Entrepreneurship and Small Business Management

This assignment explores the characteristics, traits, and skills of successful entrepreneurs that differentiate them from business managers. It also examines how entrepreneurial personality reflects motivation and mindset, and analyzes the impact of background and experience on entrepreneurship with examples. The subject is Entrepreneurship and Small Business Management.

ENTREPRENEURSHIP
AND SMALL
BUSINESS
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1 and TASK 2 Covered in booklet.......................................................................................1
TASK3.............................................................................................................................................1
P5 Examine characteristics, traits and skills of successful entrepreneurs that distinguish them
from business managers.........................................................................................................1
P6 Determine that how entrepreneurial personality shows motivation and mindset of
entrepreneurs..........................................................................................................................4
TASK4.............................................................................................................................................4
P7 Analyse how background and experience can delay or advance entrepreneurship with
examples.................................................................................................................................4
CONCLUSION................................................................................................................................5
REFERNCES...................................................................................................................................6

INTRODUCTION
Entrepreneurship is willingness and scope of developing, organising and managing
enterprise while bearing risks to earn profits. It is basically starting new business combining
land, workforce, investment and natural resources that will generates profits. Individual who
undertakes business is called entrepreneur and is basically characteristics by innovations and
risk-bearing (Volery and Mazzarol, 2015). This assignment will cover various types of
entrepreneurial ventures with its similarities and differences and relation with typology of
entrepreneurship. Impact of micro and small businesses on economy with the help of statistics
and data along with its importance for growth and development of society. How entrepreneurs
are different from managers in terms of skills and traits with different aspects of entrepreneurial
personality that reflects motivation and attitude. At last this report will examine background and
experience that brings or blocks success for entrepreneurs with the help of suitable examples.
TASK 1 and TASK 2 Covered in booklet
TASK3
P5 Examine characteristics, traits and skills of successful entrepreneurs that distinguish them
from business managers
An entrepreneur is individual who has passion to create and ability to execute ideas for
unseen opportunities in market environment. A manager is hired employee by owner of company
to manage workforce and take decisions in organisational structure (Brush and Greene, 2015).
Bill Gates is an American Businessmen and owner of Microsoft Corporation, here are some
skills, traits and characteristics which helps to distinguish them from other organisational
managers.
Skills:
Creative: It provides ability to introduce something new and innovate idea. This skills
helps Bill Gates to come up with new solutions for problems and to think out of box. This is
what other business manager lacks in their skills, they are obliged only to functions according to
processes of company and be in frame decided by management.
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Risk-taking: It is essential for any entrepreneur because without this skill they will not be
able to exploit or discover opportunities prevailing in market environment. For successful
entrepreneur like Bill Gates, have different approach towards risks but always with backup for
every risk so that effective measures are always there.
Characteristics:
Passion: Bill Gates have work for passion, it acts as driving force to stay motivated for
higher results and productivity. This characteristics allow to put extra efforts for achieving
personal as well as professional objectives and provides ability to overcome challenges
(Venkataraman, 2019). This is what makes Bill Gates different from other business managers as
they work according to direction of management.
Empathy: This characteristic leads to understanding of what people want, need, think and
channels to reach them. Bill Gates deals in retail industry where identifying customer needs is
most important and plays crucial role in success of enterprise. Bill Gates knows strengths and
weakness of employee which is different from other managers and look after their well-being to
motivate them
Traits:
Disciplined: Entrepreneurs are focused on success of their businesses and eliminates
distractions in goals. Bill Gates is disciplined to work every day for achieving objectives and this
traits leads to have overall strategies and make plans to accomplish. This trait makes Bill Gates
different from other managers as they are given goals and objectives to make their team work
according to them.
Confidence: Bill Gates posses this trait, confident with knowledge of business, executing
plans, taking decisions and bearing risks. It is required as these days entrepreneur need to be
social and present their products or service in front of audience and mark impact on their minds.
J.K. Rowling is British Film and Television Producer, Author, Screenwriter and philanthropist.
There are some skills, characteristics and traits that marks difference between other business
managers and J.K. Rowling, discussed below:
Skills:
Knowledge: It is most essential skill for successful entrepreneur to have complete
knowledge about industry, market, customer and suppliers (Burns and Dewhurst, 2016). This
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ability allows J.K. Rowling to track changes and development in market to have competitive
advantage with strengths to analyse information usefulness and make strategies.
Social skills: It is that skill which is needed by entrepreneur to build relationship,
recruiting talented staff, formulating and communicating strategies. J.K. Rowling is well known
for social skills in building relationship with other entrepreneur and contributing towards cause
and environment. This what makes managers different from entrepreneur as they are not liable to
make any social presence and contribution towards society.
Characteristics:
Self-motivation: Main characteristics that J.K. Rowling have is self-motivation to succeed
and push towards achieving organisational goals. Dedication and motivation is needed to make
venture successful and work daily with same enthusiasm to sustain efficiency in processes
(Ramadani and et. al., 2015).
Flexibility: As entrepreneur, they need to be flexible to introduce changes when needed.
