Entrepreneurship and Small Business Management

This assignment report explores the concepts of entrepreneurship and small business management. It examines different types of entrepreneurial ventures, their relation with typology of entrepreneurship, impacts of small and macro business on the economy, characteristics and skills of entrepreneurs, and the influence of background and experience on business activities. The report provides insights into the importance of small businesses and start-ups for the social growth of the economy.

Entrepreneurship and
Small Business
Management

Table of Contents
INTRODUCTION...........................................................................................................................4
TASK 1............................................................................................................................................4
P1 Examination of different types of entrepreneurial venture and their relation with typology
of entrepreneurship.................................................................................................................4
P2 Difference and similarities between entrepreneurial ventures..........................................6
M1 Investigating entrepreneurial ventures in order to gain understanding of entrepreneurship
in context of both public and private sector...........................................................................9
D1 Critical examination of scope of entrepreneurial ventures, growth and development.....9
TASK 2............................................................................................................................................9
P3 Assessing the impacts of small and macro business over the economy using data and
statistics..................................................................................................................................9
P4 Importance small business and start-up's possesses on the social growth of economy. .11
M2 Evaluation of difference small, medium and large businesses bring in economy.........12
D2 Impacts of small business on different levels of economy along with international level12
TASK 3..........................................................................................................................................12
P5 Determining characteristics, traits and skills of entrepreneurs.......................................12
P6 Evaluation of different aspect of entrepreneurial personality and their influence of
motivation and mindset of entrepreneurs.............................................................................14
M3 Exploring various arguments relating with entrepreneurial characteristics...................14
D3 Analysis of motivational drivers of successful entrepreneurs........................................15
TASK 4..........................................................................................................................................15
P7 Examination of how background and experience can hinder or foster the business activities
and entrepreneurship............................................................................................................15
M4 Assessing the link between entrepreneurial characteristics and influences of personal
experience and background over successful entrepreneurs..................................................16
D4 Critical evaluation of impacts background and experience have on the behaviour and
personality of entrepreneur...................................................................................................16
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................18

INTRODUCTION
Entrepreneurship is basically activity which undertakes setting up a business with taking
financial risks and hoping for earnings and profits. The person or an individual who develops a
business and bears all its risks and responsibilities are known as entrepreneurs. Entrepreneurship
involves huge risks but also a very beneficial and high reward serving operation. This
assignment report is based on different concepts of entrepreneurship. In this report different
types of entrepreneurial ventures are explained in relation with the typologies entrepreneurship,
also various differences and similarities are seen. Furthermore, impacts of small all and macro
business is seen over the economy along with understanding the importance of small businesses
and start-up’s for the growth of social economy (Cole, 2018). Moreover, two entrepreneurs are
chosen in order to seek understanding about the different characteristics, traits and skills they are
having which creates difference amongst them and differentiate their business practices. Use of
OCEAN model is done in order to gain knowledge about different personalities of entrepreneurs.
Every entrepreneur comes from different background and with different experience these two
factors have use impact on the business practices which they undertake and it is also considered
in this report. By understanding the impact of background and experience the main motive is to
analyse that how these two factors Foster or Hinder the the aims and objectives of
entrepreneurship.
TASK 1
P1 Examination of different types of entrepreneurial venture and their relation with typology of
entrepreneurship
Entrepreneurial ventures
These are those businesses which is started by entrepreneur by producing high or best quality
goods and services for the customers of a particular industry. There are several types of
entrepreneurships and these are known as entrepreneurial ventures. All these ventures have
different characteristics and varies from one another. Some are explained below:

