Understanding Entrepreneurship and Traits

This assignment delves into the concept of entrepreneurship, examining its benefits and limitations. It analyzes various entrepreneurial projects and their classifications. A key focus is on identifying the essential skills and personality traits required for entrepreneurial success, such as openness to new knowledge, careful planning, sociability, agreeableness, and emotional stability.

ENTREPRENEURSHIP
AND SMALL BUSINESS
MANAGEMENT

INTRODUCTION
Entrepreneurship can be termed as a procedure where a single person operates their
company on their own and is considered responsible for each and every risk and reward they
receive there. This is considered as a very dynamic process which is taken place inside the
company which helps them in taking high risks and gain more profits as well (Blackburn, Hart
and Wainwright, 2013). Risk can come in any form like time, cost and equity etc. The people
who starts their own business is called as Entrepreneurs and they are the people who are having
new ideas and creativity to do something different and introduce the same old products in new
form. It is very important also for them to be innovative because then only they will be able to
catch more customers from the market. Whereas little business organization is termed as a
procedure where the operations are being conducted on smaller scale but it is being done in a
proper and effective manner as well.
TASK 1
P1 Types of Entrepreneurial ventures and its relation with typology of entrepreneurship
Enterpriser –
They are the respective person which are beginning the business and runs it alongside the
inhibited assets they are having with themselves. They are the sole ones who are in charge of
making compelling products, going for broke and compensate independent from anyone else.
Entrepreneurial Ventures –
This is frequently said that enterprising undertakings are comparative like the standard
business concern however it isn't so. It is an association or a business that is set up by a man who
is imaginative and knows exceptionally well how to get any open door in order to deliver
financial and in addition social incentive in the business (Bridge and O'Neill, 2012). It is quick in
making riches however the hazard appended with it is high s they off the beaten path ton deliver
merchandise and ventures.
Types of Entrepreneurs
There are different sorts of business people. Maybe a couple of them are:-

Serial Entrepreneurs – These are the kind of business people who begins their business
constantly and auctions it on a later stage. They have loads of new s well as innovative thoughts
with themselves and enough finances too (Carsrud and Brännback, 2011).
Social Entrepreneurs – They are the kind of business visionaries who centers more
around taking care of the issues of the general public as opposed to winning benefits from it .
They are extremely aspiring and fit for dealing with real social issues that are winning in the
general public.
Female Entrepreneurs - These are the business visionaries who runs an entire a venture
which comprises of generally ladies. These endeavors are fundamentally possessed and
controlled by ladies itself and are in charge of making 51% of business.
Concept of Entrepreneurship -
It can be characterized as a procedure of getting ready , outlining and ten at long last
propelling another business which is begun as an independent company however later on can
take a colossal frame. The general population who runs it is called as a business people. It is an
imaginative procedure particle which bunches of time and vitality is expected of the individual
who runs it.
Key Ventures of Entrepreneurs – The different sorts of Entrepreneurial endeavors are as
follows:-
 Small-business Entrepreneurship – according to the present situation , there are
different kinds of entrepreneurial endeavors that are running in UK . There are around 6
million private companies that are at present running in the market. It incorporates
different kinds of organizations like markets, web bistro proprietors, travel operators,
specialists , craftsmen, circuit repairmen and so on (Chittithaworn and et. al., 2011).
These individuals are maintaining their business all alone hazard and making every one
of the benefits independent from anyone else as it were.
 Scalable Entrepreneurship – These are the endeavors which are being made by a solid
thought of the business people . They have a dream to change the world by there thought.

