Entrepreneurship and Small Business: Venture Types and Economic Role

This report provides a comprehensive examination of various types of entrepreneurial ventures, including small business entrepreneurship, scalable start-up entrepreneurship, large company entrepreneurship, and social entrepreneurship, detailing their goals, risks, staffing, and organizational structures. It explores the similarities and differences between these ventures, their impact on the economy, and the role of micro and small businesses in driving economic growth and supporting the social economy. The report also investigates the characteristic traits and skills of successful entrepreneurs, differentiating them from other business managers, and references the Miles and Snow typology to relate entrepreneurship to different strategic approaches. The analysis is supported by relevant data and statistics, particularly focusing on the UK market, to illustrate the significance of small businesses and start-ups in local, regional, national, and international contexts.

ENTREPRENEURSHIP AND SMALL
BUSINESS
MANAGEMENT
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Table of Content
Cover Page……………………………………………………………………………………………………………………...1
Introduction…………………………………………………………………………………………………………….……...3
P1 Examine different types of entrepreneurial ventures and explain how they relate to the typology
of entrepreneurship…………………………………………………………………………………………………………...3
P2 Explore the similarities and differences between entrepreneurial ventures………….……4
M1 Investigate a diverse range of entrepreneurial ventures to demonstrate an understanding of
entrepreneurship in both the public and corporate sector……………………………………….….….6
P3 Interpret and assess relevant data and statistics to illustrate how micro and small businesses
impact on the economy…………………………………………………………………………………………….……7
P4 Explain the importance of small businesses and business start-ups to the growth of the social
economy………………………………………………………………………………………………………………….…….7
M2 Evaluate the differences small, medium and large businesses make to the economy, applying
relevant data and statistics…………………………………………………………………………………………...8
D2 Critically examine how small businesses have an impact on different levels of the economy (local,
regional, national) and in an international context) ……………………………………………………...8
D3 Determine the characteristic traits and skills of successful entrepreneurs that differentiate them
from other business managers……………………………………………………………………………………….8
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Introduction
Enterprise is the way to establish a company by looking at various risks, including financial and
organizational perceived risk. Business ventures can always have different bodies of control, so
business owners really have to build and maintain a particular know-how and characteristics.
Experience and professional background can affect enterprise, which can promote or impede a
company. The research would concentrate on different types of business entities, their economic
implications. Throughout tandem with the ways experience and personal history may shape start-up
entrepreneurship, the abilities and mind-sets necessary to set up a company will indeed be created.
(Burns 2016)
P1 Examine different types of entrepreneurial ventures and explain how they relate to the
typology of entrepreneurship.
Small Business Entrepreneurship
The holders may manage such start-ups only, as well as the number of workers is quite small. In
fact, there is not much revenue raising and all these companies are actively concentrating on
growing customer base and expanding their goods or services. The whole business sort can indeed
be managed as a partner with family and friends. Nevertheless, many small companies deliver
creative and exponentially growing goods or services. (Burns 2016)
Scalable start-up entrepreneurship
Such companies start company with creative ideas and concentrated on developing
revolutionary goods or services from the outset. Some forms of businessmen claim their inventions
will change the world and search to imperialist funding. We are searching for the best brain for the
enterprise and tend to develop a flexible business model. (Burns 2016)
Large company entrepreneurship
The large businesses have an endless life cycle and are geared towards giving revolutionary
profits and survivability products and services to buyers. Purchaser thirst, trends and prices have
evolved progressively with large businesses in the innovation and creation of new product lines over
a whole growing market. The large size of the organization makes creating difficult. (Burns 2016)
Social entrepreneurship
This form of company is focused on solving various social issues through the delivery of its
products or services. The company seeks to build a better world for humanity and can be
competitive, non-profit and combination. (Burns 2016)
Like everything else, there are also drawbacks of entrepreneurship. The inconvenience of
becoming an entrepreneur comes in its threats. In essence, an individual who became an
entrepreneur is basically a gambler. They strive to do anything which has not been done beforehand
and use their own resources or support that they might collect from everyone to attempt to achieve
that aim. (Burns 2016)
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P2 Explore the similarities and differences between entrepreneurial ventures.
