Entrepreneurship and Small Business Management

This assignment delves into the world of entrepreneurship and small business management, exploring the factors that influence individuals to become entrepreneurs and the role of innovation in small and medium-sized enterprises. It also examines the impact of Brexit on international business and entrepreneurship, highlighting the importance of entrepreneurship education and training. The assignment covers various topics, including sustainable entrepreneurship, technology transfer, and the entrepreneurial mindset, providing a comprehensive understanding of entrepreneurship and small business management.

Entrepreneurship and
Small-Business
Management
Table of Contents

INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................4
P1: Types of Entrepreneurial Ventures and their relation with the typology of
Entrepreneurship.........................................................................................................................4
P2.Similarities and Differences between entrepreneurial ventures.............................................4
TASK 2............................................................................................................................................6
P3.Interpret and assess relevant data and statistics to illustrate how micro and small businesses
impact on the economy...............................................................................................................6
P4.Importance of small businesses and business start-ups to the growth of the social economy.
.....................................................................................................................................................6
TASK 3............................................................................................................................................6
P5: Characteristic Traits and Skills of Successful Entrepreneurs that differentiate them from
business managers.......................................................................................................................6
P6: Aspects Of Entrepreneurial Personality Reflect Entrepreneurial Motivation And Mindset.
.....................................................................................................................................................6
TASK 4............................................................................................................................................8
P7: Background and Experience can hinder or foster Entrepreneurship....................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Entrepreneurship refers to procedure of creating new business idea and implementing it
effectively for developing business that provides value to all. Entrepreneur is the one who owns
capability of managing work at their own level and also converts it into successful business.
Entrepreneurs often starts work with small scale and later convert it into a good business with the
attainment of goals and objectives (Ahmad, 2015). The current project provides knowledge on
different types of entrepreneurs along with their respective typologies. At next, it provides brief
description about similarities and differences between entrepreneur ventures. Also, impact of
small scale businesses on economy will going to be explored. Assessment of key aspects of
entrepreneurial mindset will also be addressed in project. At last, several environmental factors
which hinders or foster entrepreneurship will going to examined effectively.
TASK 1
P1: Types of Entrepreneurial Ventures and their relation with the typology of Entrepreneurship
Entrepreneurship refers to activity of establishing a company with the acceptance of all
risks and profits associated with it. Entrepreneur basically initiates its business with an effective
idea and willing accepts its risks for gaining monetary benefits. There are different types of
entrepreneurial ventures completely depends upon scale are described as below: Small Scale Enterprise: These businesses are mainly operated by single proprietor who
works for managing their basic expenses. In this type of venture, business is basically
operated by two or more workers. Here, entrepreneur often chooses to their family
member or relatives in order to execute business work. Some main example of these kind
of enterprises are carpenters, grocery stores, street shop owners, brokers etc. Large Scale Enterprise: This type of entrepreneurial venture includes those business
enterprises in which numerous of business activities are operated at single time. These
ventures have developed various kind of job opportunities for people. In this, main aid of
enterprises is to bring more innovations in their products and services for motive of
maintaining customers base (Audretsch and Caiazza, 2016). Example of large scale
enterprises are Samsung, Nokia, Apple etc. Scaleable Enterprise: These types of entrepreneurs brings innovation in the society. They
mainly places efforts to use their innovative and creative ideas for satisfying needs and

