Entrepreneurship and Small Business Management - Assignment Sample

ENTREPRENEURSHIP AND
SMALL BUSINESS MANAGEMENT
ACTIVITY1

Table of Contents
INTRODUCTION...........................................................................................................................1
Activity 1.........................................................................................................................................1
Description on differed kind of entrepreneurial ventures and define how they relate with
typology of entrepreneurial. ........................................................................................................1
Similarities and differences between entrepreneurial ventures. .................................................4
Access and interpret relevant data and statistic to illustrate how micro and small business
impact on economy. ....................................................................................................................5
Define the importance of small business and business start-ups to growth of social economy. 7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Entrepreneurship defined as dynamic
activity that helps to create, manage and
develop business venture along with risk to
make profit (Venkataraman, 2019).
Therefore, it termed out as designing,
launching and running the enterprise
activity. However, entrepreneurship mainly
put consideration over skills, developing
knowledge and to understand the innovative
ideas to for a new and successful business.
Successful innovations aids to improve
standards of living and creates jobs and
conditions for the society. Henceforth,
entrepreneurship is a goal-oriented activity.
The present report is based on
entrepreneurship and small business
management that will illustrate the range of
entrepreneur activities.
Furthermore, the present report will
cover following topics as different types of
entrepreneurial ventures, similarities and
differences between entrepreneurial
ventures, interpret and access data and
statistic to define how business impact on
economy.
Activity 1
Description on differed kind of
entrepreneurial ventures and define
how they relate with typology of
entrepreneurial.
Entrepreneur venture defined as
ability to put focus on providing advisory
services to mid stage companies. Therefore,
it is some different form other businesses.
Herein, entrepreneur ventures defined in
following manner as-
Small business enterprise- This is the
entity that is independently owned and
operated firm and that is limited in size
(Venkataraman, 2019). Thus, small
entrepreneurship is inclusive of grocery
stores, consultants, hairdresser, travel
agents, plumbers, electrician and carpenters
etc. Henceforth, their main aim is to earn the
profit to feed family. They fund their
businesses by taking funds from families,
friends and personal savings. Therefore, it
can be stated that small business enterprise
provides innovative products and services
and it grow exponentially.
Scalable start-up entrepreneurship- These
are the enterprise that starts that start their
working with the innovative ideas.
Therefore, they put focus over the
innovations and creations. Hence, these
entrepreneurs think that they are capable
1

enough to change the world with their ideas
(Rawhouser, Cummings and Newbert,
2019). It is the organisation that looks for
the brightest mind and they work as to set up
the small scalable business model. This kind
of the enterprise put their major focus over
the quality attributes and creative aspects of
the enterprise.
Large company entrepreneurship- It is the
organisation who have infinite life cycles.
Thus, they put main consideration over
providing innovative product and services to
customers for sustainability and longevity of
business (Wiklund, Wright and Zahra,
2019). Herein, it is crucial to identify the
changing needs and wants of customers to
go along with competition, legislation that
forced the large enterprise and to create new
commodities fore entire market.
Additionally, large enterprise makes the
disruptive innovations typical. (Figure 1: Classification of entrepreneur
(Source: The Four Types of
Entrepreneurship, 2018)
Social entrepreneurship- These are
the enterprise that put focus over social
problem by delivering new product and
services. Henceforth, it is the enterprise that
put major focus over creating better world
by providing resources to needy section of
the society. Therefore, they create the better
world for the people and can be profit, non-
2

profit and hybrid (Wiklund, Wright and
Zahra. 2019). Thus, the one of the
fundamental aim is to develop the product
and services so it can be possible to have
betterment in the services of the enterprise.
Hence, it can be concluded the vision,
mission and objectives of the different are
affects the scope of the enterprise.
Therefore, the growth of entrepreneur
ventures is highly dependent over the
innovation relate with product and services.
Typologies of entrepreneur-
Serial entrepreneur- This is
entrepreneur that continuously comes up
with the new ideas and starts businesses.
Therefore, they are just opposite to the
typical entrepreneur and they play crucial
role in day to day functioning of the
enterprise.
Social entrepreneur- They are the
entrepreneur who works as to establish the
entity with aim of solving social problems
and it affects the changes within the society.
Additionally, it stated that social
entrepreneur has effective vision, self-aware
and ability to conduct business activities
effectively (Lounsbury and Glynn, 2019).
Life style entrepreneur- They work
as to put their major focus over the life
rewards that provided to people so that they
can enjoy and have passion in what they are
doing. Thus, these entrepreneurs generally
pursue their passion and performs their work
accordingly. Thus, they are the entrepreneur
that carries out their activities with the
passion and promote better growth within
the enterprise.
Intra entrepreneur- They perform their
work on the special data and project that
assigned to them. Hence, they have broader
vision for the established entity
(Palanikumar, Shanmugasundar and
Latha,2019). They take risk in order to sort
out the risk to solve the given problem. Intra
entrepreneurs are proactive, self-motivates
and action-oriented people who put major
focus over innovation and creation.
Similarities and differences between
entrepreneurial ventures.
The key similarities and differences
between entrepreneurial ventures are defined
in following manner as-
Components Small business
enterprise
Scalable start-up
entrepreneurship
Large company
entrepreneurship
Social
entrepreneurship
Goals and
objectives
These are the
enterprise that set
up on the small
It is the
enterprise that is
mainly set up for
The main aim of
this entity is to
sustain in market
These enterprises
have main aim to
provide quality
3

