Entrepreneurship and its Impact

This assignment delves into the significant role of entrepreneurship in various aspects of society. It analyzes the contributions of entrepreneurs to economic growth through innovation and job creation. The discussion also encompasses the influence of entrepreneurial education and support systems in fostering a culture of innovation. Furthermore, it highlights the importance of micro-businesses and their impact on local economies. Real-world examples and scholarly sources are used to provide insights into the multifaceted nature of entrepreneurship.

ENTREPRENEURSHIP

Table of Contents
INTRODUCTION...........................................................................................................................1
LO1. Exploring and illustrating the range of venture types that might be considered
entrepreneurial.............................................................................................................................1
P2. Distinguishing among several enterprises............................................................................2
P3. Defining and interpreting relevant data and statistics in my mini research to illustrate how
micro and small business impact on the economy:.....................................................................4
LO2. Assess the impact of small businesses on the economy.........................................................5
P5: Actuate the characteristics, attributes and skills of successful entrepreneurs, which make
them different from other business managers.............................................................................6
LO4. Probing of different environments that foster or hinder entrepreneurship ............................8
P7. Exploring, using relevant examples obtained through the mini-research, background and
experience can hinder or foster entrepreneurship.......................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
The word ‘Entrepreneur’ is being taken from a French word enterprendre. The process of
developing and managing a business venture along with the risk of earning of earning profit is
known as entrepreneurship. One of the best examples of entrepreneurship is setting up of a new
business in a country that will enrich its financial income. Leotta et al. (2016) stated that a
successful entrepreneur is one who has the spirit of taking more risk in his business to earn more
profit in a competitive market. According to Steve Blank, there are four types of
entrepreneurship: firstly the small business entrepreneurship secondly large business
entrepreneurship thirdly Scalable startup entrepreneurship and fourthly Social entrepreneurship.
In order to be a good entrepreneur , he should be well mannered, open minded, self starter,
creative, determinant, competitive ,hard working ethics and passionate. If an entrepreneur fulfills
these types of qualities, he can definitely guide his business to success. In this report, I am a
consultant entrepreneur who is tasked to guide the emerging entrepreneurs on Brexit. The
importance of small business on the smooth running of the economy and its positive effects on
the growth of the nation are also explored here. The various environmental factors that nurture or
create barrier for the growth of the benefits of entrepreneurship are also elaborated in this report.
In addition to that, the various entrepreneurial ventures and their relation with the typology of
entrepreneurship is also given in this report.
LO1. Exploring and illustrating the range of venture types that might be considered
entrepreneurial.
P1:
In United Kingdom, in order to be a successful entrepreneur a sum of minimum 50000
pounds is to be invested and a visa prior to 3 months is too applied for. In order to stay in United
Kingdom a time limit of 3 years and 4 months is to be maintained. Ibrahim (2014) opined that
while doing a business one should not be involved in other activities that may hamper their
ongoing business operations. In addition to that, an entrepreneur should not engage themselves in
any other business or drown themselves in any illegal work, as this may take a toll on their
business. An entrepreneur cannot take public funds in their business. A certain amount of fees is
to be paid by the entrepreneurs and that depends on the situation where you are and by what
mode you apply i.e. by online or by post or being applied outside United kingdom.
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It is paramount for the entrepreneur to set a business objective so that it will help them to guide
in the future. Normally an entrepreneur starts their business with limited resources and materials
that will aid them to assist in analyzing the risks associated with the introduction of an
organization. All these types of entrepreneur and their inception into the business market can be
termed as entrepreneurial ventures. The different types of entrepreneurial ventures can be
explained in the following points:
a) Large scale entrepreneur- It can be known by the process of licensing and registration of the
government within the said time limit. The capital investment must be 5 Crore and above and are
relatively more capital intensive. These industries have higher input of technology and are
located in metropolitan and urban areas. A well proficient management is required for the
smooth running of this kind of entrepreneurship. These types of entrepreneurship are more
market oriented. A group of specialized and skilled people carries the work procedure. The
training facilities are directed by specialized institution and modern modes of management are
used .The gestation period in this type of entrepreneurship is comparatively long.
b) Small scale entrepreneur- They are required to register as SSI units with the director of the
states or union territories. The government intervention in these types of industries is not
required and the capital investment for plant and machinery does not exceed 1 core. Vesperi et
al. (2015) opined that sole proprietary or partnership type of ownership prevails in this type of
ownership. The technology used in this type of entrepreneurship are less capital intensive and
more labor intensive and are located in cities as well as urban and semi urban areas. They use old
techniques, machinery, and lacks proficient management system. These types of industries are
less market oriented as they are done with the help of local people. Individual entrepreneur
himself carries the work procedure. The types of techniques used are non specialized. The
gestation period for this kind of entrepreneurship is short.
