Importance of Small Businesses and Start-ups in the Growth of Social Economy

ENTREPRENEURSHIP
AND SMALL
BUSINESS
MANAGEMENT

Table of Contents
INTRODUCTION ..........................................................................................................................3
Task 1...............................................................................................................................................3
P1 What are the different kinds of entrepreneurial ventures and typology of entrepreneurship.
.....................................................................................................................................................3
P2 What are the similarities and differences between entrepreneurial ventures?......................5
Task 2...............................................................................................................................................7
P3 Interpretate the statistics for showing the impact of micro and small enterprises on the
economy......................................................................................................................................7
P4 What are the importance of small businesses and business starts-ups in the growth of social
economy?....................................................................................................................................8
Task 3...............................................................................................................................................9
P5 What are the Characteristic, traits and skills of successful entrepreneurs.............................9
P6 What are the aspects of entrepreneurial aspects personality reflect entrepreneurial
motivation.................................................................................................................................11
Task 4.............................................................................................................................................12
P7 What is the Background and experience can hinder or foster entrepreneurship.................12
CONCLUSION .............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Entrepreneurs are those individuals who use to invent and implement such inventions into
the reality which helps them to satisfy the demands of their customers which helps them to earn
profitability from the market. They plays an important role in the development of an economy as
they operate their business in order to earn revenue from the market which helps them to
contribute in the growth of the economy of nation. This helps them in increasing the standards of
living beings (Ahmed and et. al., 2017). The business entrepreneurs use to start their new small
or medium size businesses which provides direct or indirect support to the development of the
economy of the country. With the context of this report, it determines the different different
business ventures and the typologies of those ventures along with the similarities and difference
between those ventures. Further, the report is being discussed about the statics which shows the
impact on the micro and small business on the economy. This report is also talked about the
importance of small business and start-ups for the growth of the economy along with their
characteristics, tratis and skills which are required to being an successful entrepreneurs in the
market. Lastly, the report covers the different aspects of entrepreneurial personality reflects their
motivation and mindset along with the background and experience which is posed by them in
order to become the successful entrepreneurs.
Task 1
P1 What are the different kinds of entrepreneurial ventures and typology of
entrepreneurship.
Entrepreneurs are the people who innovate something different from existence and are
the one who makes it into reality. They are responsible for making new business enterprises for
supplying their goods and services for their customers so that they can earn profitability in return
(Ahokangas and et. al., 2018). This helps to live their life at comfort level. There are many kinds
of business ventures which are differentiated on the bases fo their service, scope, size and
purpose.
Entrepreneurial activity
It is the activity which means the process of business which was operated by the
companies in order to generate revenue from it (Arthur and Adom, 2019). These are the activities
which are associated with the exploration of unique ideas to increase the growth and the
development of those ventures. The entrepreneurs use to develop the ideas into reality which

helps them to full fill the demands of the customers for whom they are working. They use to
provide employment opportunities for the local people who are residing their which helps them
in satisfying their basic needs and wants. This can be done by operating businesses.
Different kinds of Ventures
Small business: These are those kinds of business enterprise which ahs the limited
amount of employees, size, capital and operations. They are formed for earning profits by
providing their goods and services to the customers. There size and amount of operation is
narrow as they are operating as an small scale. They use to provide their products to the niche
market. These business enterprise are generally under sole proprietorships and partnership firms.
The main purpose of forming these kinds of business is to earn their own livelihood in order to
full fill their own needs and wants of themselves and their own families. They are doing this to
support their business and modest lifestyle. These kinds of ventures has the workforce of less
than 50 persons (Dabić and et. al., 2020). The net worth of the company is €2 million. These
enterprises are such as Grocery stores, small boutiques, consultants etc.
Large company: They are the companies which has the finite amount of life cycle. They
are the one who use to develop their ideas and works to sustain their innovations. They are the
ones which use to develop different products and services so that they can satisfy the needs and
wants of the customers. These are the operates which use to perform their business without
having any limits on their operations, size, scale or scope. These are the companies which use to
expand their business over the seas. They have the huge amount of sources of funds which helps
them in smoothing the business practices. These are the organisations which use to develop
different techniques in order to sustain their growth in the market. For example: Tesco, Marks
and Spencer and many others.
Social enterprises: These are the business organisations which are formulated for the
welfare of the society. They innovate different ideas and techniques for the development and the
growth of the society (Gabrielsson and et. al., 2018). These business ventures are made with the
aim to work for the benefits of the needs people. This helps them in improving the living
standards of those people. They are not focused on earning profits their aim is to develop the
standards of the people. There are many organisations which works for the child labour, save the
children, save environment and many other.
Typologies of entrepreneurship