scale. Hence,
they might have
structured goals
and main
purpose is to
earn for their
basic livelihood
(Anderson,
Wennberg and
McMullen,
2019).
the innovative
products and also
works as to
achieve high
profitability.
for longer period
and to develop
commodities and
services as per
the current needs
of customer
within the
market. Thus,
main purpose is
to earn large
amount of
profitability.
commodities and
better services to
the society at
affordable price
rate. Thus, their
main goal is to
promote better
well-being to
society.
Risk At this, the risk
can be minimal
but there is high
level of
competition as
there are many
enterprises with
similar sized
enterprises.
The ratio of risk
is high as they
come up
innovative ideas
and this needs
huge financial
investment and
they are having
pressure to return
amount to
investor by
achieving high
sales volume.
Risk is medium
and the large
enterprise
manage to sell
high volume due
to the value of
brand.
The ratio of risk
is not high
because these
firm gest
supports from
legal authorities
and get funded.
Therefore, their
main aim is to
not earn profit
but to promote
better well being
within the
society.
Employee
numbers
There are not
more than 50
employees.
It depends on
structure and
size.
Under it,
employees can
be more than
1000.
This depends on
the size of the
business.
Structure This enterprise They have Structure of the These enterprises
4

does not follow
proper
organisation
structure and
often run with
sole
proprietorship in
partnership.
limited
partnership.
enterprise is
often complex
and this can be
public and
private limited.
mainly follow
trustee-based
structure.
Access and interpret relevant data and
statistic to illustrate how micro and
small business impact on economy.
In every industry the micro and macro
enterprise play the huge role and also
contribute highly in the economy of the
country. Micro business enterprise is rapidly
increasing over the period and that generates
the higher amount of profitability by
providing the different commodities and
services to customers (Austin, 2019). Small
and medium enterprises are backbone to the
UK economy that aids to driving growth, to
create jobs and opening new market. Total
employment in the Small medium enterprise
was 16.3 million and 60% relates with the
all private sector employment in the United
Kingdom. In 2018, there were 5.6 million
small enterprise and private sector business
populations fell by 0.5%. Henceforth, the
federal government identify the crucial role
of the small businesses.
Hence, it can be stated that small enterprise
plays significant role in growth of the
economy. Therefore, they create the jobs in
UK and account for 99.3% of all the private
sector in the starting of 2016 and 99.9%
were all small sized. Additionally, total
employment in SMEs was 15.7 million and
total private sector employment within the
UK is 60%. So, it can be stated out that
small business set ups positively contribute
5

in the growth of innovation (Allen, 2019.).
As per the above given graph, it can be
stated that small and micro businesses earn
37% of turnover and also provides 48% of
employability throughout the United
Kingdom.
For example- After, the implication
of 2018 financial crisis there is larger
contribution to the rise of financial
technology start-ups. Hence, financial crisis
lefts individual distrustful towards the Fin-
tech and incumbent banks.
Hence, it has been identified that small
business accounted for 99.3% of all private
sector in the beginning of 2018 and 99.9%
to the all small sized enterprise. Hence, the
combined annual turnover if Small medium
enterprise was almost 52% of all the private
sector turnover. Additionally, it can be
stated that new jobs and opportunities that
are getting created by the small enterprise
and it aids to contribute bigger economic
growth within the country. This is very
helpful as it aids to boost economic and
employment. Therefore, financial sector
flourishing new solutions and innovative
ideas that are bringing up the more
opportunities to making fund accessible.
Define the importance of small business and
business start-ups to growth of social
economy.
Social economy formed with rich
diversity of the enterprise. Thus, it shaped
with cooperatives, mutual, foundations and
social enterprise. Additionally, it offers the
potential for job creation and new forms of
entrepreneurship and employment that aids
to contribute in integration of economies.
Therefore, this contribution aids to bring
growth and vitality in several crucial areas
of economic and socio-economic
development within the countries.
Additionally, start-up business can
capture the market very fast and also
managed to generate high revenue in short
period. To maintain the growth of social
economy, the start-up business has high
influence in differ countries. Apart from it,
there are number of enterprise that’s not
provide the high salaries to the employees
due to the lack of funds. This is the major
cause that bring lesser skilled employees and
this also aids in decreasing unemployment
problem. Therefore, it can be stated that
small business enterprise contributes local
economies with help of bringing high scale
of innovation (Sutter, Brutonand Chen,
2019). Therefore, small scale enterprise
improves the growth of country by focussing
6

