Entrepreneurship and Small Business

Entrepreneurship
and
Small Business

Contents
INTRODUCTION.......................................................................................................................................4
TASK 1.......................................................................................................................................................4
P1. Examine different types of entrepreneurial ventures and explain how they relate to the typology of
entrepreneurship......................................................................................................................................4
P2 Explore the similarities and differences between entrepreneurial ventures.........................................5
TASK 2.......................................................................................................................................................7
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..................................................................................................................................................8
TASK 3.....................................................................................................................................................10
P5 Determine the characteristic traits and skills of successful entrepreneurs that differentiate them from
other business managers........................................................................................................................10
P6 Assess how aspects of the entrepreneurial personality reflect entrepreneurial motivation and mindset
...............................................................................................................................................................11
TASK 4........................................................................................................................................................11
P7 Examine, using relevant examples, how background and experience can hinder or foster
entrepreneurship....................................................................................................................................11
CONCLUSION.........................................................................................................................................12
REFRENCES............................................................................................................................................13

INTRODUCTION
Entrepreneurship refers to a way in order to set up a business unit through analyzing and
evaluating different risks which are related to startup a new venture such as financial as well as
managerial risk. Entrepreneurial ventures is started by an entrepreneur who have ability to take
risk in order to set up own business (Chi, Tansuhaj and Sun, 2016). Along with this it may have
various ownership structures and an entrepreneur must need to have some specific skills and
ability which help them in development and management of a business unit properly. Moreover,
experience as well as personal background of an individual may also have diverse impact on
entrepreneurship which may be promote a business unit. Skills and ability of an entrepreneur can
be god gifted by birth or it can be enhanced by attending classes or sessions. Topics covered in
this report are various types of entrepreneurial ventures and it impact on country economy. Apart
from this, it include skills and mindset which are required in order to set up a business unit as
well as it will also include factors such as experience and personal background that may impact
on a start-up of business unit.
TASK 1
P1. Examine different types of entrepreneurial ventures and explain how they relate to the
typology of entrepreneurship
Entrepreneurial venture refers to a business unit which is established by an individual in
order to fulfill need and demand of their target audiences. Along with this, an entrepreneurship
venture can be established in order to serve society. There is various type of entrepreneurial
venture which are mentioned below:-
Small business entrepreneurship: It refers to that startup businesses unit which can be only run
by owners and in this number of employees are very low such as approx 5 staffs. Along with
this, in this type of venture revenue or profit generation is not too high as well as these ventures
are continuously focuses on attracting more and more customers due to which they design and
development its products or services accordingly (DAILY, KIEFF and WILMARTH , 2014).
Respective type of business unit can be established with members of family or with friends as

partnership. Moreover this type of business unit must conduct analysis and then develop as per
the demand of customers.
Scalable startup entrepreneurship: It refers to those business units which starts its business
through innovative and creative ideas that mainly focus on serving innovative products or
services to its customers or potential audiences from beginning. Basically entrepreneur who are
going to established this type of venture believe that their idea may change the world, due to
which start arranging capital from various investors in order to start their activities or operations.
This type of business units are mainly based on their innovative ideas which help them, in
attracting customers appropriately and effectively.
Large company entrepreneurship: It refers to those type of entrepreneurial business unit which
have limited life cycle as well as they are mainly focus on serving new products or services to its
customers in order to sustain for a long time at a particular marketplace (Davidsson, 2015).
While operating or conducting activities in respective industry an organization may face some
difficulties such as demand of customers, legalizations, policies and many more things are
changing on continuous basis due to which owner or entrepreneur of this business has to develop
strategies and polices accordingly in order to fulfill need as well as demand of customers in
effective way that leads to enhancement in profits and market shares.
Social entrepreneurship: This refers to type of entrepreneurial venture which mainly focus on
solving problems or issues of potential customers by offering them products or services
accordingly that fulfill demand and need. Along with this their main aim is to develop a better
world for people or customers. Social entrepreneurship venture can be in various forms such as
for profit motive, non-profit motive or hybrid.
P2 Explore the similarities and differences between entrepreneurial ventures
Similarity between Small business entrepreneurship and Scalable startup entrepreneurship
Innovation: It refers to factor which is adopted by a company in order to satisfy need and
demand of customers in effective manner by offering innovative as well as creative products and
services. Along with this by offing innovative products and services, company able to enhance
their profitability ratio as well as market shares (Decker, Haltiwanger and Miranda, 2014). In
respect of small and Scalable business enterprise they both adopt innovation factors which help