Small business entrepreneurship
Goals and Objectives
Such organisations may not yet have structured objectives and purposes as well as operate
towards lower profits and development. (Down 2010)
Risks
The threats may be smaller but there is a strong level of competition among similar
organizations. (Down 2010)
Staff number
No more than 50 people staff. (Down 2010)
Structure
No formal system of organisation and mostly function in conjunction with the sole owner. (Down
2010)
Scalable start-up entrepreneurship
Goals and Objectives
All companies aim to continuously offer innovative products and achieve high returns to
shareholders. (Down 2010)
Risks
The threats seem to be severe caused by high long-term investment as well as high returns
pressure from high sales volumes to shareholders. (Down 2010)
Staff number
Depends on the size and the framework (structure) of the company. (Down 2010)
Structure
Primarily businesses and alliances in limited form. (Down 2010)
Large company entrepreneurship
Goals and Objectives
Through development of new goods or services and marketing strategies, these organisations
seek to maintain the market. (Down 2010)
Risks
The threats are small, because large companies also sell high quantities because of their brand
equity. (Down 2010)
Staff number
More than 1000 people staff. (Down 2010)
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Structure
The company, which can be government limited or private limited companies, is often
complicated. (Down 2010)
Social entrepreneurship
Goals and Objectives
Such companies work at delivering high-quality products or services to enrich the environment.
(Down 2010)
Risks
The threats are not very high, because these companies receive government and public funding
because of their dream. (Down 2010)
Staff number
The size of the company depends. (Down 2010)
Structure
The trustee associations were based primarily.
Moreover, the different business projects ' vision, mission and goals influence the reach of those
organisations. If such organizations are able to acquire items that encounter consumers ' demands,
they may maintain themselves by creating profits for long as possible. Entrepreneurial enterprises
should focus on growth by receiving assets and plans in line with the current fashions and request to
create their goods or services. However, those must build an efficient corporate structure to
improve communication between departments in order to carry out their normal activities. The
developmental growth of various companies depends on the level of quality of their goods and
services, how much market conditions, sales prices and sustainability methods they may encounter.
(Down 2010)
Similarities & Differences - In the economy, small and big companies play various roles. New
companies that bring new products and ideas to the market are usually small at the start of their life
cycles; later, when the industry focuses more on homogeneous goods, some businesses start to
move down the cost curve by designing large-scale production processes that take advantage of
economies. Diversity of dimensions then occurs among industrial communities, as small and large
enterprises have different functions. A characteristic of theories about the coexistence of large and
small businesses is the belief that small and large businesses have different economic functions.
Such hypotheses are often related to the theory of the product life cycle. (Down 2010)
Explain by using Miles and Snow (1978) typology the relation between entrepreneurship and
different types of entrepreneurial ventures.
