Entrepreneurship and Small Business Management

ENTREPRENEURSHIP
AND SMALL BUSINESS
MANAGEMENT

Contents
INTRODUCTION...........................................................................................................................3
Task 1...............................................................................................................................................3
P1 Different types of entrepreneurial ventures and typology of entrepreneurship.....................3
P2 Similarities and differences between entrepreneurial ventures.............................................2
Task 2...............................................................................................................................................4
P3 Interpretation of statistics for showing impact of micro and small business on the economy
.....................................................................................................................................................4
P4 Importance of small businesses and business starts-ups in growth of social economy.........6
Task 3...............................................................................................................................................8
P5 Characteristic, traits and skills of successful entrepreneurs...................................................8
P6 Aspects of the entrepreneurial aspects personality reflect entrepreneurial motivation.........9
Task 4.............................................................................................................................................10
P7 Background and experience can hinder or foster entrepreneurship.....................................10
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Entrepreneurs are the persons responsible for planning and developing a new business
through which they can cater the increasing needs and demand of the population and market. The
entrepreneurs have unique ideas and plans through which they form their own company in order
to provide their contribution in the economy as well as to the society(DeTienne and Wennberg,
2016). These have some skills and talents through which they keep going on in difficult times. In
this report assessment, different types of entrepreneurial ventures will be discussed along with
the typologies associated with these ventures. This report also compares the differences and
similarities among these ventures along with the interpretation of appropriate statistics in order to
determine the impact of small, medium and large organisation on the economy of a country.
Also, this report will discuss the role of small businesses in the growth of a country. Further,
different types of characteristic, traits and skills associated with the successful entrepreneurs will
be discussed. This assessment will also cover the different aspects of entrepreneurial personality
and motivation along with the discussion on how the background and experience of
entrepreneurs can hinder and growth entrepreneurship.
Task 1
P1 Different types of entrepreneurial ventures and typology of entrepreneurship
Entrepreneurs are the people who own or run a business by supplying their products and
services to their customers in the market. Entrepreneurial ventures refer to these businesses
developed by entrepreneurs in order to earn good profit and money for enhancing their life
standard. These ventures are formed for fulfilling a purpose in order to ensure the success of
business. Thereare different types of business ventures which vary according to their size, scope
and purpose(Welter and et. al., 2017).
Entrepreneurial activity
Entrepreneurial activity is the process through which the new ventures enhance their
value and profit by participating and contributing in the economic activities of the market. These
ventures develop new products and services by utilising creative and unique ideas so that the
ideas can be converted into products and services for catering the needs of customers (Burns
and Dewhurst, 2016). These ideas help the venture in enhancing the employment opportunities;
contribution in society etc. by which the brand value can be enhanced.

Different type of ventures
Small business: Such types of ventures are in huge number in the market. These are also
considered as the backbone of an economy due to their numbers in market. Such businesses are
formed for earning profit by providing their products and services in a particular segment of
market. The scope of these businesses is also narrow due to operating in small markets or
regional markets.Partnerships and sole proprietorship are the common methods for forming these
businesses. The number of employees in these firms vary from 1 to 50 with a net income of less
or equal to €2 million. The example of such firms includes Orion electrotech limited, Clarasys
etc. These firms are private sector businesses (Odibo,2015).
Large company:Such type of ventures is huge in terms of operations as these employ a
large number of employees in different operations and functions for catering the needs of global
market. These firms provide their products and services to a high number of customers in
different markets. Such type of businesses needs huge amount of funds in order to perform their
business functions effectively as they cater the demand of markets and customers globally
(Burns, 2016). Such firms also sustain in market for a long time period due to having experience
in market. Tesco, M&S are example of such firms in private sectors whereas NHS is example of
public sector businesses (Rey-Marti, Ribeiro-Soriano and Sánchez-García, 2016).
Social enterprises:Such ventures are developed by the entrepreneurs for the welfare of
people and society. These businesses utilises the ideas through which lifestyle and condition of
the society can be improved for a more effective and successful economy. The scope of such
businesses is wide as they create new opportunities for the local people in order to strengthen
their economic position in the society. These businesses are not focused on the profit rather than
theseare focused on improving the livelihood of people. Save the Children is example of such
firms who is working for eradicating the child labour and for providing the basic rights to the
poor and homeless children (Storey, 2016).
Typologies of entrepreneurship
Lifestyle Enterprise: The lifestyle ventures are those which provide the owners the
autonomy, completed control on the business operations and independence for managing the
entire business as per their understanding. Such enterprises are run out of the households which
provide them the flexibility to organise meetings at any places, at any comfortable timings etc.
These enterprises are born out of the interest and hobbies of the people with the aim of earning
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