Hence these are the different types of entrepreneurship, which an entrepreneur can be classified
in accordance with their size, location, intervention, capital investment, management, work
procedure, gestation period and their techniques which are discussed above in details.
P2. Distinguishing among several enterprises
Entrepreneurial Ventures may be of three types namely Individual, Partnership and
Corporate ventures (Cera and Furxhiu, 2017, p.173). These three types of ventures have different
types of characteristics, which help to identify their target market. For successful establishment
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and running of a new type of entity, specific and unique skills are required. Individual business
has specific aspect, Partnership contains separate aspect and corporate contains different aspects.
The entrepreneurs must set their mind in such a way that anything might happen in business.
They need to undertake losses as a part of their game. An entrepreneur has to perform his task in
such a way that it helps them to attain highest possible return by utilizing different resources
such as human and material resources. This is the key point of success for each entrepreneur.
According to Albi-Oparaocha et al. (2016, p.111), ultimate success completely depends on the
strategy making process. After successful implementation of strategy, any new entity is sure to
gain immense profit in business. The word ‘Strategy’ is having a pivot role, which is different in
every individual company. Individual enterprises possess some separate strategies whereas
Partnership Venture and Corporate companies maintain other strategies that pave their way to
victory. Individual Entrepreneurship venture is similar to Sole-proprietorship business, where
there is more than one partner known as Partnership venture. Arsić (2017, p.37) mentioned that
when establishment of companies is done according to company rule then it can be called as
corporate venture. Similarities among Individual, Partnership and Corporate Entrepreneurial
business houses are high risk, uncertainty, identifying new opportunities, utilizing new
opportunities and proper implementation of those opportunities.
Apart from above conformities, there are so many differences among three types of
Entrepreneurial companies. In case of Individual enterprise, personal risk is very high but in case
of Partnership and Corporate entity personal risk is comparatively lower than other two types. In
terms of overall risk, legal procedure and investment, corporate venture ranks top. However,
partnership can be considered as second one and individual company stands the concluding one.
Manaf (2017, p.782), commented that in case of individual venture, full ownership of such
companies can be enjoyed entirely thereby, maintaining proper work process in case of any task.
On the other hand, in Partnership and Corporate entity, Ownership is shared among different
people. Individual Entrepreneurial venture can be easily started as per own financial and other
capacity of a person. For other two types of business houses, long term planning or strategic
planning is most vital; otherwise, venture can never be started properly. Human resource and
Material resource are the main two resources in an organization must be utilized in such a way
that maximum outcomes can be attained. It is most essential section of Corporate Management
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because Corporate means a vast management system, which is needed to be conducted with
proper guidance and care.
P3. Defining and interpreting relevant data and statistics in my mini research to illustrate how
micro and small business impact on the economy:
The term micro and small business both are important with the terms of beneficial
economy. The small medium business are those firm which generate low volume sales. It is
private owned company. It is essential to have small business because they work as employing
large number of employee which serve as beneficial in the term of economic development of the
country. The term micro economy is referred as identifying particular markets and segment of
the economy. It deals with the issues relates to the consumer behavior, individual labors and
theory of firms etc. Due to small business there is wide impact on the economy. Without the
presence of small corporation the economy won't grow.
Being senior member of small business it is important to know the impact of small business on
the economy. The small corporation work as the backbone to the whole economy development
system. It helps the employee to utilize their talent in the best manner. SME's works as bring
innovative idea to the business enterprise which can helps as increase the productivity and
profitability of the firm. It can have the wide impact on the local, regional and international
market as follows-
Local- The small business enterprise helps as removing the unemployment issues in the
economy. It helps in increase in the income of the gross domestic product which serve as biggest
advantage to the firm.
Regional- It is essential for the small business to understand the need of the market. It works as
changing in the economic climate of the country. This enterprise is helpful in fulfilling the desire
needs of buyers by understanding eh need of the market. It helps in maintaining the strong brand
image of the market. This corporation has lower amount of productivity and profitability as
compare to the large corporation.
International- It helps as expanding the firm profitability by enhancing the growth of the small
business enterprise.
