Entrepreneurship and Small Business Management: A Comprehensive Analysis

This assignment delves into the multifaceted world of entrepreneurship and small business management, exploring various types of entrepreneurial ventures, their impact on the economy, and the key characteristics of successful entrepreneurs. It examines the role of micro and small businesses in driving economic growth, both locally and internationally, and analyzes the influence of personal background and experience on entrepreneurial success. Through a critical examination of relevant data, statistics, and real-world examples, this assignment provides a comprehensive understanding of the dynamics of entrepreneurship and its significance in today's business landscape.

Unit 9: Entrepreneurship and Small
Business Management
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Table of Contents
Introduction......................................................................................................................................2
LO1..................................................................................................................................................2
Introduction......................................................................................................................................2
P1 Examine different types of entrepreneurial ventures and explain how they relate to the
typology of entrepreneurship...........................................................................................................2
P2 Explore the similarities and differences between entrepreneurial ventures...............................5
M1 Investigate a diverse range of entrepreneurial ventures to demonstrate an understanding of
entrepreneurship in both the public and corporate sector................................................................7
D1 Critically examines the scope, development and growth of entrepreneurial ventures..............8
LO2..................................................................................................................................................9
P3 Interpret and assess relevant data and statistics to illustrate how micro and small businesses
impact on the economy....................................................................................................................9
P4 Explain the importance of small businesses and business start-ups to the growth of the social
economy.........................................................................................................................................11
M2 Evaluate the differences small, medium and large businesses make to the economy, applying
relevant data and statistics.............................................................................................................13
D2 Critically examine how small businesses have an impact on different levels of the economy
(local, regional, national) and in an international context.............................................................14
LO3................................................................................................................................................15
P5 Determine the characteristic traits and skills of successful entrepreneurs that differentiate
them from other business managers..............................................................................................15
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P6 Assess how aspects of the entrepreneurial personality reflect entrepreneurial motivation and
mindset...........................................................................................................................................16
M3 Explore and examine different lines of argument relating to entrepreneurial characteristics.17
D3 Analyse the characteristic traits, skills and motivational drivers of successful entrepreneurs,
supported by specific examples.....................................................................................................18
LO4................................................................................................................................................19
P7 Examine, using relevant examples, how background and experience can hinder or foster
entrepreneurship............................................................................................................................19
M4 Analyse the link between entrepreneurial characteristics and the influence of personal
background and experience to specific successful entrepreneurs..................................................20
D4 Critically evaluate how background and experience influences entrepreneurs, both positively
and negatively, by comparing and contrasting examples..............................................................21
Conclusion.....................................................................................................................................22
References......................................................................................................................................23
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Introduction
An entrepreneur isa person who takes risky decision to perform risky activity that assist to
maintainlong-term growth and sustainability in tough competitive business environment. To
generate high income and success entrepreneuralways look for new growth opportunities. He
makesnew innovation, concept, process and idea to operate different business operations in most
appropriate and suitable manner. Entrepreneur required various skills and qualities such as
quickdecision making, risk taker, management skill, communication skill and innovative skill
that assist to start new business and also help to attain desired result. This assignment is based on
Austin Fraser which is consultancy based company that deliver great services to customers in
UK. There are various different types of ventures has been examined in this assignment with
several types of entrepreneurial typology. In the other section contribution of micro, small and
large business has been examined towards the economy of UK.Apart from this, several key
aspects of entrepreneurialmindset is analysed that assist to attain set goals.
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LO1
Introduction
Entrepreneurship is study of process of starting new venture to generate high profitability and
success in large marketplace. In this section, a different type of entrepreneurial ventures has been
examined. Also has been discussed about growth, scope and development of different
entrepreneurial ventures.
P1 Examine different types of entrepreneurial ventures and explain how they relate to the
typology of entrepreneurship.
