Entrepreneurship & Small Business Management ( pdf )

Entrepreneurship and Small
Business Management

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Types of entrepreneurial ventures and typology of entrepreneurship..............................1
P2. Similarities and differences between entrepreneurial venture.........................................2
M1. Public and private entrepreneurial venture.....................................................................3
D1. Scope, development and growth of entrepreneurial venture...........................................3
TASK 2............................................................................................................................................3
P3. Impact of micro and small business on economy............................................................3
P4. Importance of small business and business start-ups to growth of social economy........4
M2. Small, medium and large business make economy........................................................4
D2. Impact of small businesses on different level..................................................................5
TASK 3............................................................................................................................................5
P5. Characteristic traits and skills of successful entrepreneurs..............................................5
P6. Entrepreneurial personality reflect motivation and mind-set...........................................6
M3. Line of argument of entrepreneurial characteristic.........................................................7
D3. Characteristic traits and motivational drivers of successful entrepreneur.......................7
TASK 4............................................................................................................................................7
P7. Background and experience can hinder or foster entrepreneurship.................................7
M4. Link between entrepreneurial characteristic and influences personal back ground.......8
D4. Critically evaluate background influences' entrepreneur both positive and negative.....8
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Entrepreneurship is the procedure of designing, establishing and running a new company
which is often small business. The people who make these businesses are known as
entrepreneurs. It has been described as capacity and willingness to evolve and manage business
venture with any of the risks to make profits (Abdnor, 2015). This assignment will explain
entrepreneurial venture and typology of entrepreneurship. It will explore similarities and
differences in between different entrepreneurial ventures. Furthermore, report will explain the
impact of micro and small businesses on economy. It will also provide importance of small
business and business start-ups to the growth of social economy. Moreover, characteristic traits
and skills of entrepreneur will be discussed here.
TASK 1
P1. Types of entrepreneurial ventures and typology of entrepreneurship
Types of entrepreneurial ventures:
Small entrepreneur: This business includes grocery stores, consultant, travel agent,
carpenters, electricians, etc. Small entrepreneur running their own business. Their meaning of
success is to provide goods and make profits. They are borrowed funds from friends and family.
Scalable start-ups entrepreneur: These businessmen open firm by adopting innovation
that is vision changes the world (Beu and Leonard, 2014). They force investment from equally
financial investor like venture capitalists. They recruit the best employees for business success.
They find repeatable and scalable business model to fast expansion.
Large entrepreneur: Large firms grow by sustainable invention, offering new goods
around their core goods. These businesses require invention, because there are more pressured by
changes in customer taste, new technologies, new challengers etc.
Typology of entrepreneurship:
Typology Description Example
Micro Entrepreneurs It is generally determined as
small business financed by
microcredit. These businesses
classified with 1-9 employees.
Ensoft is the small software
company.
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Small and Medium
Entrepreneurship
These businesses have fewer
than 250 employees. They
have also set value in wider.
Wiser co. is the creative and
recruitment company.
Large Entrepreneurship It is also known as corporate
entrepreneurship. It refers to
development of new ideas and
chances with large business.
TESCO is the largest grocery
stores.
P2. Similarities and differences between entrepreneurial venture
Differences between entrepreneurial ventures:
Differences Small Venture Scalable venture Large venture Social venture
Meaning It refers to an
individual run
their own
business.
It means an
individual open
firm for make
profits.
These ventures
run the business
to generate
revenues.
These venture
gives social
needs to public.
Purpose The aim is to
make profits in
business.
The purpose is to
focus on
requiring scale
for fast
expansion
(Borde, 2016).
The aim is to
generate revenue
of business and
contribution in
economy.
The purpose is
to improve
culture of
society.
Rising funds They acquire
funds from their
family and
friends.
They get funds
from venture
capitalist.
They attain funds
by selling
corporate bonds.
In this business,
volunteers
provide funds to
social needs
fulfilment(Hattn
, 2015.).
Example Wiser solution is
recruitment
company in UK.
Monzo is mobile
banking app as
well as start-up
Tesco is the
largest groceries'
supermarket in
National Health
services (NHS)
is providing the
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business in UK. UK. health and
social care
services to
public.
Similarities between entrepreneurial ventures:
Small and social entrepreneurial venture are similar, because of both ventures providing
the services to public for fulfil their needs and wants. On other side, scalable and large ventures
are similar, because of both entrepreneurs run the business for making profits and rapid
expansion. Therefore, all the businesses are similar with each other and their purpose are also
same to each businesses.
M1. Public and private entrepreneurial venture
The private entrepreneurial venture is the basis of free market capitalist system. It is
business unit set and operates by privately. For example, John Lewis Partnership. Firm is
employee owned company which operates John Lewis departmental stores. On other side, public
entrepreneurial venture want to build new venture in selling into public fields. As compared to,
corporate entrepreneur means development of new thoughts and chances for expansion. For
example Tesco that is multinational groceries' supermarket. Jack Cohen is founder of the
company.
