Analysis of Entrepreneurship and Small Business Management

The provided document is a comprehensive collection of articles and resources related to entrepreneurship and small business management. It includes research papers on entrepreneurial leadership style, effectual entrepreneurship, and the importance of SMEs in the UK economy. The assignment also provides information on entrepreneurship education, entrepreneurial self-efficacy, and entrepreneurial intentions. Additionally, it discusses the role of SMEs in the UK economy, their contribution to the economy, and the importance of small businesses in the UK economy.

Entrepreneurship and Small
Business Management 2

INTRODUCTION
Entrepreneurship defines as capacity and willingness to develop, organise and manage
business operations to take risks and make profits from operations. Most important form of
entrepreneurship which increase effectiveness is operating new businesses. Furthermore,
entrepreneurial ventures also helps to create jobs and conditions for prosperous society
(Blackburn, De Clercq and Heinonen, 2017).
In this aspect, present study based on successful entrepreneurs who are belongs and work
for different sector operations with innovative functions. They facilitate number of companies
which process through online and credit/debit card payments.
For gaining insight information of the present report, it covers different types of
entrepreneurial ventures and typology of entrepreneurship to develop significant advantages.
Furthermore, it includes impact of micro and macro business on economy of the country.
Moreover, report discuss about characteristics, traits and skills of successful entrepreneurs which
differ from managers of the organisation. In addition to this, report also consider statistical data
and information of SME which impacted after Brexit.
LO 1
P1 Examine different types of entrepreneurial venture and explain their typology related with
entrepreneurship
Entrepreneurship can be defines as setting of business with undertaking financial risks to
innovate new product or service to gain high profits and revenue. Entrepreneur can be defines as
a person who organise, manages and assumes risks of a business and enterprise. In this context,
each type of entrepreneurial enterprise create positive impact on the community which differ in
size, vision and potential. Following ate different types of entrepreneurial venture and their
typology explained:
Entrepreneurial venture: Large business entrepreneurial venture: In this kind of business, around 500 people
employed. Therefore, they possess goal to generate substantial revenue and profits for the
enterprise and shareholders. It includes corporations which consist general electric,
general motors, AT&T, etc. They take innovation with large amount of capital which
gained through revenue, tax credit and subsidiaries. This type of company have
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significant employer in the whole community. As a result, they tend to recognise with
major brand and establish successful reputation (Blackburn, De Clercq and Heinonen,
2017). Scalable start-up entrepreneurial venture: It is young and innovation focused firms
which create new market and dramatically change in existing market. It is based on
technology based products and services. They possess goal to built scale with generating
significant wealth for founder and investor. Therefore, company producing medical
devices or development of life saving medicine, etc. Capital also undertake from
accelerators, venture capital, angel investment, etc. With respect to gain outcomes, start-
up which potential and create significant revenue (McMullan and Kenworthy, 2015).
Typology of different entrepreneurship Small business entrepreneurship: Small business entrepreneurship independently owned
and operated for profit enterprise. They have goal to make long term business which is
profitable and sustainable to evaluate sale to further generation or other people. In this
consideration, different types of organisation work such as restaurants, retail stores,
construction firm, etc. These types of businesses have typology to generate payroll taxes
and job. Hence, they can fulfil their basis requirements and feed family members as well
(McMullan and Kenworthy, 2015). Lifestyle business entrepreneurship: They consist profit enterprise where skills, strength
and passion combine as the primary motivator. Their goal is to earn long term with self-
directed business that engages founder's passion with expertise knowledge. Hence, there
are different kinds of businesses consider such as self-employed, one person firm who
consist small operations. Their typology is that they provide income to founders and
services to increase quality of life.
 Social enterprise entrepreneurship: Social enterprise entrepreneurship business work to
built innovative solution and desire to make whole world better place. They have goal to
maximise impact in a sustainable way. Therefore, company is working to solve global
health issue, solve specific problem in developing nation, non-profit with mission. As a
result, depends on type and size of the company, they can run in entire firm with capital
development (Entrepreneurial Ventures, 2018). Typology in this perspective is that social
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impact can be successfully develop which impact on social aspect and improve their
lives.
P2 Similarities and differences between entrepreneurial ventures
Entrepreneurship considers important function which assists to develop innovative results
in the systematic manner. Therefore, following similarities can be implemented in different
entrepreneurial ventures:
Similarities and differences between scalable start-up and small business entrepreneurship
Similarities
Scalable start-up business entrepreneurship Small business entrepreneurship
They consider innovations at small level. Small business entrepreneurial venture
determines small operations with minimum
amount (Read, Sarasvathy and Wiltbank,
2016).
