Entrepreneurship and Small Business Management

This report discusses entrepreneurship and small business management, including different types of ventures and their impact on the economy. It also explores the characteristics and traits of successful entrepreneurs and how their background and experience influence their success. Case studies of local, social, and international entrepreneurs are included.

Entrepreneurship and Small
Business Management

Table of Contents
INTRODUCTION...........................................................................................................................1
PROJECT 1......................................................................................................................................1
Different types of ventures and their impact upon the economy............................................1
Comparison between enterprises............................................................................................2
Impact of different business on economy...............................................................................3
PROJECT 2......................................................................................................................................4
Entrepreneur Mind-set?..........................................................................................................4
The characteristic traits, skills of successful entrepreneurs....................................................5
Difference between characteristics of successful Entrepreneurs and Managers...................7
How background and experience influences entrepreneurs: Local Entrepreneur..................7
How background and experience influences entrepreneurs: Social Entrepreneur.................7
How background and experience influences entrepreneurs: International Entrepreneur.......8
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Entrepreneurship is a process that includes different type of procedures like initiation,
launching, designing of a newly established business venture to generate value from them.
Entrepreneurs aim towards offering unique and innovative product and services to customers in
order to satisfy their needs and demands (Ayoub, Gottschalk and Müller, 2017). Entrepreneurs
undertake risks that are already associated with new business in order to serve and fulfil
community and individual effectively by offering them innovative services facilities and
products. Entrepreneurship is having maximum contribution on economy of nation, as they play
a major role in offering employment opportunity to large number of individual. It automatically
enhances living standard and overall GDP growth of a country. Present report includes
discussion upon entrepreneurial venture along with their economic impact. In addition to this
characteristics and traits of successful entrepreneur are also included in this report. Further this
report includes experience and background influence upon entrepreneur along with
entrepreneurial mindset.
PROJECT 1
Different types of ventures and their impact upon the economy
Entrepreneur
Entrepreneurs are those individuals who undertake risks and innovate product, services
with unique feature with the aim to satisfy customers and society needs in order to generate value
from them. They play a crucial role in economic growth and development. There are different
types of entrepreneur those who form their business operations in different segments that are
defined below:
Different types of entrepreneur
Small business –
Entrepreneur in this segment conduct their business functions in small market segment
and operate their activities with minimum capital investments. It includes business units like
plumber services, carpenter, grocery stores and more. This has been identified that organisation
in this business provide their product and services to large organisations and earn money for
living hood.
Large business –
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Entities those who are operating their business services in large business entrepreneurial
venture are conducting their business operations with high capital investment to fulfil need and
demand of customers at large scale by providing them wide range of services and products.
These organisations are having main objective to enhance their profitability at great extent and
accomplish corporate goal with maximum efficiency, Marks and Spencer, Tesco are some of the
examples those who conduct their business in this segment. Entities forming their business
within large sector aim towards expanding their services all around the world to generate
maximum revenue.
Social business –
These are those organisations who engage in the business activities to provide welfare and
benefit to citizens and society (Chahar, Hatwal and Arya, 2020). Organisation within this have
one of the most important objective which is to solve problems as a well as issues that are
prevailing in community by offering them efficient services, products and other facilities to full
customers need and demand by helping them efficiently. Entities involved in social business
entrepreneurial services provide customers with the facilities related to offering welfare to for
citizens, protecting environment etc.
Comparison between enterprises
Entrepreneurs performing their entrepreneurial business operations in different type of
ventures like small, large and social those are impacting upon their day-to-day performance.
Mentioned below formative comparison among different type of entrepreneurial venture is
define
Basis Small business Large business Social business
Purpose Companies involved
in business
entrepreneurial
process have main
purpose which is to
earn money for their
livelihood by offering
services and products
to customers.
Main purpose of large
business organisation
is to maximize their
profitability by
satisfying customer’s
needs at wide range
along with expanding
their business
operations in other
Business forming in
social entrepreneurial
segment conducts
their functioning with
the purpose to fulfil
welfare need and
demand of customers
by offering them
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geographical
locations.
different services.
Scale Companies within
small business sector
conducts their
business at small scale
with having low level
of capital investment
Involved
organisations perform
their functioning in
high scale and invest
high amount of capital
fund along with
periodical
investments.
Players operating
their business in a
small scale in order to
provide benefit to
community,
individual or group of
customers in order to
provide support and
welfare to individual
with their business
offerings.
Impact of different business on economy
There are different type of business units that are performing their activities and operation
and play role in economy and society. In this different type of entrepreneurs of their functions
that significantly contributed economic growth and development in a nation GDP rate.
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It has been identified that small scale and start-up are highly contributing in United
Kingdom economic growth by facilitating job opportunities to large number of large number of
individuals. It has been identified that small scale business are contributing up to 99.3% in
business sector comparatively to large and medium scale. In addition to this what is 47.8 % of
employment opportunity are also been this business unit. If it is talked about large scale
organisation they are contributing with 47.8% person turnover.
