main objective is to generate higher profits to feed its family(Choi and Majumdar,
2014).
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 Scale start ups: This type of business mainly concentrate on innovation & quality and
not on producing in bulk. Entrepreneur who are operating scalable business are very
confident about their vision, concept and ideas to take opportunities for capturing
attention of investors who has same vision for investing in their projects and only recruit
professionals for performing their operations.
 Large scale enterprises: It is another type of business which needs huge amount of
capital investment and also needs large workforce and other resources. Large scale
businesses have infinite life cycle and always faces high level of competition & risk from
frequently changing business environment(Cooper and Folta, 2017) To achieve growth
and success business have to produce innovative products and services. For increasing
the market share, company must offer commodities as per the customer's needs and
requirements.
 Social enterprise: This business is set up with the goal to provides quality products and
services according to the requirement of society in order to satisfy consumers needs and
wants. Social enterprise are emphasis on the social values of the people and also
improves their standard of living.
Types of entrepreneurial typology:
 Serial entrepreneur: This business venture is introduce new ideas and taking challenges
on repetitively basis which helps in developing different objectives in the world. These
venture initiates their operations by delegating responsibilities for managing their actions
and moving towards next more challenging business.
 Female entrepreneur: As society is not providing equal opportunities to women as
compared to men. There are many women in society who are taking initiative and
running up their own business successfully and proved their capabilities by brings change
in the society.
Large number of entrepreneurs carry out business activities in a fast changing and
complex business environment. For achieve set business objective, it is very essential for
entrepreneurs to examine the various elements exist in business environment and formulate
strategy as per that. To be a successful entrepreneur, it is very essential for an individual to
take decision as per the changes take place in external environment. For example, if company
purchase raw materials to undertake its production process and there are chances that prices
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of raw materials are going to be high in future then company require to take decision to
purchase raw material in bulk to deal the changes take place in future. Like the same,
company take decision of buying when there are chances that price of raw materials are
going to be down in coming period of time.
Differences between entrepreneurs and intrapreneurs is given below:
Basis Intrapreneurs Entrepreneurs
Meaning Intrapreneurs refers to an
worker of organisation who
remain in charge of undertake
innovation in process, product,
service etc.
Entrepreneur refers to an
individual who set his own
business with a new concept.
Approach Restorative Intuitive
Works for Renew and change the current
organisational system and
culture.
Create a leading position in
the market.
Dependency Dependent Independent
P2. Similarities and differences between various entrepreneurial venture
Entrepreneurial venture can be defined as a company which is owned and operated by
single individual by taking initiative and high level of risk(Cooper, 2017). There are several
kinds of entrepreneurial business that are varies in objective and also having certain similarities
among them that are mentioned below:
Similarities:
 Similarities between small business enterprise and scale start ups: Both type of
business venture needs large amount at their initial stage foe setting up their business.
These companies get finance from sources such as loan from family, bank, friends, etc.
 Similarities between scale start ups and large scale enterprise: The main objectives of
these two firm is to earn more profits and wants to expand their business(Dees, 2017).
 Similarities between large scale and social enterprise: Both type of organisation work
for producing and delivering good quality of products and services which helps in
satisfying needs and wants of customers.
Differences:
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Enterprise also have some differences in their operations, size and scope that are
explained below in following table:
Scale start ups Social enterprise
 The main objective of scale start up is
to earn maximum profit which is used
for expansion of business.
 Scale start ups do not formulate exit
plan because they operate their business
with passion and recover company
from the situation of liquidation.
 Company's main focus is on attracting
investors to invest in their business.
 Aim of social enterprise is to operate
business for improvement of
environment, society and people.
 Social enterprise always planned exit
strategy to overcome from the
liquidation issue.
 These company concentrate on offering
superior quality of products to satisfy
the needs and wants of customers.
Small business enterprise Large scale enterprise
 These business establish easily as they
require less amount of finance and also
having little government interference.
 Small business organisation raise
finance from personal investment,
friends and family(Drucker, 2014).
 The main objective of this firm is to
earn more profit to satisfy the
requirements of their family.
 Large scale enterprise needs huge
amount for establishing their business
and not easy to set up firm as they have
follow various government laws and
legal formalities.
 There are various options available to
these type of firm for raising funds such
as bank loan, venture capital,
commercial paper, etc.
 The main objective of large scale
organisation is to generate high profits
as well as increase goodwill of the firm
in order to expand their business.