To be successful, there is always need to be flexible in decision making, thinking and functions.
This characteristics allows J.K. Rowling to find unique and effective solutions to problem and be
efficient in problem solving. Business managers need to be in framework while making
decisions, solving issues and resist when changes are makes which makes them different from
entrepreneurs (Karadag, 2015).
Traits:
Open-Minded: Entrepreneur need to realise that every situation is opportunity and ideas
are constantly prevailing in environment. J.K. Rowling is rich is this trait as it provides ability to
look around and focus everything towards targeting goals. Taking experience from setback and
working hard for next requires open-mind to accept failures.
Adventurous:When it comes to business, risk taking, making out of box decisions are also
considered as adventurous. When it comes to business, risk taking, making out of box decisions
are also considered as adventurous (Fayolle and Gailly, 2015). This trait of J.K. Rowling
distinguish from others managers as they lack any exposure of taking risk in decision making.
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P6 Determine that how entrepreneurial personality shows motivation and mindset of
entrepreneurs
The Big Five Personality Traits are considered as dimensions to evaluate motivational
level and mindset of entrepreneurs. There are five traits, Openness, Conscientiousness,
Extroversion, Agreeableness, and Neuroticism which analyse entrepreneurial personality,
discussed below:
Openness: Entrepreneur are rich in learning new things and experiences are considered as
openness in personality. J.K. Rowling is high in this trait and makes him motivated and with the
mindset of exploring new ideas to achieve set objectives.
Conscientiousness: Such entrepreneurs are reliable and organised which makes them to
be punctual and disciplined (Julien, 2018). Bill Gates is high in this personality trait through
which he is able to take risks, clear actions defined to carry out operations.
Extroversion: It includes being talkative, energetic and assertive in actions. Such
entrepreneurs seeks motivation from outside just in case of Bill Gates and clear mindset with
planned actions to achieve goals.
Agreeableness: Entrepreneur who are high in this trait are naturally friendly, warm
welcoming, cooperative and compassionate (Piperopoulos and Dimov, 2015). Bill Gates who is
high in this shows kind, affection and sympathetic behavior towards employees and society. This
can be seen through contribution of his company to fulfill social needs for society
Neuroticism: This traits reflects mindset of emotional unstable entrepreneur who
experience more unstable and negative emotions. J.K. Rowling scores high in this trait as there
are number of incidents where she has taken decisions in emotions and failed.
TASK4
P7 Analyse how background and experience can delay or advance entrepreneurship with
examples
J.K. Rowling was born on 31st July 1965 in England. Her father was Aircraft Engineer at Rolls
Royce factory and mother was Science Technician in Chemistry department at Wyedean
Comprehensive. Her mother died was she was a teenager after that she was always surrounded
by books and this experience has made her writer at very young age of 6. she completed her
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degree at Exeter University where she studied French and Classics syllabus which can be seen in
her most famous book Harry Potter and series. After her marriage ended in two year she moved
to live in UK and completed first three series of Harry Potter book. This experience was ever
lasting as she is continuing to write excellent novel and crimes books. She is now into Film and
Television Producer named as 'Pottermore'. She in 2016 became screenwriter of film Fantastic
Beasts and Where to Find Them, all this shows that how her experience, background and family
helped her to be a successful entrepreneur and foster her career.
Bill Gates was born in October 28, 1955 in Washington in upper middle class family. His
father was law student and mother was athlete. The atmosphere of Gates house was competitive
and always encouraging for excellence. This helps him to strive for success and take risks to
achieve it. He used to spend many hours in reading books at the age of 11 and at 12 he was
excellent in maths and science. In the schools for the first time he was introduced to computers
and this experience bought his interest into computers and start to spent many hours with it. He
was enrolled in Harvard University for law career but dropped out in 1975 and formed Microsoft
with partner Paul Allen. This helped him to be successful entrepreneur and encourages risk
taking skills in him which assisted him in this career as entrepreneur.
CONCLUSION
From above report it can be concluded that entrepreneurship is ability to identify market
opportunities and turn it into profitable business with resources. Entrepreneur is individual who
seeks idea and innovate solutions to fill present gap in market by offering products or service.
There small, large, scalable and social ventures which relates to lifestyle, growth, male and
female typologies of entrepreneurship. Data has been analysed to show that micro and small
businesses impacts social economy growth through generating employment, contributing in
GDP, innovative idea and supporting local workers. There are various traits, characteristics and
skills that allows entrepreneurs to succeed in business, earn profits and maintain goodwill in
market. Entrepreneurial personality is described by OCEAN model which shows different
behaviour and motivation, mindset to achieve goals and objectives. At last this report studied that
how family background, education and experience has brings failure or success in way of
successful entrepreneur like Bill Gates and J.K. Rowling.
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REFERNCES
Books and Journals
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Online
SME’s XL contribution to the UK economy. 2015. [Online]. Available Through:
<https://www.clearbooks.co.uk/blog/smes-xl-contribution-to-the-uk-economy/>
Essential Facts You Should Know about SMEs in the UK. 2019. [Online]. Available Through:
<https://www.market-inspector.co.uk/blog/2017/05/facts-about-small-medium-
businesses-in-the-uk>
Business statistics. 2019. [Online]. Available Through:
<https://researchbriefings.parliament.uk/ResearchBriefing/Summary/SN06152>
The role of small businesses in the UK economy. 2019. [Online]. Available Through:
<https://www.makeitcheaper.com/blog/the-role-of-small-businesses-in-the-uk-
economy>
How Important Are Small Businesses to Local Economies?. 2018. [Online]. Available Through:
<https://smallbusiness.chron.com/important-small-businesses-local-economies-
5251.html>
Why Small Business Is Important to the Economy. 2019. [Online]. Available Through:
<https://www.slcbookkeeping.com/blog/why-small-business-is-important-to-the-
economy>.
Why Are Small Businesses So Important for the Economy?. 2019. [Online]. Available Through:
<https://www.huffpost.com/entry/why-are-small-businesses-so-important-for-the
economy_b_58f61f9ae4b048372700db75>
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