Economic Effects of Brexit and Entrepreneurship

This assignment discusses the economic impact of Brexit on entrepreneurship, highlighting successful entrepreneur characteristics and skills that differentiate them from others. It also explores how booming businesspeople influence other individuals in society and examines the psychometric properties of a corporate entrepreneurship assessment instrument.

Entrepreneurship and Small
Business Management

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Different types of entrepreneurial venture and its relation with typology of
entrepreneurship.....................................................................................................................3
P2 Similarities and dissimilarities between different entrepreneurial venture.......................5
TASK 2............................................................................................................................................6
P3 Explain how small businesses impact on the economy.....................................................6
P4 Illustrate how small businesses and start –ups help the economy after the incident of
‘Brexit’...................................................................................................................................7
TASK 3............................................................................................................................................8
P5 Analyse the characteristics and skills of any two successful entrepreneurs....................8
P6 How entrepreneur personality motivates others.............................................................10
TASK 4 .........................................................................................................................................11
P7 How background and experience can affect entrepreneur..............................................11
CONCLUSION .............................................................................................................................12
REFERENCES .............................................................................................................................13

INTRODUCTION
Entrepreneurship and small business provide a great support to nation in the upliftment of
economy. Entrepreneur is a person who creates new business by facing risk and uncertainty for
achieving profit and growth (Burns and Dewhurst, 2016). Entrepreneurship is a process of
recognising or creating an opportunity, analysing the market and collecting the required
resources such as land ,labour ,capital and machinery for creating a business. This report
describe various types of entrepreneurial venture and its similarities and dissimilarities. It also
informs about the Brexit impact in the economy and how small business and start up help to
overcome this adverse situation. Moreover, two successful entrepreneur are taken into
consideration in order to understand their skills and characteristic different from the managers.
Along with this it also suggest how entrepreneur personalities and skills motivate other persons
of the society. The creation of new business depends upon the background and experience of
entrepreneur during life.
TASK 1
P1 Different types of entrepreneurial venture and its relation with typology of entrepreneurship
Entrepreneur : An entrepreneur is an individual who organises and manages a enterprise
after assuming all risks and opportunities for the sake of profit. Any person who starts a business
for the first time is a entrepreneur.
Entrepreneurship : It is the activity of an individual, who starts business activity for
being self employed. It is a process under which a person or business make strong presence in
market by recognising external opportunities (Epifanova and et. al., 2015).
Entrepreneurial venture : It is the effort of owner to create job opportunities for
themselves. It is defined as an enterprise which mainly do innovations and creativity for
generating revenue and social existence. Main aim of creating entrepreneurial venture is to
bring something innovative, creative as well in generating new things. Due to these ventures
market get something different which is unknown to them.
Types of entrepreneurial venture are as follows :
Small business entrepreneurship : It includes those individuals who start their business
on a small scale by taking funds from relatives, friends or through loans. Small business are
grocery shops, hairdresser, travel agents, plumber, electricians etc. Any individual of society can

start this type of business. They start these kinds of business to feed their family through earning
a profit and not to become a market leader. They hire local employees or family members.
Large scale entrepreneurship : Large companies are those who can easily make
changes in the existing product cycle in order to fulfil the demands of the customer as compared
to other business. Changes in customer's taste and adopting new technologies by competitors
create pressure on large companies to develop a completely new product for new market. Large
companies size and culture face difficulty in executing continuous innovation (Fayolle and
Gailly, 2015).
Social entrepreneurship : Social entrepreneurs main aim is development of society and
not earning profit. They are innovators and creators whose concentration is on the creating
product and services which can solve social needs and problems. They are completely different
from other entrepreneurs whose goal is to create wealth for the founders. They want to create a
better world for the people which bring equality in different section of the society.
Typology of entrepreneurial venture
Social entrepreneur : A person who starts a business with the objective of serving
society rather than earning profit. These are the entrepreneur who starts a business in order to
develop and implement solution of social and environmental issues. For example : micro finance
institution, providing bank services in remote areas and helping orphanage people with
dangerous diseases. They take various initiatives and risk in order to bring positive change in the
society.
Female entrepreneur : There are the individual who apply feminist values and
approaches through their entrepreneurship business. Generally female entrepreneurs
concentration remain on improving life and well being of girls and women.
Serial entrepreneur : The serial entrepreneur comes with new idea and make things
started and then give responsibilities to some other individual of organisation to move on new
idea and new venture. They are completely different from typical entrepreneur who come with
single idea and start the company and take participation into day to day activities.
Life style entrepreneur : An individual who creates a firm with the aim of making
changes in their personal lifestyle not only for earning profit. They are the business owner whose
prioritizes is making their life comfortable over profit. These entrepreneur business is driven by
their lifestyle preferences ,interest and passion (Goss, 2015).

