Entrepreneurship and Small Business Management

This report discusses the importance of entrepreneurship and small business management in raising the economy of a country. It explores different types of entrepreneurial ventures and their relation to typology entrepreneurship. It also examines the impact of small businesses on the economy of the UK and the characteristics required for a successful entrepreneur.

ENTREPRENEURSHIP AND SMALL BUSINESS
MANAGEMENT

Executive summary
In this report, the importance of entrepreneurship has been discussed. It plays the relevant role to
raise the economy of the country. The Brexit has the effective opportunity for the small-medium
venture of UK to achieve the success in the market. It reduces the unemployment, maximises the
on opening and proved effective benefit to the local people. Here the example of two people is
taken Sir Richard Branson and Muhammad Yunus has been discussed to support the answer.
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Table of content
Introduction......................................................................................................................................4
Part 1................................................................................................................................................4
P1 Type of entrepreneurial venture and the relation with various type of entrepreneurship..........4
P2 Difference and similarity between different entrepreneurial ventures.......................................5
M1 Entrepreneurship in private and public sector...........................................................................5
D1 Growth and development of entrepreneurial venture along with the scope..............................6
Part 2................................................................................................................................................6
P3 the impact of small business and micro on the economy of UK................................................6
P4 Significance of small business as well as start-up organization regarding growth of the UK
growth..............................................................................................................................................7
M2 Explanation of the impact of small, medium and large business over the economy of UK.....7
D2 the impact of small business on regional, local, international and national context..................8
Part 3................................................................................................................................................8
P5 Different characteristic that is required for the successful entrepreneur....................................8
P6 Demonstration of motivation and mindset over the entrepreneurial aspect...............................9
M3 Dissimilarity in between entrepreneurial characteristics..........................................................9
D3 Analysis of characteristic traits, motivational drives, and skill of successful entrepreneurs
along with example..........................................................................................................................9
P7 Background and experience to specify successful entrepreneur..............................................10
M4 Examination of link between entrepreneurial characteristic and the influence of experience
and personal background to specific successful entrepreneurs.....................................................10
D4 over successful entrepreneurs, the positive and negative impact of background....................11
Conclusion.....................................................................................................................................11
Reference list.................................................................................................................................13
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Introduction
For the growth of the economy of the country, entrepreneurship is considered as one of the most
important engine. Moreover, the entrepreneurship tackles all the risk with the aim to earn
effective profit, it the process to set up and run the business identically. In this report different
type of entrepreneurship is explained along with it relation to typology entrepreneurship. It has
been argued effectively that for the economic growth of the country, entrepreneurship play the
vital role. In order to support this viewpoint, it has been observed that some of the countries have
experienced the effective reduced in the poverty in last three decades. Apart from this, the hard-
working, sincere and dedicated person is also vital to be a successful entrepreneur. In this report
Sir Richard Branson and Muhammad Yunus example have been considered. Hence in context to
these the government of UK is promoting the concept for post Brexit economic development and
growth. Furthermore, in this report the ample amount of information is discussed that is quite
relevant for anyone to become successful entrepreneur (Schaper et al. 2014).
Part 1
P1 Type of entrepreneurial venture and the relation with various type of
entrepreneurship
Entrepreneurial venture is divided into four categories among them small business
entrepreneurial venture is one of them. The society consisted of people that are determined or
motivated to start something to earn the effective profit. The other three entrepreneurial ventures
are large company entrepreneurship, social entrepreneurship and scalable start-up
entrepreneurship. Furthermore, there is some of the e-commerce start up within the society that
inspires the people to start something new. Some of the example of small-medium such as
grocery shop and cyber cafe, some of the entrepreneurial venture has the aim to bring innovation
in the present society by modifying the entrepreneurial venture. Moreover, this type of
entrepreneurial venture chooses the best employees from the market to work and achieve the
identical goal in the competitive market. Skeptical entrepreneurial venture designed their product
and service based upon the innovative ideas. The research entrepreneurs venture is quite similar
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to scale up entrepreneurial venture as those basically research upon the need of the customer and
according to that the product and service are designed to satisfy the customers. Moreover in the
competitive market the accomplished entrepreneurs are also similar as they are financially stable
to design their product and services efficiently. In order to deal with the issue of the normal
people of the society, the social venture entrepreneurial venture is considered as it designs the
products to deal with such problems. Hence such entrepreneurs are considered as innovators and
hence research entrepreneur maintain this type of venture (Storey, 2016).