Importance of enterprise and start up for economy growth
Enterprise and start-ups are economically providing different benefits. In this
entrepreneurs play a crucial role as they offer innovative and services and products to customers
(Burtch, Carnahan and Greenwood, 2018). This develops efficiency of micro and small scale
business organisation and importance of start-up and enterprise upon economic growth is being
defined.
Enhance employment rates –
With the increase in scale of small size business organisations there are large number of
employment opportunities that individuals are gaining (Harima and Freudenberg, 2020). It has
been identified that entities performing their operations in this segment provide maximum
number of employment local level individual that not only enhances their living standard but also
information country per capita individual income group.
Quick services –
There are large number of micro and small scale business units performing their operations
in local market significantly that are providing efficient support and quick services not only to
customers but also to large-scale organisation, it duly enhances their importance at great extent.
PROJECT 2
Entrepreneur Mind-set?
Entrepreneur mindset is defined as a state of mind that identifies an individual conduct towards
entrepreneurial activities. Individuals who have entrepreneurial mind set keenly tend towards
undertaking new opportunity as to create innovative and unique offerings. This concept
determine a state of mind that made a person to undertake new challenges and risk to innovate
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something new. Person who is having entrepreneurial abilities mainly possess five characteristics
that are accountability, confidence, decision, resilience and humidity.
The characteristic traits, skills of successful entrepreneurs
Entrepreneur are the individuals who are mainly tend towards innovation, in this they
take advantage of new business idea to develop a business venture in which they provide
different type of unique services, product and facility to customers in order to generate value
from them. Entrepreneurs are contributing significantly in economy while bearing risk. It has
been identified that there are different skill, characteristics and trait through which entrepreneurs
motivate them to accomplish their entrepreneurial goals as well as objectives. Mentioned below
some certain form of characteristics skills and motivational drivers of different entrepreneur is
defined:
Ren Zhengfei:
An entrepreneur performing his activities as CEO of Huawe, he is a Chinese entrepreneur
who aims towards making Huawe one of the largest and world’s excellent telecom equipment
produces around the globe. There is different type of skills and characteristics possessed by Ren
that facilities him to perform his entrepreneurial activities with great efficiency.
Characteristic
Keen Learner: Ren is having the characteristics of keen learner which is an essential
aspect of his believe, that states learning before act. Zhengfei motivate employees and further
allows them to undertake new risk to engage in innovative business operations. In terms of
management styles it has been identified that managers mainly undertake advantage of inflexible
style in which they restrict employees to undertake any risk.
Skill
Directive Leadership: Ren is one of the most efficient entrepreneurs and is having the
skill of directive leadership. This skill allow him to undertake diverse range of leadership
approaches through which he direct, guide and motivate employees of Huawe. While along with
this it has been identify that directive leadership facilitate Ren to accomplish organisational
objectives efficiently. While in terms of manager they take advantage of rigid style as they are
restricted to undertake any rapid change.
Trait
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Purpose driven ambitious: It is one of the most essential and crucial trait of Ren of
through which he fulfils consumer needs and demands efficiently. Purpose driven ambitious
allow respective entrepreneur to aspire employees within organisational workplace structure to
understand actual needs and preferences of customers. Comparatively organisational manager
somehow find difficulties to identify customers actual differences and demands.
Liz Wilson
Wilson conducts operations as an entrepreneur n which she performed their business activity
as Ma Baker owner; she is having high passion towards baking that made her undertake
innovative ideas in order to offer unique services and products to consumers. She is also a
passionate home-cooked teacher and baker with a passion towards baking to run one of the
successful and awarded micro bakery in London provinces.
Characteristic
Passion: Liz is having characteristics of passion towards baking through which she
successfully conduct their entrepreneur function or activities in a micro Bakery business venture.
In this she undertakes innovative ideas to deal with bread and further offer unique dishes to
customers.
Skill
Innovative thinking: It is one of the most important skills which Liz is having as she loves
to make different, different things with bread and offer consumers with unique and innovative
offerings in order to draw their attention effectively towards her bakery. With having innovative
thinking skill Liz welcomes new opportunities and changes.
Trait
Confident: Liz Wilson successfully conducts business operations as an entrepreneur.
Confidence is essential trait of Wilson through which she performs her business activities with
great confidence and zeal. It is being determined that food Industry is dynamically changing and
preferences and customers of consumers are also evolving at faster rate. In this, confidence trait
effectively aid Wilson to welcome new changes with innovative ideas that enhances business
growth opportunity.
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Difference between characteristics of successful Entrepreneurs and Managers
Entrepreneurs Managers
Entrepreneurs operate their business with
having an aim to satisfy community, society or
individual needs efficiently by serving them
with innovative and unique offerings (Koe,
Mahphoth and Karim, 2020). By being a keen
learner they always engage in innovation related
to services process and products to take
opportunities.
These individuals mainly conduct their
business activities within an organisation
for salary purpose. Managers mainly have
restricting nature towards any changes
Innovation and risk.
How background and experience influences entrepreneurs: Local Entrepreneur
Liz Wilson, successful owner of Ma Baker in United Kingdom.