P2 Similarities and dissimilarities between different entrepreneurial venture.
Basis Lifestyle entrepreneur Serial entrepreneurs
Similarities  They want to create
something different for
the society.
 Their main goal is
providing qualitative
product to the
customer.
 Their main aim is to do
innovation and
creativity.
 They does not want to
compromise with their
product quality and
features.
Dissimilarities  These are the
individual who starts
new business because
of their passion. They
created enterprise for
the purpose of making
alteration in their
lifestyle not only for
gains.
 They always stand for
their business
development and
growth.
 There aim is to earn
live hood or uplifting
standard of living
(Irene, 2017).
 Serial entrepreneur
continuously starts a
new venture and
transfer its
responsibility of
handling business to
other person so that
they can move to new
idea and new venture.
 They are not present
with their business
because they move to
another idea to make it
reality.
 Their aim is to earn
maximum profit.
Basis Female entrepreneur Male entrepreneur
Similarities They want to earn long term
profit in order to sustain in the
They also want to earn profit
and rewards for the

market. development and growth of
their business.
Dissimilarities  Female
entrepreneurship is
defined as a business
which is run, organise
and initiate by women
or group of women.
 Women focus remains
on social contribution
and to provide good
quality to the society.
 Women always believe
in building relationship
with their employees.
 Male entrepreneurship
is a business which is
run by men or groups
on man.
 Male entrepreneur
focus on making cost
effective product to
earn profit.
 Men always
concentrated on their
task rather than
building relationship
with their staff
(Mariotti and Glackin,
2015).
TASK 2
P3 Explain how small businesses impact on the economy.
Small and medium enterprise help country to boost their economy. They are the
backbone of the society because they provide revenue to the country for carrying out their
proceedings. Government support these types of organisation because they provide employment
to large number of people with their growth and development. There are many small businesses
which are established on a small scale but now work at national and international level because
of the government bodies.
There are various types of organisation in the environment which differ on the basis of
their size and other factors which are described below:
Micro : It includes those businesses which run on a small scale. Sole proprietorship can
come into this category of enterprise. Micro business have 10 employees or less and its annual
turnover remain under £ 2 million.

Small : Small business is independent and has a little influence on the market. These
business generally employ less than 50 employees. The annual turnover of small scale business
remains between £ 2 million and £10 million.
Medium : These enterprises works to earn a profit and to uplift standard of living. They
have a management team instead of single owner/manager. Medium size business have less than
250 employees and it its turnover remain under £13 million.
By the help of these enterprise there is a increase in employment, uplift the standard of
living, innovative product and cost effective product. These enterprises are the blood of UK
because they perform work efficiently in order to earn profit and to provide product and services
for society (Mugler, 2017).
P4 Illustrate how small businesses and start –ups help the economy after the incident of ‘Brexit’
Brexit is the abbreviation used for British exit form European nations which was
undertaken in June 2016 (What are the economic effects of Brexit so far?, 2016). It was taken
place because UK believe that their position get affected due to indulging in European nations.
UK leave the EU because it hampers their independence tradition and work area. They wanted to
save the money which they every time invest for becoming the member of the European nations.
But this situation create a adverse effect on the economy in the form of decrease in employment
and reducing in foreign currency. UK overcome this kind of adversity up to maximum level,
with the help of the small and medium business. SME's create a positive impact on the economy
which is described below :
Increase employment : After the incidence of Brexit there are many people in the
society who loose their job. These types of firm help government to generate employment for
their persons. When organisation get support from the governing bodies to do their trade freely
then it help them in developing and grow their business.
Wealth distribution : When UK separate from European union then face lack of funds
which were provided by the same union previously. Moreover, they do not have sufficient
monetary resource which impact negatively on operational activities. Then after that ,UK
generate fund from there foreign trade. They provide that fund to the small business development
so that in future these firms return that wealth to the economy.
Innovation : Small and medium companies always provide innovative and creative idea
to the society. Their aim is always offering low price product to the customer which they