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TASK 2
P3.Assessment and interpretation of data to analyse micro and small business impact on
economy
Small business enterprise plays very important role for stability of economical condition
of a nation. It is because they contribute towards creating employment, opening new market and
growth as they are considered base of healthy economy. Micro and small business having less
than 50 employees and they are not able to generate more revenue but still helps in attaining
economical stability(Frese and Gielnik, 2014). This type of business provide chance to an
individual for following their dreams by turning their thoughts and ideas into reality. Small
business enterprise gives support to economy by creating employment opportunities, encourages
in innovation and also provide financial independence.
The procedure of setting up small business enterprise is started from an idea that have
capability to accomplishing the requirements of an individual by providing unique products and
services. Small and micro business focuses on attracting workers who has ability to enhance the
existing goods and services or may brings innovative product in marketplace. Sometime large
organisation also dependent on the small business for performing their outsourcing business
actions.
Micro and small business helps in development of nation as it helps customers and
government to use product and services of their choice to fulfilling their needs and wants.
Further small businesses contribute more than £43 million Euros in total turnover of UK on
annual basis which is substantial concerning economy of UK. These companies has capacity to
work in complex and dynamic environment as they are smaller in size and are more customer
oriented(Hitt and Duane Ireland, 2017). This leads to increasing the number of loyal customers
and maximizes market share at the time of economic cries and assist them in maintaining their
productivity in order to contributes towards the economical growth of country.
Small business enterprise creates more employment opportunities that aids to economical
advantage to country it is because these enterprises are more labour intensive so they requires
large number of staff members. In some past few years, more than 660000 start-ups have been
established and along with financial assistance offered by banks in the forms of loans £300m so
that sustainability could be achieved. This results in reducing unemployment in order to increase
the living standard for the people of country (Kazanjian, Drazin and Glynn, 2017). Last year,
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more than 11000 individuals in UK have started their own ventures. These businesses provide
opportunities to candidate who are fresher, not having any working experience and are less
knowledgeable & skilled which helps in enhancing the capabilities and potential to work hard.
Figure 1 SME Performance Review, 2018
(Source: SME Performance Review, 2018)
Above image shows the contribution and performance of Small medium enterprises in
UK which play a big and significant role after Brexit and help in maintain a stability in economic
growth of nation.
This is very helpful for country for increasing the employment ratio that directly affects
the economy in positive manner. These aspects are good for economy in the following ways:
 Small and micro firm provide job opportunities to the candidates who has capabilities but
having problems in finding jobs, it helps in decreasing the unemployment from the
country.
 This type of company provides premium quality and unique commodities at reasonable
price which leads to improving the living standard of the people of nation.
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P4. Importance of small business or start ups in social economy after Brexit
Small business refers to the independently operated and owned firm which is small in
size and earning of profit is depends on the type of industry. This is an enterprise that is initiated
by an individual with less number of employees which have lower sales volume. Small business
and start ups are largely contributing towards the economy of nation and assured stability of the
country during phase of Brexit. The economic depression which may have been faced by the
country is avoided mainly due to small businesses operating in the country. Therefore, it
becomes the huge problem that is faced by the organisations.
After the Brexit, government of UK formulate various rules and regulations for start ups
and small business enterprise as they want to improve the economical situations. As more than
660000 start-ups have established so this offer high employment to local individuals and
contribute in improve their standard of living which results in economic growth of nation. Small
business is considered as the lifeblood of United Kingdom's economy as there is large impact
over GDP of the country (Kirzner, 2015). There is fall in GDP of country because of the Brexit
and this affects the small companies in overall performance of the firm and it leads to customers
are purchasing their products and services.
Because of Brexit, there are several modifications in the strategies and policies which are
followed by the entrepreneur. Hence, small companies plays very important role in the nation for
the growth and development of economy. It also encouraging the economic growth by providing
them employment opportunities to the individuals are are not getting jobs in large organisations.
After Brexit, large organisation are suffering from difficulties as they are not able adopt such
changes easily and can suffer from looses(Kuratko, 2016).
On the other side, start ups and small business has the ability to adopt these modifications
and also contributing in the economy of nation by providing employment to the large number of
people and decrease unemployment in the country. Overall small business creates a profit of £43
million Euros and this speed up the economic growth of nation.
Further, as more than 11000 entrepreneurs undertake their own ventures this contribute more in
economic growth. Small business and start ups helps in maintaining better environment and also
develops good infrastructure in urban locations that providing contribution in growth and
development of nation's economy.
There are certain ways for growth in economy that are as follows:
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 Small and micro organisation assist in improving the growth of the country as they earn
more profits and revenue after Brexit.