Entrepreneurship is a processof starting new business and venture to generatea high level of
profitability and success in the tough competitive marketplace. It is necessary for an entrepreneur
to manage funds to start newfor generating high income and profitability.In the UK there are
wide scopes of entrepreneur venture that contribute so much tothe growth of the economy. A
personestablishes small venture and startupto achieve high success and development in the tough
competitive business environment. There are types of an entrepreneurial venture that generate a
highlevel of profitability whichis examined as under:
Social venture:This type of venture works for the benefits of society and provide high-quality
products to people at less price. The main aim of social venture is to reduce social problem and
issues by delivering great services to them.
Commercial venture: They provide high-quality products and services to customers to generate
high income and sale. The main aim of this type of venture is to earn high profitability at
maximum cost. Commercial venture gives high attention to satisfy current requirements and
expectation by using the unique and new idea in the production process (Amiriand Marimaei,
2012).
Small-scale: The main aim of small-scale venture is to earn a high level of growth and
profitability in available resources. In the UK there are huge numbers of small-scale business
operated by an entrepreneur to earn high income that contributes so much to the growth of the
country.
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Large-scale venture:This type of entrepreneur venture providea wide range of products and
services to customers to fulfill their requirement in a proper way. The main aim of the large-scale
venture is to earn high profitability and growth in the tough competitive marketplace. To achieve
set goals and objectiveslarge-scaleventure to operate its business activities and operations at
international scale.
Apart from entrepreneurventure, there are some typologies of entrepreneurship which are
examined as under:
The copycat entrepreneur:This kind of entrepreneur use others idea, concept and thought to
generate high income and success.A copycat entrepreneur facesfewer issues as they use an idea
which is already used by someone. To earn the high income they develop great plans and
strategies that help to maintainlong-term sustainability (Barringer, 2012). For example,Andrew
Carnegieis a copycatentrepreneur who achieves success by following other’s planning and
strategies.
The determined entrepreneur:They do not copy any one’s idea and concept to operate
different business activities and operations. Determinedentrepreneurdo hard work to attain high
profitability and growth in the tough competitive business environment.For example, Mark
Zuckerberg is a greatpersonality who is determined entrepreneuras he is highly focused towards
his work.
The research entrepreneur:This type of entrepreneur gives high attention toresearch for
achievingthe desired result in business activities. Research entrepreneurbelieves in a learning
process that assist to face any difficult situation to earn a highincome in the certain period. For
example: Bill gate is researchentrepreneur who doresearch to resolve different issues and
problem.
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P2 Explore the similarities and differences between entrepreneurial ventures.
There are so many common features of large, small, social and commercial ventures which are
examined as below:
The main aim of these organisations is to satisfy wants, requirements, desire,and expectation of
customers in mostappropriate and suitable manner by delivering high quality of products and
services at fewer prices.
All the organisation like small, large, social and commercialhavethe main motto to generate high
income and growth in the tough competitive business environment (Dacin, et. al., 2010). For
this, they operate various functions like production, marketing, finance and HRM in a systematic
way.
There are various similarities and difference between entrepreneurial ventures which can be
examined easily by giving high focus on some points which are analysed as under:
Difference between social and commercial venture
Social Commercial venture
They give more focus to reduce social issues
and problem
Social venture provideshigh-quality goods at
less price to enhance the living standard of
customers.
Give high attention to generate high income
They provide a high quality of products in the
marketplace to enhance satisfaction level of
customers in an effective way.
Difference between Large and small-scaleventure
Small venture Large-scale venture
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Small venture havea narrow scope of growth.
Need fewer employees to operate business
functions and activities
Small venture required less funds for
functioning
They have wide scope to gain new growth
opportunities.
They need a huge number of employees to
operate business activities.
Large-scale venture needsa huge amount of
funds to operate business functions.
Similarities between social and commercial venture
Both organisations develop great strategies and planning to operate their business operations and
activities in a mostappropriate manner to earn maximum profitability at minimum cost. They
take help of various idea, concept,andprocessto develop high quality products and services for
customers.
The commercial and social organisation takes help of effective and successful strategies, policies
and techniques so that they can operate their daily business operations in an appropriate manner.
Apart from this, both organisations perform business functions for generating a high level of
financial profit.
