Principles of Management and Entrepreneurship

This assignment explores the key concepts of management, including leadership, motivation, and decision-making. It also delves into entrepreneurship, discussing the characteristics of successful entrepreneurs, such as Joe Wood and David Reuben, and the importance of background and experience in fostering entrepreneurship. The assignment highlights the role of small and micro businesses in the UK economy and provides insights into effective communication skills for entrepreneurs.

Entrepreneurship and Small
Business Management

INTRODUCTION
The people who are involved in process of launching and designing the new business is
an entrepreneur. This overall concept is called Entrepreneurship. Small business management
runs the company with limited planning and resources in the UK market. Entrepreneurs are
overall interested in starting new business that is initially owned by them. The report aims ion
describing various types of entrepreneurial ventures of UK. Moreover, the similarities and
differences about different ventures are specified below. The growth of small business after
Brexit impact on UK economy is discussed in this report. Further, statistical data of small
businesses are mentioned below. In addition to this, the report aims in describing about
characteristics and traits of successful entrepreneurs. Lastly, experience and background that
hinder or foster entrepreneurship is also discussed below.
Main Body
1. Different types of entrepreneurial ventures and it's typology.
There are various types of entrepreneurial ventures who starts the new business by taking
risk to achieve aim and objectives of the company in UK.
Small Entrepreneurial Ventures: In this global world, the small businesses start their
entrepreneurship which are barely profitable. In addition to this, small ventures aim in feeding
their family instead of gaining high profit. The small businesses are linked with grocery stores,
Salon, travel agent, street vendors and many more (Scarborough, 2016). Moreover, they promote
their business through their families, friends and relatives in the UK market. They feel to be
successful by paying various bills and by involving in small type of luxury things. The
entrepreneurs of small businesses are highly motivated to earn profit and to fulfil needs and
requirements of their family. In respect to this, the local people are hired by small entrepreneurs
to help and run their business.
In relation to it's typology, the lifestyle of small entrepreneurs are at basic level. The
standard of their living is average and medium as they earn to feed their families (Schaper and
et.al, 2014). In addition to it's growth, they are widely interested in gaining more profit and
efficiency in the business.
Scalable Entrepreneurial Ventures: The scalable entrepreneurs are interested in inventing new
ideas that helps in growing their business widely in UK. They are in search of repeating the
business models that turn their company in highly profitable and effective. The scalable
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entrepreneurship is also known as start up business which is totally opposite to small businesses.
Moreover, they are risk takers which are engaged in changing the global world through
innovative ideas and techniques (Burns, 2016). They increases their profit and incomes by their
capital and does not include incremental costs to it. They promote their businesses through
various social websites like Facebook, Instagram, Twitter and many more. They aim in achieving
higher profit by promoting their products and services through socially, advertisements,
newspapers, pamphlets and so on.
In relation to it's typology, the scalable entrepreneurs are highly interested in achieving
higher profit by satisfying their customer's needs and requirements. They aim in growing their
business by changing the world through innovative techniques.
Social Entrepreneurial Ventures: The entrepreneurs run their business in regards to maintain
the standard and value of society. Social entrepreneurship is concerned on transforming the
issues of community and local people (Goss, 2015). They aim in achieving profit along with
solving the problems of society and community. Further, they work in regards to satisfy people
of UK and focuses on maintaining healthy relations with them. For instance, Hamlet Foods is a
social entrepreneur who works with Gawad Kalinga as a partner in the business. All the activities
performed by social entrepreneurs is in regards to social people that motivates them in
increasing their self- confidence. In addition to this, the main focus of this entrepreneurship is to
reduce poverty ratio of UK. Moreover, the aim and objective of social entrepreneurs is to
identify problems and to resolve it of society. These companies can be on basis of profit, non-
profit or hybrid (Dees, 2017). Mainly, these social innovators are eligible in improving the world
by using innovations and techniques in their businesses.
In relation to it's typology, their growth of business relates in reducing poverty of the
social people and community. The lifestyle of social entrepreneurs are maintained through
achieving higher profit by changing the world.