 Small business entrepreneurships this type of entrepreneurship and business activity is
started with very limited sources and resources such as finance capital, raw material and
personal. Small business enterprises are started by an individual with the initial aim of
surveying in market and earning enough profits fulfill their basic needs.
 Large business entrepreneurship are started with huge investment and on very big level.
Here, entrepreneurs comes into market with an innovative idea and develops strong
business with the motto of serving to customers and satisfying their needs bring to their
taste and preferences (Julien, 2018) . Huge amount of money and resources are involved
in in such business activity and large number of people are involved.
 Scalable entrepreneurship is based on the assumption the entrepreneur have in their mind
in relation with their idea. They assume that the business idea through which they came
into market can change the world and make it a better place to live. The main motive an
aim of an entrepreneur is to enhance the marketplace with attaining large number of
profit units.
 Social entrepreneurship are established with single objective of helping others and
fulfilling their needs who cannot afford and unable to do so. The main purpose of
entrepreneurship is to enhance the living standard of people and helping them living a
better life by serving them fulfilling there wants.
Entrepreneurial venture typologies
 Female entrepreneur typology defines that females are more efficient and calm males
which enables them and assist them in in making better strategic decision for the
business. Females are more competent and patient which itch help them to take better
decisions rapidly and resolve conflicts.
 Male entrepreneur typology refers to and states that the males having better powers and
ability to monitor and control a business activity more efficiently than women. Small and
large businesses are more connected with male entrepreneur typology as it enables them
to be more competitive in the business environment (He, Lu and Qian,2019).
 Social entrepreneur typology states that and relates to those enterprises which are more
interested in resolving problems of others and rendering them with effective production
services.

P2 Difference and similarities between entrepreneurial ventures
Difference between large and small entrepreneurship
Basis Small
entrepreneurship
Large
entrepreneurship
Finances In small business
entrepreneurship the
finances and
amount which an
entrepreneur start
their business is
very low (Dana,
2018). Also these
finances which
entrepreneurs invest
in their business are
gathered form their
personal savings or
from close relatives
and friends.
On the other hand
large business
entrepreneurship
includes huge
amount of money as
size and nature of
business is large.
These finances are
raised from various
sources which are
authentic and
secured such as
through bank loans
or through equity
shares.
Size Size and nature of
small business
enterprise are very
clear with the name.
The operations of
small
entrepreneurship are
very little and they
cover very small
area as their target
market.
Large business
entrepreneurship are
open and operated
on very bigger
scale. These
businesses are
introduced in
market with
innovative idea and
involves use amount
of money e
resources and

employees to fulfill
the objectives of
company.
Aim The main aim small
businesses initially
is to survive in
market buy earning
enough profits and
serving the
customers
according to their
needs and tastes.
Motives and
objectives of large
business entities is
always to survive in
market and become
the biggest
company in
marketplace
(Laudano, Marzi
and Caputo, 2018).
Initially if there are
losses still the
business being run
and operated in
marketplace.
Similarities in large and small entrepreneurship
 Initially several difficulties and complications are faced by both types of businesses either
small or large as many external and internal factors are present which Hinder their
motives but both the entrepreneurships stand in market and earn enough profits by which
they manage to be present in external environment and give huge competition to others.
 Both small and large business entrepreneurs enters the market with new or innovative
idea which enables them to standard market and face the existing competition of the
industry.
Difference in social and scalable entrepreneurship
Basis Social
entrepreneurship
Scalable
entrepreneurship
Objective The main aim and Scalable

objective of social
entrepreneurship and
entrepreneur behind
this business is to
serve others in order
to enhance their
living standard by
providing them with
basic products and
services.
entrepreneurship are
established by
entrepreneur with an
assumption that their
idea which is of
innovative nature can
bring change in the
world and make it a
better place to live.
Employees Basically all the
employees of social
entrepreneurship are
self employed and
known as volunteers.
They work with the
motive of serving
others and making
them happy and do
not expect any salary
or regular pay.
Employees of
scalable
entrepreneurship are
skilled and hold best
talents and expertise
(Jones and et. al.,
2018). The skilled
employees or
personnel’s enables
company to execute
their innovative idea
into operations and
bringing best
effective product in
marketplace for the
customers and
satisfying their needs
Similarities between social and scalable entrepreneurship