They want to turn into high growth and profits. Small business requires long term growth in
large context.
Initially they undertake large market share to
create new market and grow rapidly.
They determine operations with large amount
and wide areas of the market.
Differences
Scalable start-up business entrepreneurship
started with group of people.
This type of enterprise can be start with one
single person.
They can easily improve sales volume with
increment in profit margin (Shukla and Shukla,
2014).
However, they need to regulate functions to
increase profit margin.
They ascertained operations through creation
of new process and ways to meet with needs of
particular products and services.
They determine operations with creating new
market and growing rapidly.
Similarities between social and lifestyle entrepreneurial venture
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Similarities
Social entrepreneurial venture Lifestyle entrepreneurial venture
They catelyst innovative idea to reach large
number of audience.
They also consider skills, personality, energy
and passion to perform functions in large
number of people.
Full-time staff members required to perform
functions as social entrepreneurial venture.
Lifestyle entrepreneurial venture also consist
functions to develop significant advantages
with full-time working employees (Dalborg
and Wincent, 2015).
They are working to solve community based
problems. These individuals willing to take
risks and efforts to create positive changes.
These kinds of entrepreneurs work
independently to offer services and improve
their clients lives in areas of such relationship,
style, organisation, etc.
Differences
Their have no motive to earn profit. Lifestyle entrepreneurs have motive to earn
more profitability.
Success measures in social entrepreneurship
with improvement in all over the world to
determines successful results.
In this kind of entrepreneurship, success can be
measure through identify core problems and
issues which lead to attain desired results.
They are working for major corporations and
organisation to develop and promote practical
solution (Blackburn, De Clercq and Heinonen,
2017).
They are working with purpose of altering their
personal lifestyle to make profit.
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LO 2
P3 Assess and interpret relevant data and statistics which impact of micro and small business on
economy
Small business are backbone of UK economy because it driving growth, opening new
market and creating job to contribute vital part. With consideration of innovation, they encourage
competition and bring fresh ideas and challenges. It stimulates incentives to adapt desired results
and manage creativity as well. British enterprise consider positive economic outlooks which
paved to recover some effectiveness successfully. In 2014, there were 5.2 million businesses of
UK are SMEs which continue grow and thrive in today's market (The importance of small
businesses in the UK economy, 2015). In the second quarter of 2017, UK SMEs have seen
improvement with key performance indicators which rose around 12 points from 46.9 which is in
first quarter and in second quarter of 2017 it was 5839.
Nowadays, banks are also focused on supporting UK small and medium sized enterprise
in which they recognised for better support to the businesses in which they operate. SME growth
also shows that smaller businesses forecast to grow their economic contribution in longer term.
As a result, it ensures future success of UK economy. There are around more than 472,000
people work in SME sector and generate £6,000 in profit every single minute of each day (The
Role of SME’s in the UK Economy, 2012). In term of productivity increment, small business
contributes large part which involved in sales to international markets. As a result, driving
innovation create two way relationship between growth and development. Improve goods and services: In the UK, SME starts their operations and functions with
innovative characteristics. Therefore, they implement effectiveness to improve goods and
services in effective manner. It is most important benefit to the UK economy which
develop more significant advantages in a country. Obtain new and keep existing customers: In order to attract several customers, it can be
stated that SME businesses can increase their customers with regulate new operations and
functions. In this regard, manufacturing also develop with moderate growth in upcoming
days (McMullan and Kenworthy, 2015). Therefore, they consider several advantages to
perform innovative functions and operations in appropriate way. Support with export efforts: SME enterprises of UK also consider export from different
areas of the world. Therefore, it assists to offer social media features to access website.
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This is because, in international areas, social media activities helps to regulate functions
and operations to develop significant advantages (Morris, Neumeyer and Kuratko, 2015).
Well-being of UK also encouraging leading with supporting business growth. As a result,
it increases development and accomplishment of potential development. Strengthen marketing pitch: According to CBI, in 2020 SME develop their full potential
so that it ascertained as strengthen marketing pitch. It assists to introduce new market
which contribute large part in UK development. As a result, it assists to face key
challenges which explore further benefits towards SME.
 Increasing employment: Small and medium size enterprise also increase employment
opportunities in UK so that it assists to develop more significant advantages. It assists to
make competitive and attractive results with consideration and boost competition in local
market (Welter, Baker and Gartner, 2017).
P4 Explaining the importance of small scale business and start-ups contribution to the growth of
the social economy after Brexit.