Large Entrepreneurial Ventures: This is a corporate business which involves the process of
developing the company which is already established and exists in the UK market. They aim in
developing their business by new and innovative ideas that helps in satisfying their customer's
needs and requirements. In addition to this, large entrepreneurial venture plays a vital role in
economical development of country. The owner of this firm is focused in improving the
profitability of organization at large scale (Drucker, 2014). This helps in maintaining the
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standard and value of company effectively in market. Further, the position of company is
measured through it's competitiveness in UK market. Large entrepreneurship is developed in
such a way that they are brought up from small scale to wider areas (Burns, 2016). They serve
products and services that satisfy the customer's needs and requirements.
In relation to it's typology, the growth of large entrepreneurship is measured by it's
competitiveness and profitability in company. The lifestyle of organization is highly reputed as
their profit and revenue is very high as compared to other entrepreneurs in UK market.
Serial Entrepreneurial Ventures: This is a corporate business structure in which they are
involved in more than one businesses (Sahut and Peris-Ortiz, 2014). They are highly focused in
achieving goals and objectives of company by satisfying customer's need and requirements.
In relation to the typology of serial entrepreneurs, they are highly confident in better
growth of their business. Their lifestyle and value is incredible as compared to others.
Owner managers Entrepreneurial Ventures: The owner and managers of company are highly
obliged in attaining goals of single unit of business (Drucker, 2014). Moreover, their motive is to
offer products and services on time in the market with efficiency.
In addition to this, the typology of owner managers is dependent on their attitude,
success, ethics and subsistence in company.
2. Discussing similarities and differences between entrepreneurial ventures.
Similarities between entrepreneurial ventures:
Social Entrepreneurial Ventures Scalable Entrepreneurial Ventures
Social Entrepreneurship is focused in gaining
profit with social motive.
Scalable Entrepreneurship is also concerned
with local people to achieve profitability in
company.
They invent new ideas and techniques to
promote social activities in country.
The main strategy of this business is to achieve
aim and objectives through innovative
techniques and methods.
Their purpose is to make sustainable model of
the business (Dees, 2017).
The main purpose of Scalable entrepreneurship
is also to make the business more sustainable
and long lasting in market.
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Small Entrepreneurial Ventures Large Entrepreneurial Ventures
Both male and female entrepreneurs are in
small entrepreneurship to achieve objectives
effectively.
In this entrepreneurship, both male and female
entrepreneurs perform in this entrepreneurship.
Small entrepreneurs take risks to gain more
profitability in company.
Large entrepreneurship also take risks in terms
of more profitability.
In terms of traits and behavior they are calm to
achieve rapid growth of business.
They are also patient to achieve rapid growth
of company.
Serial Entrepreneurial Ventures Owner -Managers Entrepreneurial Ventures
They are engaged in more than one business
with profit motive.
They are engaged in one business with the
motive of profit and to achieve goal in the
company (Storey, 2016).
Serial entrepreneurs are always focused in
achieving growth of business by accepting risk
in it.
Owner managers are also ready to challenge
risk in the firm for better growth and
productivity.
There are various types of ventures which includes small, scalable, large and social
entrepreneurship. They all are similar in terms of achieving higher profitability. Moreover, this
reflects in higher productivity with rapid growth. In addition to this, they all perform with low or
high risks in the business (Saleem, 2017). One of the similarity is that, male and female both
entrepreneurs are involved in achieving goals and objectives ofventure. Further, they achieve
financial position with interest of customers and shareholders in the company. Small, scalable,
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large and social entrepreneurship are focused in inventing new ideas and techniques which help
in achieving effective goals and aims in the company.
Differences between entrepreneurial ventures:
Social Entrepreneurial Ventures Scalable Entrepreneurial Ventures
They focus on solving issues of the society and
community.
They are highly focused on developing
business by inventing new ideas and
techniques.
For social entrepreneurship, profit is the
secondary purpose in company.
In this entrepreneurship, profit is always
primary purpose in the company.
They create positive social value by impacting
on communities.
They deliver the competitive value by offering
better products and services to customer's in
market.
Small Entrepreneurial Ventures Large Entrepreneurial Ventures
The small firms are concerned in achieving
short term goals and objectives.
