Entrepreneurship and Small Business Management

ENTREPRENEURSHIP AND
SMALL BUSINESS
MANAGEMENT

Table of Contents
INTRODUCTION.......................................................................................................................................3
LO1.............................................................................................................................................................3
P1 Explain different types of entrepreneurial ventures and relate to the typology of entrepreneurship. . .3
P2 Explore similarities and differences between entrepreneurial ventures..............................................5
LO2.............................................................................................................................................................7
P3 Interpret and assess relevant data and statistics to illustrate how micro and small businesses impact
on economy.............................................................................................................................................7
P4 Explain importance of small businesses and business start-ups to growth of social economy............8
LO3...........................................................................................................................................................10
P5 Determine characteristic, traits and skills of successful entrepreneurs that differentiate them from
other business managers........................................................................................................................10
P6 Assess entrepreneurial personality reflect entrepreneurial motivation and mindset..........................12
LO4...........................................................................................................................................................13
P7 Examine relevant examples how background and experience can hinder and foster entrepreneurship
...............................................................................................................................................................13
CONCLUSION.........................................................................................................................................14
REFERENCES..........................................................................................................................................15

INTRODUCTION
Entrepreneurship and small business management refers to the unique sequence that
offers the person a new learning and inspire individuals to start their business with the new and
innovative ideas that can attracts the large people and investors who can invest in their
uniqueness and obtain the longer sustainability of the firms. This report includes the various
factors that is related to the different range of types of ventures with their typologies and also
illustrate the different entrepreneurial ventures with the similarities and differences between
them. Further it inculcates the data and statistics that help in showing the impact of small
businesses on the economy and their importance in the growth of the social economy. it also
involves the characteristics, traits and skills for successful entrepreneurs and how their
personality reflect their mindset and motivation. At last it shows the experiences of entrepreneurs
that can hinder and foster the entrepreneurship(Burns, 2016).
LO1
P1 Explain different types of entrepreneurial ventures and relate to the typology of
entrepreneurship
Entrepreneurship- It refers to that activity which helps the individuals to setting up their
ventures and enterprises by holding major risk related to the monetary values and work in the
hope of earning high and high profits(Burns and Dewhurst, 2016).
Entrepreneurial activity- It defines the process of human actions in the entrepreneur in the
generation of earning and capturing more values related to uniqueness and creatively in the way
of exploiting and identifying the new products and processes into the markets. in this
entrepreneurship is the best phenomenon approach that is linked with the entrepreneurial
activity.
Enterprise- This term related to an organisation, venture that is driven into the major objectives
and work under the major policies, rules and standard by offering the goods and services in order
to earn high amount of profits.
Types of entrepreneurial ventures

 Serial entrepreneurs- This type of entrepreneurial ventures are always come up with the
new and unique ideas for starting businesses. This type of entrepreneurs is always taking
challenges to gain the profits and enhance the presence in the market with their new and
innovative ideas and thoughts. they can get the funded very easily by using various
sources such as venture capitalist, angel capital etc. in this venture they see the vision
related to change the world and they always make a little amount of proportion of all the
organisations because of high risk in capital and returns(Järvi, 2015).
 Large entrepreneurs- It refers to that entrepreneurial ventures that needs the large
resources related to finance, workforce and capital that can be manage at the high level of
the and contribute more in the economy of the country. they deals with the innovative
products that is based on satisfaction of the customers. they always work for enhancing
the market share and living standards so that they can get the funds for their innovation
very easily by using bank loan etc. the best example of this is Google, Microsoft etc.
 Owners-managers- This type of entrepreneurial ventures are related to the small
business enterprise that are working with low capital and low resources at limited area
with the earning of small amount of profits by offering their products to feed their family
members. This type of ventures is started by the local people and contributes majorly in
the economy of the country. they can collects the funds from their friends and by taking
small business loans. examples of this is carpenters, plumbers etc(Ratten and Dana,
2015).
Typology of entrepreneurship
 Lifestyle firms- This type of typology is generated as a for-profit business enterprise that
helps the individual person as a first motivator to enhance their lifestyle by operating the
business and earns a high amount of profits. it is related to the owners-manager type of
entrepreneurs that work with the aim of staying in the market for a longer period of time
with the small amount of profits.
 Growth firms- It refers to that typology of an entrepreneurs which showcase the growth
of the economy. This type of firms is always work for enhancing the growth by their
innovation in their offerings and satisfying the customers needs and desires. In this large
and serial type of entrepreneurial ventures are included that are working for enhancing