D1. Scope, development and growth of entrepreneurial venture
The growth and scope of small business on local level is very high, because they are
developed their innovation for run their business(Mariotti and Glackin, 2015). In the critically
examine, the scope of large business on global level, because they run their business for
generating revenue on international level. As compared to, social entrepreneur run business only
fulfil social needs to people.
TASK 2
P3. Impact of micro and small business on economy
Small and micro businesses are keystone of UK economy. There were 5.2 Million
businesses in the UK in 2014. Small and medium sized enterprises are those having less than 250
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people working in firm. These small businesses directly impact on society as well as economy of
UK.
Economic powerhouse: The huge figure of businesses employ fewer than 10 people,
total 33% employees and turnover is 19% in May 2015. Small businesses are responsible for
15.2 million jobs. There are 5 million of these businesses in the UK within small and medium
business. It is an important measure of SME's economic health and value of economy.
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Illustration 1: Start-ups and Small Businesses in Economy
(Source: Start-ups and Small Businesses in Economy, 2018)

Society: Small and medium business also impact on society. In the past years, people
started their own business in the society (Taylor, 2015). In this context, growth of self-
employment and technologies increased living standard of society. Due to technology and rising
of small businesses, many of people started business from home.
Location: Small and medium entrepreneurs find the best location and expand into new
markets by marketing and selling product online.
P4. Importance of small business and business start-ups to growth of social economy
Importance of small business:
Small business is important as turnover, employment, growth, industry etc. to UK
economy. The success of small business is directly impacted on economic climate in UK. Small
business adopt innovation which is the big part of growth and development on economy. Due to
technology, small businesses growing and developing in global market(Dyer, Jr and Handler,
2017).
Small business contributes to economic health by current financial climate of UK. This
also helps for growth of start-ups business growth. Due to innovation, small businesses are
prepared to take risk, self-motivated, defined to stay ahead of competition.
Start-ups to growth of social economy:
The start-ups business is important to growth of social economy of UK. Due to
technology and innovation, start-up enterprises grow their business that helps in social economy.
With the help of it, improve standard of living, increasing employment, rising income sources to
grow the social economy of UK (Lambing and Kuehl, 2016).
Growth and development of start-ups business gives flexibility in order to provide the
better product and services in economy. In this context, government has given the contribution in
small and start-up business by government rarely utilise tax breaks to promote employment,
research and development and giving the networking chance to grow the business in the
economy of UK.
M2. Small, medium and large business make economy
Small and medium business has turnover of less than £25 Million and fewer than 250
employees in UK. For example, 99.3% small business, 33% of total turnover and 48% of total
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employment in the UK. On other side, 12% employment, 14% turnover and 0.6% of medium
business in the UK.
D2. Impact of small businesses on different level
Small businesses have impacted on different level regional, local, national and
international in economy. At the local level, small business make profits and increasing
employment. Small business has low level impacted on local economy by adopting innovation.
At the national level, they run business by adopting national polices and growth of national
economy(Schaper and et.al., 2014). They have impacted by increasing employment in national
economy. At the international level, small business increase their revenue and fast expansion.
There are high competition in global market.
TASK 3
P5. Characteristic traits and skills of successful entrepreneurs
Richard Branson is the English big businessman, investor, writer and philanthropist. He
is also foundered of Virgin group. He expressed his desire to become entrepreneur at young age.
Disciplined: Richard Branson is an entrepreneur who focused on making their business
work more powerful and successful than the other. In his characteristic discipline of work is the
most important thing, they performed their job profession duties on time which is better than a
company manager. He is successfully managed his as well as employee work to take every day
steps towards the development and achievement of their goals and objectives (Wheeler, Richter
and Sahadevan, 2015).
Confidence: Richard Branson do not have any doubt about his work and functions
process. He can succeed in every level of its business much better than manger or leaders of
organizations. He is confident with the skills and knowledge that will increase its company
succeed and growth.
Competitive: Richard Branson is focused on making their business successful than other.
He is more competitive as compared to other entrepreneur. This quality is differed from business
managers. Because, manager is responsible only for controlling of company. But successful
entrepreneur is only focused on their competitive growth of business.
Passion: Richard Branson is directed on making their business successful than other. He
is more passionate with other businessmen. Manager is also passionate rather than entrepreneur.
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Because of, manager is only focused on company. But, entrepreneur is focused on overall
industry. So that, they are more passionate as compared to business manager (Borde, 2016).
Creativity: Branson is creative and innovative for their performance that help in
becoming successful entrepreneur(Gordon, 2017). With the help of it, he is created new ideas
and thoughts for growing his business venture which he is started at age of 16.
P6. The way aspect of entrepreneurial personality reflect motivation and mind-set
The personality of entrepreneur is reflected to their motivation and mind-set. In this
context, Richard Branson is one of the youngest person who has first business venture at the age
of 16. He has desired to become successful entrepreneur. His personality reflect on his
motivation and mind-set. With the help of it, he is becoming successful entrepreneur in Virgin
group. The personality of entrepreneur means the self-reflection on their mind set and qualities.
