Entrepreneurship and Small Business Management

This document explores different types of entrepreneurial ventures, their impact on the economy, and the traits and skills of successful entrepreneurs. It also highlights the importance of small businesses and business start-ups to the growth of the social economy.

Entrepreneurship and Small
Business Management

Table of Contents
Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Examine different types of entrepreneurial ventures and explain how they relate to the
typology of entrepreneurship..................................................................................................1
Explore the similarities and differences between entrepreneurial ventures...........................2
Interpret and assess relevant data and statistics to illustrate how micro and small businesses
impact on the economy...........................................................................................................3
Explain the importance of small businesses and business start-ups to the growth of the social
economy.................................................................................................................................4
TASK 3............................................................................................................................................5
Determine the characteristic traits and skills of successful entrepreneurs that differentiate
them from other business managers.......................................................................................5
Assess how aspects of the entrepreneurial personality reflect entrepreneurial motivation and
mindset...................................................................................................................................6
TASK 4............................................................................................................................................7
Examine, using relevant examples, how background and experience can hinder or foster
entrepreneurship.....................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Entrepreneurs are define as an individual who has developed their own business as they
have some creative and innovative idea through which they make themselves as different from
other business that are already present in the market (Brush, 2019). An entrepreneur has make
their contribution in the economic generation of the business and with this also provide the
betterment in the society by offering a differ product and services with that also provide the job
opportunity as well. This report includes the range of venture and its impact of SME on the UK
economy, the key aspect of an entrepreneurial mindset and the different environment that foster
or hinder entrepreneurship.
TASK 1
Examine different types of entrepreneurial ventures and explain how they relate to the typology
of entrepreneurship.
Entrepreneurial venture are the business that get manage and operate by an entrepreneur so
as to make their own profit with better sales. Thus there is some type of entrepreneurial venture
as per the size, scope and purpose that is as defined below as:
Entrepreneurial activity
It is basically a procedure under which an entrepreneur will support the country in order
to generate better economy and with their creative ideas induce more development in systematic
manner as with this the need and requirement of the customer as well.
Different type of ventures
Small business: It is a business that worked with less than 50 numbers of employees also
develop the revenue of worth €2 million and manage their business as with partnership and
proprietorship (Cole, 2018). It is a business that has narrow size, scope and makes the benefits as
from their selling of goods and services. For example as of public form as Orion electrotech
limited, Clarasys etc
Large company: It will have work at larger scale with wider size also with more number
of employees with that they have try to provide the diverse range of goods to the customers and
also get works at global level as well and called as the private firm for example, Tesco, Walmart
etc.
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Social enterprises: It will get managed with the person who has work to make upraise the
livelihood of the society by raising the living standard as like to provide the education to the poor
children’s etc.
Typologies of entrepreneurship
Entrepreneurship ventures also follow the typologies as from this the business will get
more advancement and as defined below:
Lifestyle Enterprise: In this the living standard of society will get developed under which
the employment will get maintain and in parallel the demand of the people will also get satisfied
and it will include the social ventures (Dana, 2018).
Growth firms: It will develop so as to measure more profit by making more innovation
within the different products and services that get offered to the customers by the business and
the small and large business organisation are the basic firms that come under growth firm.
The typologies and entrepreneurial ventures both that interconnected to each other and
with the support emphasis the living standard with that also play the vital role in economic
development.
Explore the similarities and differences between entrepreneurial ventures.
Differences
Basis Small business Large company Social entrepreneurship
Scale It is the firm that get work
at small level and generate
minimum amount of
revenue.
In this the firm will work at
large number with that
generates higher revenue at
global level.
It is a firm that work to
fulfil the need of the
society.
Purpose Small business work with
the purpose to earn the
better profit in return of
their services.
The purpose is to grab the
attention of customer and
making loyal customer base
with their services and
product (Ghaedi, 2018).
The purpose is to
provide more support to
society in term of
development.
Character
istics
Small business manages
the function with certain
amount of sources thus
Large business need more
resources as they work at
larger scale thus the
It will need the funds
and that get generate in
support of government
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involvement of government
is very less.
government interference are
also be more.
so as to society welfare.
Similarities
Basis Small business Large business Social enterprise
Meeting
the needs
Small business develops
the firm to fulfil the
requirement of society.
They work to satisfy the
customer of global level.
They provide the
support to public to
make improvements
Society
up-
liftment
Small business provides
job opportunity to people
that raise the living
standard (Hechavarria,
2019).
Large business provides
better facility to society in
term of quality services.
It will provide service to
public by which their
living standard get
developed
Interpret and assess relevant data and statistics to illustrate how micro and small businesses
impact on the economy.