Small business is the most essential part for the economic growth. Small start-ups driving
the UK economy. That helps to new development of the economic growth. Many of the benefits
derived from the small businesses that helps to develop better economy. This process helps to
make the best leading goals (Cavusgil and Knight, 2015). SMEs and new start-ups and makes the
long lasting growth channel.
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Illustration 1: SME contribution in economy
(Source: Internal Market, Industry, Entrepreneurship
and SMEs, 2018)

Small scale businesses owners and entrepreneurs have been receiving greater recognition
as driver of economic growth. For long term growth small entrepreneurs are the reason who
gives the better strong ability or growth for the long term development process. Small business
enterprise do not have a standard definition at international level. This level of making good
performance and better goal services. Apart from that, small and medium enterprises do not have
a standard definition at international level. Small scale businesses also stimulus the
entrepreneurship and innovation (Collewaert and Sapienza, 2016). SME enabling the different
sources to meet the future development growth. Start-ups can be defined as newly established or
based on innovation and new developed growth. Start-ups are the most essential and leading
source to develop the new opportunity for the company performance. Small scale provides
different opportunities for economy such as jobs, innovative product or services. Creates
independence and Autonomy, small business enterprises are the long-lasting and traditional way
of earning a living after the negative impact of Brexit. This gives the better services and growth.
Apart from that, small business is the long term relationship goal that helps to sustain different
opportunity and goals. This also helps to keep the long lasting goals and gives the best possible
action plan. Small enterprises are based on new ideas and they are the creators (Eckhardt,
Ciuchta and Carpenter, 2018). Besides, there are the huge contribution are involves to national
prosperity which helps to supporting citizens after the impact of Brexit. Overall, they help to
enhance the national economy growth and new development targets that affect the business
opportunities in order to reduce the negative impact of Brexit. Small business are generally
emerged from the shadows of big business with new found political, intellectual or cultural clout
(Huggins, Waite and Munday, 2018). Many of the successful business enterprises are their who
make the long lasting goals and best individual performer. Small scale business enterprise are
accountable for 99% of EU businesses. They provide two thirds of private sector jobs and
contribute more than half of the total added value created by EU businesses (Hussain, Salia and
Karim, 2018). SME are the most benefited facts that provides different types of new product or
services to the economic growth. They maintained the national economic growth through which
people are more comfortable and effective.
After the impact of Brexit, Start ups and small businesses are the integral parts of local
economies that helping to create webs of financial interdependence that foster broad based
prosperity goals. Successful business entrepreneur are always defined their work with full
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prosperity and with qualities (Kuratko, 2016). This will help to define new social development
product or services. Economy gets several benefits from SMEs such as increasing in national
income, development in variety of services, creation of new jobs, economic stability.
LO 3
P5 Determining the characteristics, traits and skills of two successful entrepreneurs which
differentiate them from other business managers.
Characteristics or traits of successful entrepreneur
Passion and motivation
Passion and motivation are the two most important or successful traits that helps to
control the uncertainty factor (Letaifa and Goglio-Primard, 2016). This helps to make the long
term growth and most important effective plan. This quality of an enter would help to discover
the best performing goals. Today we discussing about the major goals and focus oriented goals.
Richard Branson and Philip Green are the two successful entrepreneur in UK who motivates
others into more leading channels. Philip Green is the famous fashion retailer tycoon. On the
other hand, Richard Branson is the CEO of Virgin group. Who is known for its great motivation.
Passion and their motivation towards work motivate them to build up the long lasting grow up
channel (Mariotti and Glackin, 2014). On the contrary, for managers power is the motivation
level for them to keep the position in the company. Entrepreneurs reward is their profit, goodwill
or company market value. But for managers salary is the tool of motivation.
No Afraid to take risk
This is the another characteristics of a successful entrepreneur where entrepreneur take
risk and ready to dive into the world where the probability of uncertainty involves in high ratio.
This is the foremost characteristics of entrepreneur who makes them more successful
(Piperopoulos and Dimov, 2015). Richard Branson always ready to take risk and keep all
required resources, make the best possible plan and bandwidth for dealing with best targets. In
terms of managers, they are not risk taker they are risk averse.
Adaptable and flexible
Business entrepreneur has to be dedicated towards their business activities and try to
ensure market needs and support and failure. Successful entrepreneur always looking for the
positive activity and opportunity. Prosperous businessperson welcome all suggestions for
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optimisation growth and level of promotional activities (Renko and et.al., 2015). These
characteristics of entrepreneur help to offering different unique style of product or services to
their customers.
