Entrepreneurship and Small Business Management

This report explores the concept of entrepreneurship and ventures, including entrepreneurial activity and social economy, differences between serial entrepreneurs, intrapreneurs & owner managers, characteristics of micro and small size organizations and economy, relationship between lifestyle & growth firms with micro and medium size firms, and the impact of small and micro businesses on the economy.

Entrepreneurship and
Small Business
Management

Table of Contents
INTRODUCTION................................................................................................................................3
TASK 1.................................................................................................................................................3
Define what is meant by entrepreneurial activity and social economy...........................................3
Discuss three differences between serial entrepreneurs, intrapreneurs & owner managers............4
Briefly analyse three characteristics of each of Micro and Small size organisations and economy.
.........................................................................................................................................................5
TASK 2.................................................................................................................................................5
Determine relationship between Life style & Growth firms on one hand and micro and medium
size firm on the other.......................................................................................................................5
Present interpret a current data that depicts effect of Small and Micro business on economy........7
Mention briefly two reasons it is believed that small enteprises and start-ups play significant role
in social economy............................................................................................................................8
CONCLUSION..................................................................................................................................10
REFERENCES...................................................................................................................................11
Books & Journal:...........................................................................................................................11

INTRODUCTION
Market sector is changing with rapid scale and is giving rise to competition in business
sector. The business sector comprises small,medium and large enterprises across the globe. All
these are crucial for growth & development of economy of country. Entrepreneurship refers to
individual who carry out the business activities and bear the risks as well as rewards by itself.
Business management is defined as process of managing every functions of organisation which
planing, organising, controlling analysing. Main aim of this report is to understand the concept of
entrepreneurship and ventures. This report comprises of entrepreneurial activity & social economy,
difference between serial, intrapreneurs and own managers, two characteristics of micro, small and
economy, relationship between life cycle & growth firms with micro & medium size firm, impact
of social & micro business and rationale for importance of social economy d & start ups in social
economy.
TASK 1
Define what is meant by entrepreneurial activity and social economy
Entrepreneurial activity is refers to individual action to start a new business within the
society (Stipanović, 2018). It is systematic process which is needed to be carried out with proper
considerations. These activities are essential to be focused so that goals for higher growth and
development. These activities may further includes identifying or exploitation of new products,
generation of new value etc. It is further necessary carry out these activities in most efficient
manner so that objectives are achieved properly. These activities occur from person to person and
society. Social economy is defined as group of rich diversity which is formed by including mutuals
association or enterprises, cooperatives, foundations, or social enterprises. These are heterogeneous
in size from SMEs to larger based companies (Boutillier, 2019).
Both entrepreneurial activity & social economy are linked with each other as because the
activity of an entrepreneur assist in development of social economy by using of resources, tech -
nology, manpower and many more. So, it is essential for enterprises to carry out both with proper
considerations. By focusing on these it is possible to make decision making in business sector.
Discuss three differences between serial entrepreneurs, intrapreneurs & owner managers.
Owner managers, serial entrepreneurs & intraprenuers all are different from each other. It is

necessary to examine the difference between these which is discussed below-
BASIS Serial entrepreneurs Intrapreneurs owner managers
Meaning
These are those who
consistently brings up
the new ideas. For
example- Elon Musk is
to be known as serial
entrepreneur (Santoro,
2019).
Intraprenuers are those
who act as entrepreneur
by using their skills or
capabilities and
produce new ideas or
thoughts within the
firm.
These are those who
manages and are
owners of an
organisation
simultaneously.
Objective Their purpose is to
produce new change in
society at regular
interval of time.
Their main objective is
to increase the
sustainability of a
organisation for longer
period of time.
Their purpose is to
manage operations and
take decisions in firm
to accomplish goals.
Focus Main focus of serial
entrepreneurs is on
change in entity to help
society & community.
In this, main attention
is on accessing new
opportunities to expand
the business.
Owners managers
focuses on taking
managerial decisions
by managing
organisational activities
to achieve both long &
short term objectives.
Through examining of above table, it is seen that they there is big differences between serial
entrepreneurs, intraprenuers & owners managers. It is crucial to examine the comparison between
them so that further goals are achieved properly. This is because they help in development of
business sector at wider scale. They all perform in different way according to different ways
according to which they are able to carry out their operations in proper manner (Strydom, 2016).
Briefly analyse three characteristics of each of Micro and Small size organisations and economy.
Micro and small enterprise as well as economy is different from each other. It is crucial to
manage everything in correct way. So, characteristics are mentioned below-