Similarities between large and small scale venture:
There are several similarities between them because both have the same motto to earn high
profitability and success in the tough competitive marketplace. Both organisations contribute so
much to the growth of nation and economy of the country.
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M1 Investigate a diverse range of entrepreneurial ventures to demonstrate an
understanding of entrepreneurship in both the public and corporate sector.
There are various different types of entrepreneurialventuresthat have different target and motto.
These are examined as under:
The Public sector:They provide great quality of products and services to customers to increase
their living standard in a proper way. In the UK there ishuge public sector organisation that
works for the benefits of people and society (Grimaldi, 2011).
The corporate sector:In this all type of organisation such as small, large and commercial come
that have main aim to earn high profitability and success in the toughcompetitive marketplace.
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D1 Critically examines the scope, development,and growth of entrepreneurial ventures.
According toHall, et. al., (2010), In UK there are so many starts up and small organisationthat
contributetowards the growth of economy and development of the nation. They provide huge
growth opportunities to people through they can easily improve living standard and level of
income. It is important for them to take help of advancedtechnology for producing high-quality
products andservices at less cost to enhance satisfaction level of customers.
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LO2
P3 Interpret and assess relevant data and statistics to illustrate how micro and small
businesses impact on the economy.
Towards the growth of economy and development of nation both micro as well s small business
organisationcontributes so much. It is necessary for the government to provide proper funds to
them so that they can easily operate different business activities and functions in a proper way to
generate high income and growth in the toughcompetitivemarketplace. Austin Fraser is a
smallorganisation that delivers great quality of services to customers.
(Figure: Growth of Small-scale enterprises)
(Source: Business Advice, 2017)
Small business improvesthe economy of United Kingdom by providing a different range of
products and services to people at less cost. They develop great strategies and plans to fulfill
currentrequirements, desire and wants of customers in most effective manner. In the UK there
are 90% of small and micro business organisations run by entrepreneurship that play great role
improvethe living standard of people and development of the economy (Kibler, 2013). Huge
growth and new opportunitiesare provided by them to local people that improve their income
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level and living standard in a suitable way. Huge job creation is done by micro as well as the
small business organisation that contributesso much to the national income of the Country.
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P4 Explain the importance of small businesses and business start-ups to the growth of the
social economy
There is so many start-up and small business organisationstarted by people to generate high
income and growth in the toughcompetitive business environment.
Enhanceliving standard:Small and start-upbusiness in the UKcreate huge job opportunitiesfor
local people that assist inincrease their living standard and income level (Kuratko, 2016). It is
necessary for an organisation to provide new growth opportunities to them so that they can
improve professional career life.
(Figure: Contribution of SMEs in UK economy)
(Source: The Economic Voice, 2017)
Development of economy: In UK there are so many starts up and small organisation that
contribute hugely in the development and growth of the economy. Both organisations perform
business operations and activities in an effective way to generate high income at minimum cost.
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Provide advancement:Start up and smallbusinessorganisation comes with unique procedure,
idea, concept,andproduct thateasilyattracta huge number of customers towards their products and
services. They provide high-quality goods at less cost to customers to satisfy their desire (Phelan
and Sharpley, 2012).
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M2 Evaluate the differences small, medium and large businesses make to the economy,
applying relevant data and statistics.
In UK huge number of small organisation and start-up venture are operated that create so many
job opportunities for local people that assist to improve their income level as well as the standard
of living. Austrian Frasier is a smallorganisation that provides great recruitment facilities and
services to other company (Lans, 2013). For achieving high growth and success this organisation
uses the new idea and unique methods. Small as well as micro organisation create huge growth
and job opportunities for local people that improve the condition of the economy.
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D2 Critically examine how small businesses have an impact on different levels of the
economy (local, regional, national) and in an international context.
According to Schaper, (2016), there is the positive impact of the smallbusinessorganisation on a
different level of the economysuch as national, local and regional. It is necessary for
smallbusiness to adopt high technology to achieve high growth and success in the marketplace so
that they can contribute more towards the nation and economy. With the help of innovation and
creation, small businessorganisation can expand their functions at international level.