The SMEs are more important for the economy development of the country thus in
returns the government work to enhance the societal infrastructure and there are several types of
business that are as explained below as:
Small: It is the firm that get attain the revenue of under £5million and worked with less
than 50 number of worker thus also contribute to provide employment at small level.
Medium: These firms develop the revenue of about £5m- £22m and work with the
employee in between 50-250 and generate better profit at larger scale.
Large: It is the firm that develop the revenue of above £22m and work with more than
250 numbers of workers and provide better job opportunity in both national and international
level (Hornsby, 2018).
Impact of SME on economy
Local impact: SMEs has work to fulfil the basic need and demand of the market as with
this try to satisfy the need of market and with that induce better development of society.
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(Source: The Role of Startups and Small Businesses in Today’s Economy, 2018)
Regional impact: SMEs also has direct impact on regional development as they provide
the adequate resources and employment to the society by which the employees get more skilled
that helps to make better advancement (Julien, 2018).
National impact: The SMEs has better impact at national level as with that have more
concern about development and innovation and provide job to about 15.7 million people of UK.
Explain the importance of small businesses and business start-ups to the growth of the social
economy
SMEs are more vital part for the country’s welfare and make their support to advance the
economy stability of the UK and with that also provides the better job opportunity that will make
a positive change within the society. There are some importances of SME towards social
economy and as defined below as:
Model of living: The SMEs will provide the more innovative product with all the
advancement by which the living standard will get raised thus helps to make the effectual change
by giving the job facilities as well.
Innovation: SMEs always try to make the positive changes and with this make more
innovation with that attract the larger number of people thus the purchasing power of buyer will
get influenced and profit will get gained by business (Kuratko, 2018).
Providing jobs: The SME will get perform their work with the support of human force
and for this provide job to the people that is on the basis of skill and qualification. They provides
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Illustrati
on 1: Role of Start-ups and Small Businesses

the training by which the abilities will get more developed and that will decreases the
unemployment rate of UK.
TASK 3
Determine the characteristic traits and skills of successful entrepreneurs that differentiate them
from other business managers.
Entrepreneur has the ability to achieve their own passion by which they have made suitable
changes in their ideas and implementation so as to manage the risk as well (Kuratko, 2018). The
entrepreneur becomes more triumphant on the basis as characteristics, skills and traits that make
the difference from other. The two entrepreneurs are considered as like J K Rowling and Richard
Branson and their skills and abilities are as defined below as:
Characteristics, skills and traits of JK Rowling
Characteristics
Leadership: It is the skills through which the surround will get influenced and J K
Rowling lead her team as she is the author, screenwriter, film producer, television producer, and
philanthropist thus always support other by providing adequate guidance.
Traits
Experimental: J K Rowling will always did more experiments in order to achieve
something different and in this she make best movie series named as “Harry Potter” and for this
she get recognised from all across the world.
Skills
Focused: It is more needed for an entrepreneur to be more focused towards their work and
in this J K Rowling has always make her own path and keep walking on it until the better
outcomes get achieved (Marom, 2018). It will help to improvise the performance and helps to
make more success in all the work.
Characteristics, skills and traits of Richard Branson
Characteristics
Belief: Richard Branson has ultimate belief in himself that helps him to get achieve more
success in their life in continuous basis in different fields as like business magnate, investor,
author and former philanthropist.
Traits
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Creativity: It is more commonly will get developed by inducing repetitive changes and
up gradation and in this Richard Branson has worked in different field and attain success in all
and also get the support of the customer as well.
Skills
Learning Skills: Richard Branson will always try to groom himself by keep learning the
different things from the society or from the daily life activities and always try to learn more
practices in systematic manner (Parker, 2018).
Assess how aspects of the entrepreneurial personality reflect entrepreneurial motivation and
mindset
An entrepreneur will get differentiated on the basis personality, trait, skills and
characteristic and they get motivate as per the different factors and in this OCEAN model has
been used that is as explained below as:
Openness: In this the entrepreneur will get worked with their ideas by which induce more
innovation that helps to take the decision that is in favor of learning of an entrepreneur.
Conscientiousness: It will define the reliability of an entrepreneur as with this they have
maintain more focus and concentration towards their performance and try to attain the goals in
timely basis.
Extroversion: It is basically the personality of an entrepreneur that will defines the
talkative, energetic, expressive, attentive so as to quality result get achieved by which they have
make strong relationship with the others (Radović-Marković, 2019).
Agreeableness: It will state that the entrepreneur needs to make the trust with the other
by which the suitable connection will get maintain and also try to take the suggestion from other
people as well.
Neuroticism: In this an entrepreneur will have work without any fear by which they kept
themselves away from the loopholes and negative impacts thus make the comfort and healthy
relation with other people.