P2 Difference and similarity between different entrepreneurial ventures
As stated before there is four type of entrepreneurial venture, one of them is small business
entrepreneurship. In order to earn the effective amount of profit and enhance the effective
competitive advantage these type of entrepreneurship play the effective role. They have the
intensive aim to get something of their own in the competitive business environment. Often it
becomes quite thought for such entrepreneurs to develop the new and innovative idea for such
ventures. However, it is said that scaleable start-up business organization play the vital role to
bring innovation to the product and service are designed to meet the expectation and need of the
customers. Hence this is the reason it is said that small business entrepreneurship varies in
nature. Furthermore, there are some of the venture present in the market that is financially strong
to design the product and service that can reach the expectation level of the customers. This type
of venture goes through different stages of innovation to become financially strong and is
capable to offer new product and services in the market (Henrekson and Sanandaji, 2014.)
M1 Entrepreneurship in private and public sector
The term entrepreneurship is not the exact phenomenon of the private sector but it is associated
with the business activity of the private sector. First and foremost, it is important for the different
entrepreneurs’ business start-up in the UK to understand Brexit, to enhance the effective
opportunity for it. For the student and pass out there is ample amount of job opportunity present
in the private sector of UK. it paves the relevant way for the UK to enhance the effective
financial growth. However, emphasizing upon the public sector those are effectively successful
in the market can effectively invest in the government project after the effective investigation of
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the project. Moreover, the proper funding from the entrepreneur will support or push to
complete the project according to the deadline estimated (Sahut and Peris-Ortiz, 2014).
D1 Growth and development of entrepreneurial venture along with the scope
The entrepreneurial venture promotes the ample amount of opportunity for the growth of the
organization in the growing competitive market. In addition to it, it provides the effective job
opportunity that can support the society for the optimum growth of the society. The government
of UK stated that they have the effective opportunity to enhance their economy from Brexit.
Moreover, across the United Kingdom, it will clear the effective prosperity and job opportunity.
Hence it will help to keep the country more united and build strongest among society people.
Hence the UK can enhance the sustainable position in the business environment. Moreover, the
technical advancement wills the business environment to grow properly in the respective field. In
the different business platforms, the different entrepreneurial venture has the effective capability
to get the gradual growth (Canales, 2016)
Part 2
P3 the impact of small business and micro on the economy of UK
People those are engaged with the small-medium business activity are aware of the fact that
SMEs are thriving currently in the market of UK. It is said that integral and large part of the
UK’s economy and it needs the small-medium business to sustain effective economy. The
number of small-medium business started in UK is effectively recorded in the year 2013-14. In
2014, there were more than 5.1 million business running in UK and it act as the key element to
sustain the healthy economy. Among this value, 97% of the business in UK market comprises of
SMEs. Therefore, it can be said that SMEs have the effectiveness impact over the economy of
UK. Each of the organization comprises of 10 people and it covers around 33% of the total
employment. According to the estimate turnover it is only 19% in the year 2015. Hence this
helps the country of UK to reduce the unemployment rate and modify the product in terms of
innovation (Burrows, 2015)
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P4 Significance of small business as well as start-up organization regarding
growth of the UK growth
It terms of comparison, it is quite tough for the small business enterprise to get the optimum
profit than that of a large business organization. The small business enterprises face the
challenges on the pathway to prosperity and regulation. The contribution of the small business in
the UK market is significant, it acts as a backbone to maximise the economy. Moreover, it
creates job opportunity, opens new market and drives the effective growth of the country. The
small business enterprise prefers to employ the local people and therefore it is important as it
reduces the rate of unemployment and also reduces the unemployment risk of the people. As the
rate of unemployment decreases it built up the social economic culture of the country. Kit help
the UK to achieve the stability, brings the new idea to face the challenges and encourage
competition. However, the small and medium scale business has the effective contribution to the
rise of the economy and standards of the UK and reduces the rate of unemployment as well
(Qian and Haynes, 2014).