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LO2. Assess the impact of small businesses on the economy
P4. Importance of small business to the Growth of Economy
As per Arif (2017, p.25), Small business as well as new starting business boosts economy
of a particular country. Most important part is small and start-up business is the main pillars of
any economy as these create job opportunities for population of countries. Starting of new
corporation means having potential to ensure growth and triumph in coming years. New
corporation houses needs some human resources for inventing new products, which will enhance
to growth in future. Employment opportunity creation is a key factor, which increases level of
social standards. In terms of UK economy, small businesses are of great importance and
remarkable part of business because revenue of country is generated from such small business
enterprises. Small businesses are making excellent market in UK economy.
As per report, in the year 2013 and 2014 a huge number of small businesses are flourished in the
UK, thereby amplifying economy of the country. It is a positive sign in strengthening the
economy of nation. Denisova-Schmidt and Prytula (2016, p.151) opined that starting a small
business entity is always required to be encouraged because local economy strength can be
measured by only small and medium sized enterprises. If local economy is not strong then a
nation can’t compete in International market. In case of globalised economy, each country
should compete in the International market. It is essential to prepare a strong pillar so that
success can be ascertained in business. Small enterprises need to have potential to expand. When
vision of business entity is bigger, then it can compete with overseas companies.
Simon Woodroffe is one of the successful business persons, started his business with small
restaurant. Besides there are so many successful business persons in the world, started their
business as small entrepreneur (Saputri, 2016, p.109). Financial consultant and Hairdresser are
those occupations that have great opportunities in view of growth. To build good relationship
with customers and employees, small corporations need to interact properly or try to make a
direct relationship with customers. Besides, in case of manufacturing and service industries, a
small company has low overhead cost. Low overhead cost ultimately reduces price of output.
Self-Independence is also an essential importance of small entrepreneurship. Some people want
to grow themselves with their own idea and knowledge. That is why; these people want to create
something new and latest that will help in bringing a revolution in economy of country.
LO3: Determine and access the key aspects of an entrepreneurial mind-set
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P5: Actuate the characteristics, attributes and skills of successful entrepreneurs, which make
them different from other business managers
According to Arsić (2017, p38), Entrepreneurs are different breed than the others in the
society-they think and act in different ways in their genre.
Entrepreneurs have serious personality:
Entrepreneurs know that the success of their start-up business depends on their shoulder on how
it runs. Therefore, they take their work very seriously.
Entrepreneurs are fully customer oriented:
Customers are the sole reason why business exists. An entrepreneur knows from an initial stage
how to serve the target customers for successful progress.
Entrepreneurs are not scared to stand out alone - Most of the biggest inventions and decisions
come out from the entrepreneurs who are not afraid to venture out the risks and perform different
from the other business. They don’t like to be monotonous.
Entrepreneurs tackle with technology-
They in order to serve their customers best, get up to date with the latest best technology to meet
the inquiries of the customers. The best example can be Live Chat.
Entrepreneurs invest in themselves:
Successful entrepreneurs make out their time from their schedule and money from their budget to
invest first in themselves to reach out to their clients to serve better.
They know to sell themselves:
It is the most required characteristics of a successful entrepreneur to sell themselves to the
customers. Entrepreneurs knows how to grab their target market by explaining the details of why
their product or service worth the price or investment which the customers made to get the best
service.
Entrepreneurs maintain networking:
Successful entrepreneurs do networking not only to increase their number of client’s lists but to
meet with people who are as well passionate in starting up their own business and also who share
their experience in this field.
According to Manaf (2017, p782), lists of attributes and skills that successful entrepreneurs
possess:
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Tenacity: For a long term business, entrepreneurs use their traits of some pre decision making to
solve out the problems and hold on the obstacles to not to ruin the build up progress.
Passion: Some successful entrepreneurs bring out their passion for the particular business in
order to serve, solve and deliver the desired needs of the customers to make their life
comparatively easier and cheaper.
Vision: Entrepreneurs have curiosity to see their business there where others have not reached.
They also have the ability to communicate that vision in order to put it forefront with the
investors, staffs and the clients.
Thus, an entrepreneur is different from any other managers by the following points :
A manager serves in an enterprise owned by someone else, whereas an entrepreneur owns his
own enterprise for his own gratification.
A manager doesn’t have to bear any risks of the company whereas the entrepreneurs have to bear
all the risks and responsibilities of his own company.
P6: Approach how the aspects of entrepreneurial individuality reflect entrepreneurial motivation
and mindset
According to Cera and Furxhiu (2017, p173), Entrepreneur is a dynamic actor who is able
to bring out the innovations with the will to change in their domain of work to provide the best
results to their clients. Entrepreneurs need collaborators and assistants to work in order to
implement the ideas; hence he/she needs an organization. An entrepreneur needs to be an
autonomous leader in relation to the organization where he/she needs to govern himself/herself
first in order to innovate some new ideas for understanding the requirements of the customers.