 Social entrepreneurship and scalable entrepreneurship both works for making the world a
better place by rendering people goods and services which will help them in living better
life and enhancing their living standards.
M1 Investigating entrepreneurial ventures in order to gain understanding of entrepreneurship in
context of both public and private sector
Entrepreneurial ventures of various kinds having different roles and responsibility and broadly
classified into different sectors. The sectors are public and private, enterprises perform
significant role in both the sectors (Kuckertz and Prochotta, 2018). In public sector and in favour
of public these organisations bridge answer public by offering products like food and fulfilling
shelter needs. On the other hand Private sector enterprises refers to those business enterprises
which are performing on their own and do not have the authorisation to sell their shares in public
without any authentic and authorised body working with them.
D1 Critical examination of scope of entrepreneurial ventures, growth and development
Nowadays current market situation is very crucial market is changing everyday and in challenges
are coming up in front of business. Every new venture comes into market with their unique
business objectives and take different measures to achieve them. Small and scalable businesses
steps into marketplace and invest lots and lots of money in order to make the operations effective
and game competitive advantage over others (Venkataraman, 2019). The even proves to be very
beneficial for the economy as well for the growth and establishment of social and cultural life
standards of people. Small and other entrepreneurial ventures have use scope of growth and
development in different economics of the world.
TASK 2
P3 assessing the impacts of small and macro business over the economy using data and statistics
Currently the marketplace and market situation is very unpredictable and dynamic. Everyday
new businesses coming up in marketplace with innovative ideas impacting the business of
existing companies and the economy of UK. Macro and small businesses are the great part of
every economy which at as pillars for every economy and plays a very significant role in
enhancing and increasing the position of UK economy amongst other world economics. The
small businesses brings various benefits for the people one of the biggest positive factor which

has impact on the economy is the employment opportunities these small and micro businesses
generate for the population.
Small business- this type of business activity is very tiny in nature involving small amount of
money and started only with maximum 50 personnel’s. The annual income of such business is
around and upto £5 million. As they are started with very little investment and few people are
associated with it therefore the marketplace and size is also very small limited resources are
utilised (De Bruin and Mataira, 2018).
Medium business- this business is started and includes around 250 employees earning annual
income of £22 million. The size medium businesses our little larger than small businesses and
they use more resources covering the larger area of market.
Large business- this business type is operated and established on a very huge level and activities
are conducted international and national. Large amount of money is invested by entrepreneurs
making most use of present resources and acquiring larger market share there size and nature.
The above graph or diagram shows the impact of small medium and large scale businesses or
enterprises on the employment ratio and turnover of the economy. Is really clearly e shown in the
diagram that almost 99% of the marketplace is captured by small businesses only 1% enterprises
are of medium or large in size (Dana, Ratten and Honyenuga, 2018). On the other hand almost
48% of employment is generated by small businesses as they are more number showing that they

have great impact on the lives of people and also on the economy. Therefore, from the picture it
is clear that small businesses plays a very essential and vital role in developing the economy and
works as a backbone of economies present in the world.
P4 Importance small business and start-up's possesses on the social growth of economy
Start-up's is a young firm established by one or more entrepreneurs with the aim of
developing unique products or services and introduce it in marketplace with the motive of
earning profits. The main aim of these kind of companies is to prove their validity of their unique
idea or concept to potential leaders and investors (Satar and John, 2019). In order to raise funds
for conducting their operations and earn credibility in marketplace. Initially start-up's are
considered as small business enterprise which is still in their development stage and once their
idea and plans works, growth options form them to become bigger and better increases. Both the
start-up's and small businesses possesses huge importance in context of social growth of
economy. Few importance of start-up's and small businesses which they have over social
economy are elaborated below:
 Increase employment opportunities- Start-up's comes into market with new and fresh
ideas for which they need both skilled and unskilled people to execute their operations
and plans. This works as an opportunity for local population as they gets chances to use
their skills and earn money. This enables social growth of economy as when people start
working they start earning money which increase their purchasing power and improves
the flow of money in economy.
 Improves living standards- Once people start working and earns money they begin to
spend their earning in satisfying their needs and wants. Their living standards improves
according to the earnings and purchasing power, which directly impacts on the social
growth or economy and enhance the position amongst other world economies. As people
start earning more they start spending more which increases revenue of others and that is
how this business cycle goes on which is due to the small businesses and start-up's. All
segments of society grows and improves which automatically improves social standards
of economy.
 Enhance mindset of population- startups and small business enters the market with their
new product or service which they developed through some fresh ideas (Davari and et.
al., 2018). This new and fresh goods and services which entrepreneurs bring in society