M2 Explanation of the impact of small, medium and large business over the
economy of UK
With the expansion of the small-medium business venture in the UK market, the country
economy gets the identical stability and maximization. Hence it is used as a catalyst that can be
used for the social and economic development of the country. The small business organizing is
overshadowed due to the financial strength of the large business scale. In addition to it, the
medium scale business venture is classified into three different forms that can influence the
country economy. The local resident of the UK gets the financial independence from the set up
small-medium scale business. In terms of other business ventures, it also encourages the process
of innovation. Moreover, it helps to sustain effective in the competitive environment of the
business. On another hand, the larger scale business of UK is financially strong and can
effectively give the contribution to open the electronic market where the local crowd can satisfy
their demand and need for the product and service (Jaén et al. 2017).
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D2 the impact of small business on regional, local, international and national
context
The small business organization creates the effective job opportunity for the local residents and
helps the growth of the economy of the country. In addition, the small business organizations
initiate the innovation process at the regional level and the people of the country can effective
show their skill and talent. The innovation is the process that helps the country to get the
platform to grow and flourish prosperity. Moreover, the organization can also get across the
international and national platform to satisfy the wants and needs of the customers regarding the
innovative service and product. Furthermore, the large-scale organization by maintain the pricing
strategy attract the number of customer to purchase their goods and services. It helps the
customers to satisfy their wants and the company earns the effective profit (Chetty et al. 2014).
Part 3
P5 Different characteristic that is required for the successful entrepreneur
The very first thing that one should keep in mind to be a successful entrepreneur is to follow the
principle sincerely. One must be optimistic, enthusiastic and must be future-oriented. One must
be willing to take the risk of resource to get the optimum profit. Taking risk is important for any
business to growth, without taking risk one cannot be considered as a successful entrepreneur. In
addition it is important to expand the market share and must always think about the business
first. Furthermore, to be successful entrepreneur, the individual must have the spark and effective
business skills. The quality and talent that the entrepreneur must have is quite different from that
of normal people. Often the entrepreneur is not at the state of hiring the employees hence must
be self motivated together the work for the growth. They must be self motivated, disciplined,
determined and open-minded towards their venture. Apart from this the important key that make
the person a successful entrepreneur is significant planning. The time, money and resource
management needs to be clear and simple in the mind of the person before taking any step
(Ackermann and Audretsch, 2013)
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P6 Demonstration of motivation and mindset over the entrepreneurial aspect
Different motivation aspect is very important for the person to be a successful entrepreneur. Sir
Richard Branson is one of the follow aspects to make the person successful. Along with it, to be
a positive mindset is another important factor. According to Sir Richard Branson stated that in
the early to venture he faced the tremendous issues. In any terms he did not lose his hopes and
started the new venture, rest is still the history to be recalled. In the age of 16 he was drop out
from the school but still be he started his own venture named as students. After few time, he
bought innovation and diversification to his own venture and started the mail order organization.
By effective notification of dissatisfaction of the customers he also provided with the long-term
vision. The British Airways customers are not satisfied with the service and this set up Virgin
Atlantic. Nowadays it is providing the tough competition to British Airways (Bennett, 2014)
M3 Dissimilarity in between entrepreneurial characteristics
In this report, distinguish in between the entrepreneur and other various entrepreneurial venture
that is successful is required to be considered. The train of hardworking nature is the first and
foremost step to be a successful entrepreneur such as Muhammad Yunus. Moreover, the culture,
education and family background of the person also have the influence on the success of the
person. The past experience helps to person to learn and attain practical knowledge. Richard
Branson and Muhammad Yunus belong to a different cultural background and have their own
experience. Muhammad Yunus is one of the practical person and realistic in nature and this
nature help him to bring innovation in the Bangladeshi economy. Different experience, personal
skill, knowledge, and trait help the person to become the successful entrepreneur. Apart from
this, the successful entrepreneur must have the ability to take the risk and maximise their shares
in the market. It will help them to wide up their business successfully (Smallbone et al. 2014).