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TASK 4
Examine, using relevant examples, how background and experience can hinder or foster
entrepreneurship
The entrepreneurs will gain more growth and success in their life by managing the better
and suitable development and in this their background and experience will get both hinder and
foster the entrepreneurship and is as explained below as:
JK Rowling
Background: Joanne Rowling was born on 31 July 1965 and she is the daughter of Anne
as she is the science technician and her father Peter James Rowling who was Rolls Royce aircraft
engineer (Ramadani, 2017). As in the child she takes her primary education from St Michael’s
primary school and her headmaster suggests and inspired her for Harry Potter and in her
secondary schooling she become the head girl and learns English, French and German. Further
she did BA in French and Classics at the University of Exeter and from there she learns to do
what is necessary and needed.
Experience: Joanne Rowling born in Yate and working as the researcher and bilingual
secretary as in the Amnesty International and from their she envisage the idea about the Harry
Potter and at that time she get delayed in train that is as from the Manchester and London and
that is in the year 1990. She has been face a tough face when her mother gets died, she born a
child and get divorced from his husband and gone through with poverty and that is as per the first
novel of the Harry Potter series. She has lived with the tag as “rags of riches” and become the
first billionaire author and she donates most of earning in the charity and then become the
wealthiest people in world.
Richard Branson
Background: Branson was born in the year 1024 in Blackheath, London and he is the
formed ballet dancer and an air hostess as well. His grandfather was the Privy Councillor and
high court of justice. Branson has a poor performance in academics as in his schooling but his
headmaster told him that he might become millionaire or a prison. His mother was also be an
entrepreneur and develop her venture as from their sell the wooden tissue boxes and the
wastepaper bins thus as from there he get inspired to be an entrepreneur.
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Experience: Sir Richard Charles Nicholas Branson founded the Virgin group in the year
1970 and under that control the other 400 companies that has worked in different field. He
himself is being an investor, author, former philanthropist and the business magnate (van
Vuuren, 2018). He always wants to become an entrepreneur as from his birth and start the first
venture at the age of 16 and work in magazine that is called as the student and in the year 1970
set the mail record business and make a record of chain stores and later on known as Virgin
Megastores.
As from these experience and background, JK Rowling and Richard Branson and they both
get more success in their life and they have face a lot of challenges but they have always be
more focused towards their work that helps to make repetitive development.
CONCLUSION
It has been concluded from the above report that entrepreneurship and SME are more
important part of the country and divided into the different basis as like small, social and large as
with their typology with that generate better market opportunity in terms of growth and
development. An entrepreneur becomes more successful as per the basis of skills, characteristic,
and traits.
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REFERENCES
Books and Journals
Brush, C. and et. al., 2019. A gendered look at entrepreneurship ecosystems. Small Business
Economics, 53(2), pp.393-408.
Cole, R.A., 2018. Bank credit, trade credit or no credit: Evidence from the Surveys of Small
Business Finances. Trade Credit or No Credit: Evidence from the Surveys of Small
Business Finances (July 31, 2018).
Dana, L.P., 2018. ENTREPRENEURSHIP & SMALL BUSINESS.
Ghaedi, M. and Madhoushi, M., 2018. Social capital, knowledge management and innovation
performance. International Journal of Entrepreneurship and Small Business, 35(4),
pp.579-597.
Hechavarria, D. and et. al., 2019. High‐growth women’s entrepreneurship: Fueling social and
economic development.
Hornsby, J.S. and et. al., 2018. Entrepreneurship everywhere: Across campus, across
communities, and across borders. Journal of Small Business Management, 56(1), pp.4-10.
Julien, P.A. ed., 2018. The state of the art in small business and entrepreneurship. Routledge.
Kuratko, D.F. and Morris, M.H., 2018. Examining the future trajectory of entrepreneurship.
Journal of Small Business Management, 56(1), pp.11-23.
Kuratko, D.F. and Morris, M.H., 2018. Examining the future trajectory of entrepreneurship.
Journal of Small Business Management, 56(1), pp.11-23.
Marom, S. and Lussier, R.N., 2018. Developing a small business management concentration
within a business degree. Small Business Institute Journal, 13(2), pp.15-30.
Parker, S.C., 2018. The economics of entrepreneurship. Cambridge University Press.
Radović-Marković, M. and Tomaš, R., 2019. Globalization and entrepreneurship in small
countries. Routledge.
Online
The Role of Start-ups and Small Businesses in Today’s Economy. 2018. [Online]. Available
through:<https://www.market-inspector.co.uk/blog/2017/05/facts-about-small-medium-
businesses-in-the-uk>.
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