With the help of effective personality, increasing motivation and clear mind set. By this
way, he is only focused on their vision and goals. Entrepreneurs are dedicated their work and
activity. But in the early career, Richard Branson has poor academic performance. Still, he was
not demotivated and only focused on develop business venture (Dyer and Handler, 2017). With
his personality, mind set and motivation, Branson is becoming in successful entrepreneur of
Virgin Group. In order to that, his passion and mind set help to grow their business venture. By
this way, he develops his skills and improve qualities. Personality increases by skills and
qualities such as confidence, self-motivate, passionate, etc. With the help of this, Richard
Branson develop his skills and qualities as well as improve their personality and mind-set.
M3. Line of argument of entrepreneurial characteristic
Richard Branson have many characteristics that are important to be successful
entrepreneur such as ability to focus most important things, good at finding needs, open minded,
believe in technology, contribute culture etc. All the characteristics must have for being
successful businessman. He need to develop all characteristics for growing of business.
D3. Characteristic traits, skills and motivational drivers of successful entrepreneur
Richard Branson have many skills and traits for being successful businessman such as
passion, confidence, self-motivated and so on. With the help of it, he is becoming successful
entrepreneur. Richard Branson must have self-motivated for finding new ideas and more
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passionate for growing of business. In order to that, he must have self-confident for development
of business venture.
TASK 4
P7. Background and experience can hinder or foster entrepreneurship
Richard Branson is an English business power, investor, author and altruist. He is
founded Virgin Group which handles more than 400 organizations. Richard expressed his desires
to become an entrepreneur at young age. At age of 16, his first business venture and magazine
known Student. In early life, Richard has reading disorder and had poor academic performance.
But, his parents were supportive of his enterprise from early age. His mother was successful
entrepreneur who is building and selling wooden tissue boxes and wastepaper bins.
In order to that, background of Branson was good and supportive, so that he is becoming
successful entrepreneur as like to their mother instead of their poor academic performance and
reading disability. Still, he was started his magazine named Students (Lambing and Kuehl,
2016). He was also started record shop in London. Richard was questioned in connection with
selling of records that had been announced export stock. By this way, he was faced many
problems then he was repaid unpaid VAT and fine. His parents was helped for settlement of
payment. Therefore, his parents always support in any condition. Parent support and their
experience help to hinder and foster entrepreneurship to Richard Branson. This also aids to
become successful entrepreneur in UK. His mother was successful entrepreneur, so that she has
to motivate to him for develop their skills to be successful entrepreneur.
M4. Link between entrepreneurial characteristic and influences personal back ground
If an entrepreneur is passionate and their background was good, so that it is advantageous
for becoming successful entrepreneur. If Richard Branson is self-confident and his background is
not good and supportive, so that it is difficult to solve any kind of problem which effects on
future.
D4. Critically evaluate background influences' entrepreneur both positive and negative
Richard Branson background is supportive and good, so that it is positive impact on their
experience. His mother is also successful entrepreneur, so that she is always supported to him.
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Branson is also self-motivated person, so that he was passionate for becoming successful
entrepreneur.
CONCLUSION
This report has summarised that different types of entrepreneurial ventures such as small,
scalable and large entrepreneurs. It can be discussed that various typology which includes small,
large and social ventures. It can be concluded that characteristic and traits of successful
entrepreneur that is Richard Branson. It can be analysed that impact on small business in UK
economy. Furthermore, report has completed that background and experience of Richard
Branson that foster entrepreneurship.
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REFERENCES
Books and Journals
Abdnor, J., 2015. The spirit of entrepreneurship, Journal of Small Business Management. 26 (1).
pp. 1‐4.
Beu, D. S. and Leonard, N. H., 2014. “Evangelism of great works in management”, Management
Decision. 42 (10). pp. 1226‐39.
Borde, S.F., 2016. Predictors of student academic performance in the introductory marketing
course”, Journal of Education for Business. 73 (5). pp. 302‐7.
Dyer, W.G. and Handler, W., 2017. Entrepreneurship and family business: exploring the
connections, Entrepreneurship Theory and Practice. 19. pp. 71‐83.
Lambing, P.A, and Kuehl, C. R., 2016. Entrepreneurship, Prentice‐Hall, Upper Saddle River, NJ
Wheeler, A. R., Richter, E. and Sahadevan, S., 2015. Looking back on their ‘great
works, Management Decision. 42 (10). pp. 1326‐42.
Schaper, M.T. and et.al., 2014. Entrepreneurship and small business.
Mariotti, S. and Glackin, C., 2015. Entrepreneurship & small business management. Pearson.
Hatten, T.S., 2015. Small business management: Entrepreneurship and beyond. Nelson
Education.
Online
Taylor, D., 2015. SME’s XL contribution to the UK economy. [ONLINE]. Available through. :
<https://www.clearbooks.co.uk/blog/smes-xl-contribution-to-the-uk-economy/>.
Gordon, E., 2017. 7 Essential Skills Required to Succeed as An Entrepreneur. [ONLINE].
Available through. : <https://www.ideatovalue.com/lead/eric-gordon/2017/12/7-essential-skills-
required-succeed-entrepreneur/>.
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