The Role of Entrepreneurship in Economic Development

The provided report delves into the significance of entrepreneurship in driving economic growth and development. It emphasizes the importance of innovation, learning from past experiences, and effective leadership in becoming a successful entrepreneur. The report also touches upon the role of micro and small businesses in contributing to international business and economic progress.

Entrepreneurship
and
Small Business Management

Table of Contents
INTRODUCTION ..........................................................................................................................4
P1. Explaining different types of entrepreneurial ventures and explaining different types of
entrepreneurship..........................................................................................................................4
P2. Different types of entrepreneurial ventures with similarities and difference between public
and private: .................................................................................................................................5
P3. Data shows the impact of micro and small business.............................................................6
P4 . Importance of small business to help in the growth of economy.......................................7
P5. Qualities to become a successful entrepreneurs....................................................................8
P6. Different personality aspects which help in entrepreneurial motivation and it shaped in
family upbringing and lifestyle:..................................................................................................9
P7. A person's background and past experience hinder and fostering entrepreneurship ...........9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Entrepreneurship is the process of renovating, drawing and designing all activity is done
for setting up the business and those person who done the process is known as entrepreneurs.
This entire report is based on entrepreneurship and help to know different types of ventures and
different types of entrepreneurship. This report also depicts how small enterprises help in social
economy. This report also take an example of Bill Gates who is founder of Microsoft and how he
became a good entrepreneur. For becoming a successful entrepreneur what qualities needed and
this report also interpret, access the impact of small business in the field of economy. This report
focus that how a person became a good entrepreneur with the help of education, lifestyle and
economic factors also. This entire report is based on the successful entrepreneur can help to give
motivation and mindset to run the business in better way and help to maximization of profit also.
As an successful entrepreneur he must have leadership quality and can take good decision to take
the business in next further level.
P1. Explaining different types of entrepreneurial ventures and explaining different types of
entrepreneurship
Entrepreneurship is the activity done while setting up the business and taking some
financial risk. It is a combination of land, labour and natural resources with capital to produce
and help in gaining more profit. Entrepreneurial spirit is recognised by the way of new
innovation and risk taking. But it is quite risky as there is no guarantee that the business will
work or not (Borissenko, and Boschma, 2017). To start the business, there is need of an
entrepreneur and he is the person who takes the risk of its own to run the business with good aim
of returning and gaining profit. He is the most important person who investigates new
opportunities and techniques to achieve the targets and coordinate all the activities which help to
run the business in the best way. On the other hand, intrapreneur is an employee who is hired for
the organisation to help in success and he is on paid wages. An entrepreneur uses his own
resources while an intrapreneur uses company’s resources. While establishing new company, and
to renovate every one need entrepreneurs. . Entrepreneurs are independent while intrapreneurs
are dependent on the company.
As entrepreneurs are quite busy people and they always plan for new product or next
product. As more and more product the entrepreneur will produce the more selling is done
which help in profit maximization. As an entrepreneur, they always learn something because it

will help in sharing the knowledge as well as creating a new ideas too. As an entrepreneur are
always alert with the market moves because where to buy where to sell is the greatest move
which only an entrepreneur can judge no one other can do this. Along with this, an entrepreneur
always try to study the human behaviour because reading book and motivating others is not the
only thing which an entrepreneur can do he also study the behaviour of the human so that by
studying or analyizing them he can remove the confusion create in their mind and promote them
for doing more .
Example of different venture which are undertaken by the entrepreneurs are London
Venture Partners, as it is count no.1 company in mobile and tablet selling with online business
and the profit margin is not specified but it earn more than 20k upto few millions. Another
example is Spark venture, it invests in TMT (technology, media and telecom) which done all the
changes in early stage but later on, it is counted in big firms in London as its investment level is
in between 500k to 2m.
P2. Different types of entrepreneurial ventures with similarities and difference between public
and private:
Scalable entrepreneurship start their business from starting and help to make clear vision
which could help to change the world. Scalable entrepreneur search for repeated and better
business model. Other type is large company entrepreneurship, it require large company to create
innovations for new product. However large company make different innovation and execute
them also.
Public enterprises are controlled by the government and involved in commercial activity.
In recent times, government start participating in commercial and industrial activities. Earlier,
the role of government was limited but as the technology keep changes and time flows with new
technology, then government start realising their responsibility towards the public However, it is
just opposite in case of private enterprises, as there is no control of government on these
enterprises and they are free to do all the activity without interfering or can say that it is a
political platform. Another main objective is clear transparency in presenting financial reports
and annual reports (Borissenko, and Boschma,2017). Whereas in public enterprises, the
transparency is quite clearer than private one as it may adjust their data in different departments
of the balance sheets which is not possible in the case of private forms.

