Entrepreneurship and Small Business Management

Entrepreneurship and
Small Business
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
LO1 Explore and illustrate the range of venture types that might be considered entrepreneurial...1
LO2 Statistics to demonstrate the influence of SME’s over UK economy.....................................6
LO3 Characteristics, traits, skills and motivational drivers of successful entrepreneurs................7
LO4 Characteristics of entrepreneurial personality reflect entrepreneurial motivation..................9
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................13

INTRODUCTION
Entrepreneurship is related to the process of initiating, designing, running and launching
a new business idea for penetrating the marketplace(Ács, Autio and Szerb, 2014). It is defined as
willingness and capacity to evolve, organize and manage business along with risk elements in
order to generate high profitability. Entrepreneurs are those who undertake an idea with
estimated risk in order to ensure long term sustainability as well as profitability. Entrepreneurs
successfully contributes in national economy through which overall GDP of country increased in
subsequent way, in terms of giving more employment, high sales turnover and more.
Entrepreneurship is termed as an opportunity to seek maximum profit out of them. This
presentation is going to prepare a report on concept of entrepreneurship, with different types of
typologies and ventures. Along with this, skills, traits and characteristics of successful
entrepreneurs also being analysed. Furthermore, how family background and personal experience
hinders or fosters the entrepreneurship in a person is analysed by taking case study of some
famous entrepreneurs.
LO1 Explore and illustrate the range of venture types that might be
considered entrepreneurial
Entrepreneur is procedure in which an entrepreneur willingly develop a business idea while
undertaking risk and further create, manage and organize entrepreneurship functions in order to
earn more profitability. Entrepreneurial ventures are of four types such as small business and
large companies, scalable entrepreneurs, and social entrepreneurs. Entrepreneurs basically
operate their activities with having limited amount of resources and funds. Main motive of
entrepreneurs is to effectively contribute in national economy while creating number of job
opportunities in order to increase living standards of individuals. There are different types of
entrepreneurial ventures is being defined:
Small business entrepreneurship:
UK have maximum number of small scale business that effectively contributes towards
nation overall economic development. Small scale entrepreneurial ventures are mainly operated
and managed by small and sole individuals by family, small ratio of employees and partners.
Within UK provinces ratio of small businesses is subsequently high and this benefits large scale
organisations. This allow UK to have effective economic growth and increase their global brand
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image at international marketplace. Ma Baker a small scale business organisation operated by
Liz Wilson. It is a award winning micro level bakery on Fulham, London. Main products offered
by this bakery include real, fresh and home made bread.
Scalable start-up entrepreneurship:
In scalable start up entrepreneurs undertake use of innovative searches as well as ideas
with the help of which they can effectively turns towards high growth and profitability of
organisation. Entrepreneurs within this sector mainly focused towards innovation and quality as
to offer best effective products and services to customers. Funds are most important factor which
is required by scalable entrepreneurs as to effectively operate their functions in order to further
expand scale as well as scope of business operations. Liz Wilson entrepreneur of Ma Baker is a
passionate baker and home cook and mainly tend towards offering qualitative products to their
customers.
Large company entrepreneurship:
Organisations within large scale offer highly qualitative products as well as services to
customers by undertaking innovation. They conduct their operations with a motive to
subsequently expand organisation activities on international platform and further gain more
profitable outcomes. It has been identified that taste, preferences and perceptions of customers
are changing in continuous manner. This to effectively serve them large scale entrepreneurs
undertake unique measures as to satisfy customers while ensuring large base of profitability.
Main motive of entrepreneurs is to successfully gain more competitive advantages as per
compared to other competitors.
Social entrepreneurship:
Entrepreneurs within social entrepreneurial sector conduct their operations as to offer
welfare services to society. With the assistance of their entrepreneurial ideas they offer
qualitative services and products to their customers (George and Bock, 2011). They effectively
provide their service with an aim to offer welfare services to them while ensuring their needs and
demands.
All these entrepreneurial ventures operate their functions with an aim to contribute
effectively in country GDP and in income level of individuals. With the help of this country can
effectively able to measure more economic success. With their contribution country can attract
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large base of investors towards nation that further lead towards more economic prosperous
opportunities.
Typologies of entrepreneurship ventures:
Entrepreneurial typologies mainly based on form, plan, style and structure. Typologies is
mainly consider as a segment of this according to their particular types. There are some certain
form of of entrepreneurial typologies is being defined:
Lifestyle Ventures:
Entrepreneurs within lifestyle ventures operate their operations in order to fulfil their
income satisfaction. They are not much tend towards growth and expansion. It is mainly a
business set up and are mainly operated by their founders with an aim to sustain a estimated level
of income. In this constant employees perform their operations in single premises, small business
organisations are considered as lifestyle ventures.
Small Growth Ventures
Entrepreneurs who operate their functions in managed growth ventures aim towards
significant expansion of their organisational functions in order to gain more profitable outcomes.
With the help of innovation and unique offering ideas entrepreneurs within this satisfy their
customers in best effective manner. Organisations within this recruit fresh employees and shift
their business operations to many diverse locations. Medium sized organisations is an example of
managed growth ventures.
High Growth Ventures
Entrepreneurs those who initiate their entrepreneurial idea in aggressive growth ventures
posses strong innovative potential. Organisations within this allocate required amount of funds
mainly from equity capital as to significantly seek towards more potential growth. Aggressive
growth ventures operate their functions with an aim to globalise their business operations, large
scale business enterprises are considered as a example of aggressive growth ventures.
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Types of
enterprises
Similarities Differences
Small v/s Large
Business
enterprise
Both small and large business
enterprises provide equal
opportunities for reducing
employment and contributes major
role in developing economy as well.
As small enterprises operate
business at small level, so, they
don't possess any specialised
department that works mainly for
innovation in terms of product
efficiency or differentiation. While
in context with large organisations,
in order to gain high competition,
they mainly focus on product
differentiation by developing
innovation in business.
Social v/s Scalable
Enterprise
Social and Scalable entrepreneurial
organisations operate their functions
by undertaking numerous form of
innovative and unique ideas as to
offer more beneficiary services to
individuals and society. Most
important motive of these
organisations is to significantly
increase business growth prospective
within short span of time by offering
effective and qualitative products as
well as services.
In this sector main motive of social
and scalable enterprises is to
successfully provide welfare to
society. Along with this they satisfy
their customers with innovative
offering.
Lifestyle and
survival
Entrepreneurial
Venture
Entrepreneurs within lifestyle and
survival entrepreneurial venture
operate their functions with an aim to
effectively expand business
profitability, growth and earning in
In lifestyle and survival
entrepreneurial ventures,
entrepreneurs operate their
functions as per according to their
pass as per accordance with their
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