According to Djukec, D. and Hunjet, A. (2016 p375), the main motive of an entrepreneur is to
have the idea and to realize it for nurturing the base of the business to the next level of progress.
It is more important to realize the idea than to profit making which reflects the personality of an
entrepreneur in his motivational aspect. It is a rare capability that can be found as anyone can
have the idea but very few can realize it. In addition to it, making money is not less important
because capital is the requirement to build up the organization and also to provide to the
confederates and the workers.
According to Soltanifar (2016, p.275), it may be hypothesized that certain individuality attributes
tie in with the motives of an entrepreneur. Therefore, both the personality attributes and the
motivational structure are important in order to understand the mindset of an entrepreneur.
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Underlying motives are the centre of the entrepreneurial mindset. Different personality traits can
be figured in order to bring out different related entrepreneurial mindset. Some of them are:
Assertive, relates to being energetic to develop social networks and a leadership role.
Agreeableness describes being cooperative at the one end and self‐ centred and hard bargain on
the other hand.
Responsible describes the person is achievement oriented towards his domain of work.
Innovative describes being creative in nature, with ideas and realization.
It is believed that the incorporation of motivational persona fully capture the entrepreneurial
mindset to uplift the progress of the enterprise.
LO4. Probing of different environments that foster or hinder entrepreneurship
P7. Exploring, using relevant examples obtained through the mini-research, background and
experience can hinder or foster entrepreneurship
According to Patel and More (2017), in order to prosper in entrepreneurship, firstly one
has to have faith in themselves and strong and basic idea how the market operates globally. An
entrepreneur has to keep in mind certain aspects in order to foster. For example, he should
develop an integrated approach which maximises the need for social change. He must have a
multi-stake-holder approach which comes with a variety of local, national and international
supports. Basically, entrepreneurial ability is what is needed as a factor of production as it is
evaluated by how the entrepreneur combines assets, directs policy decisions and creates and how
he/she manages to take risks.
Adebayo (2015, p.10) state that when it comes to "assets" it doesn't only mean the capitals, of
course, it refers to employees working in the new startup and communicating with entrepreneur
friends who can help in expanding the business. If we talk about the background of
entrepreneurs, then we should mention the “Entrepreneurial team" without failure where a fine
management team, advisory board, directors, and investors support the founders. A team has to
possess both technical and business experience to aid in the startup in times of high and low.
According to Barral (2014, p.964), moving towards how an entrepreneurship can be hindered,
one has to keep in mind that entrepreneurship is a multi-layered process which consists of the
discovery of a business opportunity and its exploitation. Entrepreneurship flourishes largely on
the diversity of cultures and religions. An entrepreneur has to possess an extrovert attitude which
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allows him to use social networking approaches to know about the necessity of exchanges
between them and the others.
According to Masárová (2016, p.15), language plays a great part in developing entrepreneurship.
For example, when a person is multilingual, he gains a greater an insight to other cultures
countries irrespective of religion or community. A broader market can be infiltrated when an
entrepreneur practices multilingualism, since success of a startup deals on interaction. Thus,
linguistic identity is an important aspect which should not be neglected during entrepreneurship
trial. Entrepreneurship always revolves around dynamic environment – constant shifting of
methods and techniques in order to achieve growth in the larger market. Therefore, coordinating
with the whole situation is a trait that has to be present in an entrepreneur. A kind of workforce
motivation should be felt by every employee in the organization to make it successful in the
overall scale.
CONCLUSION
In this project, a vivid idea of the role of entrepreneur or entrepreneurship is mentioned
and various stages and ventures of this context is given in detail. In addition to that, the various
benefits and importance of the role of entrepreneur is also elaborated in detail. The various ways
an entrepreneur can manage his entrepreneurship in a successful way without facing any loss
from the huge competitive market and their techniques are also given in the report. Discussion is
also made with some ideas given by the economist from their viewpoint. The guidelines are also
made of how an entrepreneur can continue or perform his entrepreneurship in United Kingdom
regarding their minimum investment, stay limit in United Kingdom, performance of activities
and their procedure of payment of fees. It is also mentioned that how an entrepreneur can operate
his business activities in future with the completion of the other entrepreneurs. Discussion is also
made regarding entrepreneurial ventures in accordance with their location, intervention, amount
of capital to be invested in their business, management and their relevant techniques which they
need to follow to attain success. The entrepreneur can follow different of entrepreneurship
through its efficient functioning and thorough it's performing of activities in an efficient way.
Hence this is the different activities or management process which is discussed throughout the
project for their efficient performance of entrepreneurship.
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