They are concerned in achieving long term
aims and goals in the company.
In this entrepreneurship, there are less number
of employee's in the firm.
There are huge employee's in this
entrepreneurship.
Small businesses start with less risks to achieve
aims in market
This entrepreneurship is started up with more
risks in terms of achieving goals.
Differences between serial entrepreneurs and owner managers:
Serial Entrepreneurial Ventures Owner -managers Ventures
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They are the entrepreneurs who start
businesses from abrasion like implementing
and initiating the plans.
They work in terms of attracting existing
customers by offering additional services to
them.
Serial entrepreneurs are engaged in more than
one business in the market.
They are concerned with only one business in
the UK market.
Small, Scalable, Large and Social entrepreneurial ventures also have the differences
which helps them in rapid growth of company (Setianto, Fathoni and Warso, 2016). The biggest
difference is that scalable entrepreneurship pursue in gaining more money while social
entrepreneurship performs with passionately and calmly for social motive. In addition to the
differences, small venture performs to achieve short term goals while large entrepreneurship is
concerned in achieving long term goals in company. These four of the entrepreneurship are
different in terms of behaviour, trait, financial motive, objectives and risks.
3. Impact of micro and small businesses on economy.
Statistical Data of small and micro businesses:
Basis Businesses Employment Turnover
Number of employee's 4,328000 4,697000 $ 272 billions
Employee's in Micro
businesses
5,445000 8,790000 $ 824 billions
Small businesses
employee's
2,08000 4,059000 $ 540 billions
In addition to the small and micro businesses, overall there are 5.7 million small
businesses in UK country in the year 2017. Moreover, 5.4 million performs in terms of micro
businesses in the year 2016, which contributes highly in increasing economical value of UK
country (Burns and Dewhurst, 2016). This micro and small firms impact on rapid growth of
economy with the total turnover of $1364 billion’s in country. In addition to the industrial level,
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10% of businesses are engaged in the retail sector of small and micro businesses that impacts of
country's economy. There are 18% of small and micro businesses who are engaged in
construction sector and are self employed to achieve goals and objectives in the firm. Moreover,
this increases their profitability and that impacts widely in continuous economical growth of UK
country (Goffee and Scase, 2015). Further, the statistical data in terms of women in small and
micro businesses is also wide. The contribution by them was $75 billions in year 2016 that
impacted on country's economical growth.
There is a wider impact of small and micro businesses on the UK economy as they
contribute more in terms of profitability. Moreover, the owners of small and micro firms are of
various kinds in terms of background, community, families and so on. These organizations are
smaller but they impact are very large (Storey, 2016). They contribute more in economical value
and rapid growth of country. Moreover, these small businesses perform with huge risks and
make the organization larger in future. In order to achieve higher productivity and profitability
they are job creators who helps in increasing the economical value of UK country. After impact
of Brexit, the economy of country was brought up with help of micro and small businesses. In
addition to this, they are eligible in generating opportunities for new employment.
Economic Growth: The small businesses contribute widely in raising value of country's
economy by their higher profitability (Zacca, Dayan and Ahrens, 2015). They earn more by
satisfying the customer's need and requirements in the market. They tend in making business
wider and larger for the economical prosperity of UK. Small and micro firms impact on the
economy by generating their more revenue and income. Moreover, by inventing new techniques
and ideas small businesses contribute more to local growth of UK economy.
Importance of small and micro businesses in economy: In terms of economical growth, these
businesses are significant that has a wider impact on the country. Small and micro ventures are
the backbone of UK economy which impacts in rapid economical growth (Javalgi and et.al,
2018). They are also important in opening new and innovative market with various products as to
highly contribute in increasing economical level.
Although, the statistical data is surveyed through online which shows that small and
micro businesses are strong and powerful in terms of increasing country's economical growth.
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They are always active in bringing new innovations and ideas in businesses which encourages
higher competition in the market. The owners of small and micro businesses looks forward in
achieving higher profitability by impacting positively on the UK economy (Nabi and et.al.,
2017). The above statistical data and information is calculated by overall finance of small and
micro businesses. Their performance which includes turnover and employment is also considered
in raising economical growth of the country. Moreover, the capability and various obstacles that
makes small and micro businesses more successful also impacts in increasing economical value
of UK country.