health in changing and enhancing the mind of people and the population in which they
are having their business. Through their innovative ideas and developing then effectively,
they put huge impact on mind of people. Population gets to learn better things and ways
of doing things which makes a difference in the mindset of the society.
M2 Evaluation of difference small, medium and large businesses bring in economy
All three entrepreneurial ventures small, medium and large are different from one other as
discussed above and clarified from the graph given. All three entrepreneurial ventures brings in
new ideas, have different growth opportunities and serves the society in unique manner. These
businesses use inverter technology and create job opportunities for the society all these unique
factors make them different from each other and enable them to attain best position in
marketplace or in the industry they are competing (Marom and Lussier, 2018).
D2 Impacts of small business on different levels of economy along with international level
As shown in the graph above small businesses have use part in developing the economy and
plays a vital role increasing and developing social economy of UK. Small businesses have
acquired almost 99% off marketplace creating jobs for people and serving them unique goods
and services which enable them to enhance living standards of the society. Therefore small
business have great impact on different levels of economy. It also helps economy to grow
internationally and becomes the best economy in the world by helping it attain better position.
TASK 3
P5 Determining characteristics, traits and skills of entrepreneurs
There are different entrepreneurs present in UK who have big and successful businesses. All
these entrepreneurs are different and unique from one another having various and separate
characteristics traits and skills. The impact of these three factors are present and seen on the
personality of entrepreneurs which has differentiated influence on their business activities too.
For this assignment two entrepreneurs are choosen which are as follows:
Richard Branson
Characteristics
 Passionate- this characteristic refers to the zeal and willingness of Richard Branson
towards business and all operations he is associated with.

 Flexible- Richard Branson’s adjusting and flexible nature made him work in all different
kind of situations and facing all challenges of business making it successful and surviving
till today.
Traits
Innovative- this is a very important trait which is essential nowadays for every entrepreneur to
hold. Richard Branson innovative ideas and ways of doing business and handling or operations
assist him in achieving all predetermined aims and objectives (Singh and Gaur, 2018).
 Committed- another very unique trait Richard has is of being committed to his work and
all different types of goals set by him. In order to achieve these goals he faces all
complex situations and stay firm while completing his task.
Skills
 Best marketer- one of the best skill of Richard Branson is his marketing techniques and
it is from belief in doing best marketing of the goods and services his company is offering
to the public.
 Risk taker- Richard Branson is a risk taker who always face all the challenges in a
unique and innovative manner giving great competition to others and accepting all risks
associated with the business.
Duncan Bannatyne
Characteristics
 Creative- all the creative ideas Duncan had in his mind and appropriate development of
and implementation of those in an effective and creative manner bring him success.
 Competitive- Duncan is very competitive and high risk taker who has established is
name in different industries acquiring where is different businesses of several other
sectors.
Traits
 Versatile- a very powerful trait Duncan had is his versatility and adaptiveness which
enable him understand situation accurately and work accordingly.
Skills
 Persuasiveness- capability of convincing others and making them work according to
themselves is one of the skill of Duncan. He motivate others in an effective manner and
make them work according to him in order to attain all objectives.

P6 Evaluation of different aspect of entrepreneurial personality and their influence of motivation
and mindset of entrepreneurs
There are several different human beings having different personalities and its traits. All these
entrepreneurs which are doing business in market have different skills and personalities which
differentiate them from one another. OCEAN model is one of the effective tool which is used to
identify and evaluate different nature of personalities.
 Openness refers to the open-mindedness and free thinking process of an entrepreneur.
This personality trait enables them to accept all different kind of situations and work
accordingly.
 Conscientiousness personality of an individual refers and signifies that they are very
punctual and have great management skills. The constantly and effectively think about
the outcomes of their behaviour on their businesses and on other parties associated with
them.
 Extraversion States the extrovert behaviour of an individual by which the freely Express
their feelings and share their ideas with others effectively. It enables them to work with
everyone by taking their suggestions and conveying them their feelings (SEBIKARI,
2019).
 Agreeableness is the most easy kind of personality and individual has in which they
agree with all unique situations and adapt them. This adaptive nature and personality trait
helps entrepreneurs to work in different situations and face all challenges in an
appropriate manner.
 Neuroticism personality trait makes an individual strong by which they can handle all
sort of challenges and counter them easily. Entrepreneurs having neuroticism personality
trait can easily make decisions and take corrective measures in difficulty and urgent
situations by providing better level of satisfaction in an efficient manner.
M3 Exploring various arguments relating with entrepreneurial characteristics
Every entrepreneur are unique and different from one another having different skills traits and
characteristics. All these three factors are present in an entrepreneur since his or her birth which
day imply and make use in their business and running their operations effectively. Every
individual work with their own capacity and capabilities which they have learnt and acquired in