They mastermind reserves from showcase and for this they need to persuade the general
population to put resources into their thought (Chrisman and et. al., 2012).
 Social Entrepreneurship – These are the kind of business cap is running to give
advantages to the general public through their items . They create just these sort of items
that are solid and does not influence the general population in any wrong way. For e.g.
Patanjali Products are exceptionally solid and this wander was begun just to give
Ayurvedic items to their clients at reasonable costs.
Relation of entrepreneurship with Entrepreneur Typology –
All the entrepreneurial endeavors are associated with the typologies in a few or the other
way like scalable business enterprise can be associated with the Lifestyle endeavors and social
business can be associated with the overseen development wander typology. So , there are
different kinds of typologies that are available and that interface extremely well with the sort of
endeavors running in the market.
Kinds of Topology - The different sorts of Entrepreneurial typologies are :-
 Lifestyle Ventures – These kind of organizations gives prompt benefits to the
organizations. The business people here for the most part likes to work alone.
 Survival Ventures – These are the sort of business which is begun just to win a vocation
for the family. It is for the most part an independent company which can be as Grocery
store, web bistro, stylist store and so on.
 Managed Growth Ventures - These are the organizations that is controlled by a keen
agent which knows how to profit. The general population who contribute particle such
organizations realizes that there cash won't go waste and they will make benefits certainly
(Dennis Jr, 2011).
P2 Similarities and differences between entrepreneurial ventures
There are different kinds of entrepreneurial endeavors that are running in the business
environment. All these are efficient and effective in their specific manner. They all are altogether
different from each different too however they are having a few likenesses as well. Along with

these, the similarities and differences that are available between the sorts of entrepreneurial
endeavors are :-
SIMILARITIES Lifestyle Ventures Social Entrepreneurs
 These types of business
are not having the goal
to earn profits.
 These are started as a
small business.
 These types of business
is started so as to benefit
the society and not for
own profit.
 These are also started as
a small scale business
but is working only for
the benefit of society.
DIFFERENCES Lifestyle Ventures Social Entrepreneurs
 These are the people
who conduct their
business with their own
funds.
 Here the entrepreneurs
are not having any
strategy prepared for
their business as they
are running their
business with passion.
 They are not having a
proper location for their
business as they do it
from anywhere they
like.
 Their main goal here is
to live their passion and
dream and not to earn
 These are the kinds of
business which takes
help of investors so as
to arrange funds for
their business.
 These types of
entrepreneurship are
having a proper
strategy for running
their business in an
effective manner.
 They are having a
proper office from
where they are doing
their business.
 They are considered as
profit oriented since
they want funds to do

profits. something for their
society.
SIMILARITIES Female Entrepreneurs Male Entrepreneurs
 Females are considered
as very focussed
towards their work; be
it in office or at home.
 They are also regarded
as more creative and
innovative in their
work.
 Male entrepreneurs are
considered as more
passionate towards the
activities they are doing
in their business.
 They are considered as
more focussed towards
the activities going on
in their business and
are having a count of
everything.
DIFFERENCES Female Entrepreneurs Male Entrepreneurs
 It is said that the female
business people take
additional time in
taking choices.
 They are having their
business focussed in
making quality items
and making social
commitments.
 They are more
traditionalists when
they need to go for
broke.
 They take choices
effectively.
 They are having their
attention on enhancing
the economy and
lessening the cost of
production also.
 They are all the more
eager to take financial
risks in the market.
 They are undertaking
focused individuals.

 They are exceptionally
focussed in having
great associations with
their clients.
TASK 2
P3 Impact of micro and small business in economy
CLASSIFICATION OF BUSINESS:- There are different kinds of organizations that
are directed in a general public. It can be named as -
Smaller scale Business :
It can be defined as a type of business which is having only single business person. The
aggregate employees who are doing their operations there are 0-9 which incorporates the
proprietor (Drucker, 2014). There are different sorts of small scale organizations which are
being begun by the adolescents or the ladies. It is an exceptionally adaptable kind of business in
which the proprietor can function according to their own abilities and capacities. There are
around 5.3 million miniaturized scale organizations running in UK.
Independent company:
It is a sort of business that is begun by a distinct individual whose point is to procure
benefits . The representative's range here is 0-500 as it were. Each new pursuit which is begun is
incorporated into the private venture just and in this manner it is the fundamental motivation
behind why there are in excess of 6 million independent company in UK. This information
incorporates smaller scale organizations also. These organizations are in charge of making 64%
of new employments over the most recent 20 years.
Medium Size Business:
These are the organizations which is neither sorted under independent company and nor
in huge organizations. It is some place in the middle of and in this way there is no official