A typology of business strategies was developed by Miles and Snow. In comparison to
corporate strategy, including decisions about the companies, the corporate strategy relies on how
the corporation is dealing with the client in a given enterprise. Miles and Snow suggested that
companies should develop relatively stable strategic behaviour patterns in general in order to
achieve a good alignment with perceived environmental conditions. Their typology includes the
protector, prospector, analyser and reactor four strategic forms. The authors listed the following:
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Defenders - Defenders are independent customer-industry businesses of jurisdictions. Such top
management companies, furthermore, do not seem to look for new prospects outside the area of
expertise. They are extremely experienced throughout a small operating sector. All such companies
rarely require significant practical, administrative or functional adjustments because of such a tight
focus. Alternatively, we aim to improve the quality of their current operations. (Miles & Snow, 1978)
Prospectors – Prospectors are businesses which somehow repeatedly discover new markets and
frequently test with possible reactions to developing structures in the economic environment. All
such groups also create changes and instability, as do their contenders. Nonetheless, in spite of their
deep respect for consumer and business growth these organisations are not always completely
effective. (Miles & Snow, 1978)
Analysers – The analysers are groups in two sub-types of item fields, one fairly stable and another
yet shifting. All such groups work methodically and efficiently by the use of structured policies and
procedures. Executives evaluate their peers carefully for new concepts and soon accept the best
ones in their professional fields. (Miles & Snow, 1978)
Reactors - Reactors are entities wherein top management often experience, but cannot adequately
adapt, shifts and instability in their institutional environments. Because that kind of enterprise seeks
a cohesive collaboration between policy and function, it rarely changes anything until it is pressured
to do so through environmental changes. (Miles & Snow, 1978)
M1 Investigate a diverse range of entrepreneurial ventures to demonstrate an understanding of
entrepreneurship in both the public and corporate sector
Entities in the public sector are run by the government actively or passively. In such entities, the
government invests further and offers financial support to numerous private entities. Most
businesses operate in different industries and aim to deliver quality services and products to
customers. Those organizations emphasize profitability instead of social security or development.
(Landstrom 2007)
Throughout the corporate sector all such kind of companies work throughout private or in
government ownership. Such companies create marketing strategies to provide customers with
value products or services that increase their productivity and sustainability. Many major
organizations and scalable innovation enterprises are linked to businesses focusing on economic
development by concentrating on their rivals and formulate strategies to achieve economic
advantages. (Landstrom 2007)
P3 Interpret and assess relevant data and statistics to illustrate how micro and small businesses
impact on the economy.
In every market, micro and small businesses play an important role and play an important role
in a country's economy. The volume of micro or small businesses is increasing over time, producing
high profit margins and providing diverse services and products to customers.
In the UK, there are large numbers of small companies throughout various industries and more
than 4.5 million SMEs in the UK, almost 99% of all the companies of the country. (Burns and
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Dewhurst 2016)
The profits from these firms also contribute significantly to the UK's GDP. 96 percent of all
companies are considered a micro-enterprise with only 0-9 employees. Such businesses produce
33% of jobs and 22% of total sales. (Burns and Dewhurst 2016)
Micro and small businesses throughout the UK market are many more than medium-sized or
large companies. Small and micro-enterprises produce 39% of revenue and 49% of employability in
the UK. (Burns and Dewhurst 2016)
Small and micro companies can be classified as innovators, non-innovators, exporters and non-
exporting companies. Such companies generate income and many of these export products with or
without technology and are receiving foreign currencies and adding to the UK economy. (Burns and
Dewhurst 2016)
P4 Explain the importance of small businesses and business start-ups to the growth of the social
economy.
The value of small businesses in local communities is based on emotional purchases and sales.
The economic advantages of buying nearby also demonstrate the value of small businesses in
remote and large areas. Small business seems to be the only way to sustain while representing a
small population in several cities and villages. Across big cities, small firms also sell a varied inventory
or specialized across delivering consumer experience that are exclusive or customized. Small
companies also have new jobs and act as the foundations for the biggest UK companies. (Burns
2016)
The start-ups have a high impact in various nations to sustain the development of the social
sector, and the social economy in general. Social economics is indeed an economic field which
reflects on the social behaviour-economic relationship. It explores how social standards, morals,
common movements evolving, and other social ideologies impact market behaviour and form
patterns in purchasing from the public. It utilizes historical records, world events, political life, as well
as other humanities to anticipate possible results from social or economic alterations. (Burns 2016)
Innovative ideas of products and services often accompany start-up companies that meet certain
requirements of employees as compared to other companies. Besides that, entrepreneurs may
sometimes grab the sector quite quickly and have managed to produce greater income very quickly.