Next comes Social enterprises and their objectives with characteristics, the main focus of
this enterprise is to serve the humanity by solving the social issues and provide them facility to
fulfil the demand in terms of money. As a good social entrepreneur, they do not sit back and wait
for the change they are the drivers to make change in society, they are result oriented and think
for both benefit and non-benefit things as they are quite innovative and resourceful too; they
operate in all kinds of organisation whether they are in temple, trust or any other profit and
nonrofit organisation (https://hbswk.hbs.edu/item/around-the-world-of-entrepreneurial-ventures).
Earning profit is not aim of social entrepreneur as they want to serve humans and help to sort out
the problems.
Overall, these are the basic similarities and differences among all kinds of
entrepreneurial ventures with their scope and developmental growth.
Next comes Social enterprises and their objective with characteristics, the main focus of
this enterprises is to serve the humanity by solving the social issues and providing them need
according to fulfill the demand in terms of money (Parker, 2018) . As a good social entrepreneur,
they do not sit back and wait for the change they are the drivers to make happen change in
society, they are result oriented and think for both benefit and non benefit things as they are quite
innovative and resourceful too .they operate in all kinds of organization whether they are in
temple, trust or any other profit and non profit organization. Earning profit is not aim of social
entrepreneur they want to serve for humans and help to sort out the problems (Borissenko, and
Boschma, 2017). And this are the basic similarity and difference between all kind of
entrepreneurial ventures with their scope and developmental growth.
P3. Data shows the impact of micro and small business
As the no of employees work in the small enterprise is less as compared to the large ones
it helps in growing GDP which help to cover almost all the portion of the firm and help in then

economy of the business. In UK, this data shows that small and medium sizes enterprise have
fewer employee engaged in the business and which are almost 5.7 million in 2017 that is almost
99 percent of the the business.
In Micro- business they have only 9 employees whose contribution towards GDP's is less
and it may effect little bit to the contribution of the growth and development. Almost in small
business firm employment is less but the contribution on economy is vast. As only 33 percent of
the employment is engaged in this sector then turnover is around 22 percent.
In large business, more than 250employees are engaged and employment is 40% but the
turnover goes to 49 percent. In small enterprise, almost more than half of the UK is engaged but
the employment is less and turnover is around 37 percent and on the other hand on medium size
factor it is 0.6 percent of the business is engaged and turnover is also less and the contribution
towards the GDP is almost nil whereas on the other hand large scale business the turnover is
quite high but the business is almost 0.01 percent because all the person are not in affordable
situation that they invest such a huge amount of capital so the business of large scale is quite low
but turnover is high and the employment also or near about 40percent but the contribution on
GDP is half as compared to the small scale sectors.
Overall conclusion comes, small sector or micro business contributed in GDP and help in
economical growth of the company but just opposite in the case of large scale growth is high but
not in relation with the other firms.
P4 . Importance of small business to help in the growth of economy.
Small business are good example of success as by establishing small firm only a person
can lead to big company. In UK almost business are based on small business. As small business
help in the growth of economy in many ways such as,
In small business, strong relationship can be made like when the person come to buy
anything from the shop it is helpful for the shopkeeper too to recognize the face for next time
purchasing also as this is not possible in large scale business. For small business it is quite easy
to make changes in their businesses as it takes no long time to solve the problems and make so
many types of innovation in their field. The another positive point is having low overhead and
rent which they pay for their shop is also less as compared to other, lightening and renting and
costing is so small and so affordable price (Parker, 2018). On starting eventually, many small
business may fails but through failure they learn many things and again recover or rebuild their

business which is a good example of motivation as the turnover is not so high but initially they
contributed on their work and later on they reach to maximizes the profit and earn many more .
In small business, they use less infrastructure and need low maintenance as compared to
others because they cover less space the area is so small to use and hence they use less
infrastructure and maintenance. They also help in environmental issues like they locate their
business in small area and the garbage and waste product is almost o in condition so they help to
be in Eco-friendly and dose not cause any harm to the environment. As these are the contribution
of small business towards the growth of social economy .
P5. Qualities to become a successful entrepreneurs
The latest example of a successful entrepreneur is Bill Gates. He is the founder of
Microsoft and considered as the biggest entrepreneur of the world. An entrepreneur is a gambler,
starting a business is quite risky even when you are using your own money and Bill Gates is also
became a successful entrepreneur when he start taking risk in life is the first step to became a
successful entrepreneur (https://novascotiaimmigration.com/move-here/entrepreneur/). Also,
entrepreneurs needs creativity and use their extra skills to renovate their business or start the new
business. With respect to this, they must have good commanding and commitment power to
explore their ideas among them. As a successful entrepreneur, Bill Gates also faced so many
obstacles but to overcome those obstacle is a good example of successful entrepreneur and he
proves it too.
Being a successful entrepreneur means having a right attitude towards his work and have
determination skill for the success of the business. He must have strong determination power to
achieve the target and he should not doing work according to his talk he does his work by the
commitment and see whether the given work done by their employees or not and done his best to
remove all the obstacle occur during the stage. In addition, he must have good leadership
qualities and good sense of humour with great self-confidence and positive attitude towards his
work. They must have creative mind which help to develop new innovation and they must
possess good skills and ability. Moreover, they must be aware of new technologies too in order
to serve them in their work. They should be highly energetic and possess good motivating power
which helps to take the business in further level of achievement as they do not have any ego on
their work and should be pretty high in their commitments too. Overall, passion, resourceful and