 These enterprises helps in balancing the employment ratio in country by providing job
opportunities to the large number of people.
TASK 3
P.5 Skills and traits of entrepreneurs
There are different skills and traits of successful entrepreneurs. There are 2 intelligent
entrepreneurs that is Marks Zuckerberg and Bill Gates. Various traits and skills are needed so
that they can perform activities in effective manner. This helps the company to earn huge
revenues and can enhance the market share. Different skills of these 2 entrepreneurs are
described below:
 Communication skills: Successful entrepreneurs must possess good communication
skills so that they can interact with any person in effective manner. This helps the
manager to explain all plans and policies to staff members in effective manner. Hence
organization can easily perform all tasks and can improve their performance. Hence
organization can easily earn huge profits and can easily enhance the market share. This
results in improving performance of company(Kuratko, Hornsby and Covin, 2014).
 Delegation: It helps in delegating various activities and tasks to all staff members. Thus
as a result firm can easily complete all activities and tasks in proper time. Hence
entrepreneurs can delegate the role and responsibility to all staff members which belong
to different departments. This results in increasing the effectiveness level of the firm and
company can easily earn huge profits and can enhance the market share.
 Strategic vision: Company has a vision and firm delivers good quality of products to all
users so that they can earn huge revenues. This helps the organization to accomplish the
objectives and goals. Hence firm can easily enhance their image in market and in
industry.
 Critical thinking: Both entrepreneurs can think in different manner. Hence organization
can easily adopt latest technologies so that company can perform better. In this manner,
enterprise can take important decisions(Meyer, Neck and Meeks, 2017). Entrepreneurs
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can give creative and innovative ideas to company so that all activities and tasks can run
effectively.
Traits are described below:
 Both entrepreneurs work in effective manner and hence they can accomplish objectives in
limited time. Hence it increases the productivity of company.
 Entrepreneurs do not have fear from any risks so that they can get maximum benefits.
This helps the company to earn huge revenues.
 Entrepreneur has high level of confidence and thus they can perform all activities in
effective and efficient manner. This helps the company to increase their revenues and
hence firm can easily expand their operations.
 Both entrepreneurs give creative and innovative ideas to the company so that company
can add extra features in their products. This helps the firm to earn huge profits.
P6. Identify various aspects of entrepreneurial personality
There is difference in personality of entrepreneur as compared to other people. They are
ready to accept changes and perform business operations according to market trends. These days
changes are taking place very frequently, so it is essential to make policies which are effective
and significant for business organisation. It is essential to accept changes which helps to make
business at growth (Parker, 2018). There are some qualities which are required to be framed
according to current trends. With the help of adaptable nature profits are more at the same time
risk is also more. There is difference in characteristic of every person which helps them to make
different from others. Qualities of every person is different from one another and accordingly
actions will be taken place.
Big five trait model helps to know about skills and knowledge of entrepreneurs. Elements
of five trait model are as under-
Agreeableness- As there are many changes which are taking place in market, so it is
essential to accept them for growth of business. This is one of the primary quality for
entrepreneur to make strategies according to market trends.
Extraversion- Extraversion means to be extrovert which helps to share business ideas in
front of society. As this characteristic is fruitful fopr making strategies which are effective for
growth of association. When there is requirement of funds, hen entrepreneur has to make policies
which are significant for convening them.
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Conscientiousness: As there are some motive for which entrepreneur set business. It is
essential to work according to market trends and actions are performed to attain targets. There
must be policies which are effective and significant for growth of business. As per this
characteristic entrepreneur must be focus for which they are working(Zahra, Wright and
Abdelgawad, 2014).
Openness to experience:- As entrepreneurship is the business with some concept, so it is
essential to make strategies which helps person to learn new things. There are possibilities that
person may not ready to learn new techniques, then this affects growth and can not run in
industry.
Neuroticism:- Neutral nature helps to bear happiness and sadness. As per this
characteristic entrepreneur must be ready to take risk and in case of positive or negative result
they must be balanced in both the situation.
There are various factors that have a great impact on an individual’s personality and the way
and individuals thinks or take decision related with business. Cultural background, lifestyle and
upbringing largely affect the thinking style of a person and his personal skills. Term called
culture describe the set of values, behaviour and beliefs that give shape to the behaviour of an
individual and give him knowledge about right and wrong. Like the same lifestyle and
upbringing affect the thinking style of an entrepreneur.
