Entrepreneurship: Concepts and Practices

This assignment delves into the fundamental concepts of entrepreneurship, examining its definition, characteristics, and significance in driving economic growth. It highlights the vital role played by small businesses in fostering innovation, job creation, and community development. Students are expected to analyze various aspects of entrepreneurship, including business models, sustainability, and the influence of public policy.

INTRODUCTION...........................................................................................................................3
PART 1............................................................................................................................................3
P1 Types of entrepreneur ventures and its relation with types of entrepreneurship...................3
P2 Similarities and differences between types of entrepreneur ventures....................................4
P3 Impact of micro and small business on economy..................................................................6
P4 Importance of small business and business start-ups in economy development...................7
PART 2............................................................................................................................................9
P5 Characteristics and traits of successful entrepreneur.............................................................9
P6 How personality of entrepreneur act as a motivational tool................................................10
P7 Background and experiences which can hinder or foster entrepreneurship.........................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Small business enterprise are those organizations which is privately owned corporations,
sole trader and partnerships having minimum employees with less revenue. In fact
entrepreneurship and small business management plays a very eminent role in developing
economy by introducing innovative products. Entrepreneur is a person who handle or regulate a
large and small enterprises whose main motive is to fulfil the demand of various consumers. This
report is classified into two parts for explaining different types of organization by showing its
roles and responsibility towards development of whole society (Bridge, 2012). Along with this,
assignment is going to highlight the impressive characteristics and traits of various successful
entrepreneurs. Therefore skilled and experienced owner plays a very eminent role in achieving
the goals and objectives of a company by implementing effective strategies. At last, this report is
all about management of small business which are increases day by day due to emergence of
advanced technology as well as to earn maximum profit.
PART 1
P1 Types of entrepreneur ventures and its relation with types of entrepreneurship
Definition of Entrepreneurship and intrapreneurship.
Entrepreneurship:- It is a complex term which simply mean that running a particular
business for earning maximum profit. Basically this word indicate “creation of brand new
enterprise by coming up with creative ideas.
Intrapreneurship:- Board of directors are consider as a intrapreneurship which means
managers or supervisors of an organization is responsible for bringing new ideas for a company .
As a senior member of federation of small business it has been understood that
entrepreneurs are the owner of an organization who is responsible for all the risk and liability
faces by company. It means a person who is going to established a particular business on their
own risk as well as promote their business across national boundaries by introducing innovative
and creative ideas (O'Neill, 2012). Therefore overall organization is depend upon their
entrepreneur because he is a fund manager or head of a company. There are different types of
entrepreneurship ventures which is mentioned below :- Small business entrepreneurship :- Due to emergence of advanced technology number
of individuals are motivated towards establishment of a various small business with
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minimum number employees. Example of small enterprises are grocery shops,
hairdressers, consultants, agents, internet, carpenters, plumbers, etc. Main reason behind
establishment of small business is to live their livelihood in comfortable by fulfilling the
demand of desired consumers. Actual definition for entrepreneur of small business is to
feed their family and trying to maximize their profit by acquiring relevant information
and data. Scalable start-up entrepreneurship:- Owner of this business established their company
to develop overall society and world by coming up with different or unique ideas.
Therefore to attain their desired goals and objectives they need to hire best and skilled
labours with unique feature of handling business (Burns, 2010). Large company entrepreneurship:- Large organization have a long term vision by
introducing new and creative products at a marketplace. Basically these enterprises are
expanded across national boundaries for fulfilling the demand of a domestic as well as
foreign clients. In fact entrepreneur who want to established large business requires
maximum funds to perform their task and activities in a proper. Social entrepreneurship :- This organization is based on social services which means
they are society oriented. Thus they believe in satisfying the demand of whole society by
considering internal and external factors which influence various customers (Carland,
2015). Social entrepreneurs are creators whose main motive is to launch different goods
for resolving the basic needs of a society.
 SME: Small and medium sized business have some specific limits while running their
business with short term vision. Basically these organizations are not expanded in
maximum countries due to low fund. In fact their main motive is to live their livelihood
more comfortable by emerging with different unique ideas to fulfil the demand of desired
consumers.
Apart from this all these types of entrepreneur ventures are expanded at international
level by having different owner with unique personality.
P2 Similarities and differences between types of entrepreneur ventures
All the entrepreneur ventures are different from each other due to their roles and
responsibility towards development of economy. There are various kinds of ventures available at
a marketplace with different motive, vision, mission, techniques etc.
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Similarities and differences of various kinds of ventures are mentioned below :-
Similarities/
Differences
Social Scalable start-
ups
Small business Large
organization
Difference Based on society
which means they
believe in
fulfilling the basic
needs of whole
society (Carland,
2015).
Wanted to create
something new
and different from
others for
changing the
whole world.