Conclusion
By examining this section it has been concluded that small and start-up venture contribute so
much to the growth of the country. In the UK there isa huge small organisation that generates
high income and sales by taking help of new idea and concept.
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LO3
Introduction
In this section, various skills and characteristic of entrepreneurship have been examined that
assist to deal with any difficult situation to earn high profitability and growth in the tough
competitive marketplace.
P5 Determine the characteristic traits and skills of successful entrepreneurs that
differentiate them from other business managers.
Everyentrepreneurhas different skills, traits,andcharacteristics that assist to take right decision at
right time to attain high profitability and success in the toughcompetitivebusinessenvironment.
There are so many skills and characteristics through which successful entrepreneurs such as Bill
gate and Mark Zuckerbergdevelop great image amongpeople all over the world. There are so
many characteristics of entrepreneurship which are examined as under:
Risk taking: To achieve growth and success in the marketplace it is highly important for an
entrepreneur to have risk-taking characteristic that assists to take risk decision to expand
business operations.
Hard working: With the help of this characteristicany entrepreneur can achieve high growth by
handling different situation. The entrepreneurhas to do hard workto generate high income in the
toughcompetitive marketplace.
There are various traits of entrepreneurshipwhich are discussed as below:
Communication skills:It is necessary for an entrepreneur to have great communication skill that
helps to build a good relationship with customers, suppliers and employees to achieve the desired
target (Stephan, et. al., 2015).
Leadership skills: With the help of leadership skill entrepreneur can easily encourage and
motivate employees to give their best to achieve high growth in the tough marketplace.
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P6 Assess how aspects of the entrepreneurial personality reflect entrepreneurial motivation
and mindset
People easily get motivated and change their mind setby seeing the successstory of any famous
and popularentrepreneurs. There are so many successfulentrepreneurs who share their life story
from downwards to upwards with the public that motivate them to become successful like them.
Entrepreneurslike Bill Gates, Sir Richard Branson, Sir Philip Green and Mark Zuckerbergthat
share their successstorywith people (Stuetzer, 2013). It is highly important for entrepreneurs to
manage and control different business operations in a mostsuitable manner to achieve the desired
target.
People change their mind set and get encouragedby listing successful story of any entrepreneur.
It is highly important for successful entrepreneurs to share their story to influence people’s mind
in a positive way so that they can start their own business and venture to generate high income.
There are so many entrepreneurs who share their life and success storywith media. Bill gate is
one of them who achieve high success and growth in today’s tough competitivebusiness
environment. With the help of bill gate life story, there is so many business men solve their work
based problem to attain set goalsand objectives.
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M3 Explore and examine different lines of argument relating to entrepreneurial
characteristics.
 To maintainlong term sustainability and growth in the toughcompetitive marketplace it is
highly important for entrepreneursto have different skills and characteristics.
 With the help of required skills,they can take right decision at right time to accomplish
set goals and objectives.
 To face the difficult challenge it is necessary to enhance current skills that help to
achievehigh profit margin (Business advice, 2015).
 To accomplish growth and development in the toughbusiness environment it is essential
for entrepreneurs to use all the required skills and characteristics in a proper way.
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D3 Analyse the characteristic traits, skills and motivational drivers of successful
entrepreneurs, supported by specific examples.
 There are so many successful entrepreneurs in all over the world such as Bill gate, Mark
Zuckerberg and others that have so many skills and characteristic that assist them to become
successful in the tough marketplace.
 By using communication skill entrepreneurs can build a great relationship with
customers, suppliers, clients,andemployees that contribute so much toachieving high growth.
 To attain set goals andobjectivesentrepreneurs use leadership skill that encourages and
motivate employees to perform well in the workplace.
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LO4
P7 Examine, using relevant examples, how background and experience can hinder or foster
entrepreneurship.
The background of entrepreneur has a major role in the system; they can have a backup and a
good database that has been satisfied by the people. There can be certain factors that have been
helping them in developing the business.
 Family background- The interest and involvement of the family has been very much
helpful in determining the overall performance and growth of the organization. The family
background has so many learnings and contacts that can be highly influential in developing the
foundation of the business.