Background:
Liz background depicted that she is a baker, passionate home cook and a teacher. She
completed course of Bread Angel’s Micro Bakery in 2013 that made her identify her likelihood
towards cooking from then she started innovating different things with bread and later
established her own micro bakery in London.
Experience:
Liz volunteered in different bakery and cooking schools that enhances her experience in cooking.
In addition to this she also was the runner up in World Bread Awards in home baker category in
the year 2014. It determined that she had different type of experiences in cooking before setting
up her own micro Bakery.
How background and experience influences entrepreneurs: Social Entrepreneur
Bill Drayton, chairman of Ashoka: Innovators for the Public. In this they discover social
entrepreneurs and offer them support.
Background:
Having a quite helpful background Bill Drayton shaped himself as a successful social
entrepreneur. It has been identified that in President Jimmy Carter administration Bill duly
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served as an Assistant Administrator of EPA in which he was involved in launching of emissions
trading.
Experience:
This has been identified that experience is having significant impact on shaping
entrepreneurial function of an entrepreneur Bill chaired 2 organisations Get America Working
and Get America Working (Bertoni, Martí and Reverte, 2019). Along with this he duly served
his role s a manager for McKinsey and company and management consultant for 10 years.
How background and experience influences entrepreneurs: International Entrepreneur
Ren Zhengfei
Ren falls under the category of international entrepreneur as he is well-known for his
entrepreneur activities as a CEO and founder of Huawei.
Experience:
Ren completed his higher secondary schooling 1960, after this he duly served in People’s
Liberation Army research institute in which he was a member and conducted military
technologist role. It has been identified that by serving the role he developed interest towards
technological progression that made him launch his own successful entrepreneurial venture.
Thus, it has been identified that this entrepreneur is having different experiences that support him
to become legendary entrepreneur.
Background:
Ren is having strong background in which his grandfather was a master chef and his father
served in government arm factory as an account clerk. In addition to this it has been determined
that respected entrepreneur mother was a senior teacher. Thus, this background facilitates Ren
and offers him support to accomplish his entrepreneurial objectives in efficient manner.
CONCLUSION
According to the given report it has been concluded that entrepreneurship is defined as a
crucial process in which entrepreneurs effectively engage in the process of innovating new
product and services with unique measure to serve society and individual needs. With their
significant contribution upon nation economy entrepreneur also provide maximum number of
employment opportunity to individual. It maximizes their living standards and economic growth
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and development of a country. It has been identified that experience and background play
essential factor which is having impact upon entrepreneurship as they act as facilitating as well
as hindering factor upon their entrepreneurial cycle. With having effective characteristics skill
and passion entrepreneurs is having capability to significantly fulfil their entrepreneurial goals as
well as objectives in a well defined and effective manner.
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REFERENCES
Books and Journals
Ayoub, M.R., Gottschalk, S. and Müller, B., 2017. Impact of public seed-funding on academic
spin-offs. The Journal of Technology Transfer. 42(5). pp.1100-1124.
Bertoni, F., Martí, J. and Reverte, C., 2019. The impact of government-supported participative
loans on the growth of entrepreneurial ventures. Research Policy. 48(1). pp.371-384.
Bobera, D., Leković, B. and Berber, N., 2017. The relationship between motives of
entrepreneurial behavior and venture maturity. Industrija. 45(1). pp.81-98.
Burtch, G., Carnahan, S. and Greenwood, B.N., 2018. Can you gig it? An empirical examination
of the gig economy and entrepreneurial activity. Management Science. 64(12). pp.5497-
5520.
Coulibaly, S.K., Erbao, C. and Mekongcho, T.M., 2018. Economic globalization,
entrepreneurship, and development. Technological Forecasting and Social Change. 127.
pp.271-280.
Heider, A., Gerken, M., van Dinther, N. and Hülsbeck, M., 2020. Business model innovation
through dynamic capabilities in small and medium enterprises–Evidence from the
German Mittelstand. Journal of Business Research.
Chahar, D., Hatwal, D. and Arya, D., 2020. ROLE OF PROFESSIONAL EDUCATION IN
DEVELOPING ENTREPRENEURIAL SKILL AMONG FEMALE STUDENTS AN
EMPIRICAL RESEARCH. International Journal of Psychosocial Rehabilitation, 24(4).
Harima, A. and Freudenberg, J., 2020. Co-creation of social entrepreneurial opportunities with
refugees. Journal of Social Entrepreneurship, 11(1), pp.40-64.
Koe, W.L., Ismail, S., Mahphoth, M.H. and Karim, R.A., 2020. The Mediating Role of
Individual Perception between Individual Orientation and Intention towards Sustainable
Entrepreneurship. KnE Social Sciences, pp.179-190.
Datta, K.S., Adkins, O. and Fitzsimmons, J.R., 2020. Entrepreneurship and social media
influencers in an Islamic context. In Understanding Social Media and
Entrepreneurship (pp. 121-139). Springer, Cham.
Landström, H., 2020. The Evolution of Entrepreneurship as a Scholarly Field. Foundations and
Trends® in Entrepreneurship, 16(2), pp.65-243.
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