Entrepreneur of
this business
wanted to live
their livelihood
more comfortable
by earning money
from established
enterprise.
Their main aim is
to expand their
business across
national
boundaries by
considering
internal and
external factors.
Similarity Generate revenue
but minimum.
Earn profit but
later on.
Try to generate
revenue just to
fulfil their own
demand.
Maximum profit
by exchanging
their goods and
services at
international
level.
Difference Policy is based on
society oriented.
Believes in
changing whole
world.
Based on raising
their own
standard of living.
Profit oriented.
Similarity Maximum
contribution in
economy
development.
Trying to plays a
vital role in
growth of
economy.
Indirectly they are
also plays a major
role in economy
development.
Whole growth
and development
is directly and
directly depended
upon large
business because
they have a long
term vision.
By concluding this, it has been understood that all the entrepreneur ventures are similar in
some extent but with different motive and target. On contrary to this, all the business plays a
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very eminent role in development of whole nation by considering all the micro and macro
environmental factors. Apart from this all the above similarities and differences are very helpful
and useful in promoting small business in local area by showing its advantages and overcoming
their disadvantages (Dennis Jr, 2011).
Differences for Small, medium and large?
Small Medium Large
Fund is arranged and invested
by founder or family of a
business
Maximum companies are
established by family or some
are owned by public
Investors are public and
established by business
tycoons.
Managed by owner itself. Regulated by owners as well
as professional persons.
Fully professional
management.
Short term vision or planing. Some strategies are short term
buts some are long term.
Long term vision for
continuing business for longer
period of time.
P3 Impact of micro and small business on economy
There are number of small business enterprises are emerges at international level which
have a greater impact on a economy of a nation due to its eminent role played in economic
development. In fact small business are act as a backbone for UK economy because it
contributed a great deal in terms of creating employment opportunity. Being owner of small
organization is very challenging because they have to face various difficult circumstances and
situation. Therefore entrepreneur of small business enterprises are trying to introduce innovative
ideas for capturing the minds of different customers.
Along with this, there are number of ways in which enterprises contributed in economic
development in different way which is mentioned below :- Turnover :- First and foremost influence on economy is a yearly turnover of an
organization which affect overall development of a nation. It means maximum turnover
of a company shows that there is increase in a productivity and demand of a various
goods and services (Down, 2010).
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 Employment :- Emergence of maximum number of enterprises create employment
opportunity for whole society to live their livelihood more comfortable. It means small
business plays a very eminent role in creating job for unemployed individuals. Growth :- Innovation is a major part of growth and development because economy of a
nation is mainly uplift by launching creative products which may capture the attention of
millions of consumers. In additional, growth is a result of implementing unique and
different ideas by raising standard of whole society. Industry :- Emergence of advanced technology motivate individuals for establishing
numbers of a enterprises by generating different ideas and opinions which influence
economy of a nation in every manner. Apart from this, establishment of various
industries and organizations is very useful and advantageous for developing overall
economy nation (George, 2011).
 Competitiveness:- According to this factor, it has been shown that due to emergence of
maximum number of a organization creates a competitive nature at a marketplace by
encouraging competition between competitors.
Apart from this it has been understood that management of small business enterprise have
a greater impact on a development of economy due to its vital role in growth by considering
internal and external factors. In fact these business contributed in developmental process in
various way which is stated as follows:-
 Satisfied the needs and demands of various consumers.
 Introduce innovative ideas.
 Manufacture goods by considering customer taste and preferences.
 Improve or raise standard of living of various individuals.
 Create employment opportunity.
 Availability of close substitutes.
Impact on local, national, and international economy?
Small business enterprises have a greater impact on various level of economy due to its
role played in world economy is stated as follows :-
 Local :- Helpful in rotating product in specific region by fulfilling demand of customers.
 National :- Increase in gross domestic product due to emergence of innovative products.
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 International:- Maximum trade across national boundaries increases foreign direct
investment.
P4 Importance of small business and business start-ups in economy development
As a senior member of federation of small business it has been shown that start-ups and
small business act as a key element for development of any economy. Economic evolution is a
process which means economic, social and political well being of people. Small businesses
satisfies social needs. In UK most of the businesses are of small nature and are operated by one
person that means it contributes a high percentage of GDP in economy (Bock, 2011).