requirements of customers can be fulfilled. Once after making their business successful
these entrepreneurs sells their business to large scale company and moves forward to
introduce any other business idea for converting it into successful business. Some core
example of these entrepreneurship ventures are Facebook, Amazon, etc. Social Enterprise: These entrepreneurs mainly emphasises to bring innovation for social
welfare motive so that customers could get solution for their specific issues. Here,
preliminary motive of entrepreneur is to serve society with their hard work and after
fulfilment of this another motive is to generate benefit from it. Some common example of
social entrepreneurs are Hill Holt Wood, Cafédirect, etc.
All of these enterprises work in the society and cooperative work life that places major
role in establishment of various typologies that affects a lot on entrepreneurs and their working
part. Typology of entrepreneur also influences their decision making and establishment of
enterprise (Kassean and et. al., 2015). Some of main typologies are:
Male Entrepreneur: Male entrepreneurs are more risk taker who takes risk as per
situation by analysing all associated factors. There main motive is to earn higher profits. For this,
they take ample number of risk which is associated with the business organisation and as a result
they will be able to covert their business into large scale organisation.
Female Entrepreneur: Females are seen as more stable as compared to male
entrepreneurs. Majorly it has been observed that females are less likely to take risk as they are
having numerous of responsibility which influences them to not take any kind of risk. They also
ensures to work with the small scale enterprises only as it does not require huge investment.
Females are self motivated and concentrated toward their work (Bryson and Daniels, 2015).
These typologies play a varied role in the establishment of entrepreneurial ventures in the
business environment.
P2.Similarities and Differences between entrepreneurial ventures
There are various types of entrepreneurial ventures which is available at the marketplace
help in generating more profitability as well as for the development and welfare of the society. It
has been analysed that there are some similarities along with differences within them (Belz and
Binder, 2017). Some of these includes small scale, large scale, scalable, social, researcher
enterprises and many more.
Difference:-

Small scale enterprise Scalable enterprise
 It has been define that start up business
is introduced by using someone else
idea which is generally stolen by some
other person business method.
 It is the type of business which is
established with the motive of earning
money and to fulfil the requirements of
their family members.
 In case of scalable business, it has been
define that the idea of such business are
totally new which is introduced for the
first time at marketplace.
 Main reason behind establishing such
type of business entity is to bring
innovative products within the
marketplace.
Large scale enterprise Social enterprise
 These are the business organisation
mainly working on a large scale
platform with around 250 staff
members. Their primary purpose is to
earn profitability at the marketplace
without contributing in the
development of the country as well as
of the society.
 On the other hand, it has been identified
that social enterprises are established
for the purpose to contribute their share
the marketplace. Their main motive
behind this is to generate employment
opportunities so that they can improve
the living standard of individual
(Bryson and Daniels, 2015).
Start-ups enterprise Large scale enterprise
 It is define as small business
organisation with less than 10 people
working in it. There motive is to earn
money and to bring innovation at the
marketplace.
In case of large scale business, there are more
employees than start up business. Its main
purpose is to generate more revenue by selling
there goods and services.

Similarities-:
Apart from differences there are various similarities available in the above mentioned
entrepreneurial venture which includes large scale, small scale as well as social enterprises which
are as follows:-
 All these three organisation exist for the main motive of earning money. It is the basic
reason behind their existence and to contribute there share in order to raise the living
standard of individuals (Burrows, 2015).
 Apart from this, another similarities is that they all generate employment opportunities
at the marketplace so that they can enhance the economic system of the country.
 In addition to this, all the three organisations exist with the motive to satisfy the
requirements and demands of customers by providing them high quality products.
TASK 2
P3.Interpret and assess relevant data and statistics to illustrate how micro and small businesses
impact on the economy
The classification of organisations have been done in different types basically the
discussion in this part will be made about micro, small, medium enterprises. The SMEs in UK
has contributed an important part in developing the economy and has also covered 60% percent
of total private sector employment. In the innovation and development, the contribution of these
organisation is also crucial as not only they had improved the innovation processes but also has
contributed in driving job opportunities for people to a different level. However, the impact of
Brexit has also been created on the working of these organisations in a negative way but with the
passing of time, the condition and economy is also stabilising (Cumming and Zahra, 2016). The
businesses which are covered here are private, sole proprietorship, partnership that are
commonly found in SMEs. Additionally, the two third of SMEs has scaled back plans for their
future capital investment and growth in the year 2020, on the other hand, there are also some
companies which are making their focus on the exporting their sales over the same period of
time. The impact of Brexit was severe on the working of Small and Medium Organisations and
some of the organisations has also received help from the Scottish Government for an amount of
£4,000. Further, support has also been provided by the Barclays Bank so that it could become
possible for them to cope with the uncertainty situations.
6