4. Importance of small and start –ups businesses that contribute to growth of the social economy
after ‘Brexit’.
Brexit refers to Britain exit Europe, which is the imminent withdrawal of the UK country
from European Union.
Impact of Brexit:
The impact of Brexit was negative which decreased the per capita income of the UK
country. This also affected the trade businesses which made the country poorer and backward in
terms of economical value (Bogdanova and et.al., 2016). The major impact of Brexit was seen
negatively on job opportunities, economical growth and in terms of public finances of country.
Importance of small and start-up businesses:
After the negative impact of Brexit, the small and start up businesses were the backbone of UK
which helped in increasing the economical value of country. Moreover, there were 90% of these
organizations that supported in raising standard of UK along with the increase in per capita
income. As these firms are highly focused in new innovations and techniques they achieve more
profit and productivity. They became significant in overcoming from the negative impact of
Brexit on country (Lima and et.al., 2015). Moreover, the Brexit impacted on trade, financial
value, foreign direct investment and so on. To recover all negative impact from country's
economy the small and micro businesses are very significant. Further, they support in widening
the firms with higher profit motive and objectives.
 Small and start –ups businesses is important to create job opportunities for the people of
UK country.
 They play a vital role in increasing per capita income by raising standard of the country.
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 Through innovations and new ideas they bring competitive advantage in the market of
UK after negative impact of Brexit.
 Small businesses help in accessing more finance value by their huge profitability in the
firm.
 They contribute highly about 45% in terms of exporting various products and services.
 Moreover, these organizations are necessary for overall growth in terms of industrial
sector of country.
 In addition to this, they are widely interested and helpful in fulfilling needs and
requirements of customer's in the market.
 Further, for continuous growth of economy small and micro businesses are significant in
country.
 Small and micro businesses is important in country's development by contributing more
in it's GDP level.
In addition to contribution of small and micro businesses, they are important in
making balanced and sustainable growth of UK country. Further, they are highly capable in
increasing the employment opportunities that results in higher per capita income of country. The
skills of entrepreneurial are also developed widely with significance of small and micro
businesses. In the global world, they plays an important role in promoting innovation and
techniques in businesses (Dunne and et.al., 2016). Moreover, for equal distribution of income,
the small and micro firms are capable of it. In context of upbringing the backward industries,
these organizations are very important in country after impact of Brexit on economy. The
resources in terms of foreign exchange are earned with the support of these firms in UK. The
major importance of small and micro enterprises is that they provide better environment of
working for every individual in firm (Scarborough, 2016). The culture of entrepreneurship is
highly promoted by small and micro businesses which impacts positively on economical growth
of country.
5. Determining the characteristics, traits and skills of successful entrepreneurs and ways of
entrepreneurial personality that reflects on their motivation and mind-set.
Characteristics and Traits of successful entrepreneurs:
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The most successful entrepreneurs are Joe Wood and David Reuben which are wealthiest
in terms of finance and profit motive. The main characteristics of Joe is that he is clear about the
purpose to be achieved significantly in enterprise (Schaper and et.al, 2014). Moreover, David
believes in themselves which increases their self confidence to achieve goals and objectives of
firm.
 Motivation and passionate: In terms of being more successful Joe and David both are
calm and passionate that helps in constructing the success of firm in UK. They are
always motivated to implement new ideas to make enterprise more strong and effective.
They are different from other managers and owners as they are encouraged in adapting
new techniques to make their enterprise efficient (Burns, 2016). This makes Joe and
David passionate and successful in achieving higher goals as compared to others
 Risks: In terms of risks, all the entrepreneurs do not accept risks so as to avoid future
uncertainties. But Joe and David both accepts the risks positively that makes them more
successful as compared to others. There are many uncertainties that arrives in the
company and in context to this Joe and David both are ready to challenge it (Goss, 2015).
This makes them more capable in expanding the business widely.
