Entrepreneurship and Small Business Management

Entrepreneurship and
Small Business
Management
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Table of Contents
INTRODUCTION...........................................................................................................................3
LO 1.................................................................................................................................................3
Different types of entrepreneurial ventures and how they relate to the typology of
entrepreneurship.....................................................................................................................3
Similarities and differences between entrepreneurial ventures..............................................5
LO 2.................................................................................................................................................7
Data and statistics to explain how micro and small businesses impact on the economy.......7
Importance of small businesses and business start-ups to the growth of the social economy9
Characteristics, traits and skills of successful entrepreneurs that differentiate them from other
managers...............................................................................................................................12
Assessment of how aspects of the entrepreneurial personality reflect entrepreneurial
motivation and mindset........................................................................................................14
LO 4...............................................................................................................................................15
Explain using relevant examples, how background and experience can hinder or foster
entrepreneurship...................................................................................................................15
CONCLUSION..............................................................................................................................17
REFERENCES .............................................................................................................................19
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INTRODUCTION
Entrepreneurship can be defined as the process that involves designing, launching and
running of an innovative and new business that is initially small. An entrepreneurial venture is
usually set up by an entrepreneur, a person who sets up a new business with the main goal of
generating profits and is primarily focussed on providing services to early and middle level
companies (Belz and Binder, 2017). The size of an entrepreneurial business can vary depending
on the kind of services it offers. Personal experience and background can impact the way in
which an entrepreneurial business is carried out. Entrepreneurs need to have specific skills and
characteristics like strong work ethics, passion etc. to be able to run a venture successfully.
Entrepreneurship is important as it helps in creating employment, increasing the standards of
living of people and help the development of community. The company chosen for this report is
CafePod, an independent coffee company that is based in SW 18, London and primarily deals in
coffee. CafePod was founded in the year 2011 with the mission to help people get access to the
best strong coffee by Peter Grainger and Brent Hadfield (ABOUT CAFEPOD COFFEE CO.,
2020). This report is based on entrepreneurial and small businesses and describes the different
types of entrepreneurial businesses and the way they relate to the typology of business. It also
explains differences and similarities between different types of entrepreneurial ventures. Besides
this, the report also includes the characteristics and skills of a successful entrepreneur that
differentiate them from other business managers.
LO 1
Different types of entrepreneurial ventures and how they relate to the typology of
entrepreneurship
Entrepreneurship can be considered as a process in which an entrepreneur emphasises on
rendering or providing advisory services to new ventures and middle stage companies. The role
of Entrepreneurial ventures changes according to different phase of organisation. It is about
learning or embracing how to deal with success, failure and risky situations. The term
Entrepreneurship venture focuses on start ups, large scale industries , public and corporate sector.
It will help employees to sharpen their knowledge,skill quality and abilities to identify
opportunity for small scale industries, as well as resolve their difficulty in extremely complicated
situations (Brush and et. al., 2019). In assistance of this, the main purpose is to increase sales
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and profitability of the entrepreneurship for the future growth of business. They generally
convert new or innovative ideas into reality that results in contribution towards growth or
development of the company. There are four types of Entrepreneurial ventures which are
mentioned below -
 Small Business Entrepreneurship - Herein, It includes plumbers, food market,
hairstylist, consultants and travel agents who run their personal enterprise as well as hire
family members or general employees for growth of business organisations (Burns,
2016). The respective company, CafePod is an example of a small business
entrepreneurial venture.
 Large Business Entrepreneurship - Large companies are those who invests large
capital in their business in order to attracts large number of customers. Such organisations
have enough resources to move into another country for future growth or success of
business organisation.
 Social Enterprises - These companies emphasised on helping individual and works for
welfare and benefit of the society. It focuses on improving standard of living of people in
the society. It is considered as a non profit company whose main purpose is to
manufacture or deliver product to serve the social needs or wants as well as their
problems.
 Scalable start up Entrepreneurship - Hereby,From starting a company knows that their
vision or mission could change the universe. The main focus of this company is to attract
best financial investor for brightest future of the company.
Typologies of Entrepreneurship
From the above mentioned various types of entrepreneurship business, the identification
of typologies assists business can become more attractive. There are three types of typologies
which are given below:
 Growth firms - In this category, the main purpose is to maximise their revenues and
profit for growth or success of company. The Entrepreneur identifies those new or
innovative ideas that helps in enhancing the profitability of business organisation. In
addition to this, the focus of company is to effectively satisfy needs or wants of consumer
(DeTienne and Wennberg, 2016). The main purpose of these firms is to earn more
revenue or profit than industrial average over a period of time. It enhancing scale of
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