P4.Importance of small businesses and business start-ups to the growth of the social economy.
Brexit is being considered as a deal, which consists with an agreement of withdrawal of
United Kingdom from European Union, where UK got evicted considering the votes 52% (Won)
to 48%. Basically, this referendum which took place was effectively high in nature around 72%
and around 17.4 million individuals has opted Brexit and voted out UK. This has impacted in
both negative and positive manner on both SMEs and start-ups as well (Fayolle, Verzat and
Wapshott, 2016). In present context, there are a range of factors that has affected and these are
mentioned underneath:
 Employment generation- If it is talked about opportunities for both SMEs and Start-Ups
of United Kingdom has raised employment opportunities, because this nation's economy
turned out to become open where, any individual could come and perform job. This has
helped in enhancing the profit margins of small, micro enterprises and start ups as well
through providing them with ample number of opportunities to staff members.
 Developing personal relationship- Due to Brexit, relationship between employees that
belongs to another nation and staff members that were belongs to the same country have
gone disturbed. Therefore, this could be considered as one of the major threat that came
in front due to Brexit. Basically, both SMEs and Start-ups were dealing with this issue,
where conflict among both the individuals impacted negatively upon objectives and goals
as well.
TASK 3
P5: Characteristic Traits and Skills of Successful Entrepreneurs that differentiate them from
business managers
In present time, it has been analysed that a successful entrepreneur can be considered as
an individual, who takes different types of risks like financial, resources and more in order to
build a business idea realistic and profitable as well, that could help him or her in earning rightful
profit margins (Ahmad, 2015). Including this, it can also be said that successful leader mainly
do not limit upon different range of earnings, that are linked with profits as he or she already
knows that the earned money will only help him or her in making double of it. On the other
hand, there are a range of activities like motivating employees, effective decision making, risk
management, developing and taking in use of innovative approach and so on, which may aid
7

successful entrepreneurs and it also differentiate an individual with other person. In present
context, there are two entrepreneurs that are successful in nature and these are Jeff Bezos and
Mark Zuckerberg as well.
If it is talked about Jeff Bezos, then he is one of the famous and successful entrepreneur
of America, as he is the founder of Amazon and dealing among different range of services as
well, which has found an all new level of merchandising products and services. Before Amazon,
Jeff Bezos was leading a successful job, earning a hefty amount but his passion has made him
start with a successful business idea.
On the other hand, Mark Zuckerberg is also one of successful American entrepreneur
who has found Facebook and since then, he manages the company as an owner and as chief
executive officer as well. Along with this, Facebook has been one of the crucial website or being
considered as an effective online social media and social networking site ranking among the
world's best four sites all over world (Audretsch and Caiazza, 2016). New approach of
connectivity and innovation are the two factors that led Mark Zuckerberg in making his business
much more successful in nature at international market.
The key traits and skills observed in Mark Zuckerberg and Jeff Bezos are:
Mark Zuckerberg Jeff Bezos
Traits Innovation: The thoughts executed by
Mark Zuckerberg were very inventive
and not ever utilized which
grandstands his imagination.
Feedback Approach: If it is talked
about, Mark Zuckerberg has
considered faith while taking inputs
and work as per the proposal given so
as to develop more.
Innovation: The normal attribute between
both the pioneers is their innovativeness.
The items and administrations offered by
them is very extraordinary and inventive.
Experimentalist: Jeff Bezos has faith in
trials as opposed to making something
which as of now exists. He generally
centre around trying different things with
new things.
Skills Motivator: Mark Zuckerberg has
considered motivation as it's best
approach which helps him in meeting
all the requirements of staff members.
Focused: Jeff Bezos in present time
considered focuses on every single detail
among and try to create the best out of it.
Mindfulness: Jeff Bezos knows how to
8