 Strong Money Management: The main trait of Joe and David is their management of
capital and money in the company. In addition to this successful entrepreneurs plan in
terms of finance to make present and future secure. They make limited use of capital to
set the fund for future emergency and this makes them more successful from other
entrepreneurs. Moreover, this is very necessary aspect of organization.
Skills of successful entrepreneurs:
Joe Wood and David Reuben are the most successful entrepreneurs as they have the
following skills to make the business more enhanced as compared to others in the market.
 Communication: The most significant skill in Joe and David is about communicating
effectively from top to bottom level in the organization (Dees, 2017). In addition to this,
an effective and advanced communication brings innovative ideas in launching products
and services that are offered to customer's. Moreover, smooth process of communication
makes Joe and David more successful entrepreneurs. Building Relationship: In the global and innovative world to build strong relationship
with the society is very necessary. Moreover, Joe and David are experts in maintaining
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their relations within the organization and also with customer's (Drucker, 2014). This
makes them more successful as compared to others ion the UK market.
Entrepreneurial personality that reflects on their motivation and mind-set:
The personality of an entrepreneurs such as Joe Wood and David Reuben widely impact on
their mindset and are motivated highly in performing effectively. This personality is explained
through The Big Five trait theory:
(Source: Carpenter, Bauer and Erdogan, 2018)
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Illustration 1: Introduction to Principles of Management

 Openness to Experience: This first step of theory reflects Joe and David sensitivity
towards their beauty, curiosity of intellectualness and being straightforward in every
activity (Sahut and Peris-Ortiz, 2014). The personality of willingness towards innovative
ideas reflects on their mindset and are highly motivated in organization.
 Conscientiousness: Joe and David are self confident and self disciplined according to
their personality which reflects positively on their mindset and are motivated to perform
effectively.
 Extraversion: In this concept of Big Five theory the entrepreneurs such as Joe and David
are capable of being declarative , warm, active and are always visible to all that reflects
positively on their mindset.
 Agreeableness: The personality of Joe and David are helpful, honest, trustworthy,
generous that reflects on their motivational part and mindset in the organization.
 Neuroticism: In the last step of this theory, the negative personality of entrepreneurs are
reflected (Saleem, 2017). According to neuroticism they are angry, depressive by the
nature which reflects badly on their mindset and are lacking from motivational skills. But
Joe and David are opposite to this trait as they are calm and patient which makes them
more successful from others.
6. Background and experience that hinder or foster entrepreneurship.
Joe and David are the successful entrepreneurs as they are foster by their background and
experiences. The entrepreneurs are sometimes also hinder from their experiences that makes
them unsuccessful in the UK market.
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Hinder Entrepreneurship: The main thing that hinder entrepreneur towards their business is
having less resources. Due to poverty they are not able to make productive resources and assets
available in the organization which hinders their entrepreneurship (Setianto, Fathoni and Warso,
2016). Considering their background, they are from various religions which are not supportive
and are backward in their activities which hinders their entrepreneurship. Many entrepreneurs
lack from educational skills and knowledge that hinders entrepreneurship. Moreover, they are
unable to make strong money management in the organization. Without appropriate experiences,
entrepreneurs are also hinder backward as they are not more knowledgable and adequate in
operating their managerial activities.
Foster Entrepreneurship: The entrepreneurs are eligible and are over experienced in their
organization which helps them in fostering their entrepreneurship (Storey, 2016). The
background of entrepreneurs are also high standard and knowledgable that supports entrepreneur
in making their firm more successful.
CONCLUSION:
From the above report it can be concluded that large entrepreneurial venture plays an
important role in economical development of UK country. Further, it is analysed that the main
similarity of small, scalable, large and social entrepreneurial venture is that they perform for
higher profit motive in organization. It can be summarized from the report that small and micro
business contributes 5.7 million in UK economy level. Besides this, it can be inferred that after
Brexit impact the culture of small and micro businesses supports in promoting economy
growth of country. It has been articulated from the evaluation that the main skill of entrepreneur
is communication which helps in making entrepreneurship more successful from others. Along
with this, it can be seen in the report that, by considering the stories of Joe Wood and David
Reuben, experience as well as family and educational background contributes in fostering
entrepreneurship significantly.
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