achieved different ideas and cost effective techniques. By providing innovative product and
services they make life easy of their society people. Due to them maximum number of people
able to satisfy their needs and wants which they are on stake after Brexit happening
(Piperopoulos and Dimov, 2015).
TASK 3
P5 Analyse the characteristics and skills of any two successful entrepreneurs.
Entrepreneur is an individual who perform various activities in the environment such as
creation ,organisation and ownership of new business with the aim of growth. Entrepreneur
develops a idea for which they acquired human and other resources and is completely
responsible for its success or failure. Entrepreneurship is the process under which individual see
opportunities and bring change for starting and operating own business.
Mark Zuckerberg and Richard Branson are the two successful entrepreneur who have
some different skills and knowledge which differentiate them from other business persons of
society.
Mark Zuckerberg founded Facebook in May 2004 . His full name is Mark Elliot
Zuckerberg. He is the most successful American computer programmer. Mark was among the
most successful entrepreneur of the society. The Facebook is his dream of making a world small
place where people get connected with their friends and family easily. There are several
characteristic which make mark successful and become a market leader.
 Risk taking : Risk is basic part of business without facing it no one can achieve growth.
At the time of raising money mark Zuckerberg took a series a risk (Ratten, 2016). He
ignore lot of important calls and major investor to get right investment for their site. Later
on his site get twelve large investment. Generally, when people think of missing the
opportunity marl and his Facebook team believe in their product and wait for the right
thing. Manager never ready to take risk because they have already lot of work and if take
they risk than it will affect their day to day work.
 Learning : To make a world most successful social network site, mark Zuckerberg have
to face lot of problems. These are in the form of legal cases with former founder and the
law suits over confidentiality. Despite of facing lot of adversity and issue mark
Zuckerberg and his team stand strongly and confidentiality in the market because they

always learn from these things. They make changes in their system to provide people
confidentiality of information. Managers are never to learn from their failures because
they always make others reason for the miss-happening not themselves (Schaper, 2016).
 Vision : Vision is the thing towards which individual all actions are directed. Mark has
clear vision due to which he faced many problem confidently and become successful. He
wanted to make the world more open for the people of society. He created a social
networking site so that individual get connected with each other. He took all actions
considering his ultimate aim. Manager does not have any vision because they always
think about improving the current position of the business.
Richard Branson is the founder and chairman of the virgin group. He left school at the
age of 16 because he realise that it was not the place where he belongs to. After his school he
took lot of activities like opening a record store and opening a megastores which named virgin.
But Branson get success after launching virgin Atlantic record and expand the virgin record
system in 1980. Due to his effort the virgin group achieve huge success in sectors like mobile,
telephone, travel and transportation,entertainment and financial services. There are various skills
which help him to grow are as follows:
 Face failures : In this world there is nobody who get everything for the first time.
Business is like a big game of chess individual have to learn from their mistakes. Branson
never stops due to failure like virgin airlines crashed before it started and when his soda
company did not flourish. In spite of all these things Richard become successful because
he face all this things with courage. He believes that individual does not fear from failure,
they should learn from it and move further. Manager never accept their failures they
always try to find the way for ignoring them (Steyn, 2017).
 Learning : Learning is compulsory because it help individual to get success in upcoming
life. When virgin company bring their virgin cola then they take the biggest risk of that
era. Because they have to compete with the market leaders of that time which is coke and
Pepsi. But virgin cola does not make its strong existence in the market because of its
similar identity. From this scenario, Richard learned that if the product is not unique than
no one noticed it. After this they always try to provide the world unique things. Manager
always try to avoid learning because it can affect their day to day work and speed.

P6 How entrepreneur personality motivates others.
Entrepreneur is a person who motivates and guides other individual of the society. They
always motivate individual of the nation that they can do anything which they want.
Entrepreneur tell the path through which organisation and individual able to achieve desired
goal.
Openness to experience : It is the basic feature which successful entrepreneur contain in
his personality. The entrepreneur should make changes in their idea according to customer's
needs and wants. Mark Zuckerberg and Richard Branson both remain open for new experiences.
They make a thing which was the need of the customer not make the thing which they want. Due
to this they always make modification in their existing idea. From them individual learn that they
should adopt new things of the market to survive for a longer period of time.
Conscientiousness : It include those individual who are self-discipline, dutiful and
achievement oriented. They always take action by proper planning in place of impulsive. Richard
and mark are so much focused about their work which help them in achieving their desired
target. Due to their presence with such of feature in their personality, employees able to achieve
organisational goal and their personal goal. Through them individual able to know that if they
want to achieve their objective than they have to work with full dedication (Storey, 2017).
Extroversion : It is a degree of sociability and individual point of energy and
excitement. It includes positive emotions, warmness and assertiveness. Entrepreneur should be
extrovert so that they are able to motivate people around them. The business person who are
enjoy their work not capable to indulge employees in the working. Richard Branson and Mark
Zuckerberg both are score high on this feature. Due to this they are able to guide other individual
of the society and their staff.
Agreeableness : These are the people who are honest and more in cooperation. They are
honest and generous and always encourage their staff to perform better. Both the entrepreneurs
comes in this category because if they don't trust their employees than the are not able to their
desired goal. They are not among the person who always doubt other humans. Entrepreneur
know that business objectives can be achieved by mutual cooperation and trust. They guide other
individuals through their method of performing work.
Neuroticism : It includes those person who shows anger, anxiety, depressed in the
society. They are not happy in their life and surrounded by negative emotions like