Communication: Mark Zuckerberg
feel the key to success is effective
communication only.
handle criticism as he feels it is a stepping
stone for success.
Characteris
tics
Team-Player: Basically, Mark in
present time and over the years focuses
and has a particular characteristic i.e.
team playing and this is because, Mark
has believed in taking the particular
team much more forward rather then
attaining specific goals that could help
him in raising profit margins of the
company.
Problem Solving: Including this, this
can also be considered as a
characteristic of Mark where he takes
decisions after considering thoughts of
others.
Risk-taker: Jeff Bezos has never ever
changed his mind and keep on believing in
taking risks (Galloway, Kapasi and Sang,
2015).
Leadership: Basically, Jeff has been one
of the successful leader and here, the
reason i.e. he has been a goal achiever
over the years.
Along with this, if it is talked about differences among successful entrepreneurs along
with the managers of businesses then these are presented underneath:
Basis Successful Entrepreneurs Business Managers
Focus Basically, successful entrepreneurs
looks forward to build sustainability
among the new start up that they have
taken into consideration.
In other hand, business managers are
said to be the operators who manages
the overall work.
Status Owner of business organisation. Business Manager carries a
designation within a company.
Motivation Motivates individual to make the
organisation much more successful in
nature and to gain competitive
Manages the work through, offering
different range of compensation to
9

advantages as well. employees as motivational approach.
P6: Aspects Of Entrepreneurial Personality Reflect Entrepreneurial Motivation And Mindset.
In this report, two entrepreneurs have been chosen in order to complete the whole project
in an effective manner. The aspects of entrepreneurial personality help in reflecting mindset as
well as motivation of these two successful entrepreneurs. OCEAN model is used in this, to
understand the personality of Jeff Bezos Mark and Zuckerberg (Hoogendoorn, 2016).
OCEAN Model
It refers to the model which consider majorly five kinds of personality traits which
mainly assist in examining the responsibilities which is allotted to the individuals. All these five
areas are going to be discussed as follows:
(Source- Ocean Model, 2019)
Openness: It refers to the first element which basically states the level of creativity
which is in build within the individual. It has been suggested that there are large number of
goods and services which is established by both the entrepreneurs by developing in the form of
art as well as curiosity. In this aspect both Mark Zuckerberg and Jeff Bezos ranked high.
10
Illustration 1: ocean model, 2019

Conscientiousness: In the second element which has been suggested that there must be
organized skills with the help of which entrepreneurs organise all the work which is allotted by
them to there staff members (Kassean and et. al., 2015). In the present context, it has been
identified that both Mark Zuckerberg as well as Jeff Bezos are very well organized and well
managed and they both expect the same thing from their staff.
Extraversion: It is the element which defines as the vitality of entrepreneurs in order to
connect with others. According to this, it can be analysed that whether the person is introvert or
extrovert in nature. In the context of Mark Zuckerberg and Jeff Bezos both the entrepreneurs
termed as introvert as both take time in order to connect with others.
Agreeableness: It refers to the person's ability to trust an individual easily. It define as
the time taken by individual in order to trust or connect with the people in a stipulated time
frame. Both Jeff Bezos and Mark Zuckerberg are introvert in nature and ranked high in this
element.
Neuroticism: It includes the emotional stability of an individual person in the context of
anxiety and depression. In this case, Jeff Bezos ranked very low as he is helpful by nature and
they easily communicate with this employees (Petkovska, 2015). Same things goes with Mark
Zuckerberg.
TASK 4
P7: Background and Experience can hinder or foster Entrepreneurship
There are ample number of instances which can assist in identifying the importance of
experience and background of an individual in order to hinder or foster the career or future.
Various incidence occur in a life of an individual which can either help in making a person
successful or can destroy their future. In the present context, it has been identified that both Jeff
Bezos and Mark Zuckerberg have positive impact which will help them in their future. Some of
these elements are as follows: Education level: It has been analysed that education plays very essential role in order to
enhance the person's capabilities and knowledge. It is said that with the help of enough
knowledge on a specific topic assist in perform the work effectively (Ramadani and e.
al., 2017). In the present context of Jeff Bezos, he is a student in the field of IT sector
11