Characteristics of micro organisations-
Small market- These micro enterprises focuses on small market and also they have a small
amount of capital which they use for their business.
Limited employees- Micro enterprises have limited employees in between 12-15.
Survival- Their main motive for doing business is to survive in market.
Independent decision making- Micro organisations have independent decision making
which they can use in proper manner in their business practices (Bedianashvili, 2018).
Characteristics of small organisations
Limited stocks- Small organisations have limited stocks which they can use for both sale &
purchase depending upon their decisions.
Less initiating capital- These type of entity have less capital to invest in business which is
not more than 5 lakhs.
Aim at profit & resources- Such type of entity focuses on mostly to earn profit and more
resources at larger scale (Cao, 2020).
Characteristics of economy-
Capita income- In an economy, capital income is being reflected of a country whether it
is low or high. A capital income of economy depicts the overall development & growth of nation.
Rates of unemployment & employment- An economy of country is responsible for
reflecting the rates of both unemployment & employment.
TASK 2
Determine relationship between Life style & Growth firms on one hand and micro and medium size
firm on the other
BASIS Life style entity Growth entity
Meaning
These are those type of firms which
focuses on accessing opportunity to
enjoy their lifestyle (Gawke, 2019).
These are entities which deals
in anticipated track records of
growth.
Objectives Main objective of this firm is to enjoy
their personal life with lifestyle.
Their main objective is to
maximize the profit scale at
higher level.

Focus It mainly focuses on the way how
individual can live and enjoy life by
influencing their decisions.
These growth firms pay
attention on increasing of their
sales and profit ration at larger
scale.
BASIS Micro Size Medium Size
Meaning These are to be defined as those type of
enterprises investment in assets does not
exceed more than 25 Lakhs. Also, they
focuses on acquiring of more resources &
customers (Wang, 2019).
These are defined as those in
which investment is not more
than not more than 50 million.
Market size They have small market size &
relatively deals within the country, region
or state.
They have relatively large
market size compared to micro
size of enterprises.
Employees ratio These type of enterprises have small
number of employees not more than 30-
50. Also,their profit margin is also
limited.
In this, employee ratio is in
between the 5000. They have
more profit margin as compared
to micro size.
Thus, after analysis of above table it is examined that relationship between lifestyle &
growth firms with micro & medium size enterprise is heterogeneous from each other. Also, it is
analysed that they all contribute to development of economy at larger level (Brown, 2017).
Present interpret a current data that depicts effect of Small and Micro business on economy

The above displayed picture shows that the impact of SME on UK inside and outside
economy is different which affects employment rate. As picture displays that SME has larger
contribution over economy, they play crucial role in development of country. Moreover, wider
market area is filled up with small business in UK. The bar shows that SME'S provide major
contribution to businesses, then employment & average turnover. More turnover is contributed by
large enterprises. Medium size based business lacks behind both employment & turnover.
Impact of micro & small businesses on economy
 Reduction in unemployment rate- It is specified that small & micro enterprises help in
providing jobs to individuals at larger scale. These too improves economic condition by
giving number of jobs which increases productivity scale rapidly (Palmer-Abbs, 2017)
 Increases productivity- Another positive effect is that both businesses enhance productivity
at higher level. Furthermore, they impart new skills within a individual which is beneficial
for their development. (Stipanović, 2018. Then, enhancing productivity level increases GDP
of country which is main rationale for country overall growth.

So, it examined that both micro & small have deep effect on economy as they help
generates & develop the status of nation & economy at higher level. Furthermore, with
expansion of market sector more new small as well as micro businesses are being widening with
rapid scale. Thus, it is necessary to be focused towards these businesses so that decision making
is carried out in most correct way (Stipanović, 2018).
The reflected picture shows that all three enterprises are essential & have wide impact
over economy as they deliver more contribution to country development. By analysis of picture it
is seen that rate of large entity is decreasing in 2010 & 2009 (Boutillier, 2019). And after this
year, all organisation boost their business at larger level in country. So, with deep analysis of this
picture it is evaluated that there is huge rise in market of small & micro businesses with changing
time period.
Mention briefly two reasons it is believed that small enteprises and start-ups play significant role in
social economy
Social economy- It is defined as mixed economy that includes of both private and public
sectors. Moreover, it assists in accessing of ethics, attitude of individuals & many more. This
mostly focuses on inter-relationship between social behaviour & economics (Strydom, 2016).
Two reason are -