TASK 4
P7. Background and experience that can foster entrepreneurship
There are several issues and problems faced by the entrepreneur while performing
business operations that acts as an obstacle to organisational growth and development. These
problems may affects an individual that foster or hinder an entrepreneur(Hitt and Duane Ireland,
2017). This is believed that entrepreneur are born with quality and traits that foster them to move
forward. But these skills are also learned and developed through training, education and from
some past experience. It is very necessary for an individual to learn from past action which in
turn reducing the possibility of repeating the mistake which results in failure and supports in
identifying correct measures to solve the problems.
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Bills Gates and Mark Zuckerberg are the two popular personalties who faces various
problems but learn from last experience and becomes successful and famous entrepreneur which
is motivational factors for others(Kirzner, 2015).
Bills Gates was an individual who developed world's largest software company that is
'Microsoft' that changes the way of operating computers.
On the other hand Mark Zuckerberg, who is founder and CEO of Facebook. He is the head of
world's most famous social media network. From the above two cases it can be analysed that
there are certain characteristics that are inbuilt or may be developed that fosters them in
achieving success in their life. Following are the factors that affect the actions and decision
making of an entrepreneur :
 Education: This is the important component that affects the thinking style of an
individual and their decision making. It helps in shaping up the personality of a person
and this is essential factor by which individual can learn react in a specific situation.
 Personal traits: It includes characteristic that is developed by learning and from past
experience or may be inborn(Kuratko, 2016). Personal traits helps in an individual for
becoming successful by learning time management, interpersonal & communication
skills and leadership skills.
CONCLUSION
From above report it has been concluded that entrepreneurship is very important in every
company. This helps in creating innovative ideas in company. Different types of entrepreneurial
ventures and relationship with entrepreneurship typologies. Similarities and differences between
various kinds of entrepreneurs ventures. Impact of small and micro small business on economy.
Importance of start ups and small business in development of social economy. Different traits
and skills of entrepreneurs are there. Entrepreneurial personality that indicate entrepreneurial
mindset and motivation. Background and experience of entrepreneurs that can hinder or foster
entrepreneurs.
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REFERENCES
Books and Journals
Aldrich, H., 2017. Learning together: National differences in entrepreneurship research. The
Blackwell handbook of entrepreneurship. pp.5-25.
Choi, N. and Majumdar, S., 2014. Social entrepreneurship as an essentially contested concept:
Opening a new avenue for systematic future research. Journal of business venturing.
29(3). pp.363-376.
Cooper, A. and Folta, T., 2017. Entrepreneurship and high‐technology clusters. The Blackwell
handbook of entrepreneurship. pp.348-367.
Cooper, A. C., 2017. Networks, alliances, and entrepreneurship. Strategic Entrepreneurship:
creating a new mindset. pp.201-222.
Dees, J. G., 2017. 1 The Meaning of Social Entrepreneurship. In Case Studies in Social
Entrepreneurship and Sustainability (pp. 34-42). Routledge.
Drucker, P., 2014. Innovation and entrepreneurship. Routledge.
Frese, M. and Gielnik, M. M., 2014. The psychology of entrepreneurship. Annu. Rev. Organ.
Psychol. Organ. Behav.. 1(1). pp.413-438.
Hitt, M. and Duane Ireland, R., 2017. The intersection of entrepreneurship and strategic
management research. The Blackwell handbook of entrepreneurship. pp.45-63.
Kazanjian, R. K., Drazin, R. and Glynn, M. A., 2017. Implementing strategies for corporate
entrepreneurship: A knowledge‐based perspective. Strategic entrepreneurship:
Creating a new mindset. pp.173-199.
Kirzner, I. M., 2015. Competition and entrepreneurship. University of Chicago press.
Kuratko, D. F., 2016. Entrepreneurship: Theory, process, and practice. Cengage Learning.
Kuratko, D. F., Hornsby, J. S. and Covin, J. G., 2014. Diagnosing a firm's internal environment
for corporate entrepreneurship. Business Horizons. 57(1). pp.37-47.
Meyer, G. D., Neck, H. M. and Meeks, M. D., 2017. The entrepreneurship‐strategic management
interface. Strategic entrepreneurship: Creating a new mindset. pp.17-44.
Parker, S. C., 2018. The economics of entrepreneurship. Cambridge University Press.
Zahra, S. A., Wright, M. and Abdelgawad, S. G., 2014. Contextualization and the advancement
of entrepreneurship research. International small business journal. 32(5). pp.479-500.
Online
entrepreneur. 2018 [Online] Available through
<https://searchcio.techtarget.com/definition/entrepreneur>./
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