sadness,anger,fear. Both the entrepreneurs does not contain this features in their personality they
always remain calm,stable even in stressful situation . These kinds of features are not able to
motivate anyone.
TASK 4
P7 How background and experience can affect entrepreneur.
Background can have a positive and negative effect on the individual. For example : a
doctor family child can motivate to become something different for rise their family name or a
child can also go on a wrong path that they have such a strong background why would he work.
It depends on the family how they up bring their child (Goss, 2015).
Entrepreneur are made not born. There are various attributes which entrepreneur develops
in their early life because of their family background. Family plays an important role on the
entrepreneurial behaviour. Entrepreneurs who have self employed parents, motivate them for
independence, achievement, and responsibility. Background is a basic thing which create a
individual attitude and behaviour.
Mark Zuckerberg was born on may 14, 1984 in the suburbs of new york. His father is a
dentist and his mother is a psychiatrist and he has three sisters. Mark was the second child among
four children. His father owned a dental practice which was near to his house. He launched a
computer messenger zucknet . Zuckerberg made software for his father to help him in their
dentist work. His father installed that messenger on this computer in his dental office so that he
get the information about the patient when they arrived. This scenario shows that his parents
always motivated him to do new things which help him in including in world most successful
entrepreneur. His father can stop him to invent the program but he encourage him to develop and
support him by adopting their business (Volery and Mazzarol, 2015).
Mark developed program with his friends in February 2004, from his room of the
university with the aim of connecting people. In a very shorter period of time his invention get
expanded to large number of universities and colleges. Later on his program converted into
biggest venture which he named Facebook. Positive environment of mark Zuckerberg always
encourage him to do anything which he like to survive in the society.
Richard Branson full name is sir Richard Charles Nicholas Branson. He was born on
July.18 1950 in Surrey, England. His father Edward James Branson is a barrister and eve

Huntley Branson. His grandfather sir George Branson was a judge of high court. He left the
school at very early age because he believe that it was not right place for him. At the age of 16 he
started hi first venture of record business and advertised it in the famous magazine student. Later
on he trade records on the name of virgin. Richard get the success after launching his airlines and
expanding it record system in 1970 (Fayolle and Gailly, 2015). Richard family always believe
him that he do something different in life. This mentality of his family motivated to become a
successful entrepreneur.
CONCLUSION
From the above report, it is concluded that in today's time entrepreneurship plays an
important role in boasting economy of the nation. Due to entrepreneur innovation and creativity
positive changes comes in the society. It explain different types of entrepreneurial venture and its
contribution to the country's growth. This project informs how small business and start up
support the economy after Brexit incidence. In this there is discussion of two successful
entrepreneur and their characteristics and skills which differentiate them from other persons of
the society. Along with this it also tell how flourishing businessman influenced other individual
of the society. It also highlight how booming businessperson past and family background
motivate them to a start a new venture.

REFERENCES
Books and Journals
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attitudes and intention: Hysteresis and persistence. Journal of Small Business
Management. 53(1). pp.75-93.
Goss, D., 2015. Small Business and Society (Routledge Revivals). Routledge.
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competencies in business success. The Southern African Journal of Entrepreneurship
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Mariotti, S. and Glackin, C., 2015. Entrepreneurship & small business management. Pearson.
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Schaper, M. ed., 2016. Making ecopreneurs: developing sustainable entrepreneurship. CRC
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Storey, D., 2017. Six steps to heaven: Evaluating the impact of public policies to support small
businesses in developed economies. The Blackwell handbook of entrepreneurship,
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Online
What are the economic effects of Brexit so far?. 2018. [Online]. Available through:
<https://www.ft.com/content/dfafc806-762d-11e8-a8c4-408cfba4327c>.