Improve market sector of country- Both small & micro businesses are essential for social
economy because they expand as well as improve the market sector of a country. It affects profit &
growth of social economy at wider level (Santoro, 2019).
Enhances the overall growth structure- Another reason for importance of these is that it
enhances growth structure of overall economy. It affects the operation management of business
sector which is beneficial for improvement in development of economy. By examining of these two
reasons this is analysed that it is important for country to have a proper stable social ecnomy so that
resources, manpower, market activities are carried out in correct way (Boutillier, 2019).
Importance of small businesses towards growth of social economy:
This is stated that social economy is somehow related with corporate world. Effect of small
entity on economy is wider because as these enterprises changes with time period, growth of
economy tends to shrink. Both business firms affect it in both positive & negative way depending
upon occurring of situations.
 Improvement in technological field- Market ratio of small/ start-up is relatively high. This
reflects that they increase use of internet in social economy. It leads to development of
many technological aspects. Therefore, it is necessary to leverage small business in market
so that growth is achieved (Bedianashvili, 2018).
 New systems/ research- With more entries in both side of businesses, more new research
practices, tools, & other approaches are explored. Also, many start-ups uses advanced
systems for business which gives path to innovation (Santoro, 2019).
 Enhances job opportunities- Other positive effect of small business is that these both help
communities and society by providing ample number of jobs to individuals. It too leads to
using youth generation for hiring development.
So, discussed matter depicts that small entity have positive/negative impact on growth of
social economy. It is analysed that revenue earned through micro & small enterprises is larger if
compare with other side businesses. Therefore, it is crucial to focus on them for rapid growth
(Cao, 2020).

CONCLUSION
From, presented report it is examined that business management and small enterprises are
necessary to managed to achieve objectives. So, discussions have been made about
entrepreneurial activity & social economy, relationship between growth/ lifestyle firms with micro
& medium size entity, traits of serial entrepreneur, intrapreneur and owner/manager. Then, further
reasons for importance of small business & start ups in economy are explained briefly.

REFERENCES
Books & Journal:
Stipanović, 2018. Small-entrepreneurship knowledge management in the destination value
chain.Supply chain management in hospitality industry, pp.95-107.
Boutillier, 2019. Small Entrepreneurship, Knowledge and Social Resources in a Heavy Industrial
Territory. The Case of Eco-Innovations in Dunkirk, North of France.Journal of the
Knowledge Economy,10(3), pp.997-1018.
Santoro, 2019. Big data for business management in the retail industry.Management Decision.
Strydom, 2016.Introduction to business management. Oxford University Press Southern Africa.
Bedianashvili, 2018. Knowledge economy, entrepreneurial activity and culture factor in modern
conditions of globalization: challenges for Georgia.Journal: Globalization and Business, (5),
pp.32-37.
Cao, 2020. Who Becomes a Serial Entrepreneur: A Multi-Dimensional Definition of
Entrepreneurial Experience. InAcademy of Management Proceedings(Vol. 2020, No. 1, p.
17549). Briarcliff Manor, NY 10510: Academy of Management.
Gawke, 2019. Measuring intrapreneurship at the individual level: Development and validation of
the Employee Intrapreneurship Scale (EIS).European Management Journal,37(6), pp.806-
817.
Wang, 2019. Impact of lifestyle-oriented motivation on small tourism enterprises’ social
responsibility and performance.Journal of Travel Research,58(7), pp.1146-1160.
Brown, 2017. Myth-busting and entrepreneurship policy: the case of high growth
firms.Entrepreneurship & Regional Development,29(5-6), pp.414-443.
Palmer-Abbs, 2017.The digital lottery: the impact of next generation broadband on rural small and
micro businesses in the North East of Scotland(Doctoral dissertation, University of
Aberdeen).
(Stipanović, 2018)(Boutillier, 2019)(Santoro, 2019)(Strydom, 2016)(Bedianashvili, 2018)(Cao,
2020)(Gawke, 2019)(Wang, 2019)(Brown, 2017)(Palmer-Abbs, 2017)