Entrepreneurship and Small Business Management

ENTREPRENEURSHIP
AND SMALL BUSINESS
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
LO 1 ................................................................................................................................................3
LO 2.................................................................................................................................................3
P 3 Present and interpret data and statistics in order to illustrate impact micro and small
business on economy..............................................................................................................3
P 4 Importance that small businesses and business start-ups on the growth of the social
economy.................................................................................................................................6
M2 Evaluation of SMEs and large businesses contribution to the economy.........................7
D2 impact that small businesses have on different levels of economy..................................7
LO 3................................................................................................................................................7
P 4 Characteristic traits and skills of successful entrepreneurs that differentiate them from
other business managers.........................................................................................................7
P 5 Assessing aspects of the entrepreneurial aspects personality reflect entrepreneurial
motivation and mindset..........................................................................................................9
LO 4 ..............................................................................................................................................10
P 7 How background and experience can hinder or foster entrepreneurship.......................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Discovering the need in the market as well as launching the new business in order to achieve
such needs by an individual is known as entrepreneur. Entrepreneurship is an activity to set up a
business. Thus, with the hope for profits entrepreneur tends to take financial risks. Every
business heart is its entrepreneurship. Entrepreneur tends to lead the organization which was
once a small business. In established organization too there is a demand for entrepreneurial
skills, thus for survival entrepreneurial skills are necessary. For step by step building of skills of
entrepreneurial, entrepreneurship sequence is been designed. In order to start a business or in
order to achieve employment in the growth oriented small business by an individual,
entrepreneurship and small business management is studied. All the operators of the business
such as owner-manager, franchiser, owner of family firms are considered to be the entrepreneur.
A business is said to be small if it is consists of low value of assets, low sales volumes as well as
fewer number of employees are present in the business. For example a nearby Toyota showroom
could not be said as small business but a nearby bakery or restaurant could be a small business.
In this report it has been discussed the types of business venture which could be considered
entrepreneurial, followed by impacts of small business on the economy of the country. In this
report it has also been discussed the determination of various key aspects present in the
entrepreneurial mindset. Moreover, this report gives the evidence of various environments which
could hinder or foster the entrepreneurship.
LO 1
Covered in PPT
LO 2
P 3 Present and interpret data and statistics in order to illustrate impact micro and small business
on economy
SME’s contribution on overall economy of a country is quite high as compared to other kind of
businesses. It has also been observed that number of small and micro sized businesses are
continuously increasing in all the sectors (Stankovska., Josimovski and Edwards, 2016). Not
only this, in fact products or services provided by SME business organizations is quite high as
compared to other kinds of organizations. Overall economy of UK is majorly impacted because
of micro and small businesses. According to a research below table has been explained which

will help in demonstrating following things such as: number of SME, number of employees
business, employment provided, annual turnover of all kinds of businesses.
Figure 1 table illustrating business, employment and turnover of small, micro and medium and
large organizations
From the above table it can be clearly explained that number of small and micro sized
businesss more in number as comparedf to medium and large businesses. As per the table it can
be said that number of SME startups are more than 99 percent and rspt 1 percent are medium and
larget businesses. Micor businesses are thouse that have mot more than 0 to 9 employees and
maximum percentage of busiineses according to the above graph are micro businesses whereas 4
percent of businesses are small business that employees not more than 50 employees.
According to another research that was conducted by (Ingirige and Wedawatta, 2018)
following graph also helps in explaining businesses, employment and turnover of SME’s in UK.