Entrepreneurship and Small Business Management Importance: Doc

Entrepreneurship and Small
Business Management

Table of Contents
INTRODUCTION...........................................................................................................................1
LO1..................................................................................................................................................1
P1 Different types of entrepreneurial ventures............................................................................1
P2 Differences and similarities between entrepreneurial ventures..............................................2
LO2 .................................................................................................................................................3
P3 Impact of small and micro businesses on the economy..........................................................3
P4 The Importance of small business and business start-ups to the growth of the social
economy ......................................................................................................................................4
LO3 .................................................................................................................................................5
P5 Characteristic traits and skills of an entrepreneur...................................................................5
P6 Aspects of entrepreneurial personality ..................................................................................5
LO4 .................................................................................................................................................5
P7 Background and experience of an entrepreneur.....................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Entrepreneurship means starting a new business by an individual while taking risk for the
purpose of earning profit(Scarborough, 2016)An entrepreneur have to develop, organize and
managing a business to run it effectively and efficiently.
Present study will be based on Deloitte company. It is a multinational professional
service network that provides services in accounting field such as audit, tax, consulting and
financial advisory. It is the fourth largest private company in the United Kingdom.
Report will include different types of entrepreneurial ventures and their topology.
Similarities between different entrepreneurial ventures. It also includes statistics related to micro
and small business and its impact on the economy. Furthermore, it will include importance of
small business and its growth in the social economy. It also includes traits and skills of
entrepreneurs and that differentiate it from others.
LO1
P1 Different types of entrepreneurial ventures
Public Company( Aviva) Private Company
(Deloitte)
Voluntary Company( Oxfam)
It is a British multinational
insurance company. It is the
largest insurer and providing
pension to its customers.
It is a multinational
professional service
network provider that
deals in accounting.
It is a charitable company that
mainly focusing on alleviation of
global poverty from the country.
It was created by merging two
British insurance firms that are
Norwich Union and CGU plc.
This company is formed
by two people Charles
Waldo Haskins and Elijah
Watt Sells.
It was formed by Winnie
Byanyima in 2013.
Objective of the company is to
provide the best financial
services to its customer
(Schaper, 2016).
Objective is to become the
largest company in
providing service network
to the worldwide.
It is a non- profit organization
that aims to reduce poverty from
the country.
In Aviva 30,021 employees are 2,86,200 employees are It is an independent organization
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working in the company having
net income of £ 2,225 million.
working. that runs with 20 other charitable
trust.
There are different topologies of entrepreneurship such as female, scalable and social
topology.
Female Topology:- This topology is related to approximately 1/3 of all the entrepreneurs are
female. This topology is used in the Deloitte company. As in private sector female is also
involved nowadays in the companies. It runs for the purpose of earning profit in the company.
This topology also emphasizes on getting involved female entrepreneur in the business.
Scalable Topology:- This mainly focuses on expanding business operations into various sector
of the economy. This topology is being used by Aviva company as it is a public limited company
and operates in a large number of sector. There is more scope in this sector so this topology is
used for future growth in the economy.
Social Topology:- This is used in Oxfam as it is a non profit organisation that works for the
social cause in the economy. Through this society is being helped as Oxfam is aiming in
reducing poverty from the country. Therefore, Oxfam is related to this topology as it is very
important to follow the rules and regulation(Venkataraman, 2019)This topology is related as it
also works for social well-being of people and care for the people in the country.
P2 Differences and similarities between entrepreneurial ventures
Public
Company(Aviva)
Private
Company(Deloitte)
Voluntary
Company(Oxfam)
Background It is a British
multinational
insurance company
and largest insurer and
a leading pension
provider.
It is a multinational
professional network
provider of the
company.
This is a non-profit
organization that runs
for the purpose of
providing social
benefits to the people.
Scope Its scope is to expand
its business operations
into different sector of
the economy.
Its scope is to earning
more profit and future
growth in the
economy.
It is to provide social
benefits to the people
for securing future.
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Objective Its objective is to start
business at very large
operations in the
country.
Its objective is to
become the largest
service network in the
country.
The main objective of
Oxfam is to reduce
poverty and provide a
balanced life to people
in the country.
Shareholder In public sector
shareholders are the
government, director
and employees of the
company
(Venkataraman,
2019).
In Deloitte employees,
managing director are
the shareholders of the
company.
Shareholder are
trustees and owner of
the organization.
Mission Its aim is to become
the digital revolution
of the insurance
industry that will
benefit of our
customers.
Its mission is to
collaborate with
leadership and
members of the firm
that will focus on
working together.
Its mission is to
eliminate poverty with
aim that no one in
there who has to
straight hands in front
of other people.
All the above organizations aim in providing the best quality to its customers for the
purpose of earning profit in the future. Except non-profit organization all the business have run
its operation for profit motive. They also work for growth in the future so that it will be more
competitive. They sell the best quality products to its customers. For satisfying the needs and
wants of customers they sell products of better quality to them. There are huge investment that is
done by different sectors of the economy(Yan and Yan, 2016)As structure of the company is
almost remained same as they all are doing work for providing best services to its customers.
LO2
P3 Impact of small and micro businesses on the economy
Small and micro businesses is having greater impact on the economy. As it is important
to note that Deloitte is a private owned company that operates in the field of accounting and
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audit firms. According to the survey it is found that there are 30.2 million small businesses that
are operating in United Kingdom. As 99% of the business is operating in this sector(Staniewski,
2016)As small business is created 1.9 million new jobs in 2015 from total is 2.7 million that will
be accounting for providing 70% new jobs to the people. 1.1 million of those small business
were operating and having less than 20 employees. 24.3 million small business are categorized as
they are not working in the company. In 2015 small businesses are employing 58.9 million
people and there are 47.5% private workforce that is being employed in the company. Annual
payroll for small business enterprise is in 2015 was $ 43,288 as compared to larger firms I.e.$
56, 827. As compared to other business in the united kingdom small business are more operated
in the country.