over the rural growth. Henceforth, the
economic success of the nation worldwide is
the result of the encouraging the growth of
nations. Henceforth, stated out that
entrepreneur activities enhance the
productivity of the firms. Job creation and
economic growth are vital factor that brings
stimulate growth within the enterprise.
There are number of the enterprise
that associated with the corporate social
responsibility activities that relate with
social, economic problems and environment
that aids to enhance brand value. Small and
medium enterprise plays the crucial role in
the economy. Therefore, this aids to bring
social stability by creating more job
opportunities within the market UK.
CONCLUSION
Hereby, it can be concluded that
entrepreneurship is process that defined as
launching, running and designing the
business activities. Thus, it defines the
capacity and willingness to develop the
business ventures.
However, report has covered the
business activities as differ kind of
entrepreneurial ventures and typology,
similarities and differences of entrepreneur
ventures, relevant data and statistics aids to
identify the impact of micro enterprise over
social economy.
7

REFERENCES
Books and Journals
Venkataraman, S. 2019. The distinctive domain of entrepreneurship research. In Seminal Ideas
for the Next Twenty-Five Years of Advances (pp. 5-20). Emerald Publishing Limited.
Rawhouser, H., Cummings, M. and Newbert, S.L. 2019. Social impact measurement: Current
approaches and future directions for social entrepreneurship research. Entrepreneurship
Theory and Practice. 43(1) pp.82-115.
Wiklund, J., Wright, M. and Zahra, S.A. 2019. Conquering Relevance: Entrepreneurship
Research's Grand Challenge.
Wiklund, J., Wright, M. and Zahra, S.A. 2019. Conquering Relevance: Entrepreneurship
Research's Grand Challenge.
Lounsbury, M. and Glynn, M.A., 2019. Cultural entrepreneurship: A new agenda for the study
of entrepreneurial processes and possibilities. Cambridge University Press.
Palanikumar, K., Shanmugasundar, G. and Latha, B. 2019. Role of Industry in Entrepreneurship
Education: Implementation and Success Factors.
Anderson, B.S., Wennberg, K. and McMullen, J.S.,. 2019. Enhancing quantitative theory-testing
entrepreneurship research. Journal of Business Venturing.
Austin, J.E., 2019. Trust: Creating the Foundation for Entrepreneurship in Developing
Countries. ReVista (Cambridge). 19(2). pp.1-3.
Sutter, C., Bruton, G.D. and Chen, J.,. 2019. Entrepreneurship as a solution to extreme poverty:
A review and future research directions. Journal of Business Venturing. 34(1). pp.197-214.
Allen, J.P., 2019. Digital Entrepreneurship. Routledge.
Lundmark, E., Krzeminska, A. and Shepherd, D.A. 2019. Images of entrepreneurship: exploring
root metaphors and expanding upon them. Entrepreneurship Theory and Practice,43(1),
pp.138-170.
Woodward, A.E., Ellig, J. and Burns, T.R. 2019. Municipal entrepreneurship and energy policy:
A five nation study of politics, innovation and social change. Routledge.
Guzman, J. and Kacperczyk, A.O., 2019. Gender gap in entrepreneurship. Research Policy.
48(7). pp.1666-1680.
8

Online
O.C.E.A.N Model of Personality, 2018. [Online]. Available through :
<https://frontlinemanagementexperts.wordpress.com/2015/06/03/o-c-e-a-n-model-of-
personality/>.
The Four Types of Entrepreneurship. 2018. [Online]. Available
through:<http://casnocha.com/2011/02/the-four-types-of-entrepreneurship.html >.
[Online]. Available through : <>.
9