which helped him in order to develop an effective business on a large scale. This is the
factor which help them in order to foster their life and become a successful entrepreneur.
 Nationality as well as Culture: It is analysed that nation as well culture both plays very
crucial as well as essential role in order to develop the mindset of an individual. In the
present context of Mark Zuckerberg, he is the person who was born up in America.
Along with this, he is very well known and is famous for their activities and support
within the region where they lived. He is very well aware about the available resources
and use it for the right purpose and produce positive outcome (Rauch and Hulsink, 2015).
All the above mentioned elements plays very important role in order to establish the
style, behaviour as well as influence there personalities to get successful entrepreneurs.
CONCLUSION
On the basis of above described report, it is concluded that entrepreneurial ventures are
many types but their common business motive is to gain monetary benefit by making their
business successful. They also supports 8in the economic development of nation. They also
brings numerous of innovation in the society for maintaining 5tehir customer base at
marketplace. Risk taking and patience are identified as two main skills of entrepreneur that
ultimately makes them successful and also differentiate themselves from other business
managers. These skills and traits also leads to business growth. Apart from this, it has also been
identified that background and past experience of individuals also influences them to become an
entrepreneur so that they can bring change in the society and also grow economic condition of
their nation.
12

REFERENCES
Books and Journals
Ahmad, S. Z., 2015. Entrepreneurship in the small and medium-sized hotel sector. Current
Issues in Tourism. 18(4). pp.328-349.
Audretsch, D. and Caiazza, R., 2016. Technology transfer and entrepreneurship: cross-national
analysis. The Journal of Technology Transfer. 41(6). pp.1247-1259.
Belz, F. M. and Binder, J. K., 2017. Sustainable entrepreneurship: A convergent process model.
Business Strategy and the Environment. 26(1). pp.1-17.
Bryson, J. R. and Daniels, P. W. Eds., 2015. Handbook of service business: Management,
marketing, innovation and internationalisation. Edward Elgar Publishing.
Burrows, R. ed., 2015. Deciphering the Enterprise Culture (Routledge Revivals):
Entrepreneurship, Petty Capitalism and the Restructuring of Britain. Routledge.
Cumming, D. J. and Zahra, S. A., 2016. International business and entrepreneurship implications
of Brexit. British Journal of Management. 27(4). pp.687-692.
Fayolle, A., Verzat, C. and Wapshott, R., 2016. In quest of legitimacy: The theoretical and
methodological foundations of entrepreneurship education research. International Small
Business Journal. 34(7). pp.895-904.
Galloway, L., Kapasi, I. and Sang, K., 2015. Entrepreneurship, leadership, and the value of
feminist approaches to understanding them. Journal of Small Business Management.
53(3). pp.683-692.
Hoogendoorn, B., 2016. The prevalence and determinants of social entrepreneurship at the macro
level. Journal of Small Business Management. 54. pp.278-296.
Kassean, H. and et. al., 2015. Entrepreneurship education: a need for reflection, real-world
experience and action. International Journal of Entrepreneurial Behavior & Research.
21(5). pp.690-708.
Petkovska, T., 2015. Role and importance of innovation in business of small and medium
enterprises. Економски Развој-Economic Development. 17(1-2). pp.55-74.
Ramadani, V. and e. al., 2017. Entrepreneurship and management in an Islamic context.
Springer.
Rauch, A. and Hulsink, W., 2015. Putting entrepreneurship education where the intention to act
lies: An investigation into the impact of entrepreneurship education on entrepreneurial
behavior. Academy of management learning & education. 14(2). pp.187-204.
Storey, D. J., 2016. Entrepreneurship and new firm. Routledge.
13