More than 2000 small business is running out in the country for gain competitive
advantage in the country. As small business do not have long life as they get dissolved if they are
not working properly in the economy. About 27 million people are employed in the small scale
businesses in the United Kingdom. 25.7% of the total population is employed in small scale
businesses(Birley and Stockley, 2017).t is important to note that small business is having a
greater impact on the economy for pursuing various aspects of the economy. Country's growth
can also be evaluated by setting business at small scale in the economy. It shares larger part in
the economy. Innovation and creativity will lead to increase growth and sustainability in United
Kingdom. Small business are contributing more in the economy that will lead to growth in the
future. It is also important that innovative and creativity plays an important role in the economy.
Small businesses helps in contributing to the various sector of the economy. It is
important for the operation of small business enterprise as it plays a crucial part in the economy.
In 2007-08 recession is going on in that challenges may be faced by the company to overcome
from the small business enterprise. According to the survey that is being conducted 39.8% of the
total revenue is constituted in different sectors(Marxand Hsu, 2019)here are so many factors that
will lead to increase operation of small business in the economy.
P4 The Importance of small business and business start-ups to the growth of the social economy
Small business are those enterprises that performs the operations on a medium scale and
these ventures do not have huge profit margins. But in context to giving the employment
opportunities to the people, the start ups and small business plays the vital role and thus
contributes towards the expansing and growth of the social economy (Elephant and Maphela,
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2018). When the corporations, associations, foundations and enterprises of the country
diversifies their activities in order to achieve the huge profit margins then these contributes
towards the social economy of the country. Small and start up businesses contributes towards the
local economy by bringing growth and innovation to the community in which the business is
established. These small companies an fosters the economic growth within the country by
providing various job opportunities to the people who may be not employed by the larger
corporations. So importance of these start-ups towards the economic contribution towards the
society are as follows:
 By bringing the innovation and growth within the society, such start-ups play the major
role towards the economic development (Klofsten and et.al., 2019).
 The small companies tend to attract new talent and freshers as they provide large future
scope and employment opportunities for the people living in the area.
 Also, many small businesses contributes towards the growth of the social economy by
adopting the changing economic climate which allows the companies to offer the
customer oriented commodities and fulfils the changing needs of the consumers quickly.
 The small and start-up business impact on the local economic growth which takes the
form of sales tax which supports the government to collect such taxes and contribute
towards the development of the community.
 Small and start-up business not only vital to the success of the economy but also they
server the requirements to the large businesses. For example, photography services,
printed stationary, catering and routine maintenance.
 Most of the small businesses today in UK have employed 90% of the people as a impact
of the Brexit (Robina-Ramírez, Fernández-Portillo and Díaz-Casero, 2019). So these
small businesses have supported the economic growth of the country.
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LO3
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CONCLUSION
From the above study, it can be concluded that entrepreneurship and management of the
small business is one of the complex procedures which involve every aspect which contributes
towards the growth and sustainability of the firm. It has been identified that entrepreneurial
ventures may vary according to the scope, range of operations. Also this study has explored
various different types of typologies that are generally based on different entrepreneurial
ventures. It has also explored various differences and similarities between such ventures as the as
all the ventures are aimed at achieving different objectives.
Furthermore, this document has also created a clear understanding about the impact of the
small businesses on the overall economy of the country. Along with this, it has been also
accessed that start-up business and small businesses plays very important role in the growth and
development of the social economy. Along with this, mind set, personality traits and skills of two
famous entrepreneurs has also been explored in this report.
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REFERENCES
Books and Journal
Birley, S. and Stockley, S., 2017. Entrepreneurial teams and venture growth. The Blackwell
handbook of entrepreneurship, pp.287-307.
Elephant, N. and Maphela, B., 2018. An analysis of the importance of mobile technology on
small businesses in noordwyk. International Journal of Entrepreneurship. 22(4). pp.1-16.
Klofsten, M. and et.al., 2019. The entrepreneurial university as driver for economic growth and
social change-Key strategic challenges. Technological Forecasting and Social
Change. 141. pp.149-158.
Marx, M. and Hsu, D.H., 2019. The Entrepreneurial Commercialization of Science: Evidence
From'Twin'Discoveries. Available at SSRN 3312499.
Robina-Ramírez, R., Fernández-Portillo, A. and Díaz-Casero, J.C., 2019. Green Start-Ups’
Attitudes towards Nature When Complying with the Corporate Law. Complexity.
Scarborough, N.M., 2016. Essentials of entrepreneurship and small business management.
Pearson.
Schaper, M. ed., 2016. Making ecopreneurs: Developing sustainable entrepreneurship. CRC
Press.
Staniewski, M.W., 2016. The contribution of business experience and knowledge to successful
entrepreneurship. Journal of Business Research.69(11).pp.5147-5152.
Venkataraman, S., 2019 The impact of socio-economic factors on small business
success. Geografia-Malaysian Journal of society and space.8(1).
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.
Yan, J. and Yan, L., 2016. Individual entrepreneurship, collective entrepreneurship and
innovation in small business: an empirical study. International Entrepreneurship and
Management Journal.12(4).pp.1053-1077.
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