their lifespan and use them while performing business activities which enables them to perform
effectively and serving best to people.
D3 Analysis of motivational drivers of successful entrepreneurs
As discussed and seem in above sections that all different individuals and entrepreneurs holds
unique skills, characteristics and traits. Therefore it is clear that individuals have their unique and
separate motivational factors or drivers which assist them to work appropriately in an effective
manner and achieve all of their goals (Palalić, Dana and
Ramadani, 2018). This motivational factors also enables entrepreneurs to attain competitive
advantage in marketplace over others handstand one step ahead from their competitors.
TASK 4
P7 Examination of how background and experience can hinder or foster the business activities
and entrepreneurship
Richard Branson
He was born on 18 July 1950, who is a British business tycoon, investor, author and
philanthropist. Richard Branson showed his interest in business and desire to become an
entrepreneur at a very young age. Reopened his first business venture at the age of 16 years old
and in 1970 hi setup and mail order record business. By passing time and earning profits he
opened new change of record stores known as virgin records and later on known as virgin mega
stores. During the period of 1970 to 1980 virgin brand grew very fast scale giving Branson use
profits units barrage started an airline company known as Virgin Atlantic.
Duncan Bannatyne
He is a perfect example of rags to riches story, Duncan started his first business of selling ice
cream with $730 from a second hand van. His passion and willingness to become a successful
entrepreneure please his way towards different beneficial opportunities (Brush and et. al., 2019).
Eventually Duncan entered into nursing home industry by providing bed and breakfast, slowly he
36 properties with earning profits and great learning. His creative and innovative mind 2 km
towards the fitness industry and he entered into the fitness world by acquiring fitness club arena.
Currently Duncan has an empire of 40 spas as well as over 60 health clubs also with other hotels

and bars. Duncan works for the poor too and operates charitable trust which supports over 25
different charities.
M4 Assessing the link between entrepreneurial characteristics and influences of personal
experience and background over successful entrepreneurs
Individuals grow in their personal atmosphere from where their characteristics and traits. These
environment in which they live dear life works as pillars for them. Therefore background and
personal experiences of entrepreneurs have with their lives and the decisions take in their
businesses. These backgrounds and experiences plays a very important role in order to make a
person and their business success.
D4 Critical evaluation of impacts background and experience have on the behaviour and
personality of entrepreneur
Comes from different backgrounds and experience different difficulties and situations in their
lives these two factors have both positive and negative influence over the careers and decisions
take in their businesses (Donckels and Miettinen, 2019). The background and experiences of
entrepreneurs can Hinder or foster their aims and objectives which day set for their businesses
and entrepreneurial ventures. If these have negative impact then it will make them take wrong
decisions and harm business operations. On the other hand if the background from which an
entrepreneur is coming and experiences they had in their lives are positive and learning then it
will be very beneficial for the individual and their business activities. Therefore it is evaluated
that experiences and backgrounds of entrepreneurs have used influence on their businesses as
they can Hinder or foster their aims and objectives.
CONCLUSION
From the above report, it is summarised that entrepreneurship is a process of creating and
developing an idea and depending in it starting a business. There are several different types of
entrepreneurial ventures and the persons who runs these entrepreneurship's are known as
entrepreneurs. Various entrepreneurial venture are considered in this assignment such as small
business entrepreneurship , scalable entrepreneurship etc., along with their differences and
similarities. Entrepreneurship and small businesses are the backbones of economy affecting it
and holding huge impacts as they create new job opportunities for local population and helps
economy to rise. Small businesses and start-up's also influence the social growth of economy as

flow of money increases in economy enhancing the purchasing power and living standards of
people. Furthermore, two entrepreneurs are selected to analysing their characteristic, traits and
skills as these factors differentiate them and their businesses from one another. Then few aspects
of personality is evaluated in order to seek knowledge about their impacts on motivation and
mindset of entrepreneurs. Finally, the impacts background and experiences of entrepreneurs hold
over their businesses and how they hinder or foster their business activities.

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