definition recommended for it (Fassin, Van Rossem and Buelens, 2011). Yet, it is indicated that
in such organizations , the no. of representatives ranges from 250 to 500.
Nature Of Small Businesses – It can be delegated under:-
Manufacturing firms – In this kind of business, the no. of representatives are under 250.
here the makes take the crude material from the general public and change it into completed
items (George and Bock, 2011).
Wholesaling – here compose, the yearly wage of a distributor is approximately 9.5
million. They give merchandise to the retailers at less cost who then later on pitches it to the
clients.
Enquire – This can be defined as a kind of business in which administrations are given
with respect to administration of organization , overseeing wellsprings of fund, warning and so
on.
Qualities of Small Businesses – The attributes of independent venture are :-
 It is exclusively overseen by the proprietor and hence there is no designation of specialist
and the entire hazard and misfortune in borne by the proprietor.
 Here, fundamentally family runs it alongside some hired specialists.
 It makes utilization of outside financing much and they oversee it without anyone else's
input as it were.
Effect of economy on SME'S – The effect of private company on economy can be in following
ways:-
 Local affect – The SME's are strongly affecting the neighborhood organizations as they
are having extremely accommodating in giving work to the general population.
 Territorial Outcome – The effect of SME's on area is that here they get the upside of
settling on results of their decisions and conformity their preferred costs also. They for
the most part know the decisions of the clients and accordingly make items according to
that as it were (Gorgievski, Ascalon and Stephan, 2011).

 Nationalistic Effect-The effect of SME's on country can be summarized that it helps in
building up the economic system by beginning an ever increasing number of
organizations and along these lines making more employments.
P4 Importance of small businesses and business start-ups in growth and development of
economy
BREXIT – It can be termed as a British word that is later on referred as “British Exit”. It
can be defined as a well known concept which is being used to do conversation about the
planned withdrawal of UK from European Union. The above process was kicked off from March
29, 2017. under this, the local population of Britain gave their votes in favor of British Exit and
the executive of the British team was not for it. It is considered as a begging to be proven wrong
point on the grounds that after this the new PM is currently attempting to soften the
generalization up the EU arrangement after Brussels.
Difference between small businesses and Start-ups-
Small-business Start – ups
These are made out of another thought or for
winning business for family.
It gives to a greater degree a conventional item
to its clients.
It is considered as less scalable than new
businesses.
It can be an exclusive firm additionally having
fewer than 250 employees.
It is for the most part making through new idea.
It makes inventive thought and are for the most
part having immense market estimate also.
It is having a versatile plan of action.
All their thoughts are imaginative and
consequently they endeavor to offer comment
clients.
Effects of small business on social economy of UK are:-

 Economical and Societal Evolution – Small organizations are named as a financial
powerhouse of the nation. It can be noticed that inside Sme's , there are currently 5
million of these organizations in UK.
 Improvement on standardized savings – Social security is a factor that helps in
advancing wage security element in the economy of UK (Jones and Rowley, 2011). It
helps through the economy by giving them an enduring wage which they lost because of
retirement, incapacity or demise.
 Consequence on income and taxation– The effect of income and charges in UK is
exceptionally solid since it is making much occupations in the economic system in light
of which many wage is produced in the nation (Karlan, and Valdivia, 2011). If earning
will be available then the general population will likewise need to pay duties and in this
manner the nation will have the capacity to gather more measure of charges.
 Effect of poverty and other factors– This factor is strongly affecting the economy on
the grounds that if misery is available in the nation then their development is moderate.
TASK 3
P5 Determination of characteristics, skills and traits of a successful entrepreneur
Opening a venture is simple but turning into entrepreneur isn't a simple errand. In the
process that the individual needs to become a successful business person they need to have
certain abilities and qualities that will be utilized by them in leading the exercises (Neck and
Greene, 2011). The aptitudes or qualities show in a supervisor and a business person are:-
Skills /Characteristics Entrepreneur Manager
Strategic Vision If an entrepreneur needs to
lead a business effectively
then energy and a good
business thought isn't
sufficient. They will require a
procedure and a dream
additionally that they will use
The manager is additionally
required to have a solid vision
which will help them in
controlling the representatives
in a superior way.