(Burns 2016) In this phase, corporations must provide high business taxes that can contribute to a
country's growth. In addition, start-ups hire workers who might reduce unemployment inside a
country for the purpose of managing a business. Most start-ups do not have the resources to
provide employees with high wages because of the lack of assets and hire some quite less skilled
workers with lower wages which are also effective in reducing unemployment. (Burns 2016)
In order to improve its brand equity, most start-ups are aligned with multiple forms of social,
economic and environmental CSR initiatives. These enterprises educate remote people or people
with bad financial backgrounds throughout this operation. For addition, these people could use this
training to find a job which is also useful for economic development. In addition, a large number of
start-up companies are developed in various sectors in the United Kingdom with elevated
contributions to a nation's GDP. (Burns 2016)
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M2 Evaluate the differences small, medium and large businesses make to the economy, applying
relevant data and statistics.
In the UK the amount is higher compared to larger companies throughout the small and
medium-sized enterprises. Small and medium-sized enterprises have taken up a huge bit of all
industries and also have made a major contribution to the British economy. However, large
companies only receive high income by providing great quality and brand equity goods and services.
Most huge UK companies have establishments which are beneficial in foreign exchange acquisition
in various nations. (Bridge and O’Neill 2012)
The larger companies are divided into administrative practices and recruit more applicants than
others. In addition, big organizations spend more on CSR activities in a state. Small and medium-
sized enterprises focus on delivering clients with innovations that drive business development and
appeal them. These firms also export larger volumes and recruit a large pool of candidates
throughout the United Kingdom which helps reduce joblessness. (Bridge and O’Neill 2012)
D2 Critically examine how small businesses have an impact on different levels of the economy
(local, regional, national) and in an international context).
The small companies in the United Kingdom have various effects on the national economy. For
example, small companies at regional basis may start competing with same kinds of companies by
delivering quality goods and services that could more efficiently meet requirements of the
consumer. The emphasis of these firms is on employing people with lower pay, that is effective in
reducing unemployment lack of funding and jobs with fewer skills than others. Such organisation can
also expand to include different fields within a nation and maximize the collection of income, which
helps them to pay increased taxes on the development of the country. Most smaller organizations
sell their products and services to different countries and place branches in various countries
globally and abroad. It is beneficial to obtain foreign currencies, which leads to the development of
the economy. (Bridge and O’Neill 2012)
D3 Determine the characteristic traits and skills of successful entrepreneurs that differentiate
them from other business managers.
Ms. Christina Ganeva created and further developed a rapidly progressed her organisation
"Beauty" group as well as her abilities and traits are of considerable importance. She is enthusiastic
and driven to manage the business as a pharmacist she manages the company as a chemistry lab so
that she can work efficiently without becoming frustrated. She believes and keeps the discipline in
order to carry out her tasks. She must work very hard to do the job alone. In addition, it can
efficiently fund businesses and delegate them to a variety of tasks. She may prepare the potential,
handle threats and execute policies.
Ashley Young is "GridSkip" Ltd founder, who mentors’ students and supports companies with
consulting programs for the use of qualified workers. He has excellent communication skills to reach
customers and risky entrepreneurship. In addition to that, he has an exciting project that can help
students to find a good job and offer business effective staff. He is also highly motivated to tackle
challenges and prepare a project and develop skills.
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References
Burns, P. (2016). Entrepreneurship and Small Business.
Down, S. (2010). Enterprise, Entrepreneurship and Small Business. SAGE.
Landstrom, H. (2007). Pioneers in Entrepreneurship and Small Business Research.
Springer Science & Business Media.
Burns, P. and Dewhurst, J. (2016). Small Business and Entrepreneurship. Macmillan
International Higher Education.
Bridge, S. and O’Neill, K. (2012). Understanding Enterprise. Macmillan International
Higher Education.
Miles, R.E., Snow, C.C., (1978), Organizational strategy, structure and process, New
York, McGraw-Hill.
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