Following are some points which describe importance of small businesses:- Developing personal relationships: It is very easy for small businesses and start-ups to
develop understanding and good relations with customers, suppliers and employees
because they always know that who are they dealing with. They can make person to
person relationships those can be proved very beneficial for economy. Responding flexibly to problems and challenges: Small businesses are more flexible in
comparison to big enterprises. Large entities has set ways of operations and there can be
no change easily. But in small businesses if there is any problem or changes then they can
respond it quickly. Inventiveness and innovations: If it is about new ideas and changes in any decisions or
products than it is easier for small industries to take risks because owners of such
businesses do not need more approvals. It is their own decision to make any innovations. Low overheads: In these industries expenses are not so high due to small scale of
operations. Lightning costs, material overheads are lower than other enterprises. They
have to pay limited rent because of smaller premise and do not need to pay much amount
of salary because of less number of employees (Gorgievski, 2011). Future growth: These start-up businesses are not always small. They become a large and
of great importance in economy in national as well as international market and increase
reputation of industry. Microsoft can be taken as an example for growth of an tiny entity
to a great business that has command all over the world. These organisations provide
employment to a number of persons and help in the economy growth by increasing
employment rate of a country.
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 Adaptability to changing environment: According to these businesses they are ready and
prepared for adopting various changes which might be occurred in external and internal
environment.
Instead of all this, small business entrepreneurship as well as new business start-ups plays
a very eminent role in developing economy of nation by coming up with different and unique
ideas (Ascalon, 2011). There are number of reasons which shows importance of small business
and start-ups which are mentioned below :-
 Increase in a gross domestic product due to maximization in foreign direct investment.
 Launching of creative products with best services.
 Fulfilling the basic needs of whole society.
 Creation of employment opportunity.
 Enhancement of overall product for capturing the attention of domestic as well as foreign
clients across national borders.
PART 2
P5 Characteristics and traits of successful entrepreneur
Entrepreneurship is a term which defined as a process of designing, manufacturing
innovative products as well as responsible for managing a large and small business. An
individual or person who is going to manage particular enterprise are known as entrepreneur.
Basically they have a quality and potentiality of establishing an organization and ability to
resolve all the barriers facing by company at a marketplace. Two successful entrepreneurs have a
unique quality with impressive traits are named as Bill gates and Mark Zuckerberg. Both of them
have talent and experiences which motive number of individuals and employees to become
entrepreneur by generating new ideas.
Characteristics of entrepreneur is mentioned below :- Plan everything:- First and foremost quality of an entrepreneur is to plan their strategy
before implementing for removing errors and mistakes which may influence their
objectives. In fact planning process act as a indispensable tool for every organization
either small and large because it is a blueprint of a document consist of all the task and
activities (Stephan, 2011).
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 Act seriously :- Entrepreneur need to very serious towards their plans and policies to run
their business for longer period of time. In fact sincere nature is very advantageous for
whole organization because it motive them towards their professional goals and
objectives. Management of fund :- Capital is a lifeblood of any enterprise because all the activities
and task are directly or indirectly depended upon monetary factors. Therefore every
entrepreneur need to reserve maximum fund for removing this obstacle of a business.
Along with this, they need to ensure that there is a proper flow of cash in an enterprise. Attentive nature :- Focussed towards his/her professional goals with long term vision by
considering all the changes in a micro and macro factors. Risk hedger:- They must know how to manage risk and control for maximizing their
business profit (JoHall, 2010).
 Self promoter :- Self promotion is one of a most appropriate method or merchandising
tool due to which product of an enterprise is promoted across national boundaries. For
example sharing views with friends, relatives, business teams etc.
Traits of an entrepreneur differentiate them from others which shows their inner and
outer personality. Therefore there are various traits are available which is mentioned below :- Passion :- An entrepreneur must passionate towards their goals and objectives for
completing all the task and activities in a proper way. They must know how to resolve all
the problems and obstacles for attaining their target in a minimum time period. Positive sense of humour :- According to this, an entrepreneur need to have a positive
attitude towards organization and must know how to deal with difficult situation and
circumstances. Tolerance:- An entrepreneur must have tolerance capability because it is not an easy task
to handle or manage a large organization. Therefore they need to know how to manage
difficult circumstances (Daneke, 2010).
 Vision:- An entrepreneur must aware about their vision and clear objectives the only they
will continue their business by considering overall internal and external factors.
Apart from this, it is concluded that an organization need to consider useful traits and
characteristics of an entrepreneur to run their business smoothly and effectively. In fact all these
quality is very helpful in achieving goals in a minimum duration.
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P6 How personality of entrepreneur act as a motivational tool
Bill gates and mark Zuckerberg both the entrepreneur act as a motivational tool for whole
society because their whole life is full of struggle who inspired number of employees towards
entrepreneur. Personality of entrepreneur encourage individuals in various way which is
mentioned below:- Full of sacrifices :- An entrepreneur faces number of sacrifices over their life from which
most of the employees motivated towards their personal goals. Bill gates is a perfect
example of this because his life was full of struggles and sacrifices which motivate others
to do something different (Lenox, M.J.Leitch, 2010). Overview of autobiography:- According to this factor it has been understood that full life
story of a legends are act as a motivational tool in various ways for example it improves
knowledge of an individual as well as employees.
