Entrepreneurship & Small Business Management Characteristic

Entrepreneurship and
Small Business
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1 ...........................................................................................................................................1
P1 Types of entrepreneurial ventures and explain how they relate to the typology of
entrepreneurship..........................................................................................................................1
P2 Similarities and differences between entrepreneurial ventures............................................3
TASK 2 .........................................................................................................................................4
P3 Interpret and access relevant data and statistics to illustrate how micro and small
businesses impact on the economy. ...........................................................................................4
P4 Importance of small business and business start-ups to the growth of the social economy.. 6
TASK 3 ...........................................................................................................................................7
P5 Characteristic of successful entrepreneur and how they are different from other business
manager.......................................................................................................................................7
P6 How aspect of the entrepreneurial personality reflect entrepreneurial motivation and
mindset......................................................................................................................................10
TASK 4 .........................................................................................................................................11
P7 Example by which entrepreneurship can become foster and hinder....................................11
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................12
.......................................................................................................................................................12

INTRODUCTION
Entrepreneurship is basically launching or introducing a new small business to earn
profit. It can be defined as the capacity to enhance or develop a new business, manage its
activities and earn high return. The small business or entrepreneurship is generally started after
analysing various things(Kirzner, 2015). These can include- recent trends of the market, need
and demand of the potential customers, availability of competition, etc. if this analysis is not
done than the new enterprise will suffer loss and the resources might not be used in the optimum
manner. The major topics covered in this report are the characteristics and traits of the
entrepreneur and the qualities of the entrepreneur which makes them different from managers in
the organisation.
TASK 1
P1 Types of entrepreneurial ventures and explain how they relate to the typology of
entrepreneurship
An entrepreneur is an individual who establish and runs a small business and bears all the
risk and reward of the venture. Thus, entrepreneurship is the creation of an innovation economic
organisation for the purpose of gain or growth under the condition risk or uncertainty. There are
some common elements which every entrepreneur implies i.e. creativity and innovation,
gathering information, earning profit under risk and uncertainty. Entrepreneurs combines the
factors of production (such as land, labour, capital) to try and create a new profitable business
venture. Along with this, they themselves an important factor of production and an essential
component of a functioning free market economy(Julien, 2018). An entrepreneurial venture is
classified into different types which is described below:
 Small Business Entrepreneurship: They are an independently owned and operated
for earning profit to feed the family, not to take over or capture the industry. Along
with this, they mainly deal or operate restaurants, retail stores, construction firms
and agriculture for this they hire local employees or family and raise their fund for
venture capital through friends, family, bank loans.
 Scalable Start-up Entrepreneurship: In this entrepreneur are young, innovation-
focused with the potential to create new market or bring changes in existing market
through proprietary and technology based products or services. In this category of
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