Traits of a successful entrepreneur
Focus
The focus of an entrepreneur or manager are different when it comes to the business
activities. Entrepreneur has always concerned about the primarily things which is necessary
components to start up a business. On the other hand managers are always thinking about the
ways through which they focus on the sustainability (Scarborough, 2016). Such as both Richard
Branson and Philip Green are more focused on the activities through business get high profit and
stability.
Growth
Both Entrepreneur and managers are concerned about the growth channel. Successful
entrepreneur has always thinks about new growth and development process. It is the primary
function for the company to define their innovative way (Walter and Block, 2016). Contrary,
managers are focused on available resources and find growth.
P6 Assess how aspects of the entrepreneurial personality and how they reflect entrepreneurial
motivation and mindset.
All entrepreneur is different from each other, they have different skills, attributes and
mindset up towards the things. Each attribute or mind setup have to do their personality or even
the field in which they have chosen to work (Wright and et.al., 2018). There are different
attributes of successful entrepreneur that helps him to develop the innovative, risk taking and
development growth. There is a greater correlation between successful entrepreneur personality
towards motivation mindset-up. Along with that, there are explaining some impact that comes
from positive motivations (Kuratko, 2016).
Making good use of resources: motivation and positive personality reflect a good work and
growth between the company. Motivated entrepreneur has always identified opportunity growth.
Motivates person always be like motivates and most effective goals making targets.
Making good use of resources : Successful business person are motivated towards the longer
stability goals. They always make good efforts by using all other resources presents in the
business. This overall process helps to motivated and set the best target performance goals.
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Passion is the another attribute and skill that helps entrepreneur to think out of the box.
This passion skill helps in motivation level of an individual performance (Huggins, Waite and
Munday, 2018). On the other hand, self confident is the another term of self motivation which
helps to create innovative or creative products or services. Overall, skills or knowledge helps
entrepreneur to be motivates and strong in terms of critical situation. Beliefs is another essential
component that helps business person to deal with dears and doubts that assail them in the
journey of success. Curiosity helps entrepreneur to gain more knowledge to understand the new
trend in the market, that helps them into the profit making. This mindset up comes from focus
how individual invest their time or mind on a particular thing. Entrepreneur are inspired or
helpful to make the proper and best leading sources and goals (Mariotti and Glackin, 2014).
LO 4
P7 Examining how background and experience can hinder or foster entrepreneurship
Entrepreneurship influenced by different factors such as social, political or culture,
technological development. Both positive and negative experiences helps to make the decision
making approach for business growth. Entrepreneurs experiences or their family, education or
past background also can affect their future goals. Behind every successful business there is one
story who support him in its career. Such as Philip Green, he is involved in a number of
controversies throughout his working career (Letaifa and Goglio-Primard, 2016). In October
2016, where house of commons has been approved a measure to ask the honours to strip green of
his knighthood for his role in the downfall of BHS. All over the experience of an entrepreneur
gives new ray of shine and helps him to move forward. This process or challenges make
entrepreneur stronger and innovative towards its business growth. Besides, it gives better source
of income and longer challenges growth. This overall, background helps Philip Green to take its
business into most famous brand. On the other hand, Richard Branson is the another most
prominent successful leader or an entrepreneur. They started their business from music industry
and expanded into other sectors which also includes space tourism, venture virgin Galactic. This
overall success helps him to make a billionaire. His family background is very much stable and
strong his father worked as a Barrister. His mother, Eve Branson worked as an employee as a
flight attendant. Family background also reflect the person personality. In terms of challenges so
Richard who faced issues with dyslexia (Huggins, Waite and Munday, 2018). He had a very
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tough time with education phase. Due to his learning disorder he failed out of all boys in the
school. After that, he dropped out school at the age of 16 to started youth culture magazines
called students. With all life experiences Richard takes good or bad experiences that help him
into the business and now he is the successful entrepreneur of UK.
CONCLUSION
From the above report, it can be stated that entrepreneurial venture determines important
role to make innovative results. In this regard, present study concluded about different
entrepreneurship businesses such as small, large, scalable, lifestyle, social, etc. All these
enterprises consider certain innovations which would beneficial to aggregate productivity.
Furthermore, it summarised about similarities and differences between different entrepreneurial
ventures those create innovative functions with initial development. Moreover, report articulated
about skills, characteristics and traits that possess by entrepreneurs and differ from business
manager. Therefore, passion, motivation, risk taking, flexibility, etc. qualities considered among
successful entrepreneurs.
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Collewaert, V. and Sapienza, H. J., 2016. How does angel investor–entrepreneur conflict affect
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Dalborg, C. and Wincent, J., 2015. The idea is not enough: The role of self-efficacy in mediating
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