 Improvement in learning skills:- Basically life of entrepreneur enhance the knowledge
and skills of employees working in an enterprise as well as other individuals also. Every
entrepreneur may share their views and opinions with workers due to which they get
attracted towards their skills or want to experience once.
Apart from this personality of bill gates and mark Zuckerberg motivate most of
individuals to become entrepreneur with their inspirational life cycle. Instead of this they are also
act as a improvement tool as well as enhancement of a overall personality.
P7 Background and experiences which can hinder or foster entrepreneurship
To become an entrepreneur is not an easy tasks which requires impressive personality
with positive sense of humour as well as potentiality for facing every difficult circumstances. In
fact background and experiences both the factors plays a very eminent role in motivating an
individual to run or manage a large and big organization. For example Bill Gates and mark
Zuckerberg both have different backgrounds which may sometime demotivate them (Hill, and
Neergaard, 2010).
On contrary to this, past experiences of bill gates and mark Zuckerberg is very
beneficiary for them in different way which is stated as follows:-
 Enhance the learning of individuals.
 Learn how to manage difficult circumstances.
 Ability to hedge business risk.
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 Capability of managing or controlling large organization.
 Extra knowledge which mat be very useful in future.
 Know how to regulate and deal with uncertain situation.
Along with this sometime experiences also have a negative impact on future. Whereas
backgrounds of a successful entrepreneur act in both way either positive or negative because
family is a first teacher, mentor, guide, head for every individual. Thus most of a persons are
greatly influenced by their ancestors in various ways. In fact most of the quality and knowledge
is acquired by entrepreneur from family members by following their path (Nga, and
Shamuganathan, 2010).
CONCLUSION
From the above report it has been concluded that small business plays a very vital role in
developing the economy of a nation by emerging with creative and innovative ideas. Main
motive of this report is to throw lights on different types of ventures and their responsibility
towards uplifting the overall society. In fact this assignment is all about management of various
small business established across national borders to fulfil the basic needs of a domestic and
foreign consumers . Apart from this, assignment highlighted essential quality of a bill gates and
mark Zuckerberg by throwing lights on their background or experiences. At last it has been
understood that in coming days small business are increases and established at international level
by introducing innovative products.
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REFERENCES
Books and Journals
Bridge, S. and O'Neill, K., 2012. Understanding enterprise: entrepreneurship and small business.
Palgrave Macmillan.
Burns, P., 2010. Entrepreneurship and Small Business: Start-up. Growth and Maturity. Palgrave
Macmillan.
Carland, J.W. and Carland, J.C., 2015. A model of potential entrepreneurship: Profiles and
educational implications. Journal of Small Business Strategy. 8(1). pp.1-14.
Dennis Jr, W.J., 2011. Entrepreneurship, small business and public policy levers. Journal of
Small Business Management, 49(1), pp.92-106.
Down, S., 2010. Enterprise, entrepreneurship and small business. Sage.
George, G. and Bock, A.J., 2011. The business model in practice and its implications for
entrepreneurship research. Entrepreneurship theory and practice. 35(1). pp.83-111.
Gorgievski, M.J., Ascalon, M.E. and Stephan, U., 2011. Small business owners' success criteria,
a values approach to personal differences. Journal of Small Business Management.
49(2). pp.207-232.
Hall, J.K., Daneke, G.A. and Lenox, M.J., 2010. Sustainable development and entrepreneurship:
Past contributions and future directions. Journal of Business Venturing. 25(5). pp.439-
448.
Leitch, C., Hill, F. and Neergaard, H., 2010. Entrepreneurial and business growth and the quest
for a “comprehensive theory”: tilting at windmills?. Entrepreneurship Theory and
Practice. 34(2). pp.249-260.
Ligthelm, A.A., 2010. Entrepreneurship and small business sustainability. Southern African
Business Review. 14(3).
Nga, J.K.H. and Shamuganathan, G., 2010. The influence of personality traits and demographic
factors on social entrepreneurship start up intentions. Journal of business ethics. 95(2).
pp.259-282.
Preuss, L., 2011. On the contribution of public procurement to entrepreneurship and small
business policy. Entrepreneurship & Regional Development. 23(9-10). pp.787-814.
Sampaio, A.R., Thomas, R. and Font, X., 2012. Small business management and environmental
engagement. Journal of Sustainable Tourism. 20(2). pp.179-193.
Schaper, M.T., and et.al., 2014. Entrepreneurship and small business.
Storey, D.J. and Greene, F.J., 2010. Small business and entrepreneurship. Financial
Times/Prentice Hall.
Online
What is Entrepreneurship?. 2017. [Online]. Available
through:<http://www.businessnewsdaily.com/2642-entrepreneurship.html>. [Accessed
on 20th July 2017].
The Role of Small Business in Economic Development. 2017. [Online]. Available Through:
<http://isbdc.org/small-business-in-economic-development/>. [Accessed on 20th July
2017].
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