 Work experience- The past experience in the work and other factors has been a very
good and influential factor that has been helping in understanding the needs and requirement of
the business well and helps in understanding the future aspects of the same in life. Experience in
any filed helps in understanding the feel and overall structure of the organization (The Economic
Voice, 2017).
 Education- The education is very important has been very effective in knowing the base
and the major factors involved in the development of the overall structure of the layout of the
new business that has to be developed and sustained in the market.
 Market knowledge- The knowledge of market helps in developing the structure and
knowing the competition and the policies that has been followed by the people in order to
achieve the same market position respectively.
 Hobbies- Sometimes hobbies turn to passion and help in gaining profit out of the
business idea, this makes the interest of the entrepreneur more involved in the system.
The passion and interest depend widely upon so many things that have been helping in the
development of the overall structure of the system. This can be the influence of friends and
family or the experience in the field of the same profile.
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M4 Analyse the link between entrepreneurial characteristics and the influence of personal
background and experience to specific successful entrepreneurs
The experience of the people in terms of learning from the family or self-evolvement helps in the
development of the successful business. A successful entrepreneur will take help from the family
and friends in terms of finance and service partners. Certain people themselves have certain
qualities such as marketing strategy and experience in the finance has been very helpful in the
development of the budget and allocating the same to the different partners (Business advice,
2015). Certain external stakeholders like business partners, professional experts and distributors
also help in the development of the business in the system, this can be helpful in the market
expansion and make market position among the leading market and face the competition laid by
giant market holders.
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D4 Critically evaluate how background and experience influences entrepreneurs, both
positively and negatively, by comparing and contrasting examples.
Background/experience Positive impact Negative impact
Family and friends Helps in getting contacts Influences the market with
typecasting
Education Getting to know the business
layout is better as per the
Can ignore certain important
points in the formation of the
strategy
Hobbies Helps in depth understating of
the proposal and work on the
same
Entrepreneur may not take it
seriously and may not put their
full efforts in the successful
achievement of the goals.
Experience Helps with a previous
background of the same in the
future aspects
Can influence the decisions in
the future role.
Conclusion
In this section of assignment, various entrepreneurialskills and characteristicshas been examined
that is used by entrepreneurs to attain desired goals and objectives in an effective way. With the
help of required skills,they can take right decision in the toughcompetitive marketplace.
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Conclusion
By evaluating this assignment it has been concluded that in the UK there is so many small and
micro organisation that helpsto improve the economy condition of the country. To achieve high
growth and success it is necessary for entrepreneurs to use required skills and characteristics in
most appropriate as well as suitablemanner. It is highly important for entrepreneurshipto build a
great relationship with customers to generate high income in certain time. There are so many
small organisations in the United Kingdom that contribute to the success of the country by
providing unique products and services to customers. They improve the economic condition of
the country by creating huge job opportunities in the UK.
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References
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entrepreneurship. Research Policy.40(8).pp.1045-1057.
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 Kibler, E., 2013. Formation of entrepreneurial intentions in a regional context. Entrepreneurship
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 Kuratko, D.F., 2016. Entrepreneurship: Theory, process, and practice. Cengage Learning.
 Lans, T., 2013. Learning for entrepreneurship in heterogeneous groups: Experiences from an
international, interdisciplinary higher education student programme. TRAMES: A Journal of the
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 Phelan, C. and Sharpley, R., 2012. Exploring entrepreneurial skills and competencies in farm
tourism. Local Economy, 27(2).pp.103-118.
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 Stephan, U., Hart, M., Mickiewicz, T., and Drews, C.C., 2015.Understanding Motivations for
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 Stuetzer, M. and et. al., 2013. Where do entrepreneurial skills come from?. Applied Economics
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 The Economic Voice, 2017. Quarterly health check shows SMEs are at 18 month high. [Online]
The Economic Voice. Available at: https://www.economicvoice.com/quarterly-health-check-
shows-smes-are-at-18-month-high/. [Accessed: 28June 2018]
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