to direct the business
exercises.
Communication A communication skill plays a
critical part in making a
business effective as the
thoughts and activities will be
imparted legitimately to the
representatives.
This is a critical skill that
ought to be available in the
supervisor as through this
exclusive they will have the
capacity to pick up the trust of
the workers and knows their
issues.
Delegation The business people who
needs to be effective partitions
his work in the entire group
and practitioners are not
allowed to take the entire
work on himself.
The supervisors likewise
delegat6ed some of its work to
its subordinates with the goal
that they will have the capacity
to finish every one of their
exercises on time.
The attributes to wind up an effective business person are:-
• The entrepreneur ought to be resolved towards finishing their objective and should buckle
down for it too.
• The entrepreneurs are required to have full faith in themselves so that they can face any
type of situation in their business.
• Entrepreneur ought to have an abnormal state of trust in themselves with the goal that
they can apply it in their regular life and achieve success.
P6 Assessing aspects of the entrepreneurial personality reflect entrepreneurial motivation and
mind-set
The significance of entrepreneurial identity in building up the association in the economical
environment is extremely essential as every one of the exercises here are directed by the
proprietor ,so they need a respectable identity with the goal that they leave a good effect in the

general public (Schaper and et. al., 2014). These qualities make the identity of an entrepreneur a
solid one which encourages them in doing the exercises in a more powerful way.
With a specific end goal to look at the attributes, the Big Five model is utilized which is as
per the following:-
 Openness to encounter – It is said that entrepreneur ought to be liberal with the goal that
they can gain some new useful knowledge dependably.
 Carefulness – This quality tells that entrepreneur must be productive in their work and
furthermore cognizant about accomplishing their objective (Storey 2016).
 Extra-version – This is the element which explains that businessperson is cheerful while
doing their activities and is likewise extremely societal.
 Pleasantness – Through this, it is explained that the business person is ought to be great
in creation and ought to be agreeable and reliable likewise so that the employees who are
working with them can believe in what they are doing.
 Affectionate steadiness – It is that characteristic characteristic demonstrates that the
enterpriser ought to be quiet and focused so they can finish their work on time .
TASK 4
P7 Impacts of background and experience in fostering and hindering entrepreneurship
The benefits and disadvantages of enterprising can be summarized as follows:
Benefits Limitations
 Control – here, the businessperson
performs the work as per their wish and
this goes about as their greatest quality.
 Excitement – here, all the entrepreneurs
are performing their part of work in an
effective manner and that is why they
are completing it as well since they are
 Management – Pickings each decision
alone can be an advantage yet it can
soon take type of a burden.
 Competition – As an enterpriser, they
should avoid all kinds of rivalry
because then they will not be able
concentrate on their business in more

getting the opportunity to work as they
wish to.
 Flexibility-The business visionaries
settle their working hours according to
their comfort.
effective manner and achieve their
goals and objectives.
 Work plan – The calendar of the
business entrepreneur is unusual and
hence it is a critical for the business
person to deal with their work so they
finish their activities on time.
CONCLUSION
As per the above mentioned project, this could be summarized that Entrepreneurship is a
very crucial procedure which is going on inside the society so as to satisfy the demands of the
customers and earn more profits as well. The main person who starts this process is called
entrepreneurs. The business which is opened by an entrepreneur is generally on small scale so it
is required to be managed in an effective manner so that it can achieve its aims and objectives in
an efficient manner. But entrepreneurship is not only in one form it is in more than one form and
it depends on the entrepreneur that which type they choose for their kind of business. This report
clearly discusses about variety of enterprising projects and their relation with classifications.
Also the skills and traits required to turn into a prospering businessperson was mentioned here as
well.