D3 Analysis of characteristic traits, motivational drives, and skill of successful
entrepreneurs along with example
Motivational plays the vital role in order to make the person successful, but is one of the critical
factors. Only motivation of the person will not help them to be a successful entrepreneur. Along
with it the skill of the person is also important, thus together help the person to be a successful
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entrepreneur. The Sir Richard Branson after failing for his first two ventures established his
third venture successfully. The virgin group venture developed by Sir Richard Branson is now
giving the effective competition to British Airways. The example of being the successful
entrepreneur is Muhammad Yunus has the effect international economy thus it supported him to
rebuild the entire Bangladeshi economy. Therefore, if the force is in the right direction, the
motivation and skill factor support efficiently a normal person to become the successful
entrepreneur (Epifanova et al. 2015).
P7 Background and experience to specify successful entrepreneur
The real-life fact, experience, and skill help a [person a lot to be the successful entrepreneur.
Every aspect has both the positive and negative aspect, it depends on the personal perspective
about determining it. Highlighting the life background of Muhammad Yunus, he belonged to
goof family as well as also receive the significant knowledge. He is well known as a successful
economist and in the national economy of Bangladesh, he identically identified loopholes.
Along with it, he reconstructed the loan repayment system and brought the great sense of
innovation in the society of Bangladesh. His effective, skill and knowledge supported him to
redefine and reconstruct the economy of Bangladesh. Hence, the real-life experience plays the
crucial role in personal life to be a successful entrepreneur. The case of Sir Richard Branson can
be considered as well. It gives the relevant evidence that after failing in the first two ventures he
got success in his third attempt venture.
M4 Examination of link between entrepreneurial characteristic and the
influence of experience and personal background to specific successful
entrepreneurs
The life experience of the person plays the very important to form their mind, skill, talent and
thinking capability. The characteristic and behavior of the person are associated with the
personal life events. Moreover, it is also based on the person educational background and their
family experience as well. The person must have the quality to manage the money as well. For
example, the person that belongs to poor economic background had known the value of money
more than that of other. This gives them the knowledge to use the money in right place and the
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right time. The people that belong to the disciple family background are sincere, and well
behaved such as Muhammad Yunus. Moreover, for the person, it is important to be self-
dependent and must be the self motivator. This will help to achieve success without others needs
and support. For example, Sir Richard Branson is one of the well-known entrepreneurs as he
was self-motivated.
D4 over successful entrepreneurs, the positive and negative impact of
background
The belonging from the systematic family background help the person a lot to get adjusted in the
competitive market. It creates the sense of positive and negative impact on the perspective of the
person. The successful entrepreneur requires the ability of hard work, self motivation, decision
towards work and well as taking business risk. If one lack such ability, cannot be considered as a
successful entrepreneur. In order to sustain in the world of competition it is important to face the
tough competition that incurs in the way. The hard working nature and dedication towards work
help the Sir Richard Branson to be successful. Though he was dropped out from school at early
age still his dedication made him renowned by all. Muhammad Yunus is another example of
successful, hardworking entrepreneurs in the competitive business environment. Both enhance
the effective success in the recent world and is known as proper entrepreneurial venture (Ratten,
2014)
Conclusion
The study provides the relevant justice that for the success of the country the entrepreneurs act as
a strong pillar. It helps the country to be developed along with maximise the economic income of
the country. For the success of the entrepreneur motivation plays the significant role. The small-
scale venture plays the important role in the growth of the UK economy. It flourishes the
prosperity, brings unity and creates employment for the local people. Innovation and
modification helps the people to get the relevant goods and service whenever required. Planning
is one of the important factors for the proper management. The successful entrepreneur requires
all the required quality as explained in the report to be successful in the long run. However, the
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fact remain that the large-scale venture get more opportunity and somewhere it down strain the
small-scale ventures.
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Reference list
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Sahut, J.M. and Peris-Ortiz, M., 2014. Small business, innovation, and entrepreneurship. Small
Business Economics, 42(4), pp.663-668.
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