willing to do any kind of work, strong determination and dedication helps to make a successful
entrepreneur.
P6. Different personality aspects which help in entrepreneurial motivation and it shaped in
family upbringing and lifestyle:
For gaining and shaped by family bringing and change in lifestyle will help to became a
successful entrepreneur there are so many different aspects for an successful entrepreneur which
are as follows:
For shaping by family upbringing and lifestyle an entrepreneur must have discipline as
he eliminates all the hindrances and obstacles which incurred during the process. He must have
self-confidence and self-motivating power to achieve the target and fulfil all the needs to run the
business in longer way. They are proactive to change the lifestyle and they do not need any
permission to run the business (Borissenko, and Boschma,2017) . As a good and successful
entrepreneur, he has to know the competition world that what is beneficial and what is fruitful
for their business as they highlight the success point of the business and help to solve all the
hindrances caused by any other business. Another plus point or trait comes is passion which is
considered as the most important trait, they take or put extra efforts to complete their task in
given time and as a successful entrepreneur he always be reading and researching in different
topics. As this help in motivation and mindset of an entrepreneur.
Bill Gates also uses his own mind-set to establish himself in the whole world and known
as one of the biggest entrepreneur and he has all the qualities which affect the business
environment. He consider himself the biggest successful and result oriented person and he hired
lot of different professionals under him to rewrote all the used codes of the company As he is co-
founder of the company Moreover, he considers himself as quite daring person as he is not
afraid of taking risk in the business. He is a smart worker as well which reflects from his
personality as he is not believing in show off and he work till last moment which reflect that he
has a dedication towards his work. He always believes in creating new ideas and tries to execute
them in practical knowledge. He spend lot in the monetary form whenever he feel that a person
is needy then he spend a lot of money just to feel them good
P7. A person's background and past experience hinder and fostering entrepreneurship
For becoming a good entrepreneur one has to face many problems in their past and if he
give up then he will not became a good entrepreneur. One of the latest example is Bill Gates, he

learn so many things in his past experience' and then learn from those mistake and now consider
biggest and top entrepreneur in 21st century. No one say when you are born what you became in
future similarly happen with him also. No one can say that he became a good leader as well as
best entrepreneur but he did.
As there are many factors which affect to be bold and take those actions which help in
future and to learn from those past experience is the example of becoming a good man. In this,
education plays a vital role . Bill Gates also is not good in his academic performance as he was
not attending proper classes but his mind is so sharp and once if he learn anything he remember
it throughout his life (Borissenko, and Boschma, 2017). As education plays vital role in success
of the person, if a person is doing many masters degree then he is well known about the subject
which help to take good decisions and creates many experiments too.
Another factor consider is economic circumstances, which is the biggest factor. If the
person does not have enough money for study then no one can help to make them learn as
economic condition is the foremost example of every deeds. If the person has good economic
condition then he is willing to do any kind of job. Same happened with Bill Gates also as he also
had no money to go school and his father was also not able to do more studies but he was not
take his leg behind. He done everything and by his creative mind he became so popular and now
consider biggest entrepreneurs. For becoming a good entrepreneur he have all the good qualities
such as good team spirit, good leadership qualities and he work tirelessly which is the best thing
for becoming a good entrepreneur . Always looking forward and do his work constantly, creates
always innovative ideas to become more innovative. He always help others and learned from his
past experience that for became a good man, must follow and learn from past and do not repeat
all the past mistake in future.
CONCLUSION
From the above report, it is concluded that for became a good entrepreneur must have to
learn from past experience and should posses the best quality for became a successful
entrepreneur and also shows how economic factor creates positive and negative environment for
the person. This report also focus light on different types of sector and how they help in growth
of economy and development. As the report also shows different types of venture which help in
socially and economically to the business. At last it concluded that an entrepreneur motivate and
leads the team to the right path and takes a good decision with taking risk in different paths.

Above report shows the impact of micro and small business help in international business's
economy. This report also link many best entrepreneur past background and how they overcome
from their past experience and learn to became good leader and then became a good and
successful entrepreneur too.

REFERENCES
Books and Journals
Bhachu, P. ed., 2017. Immigration and entrepreneurship: culture, capital, and ethnic networks.
Routledge.
Borissenko, J. and Boschma, R., 2017. A critical review of entrepreneurial ecosystems research:
towards a future research agenda (No. 2017/3). Lund University, CIRCLE-Center for
Innovation, Research and Competences in the Learning Economy.
Brenkert, G. G., 2017. Entrepreneurship, ethics, and the good society. In Entrepreneurship (pp.
85-128). Routledge.
Kuratko, D. F., 2016. Entrepreneurship: Theory, process, and practice. Cengage Learning.
Lipset, S. M., 2018. Values, education, and entrepreneurship. In Promise of Development (pp.
39-75). Routledge.
Meyer, G. D., Neck, H. M. and Meeks, M. D., 2017. The entrepreneurship‐strategic
management interface. Strategic entrepreneurship: Creating a new mindset. pp.17-44.
Parker, S. C., 2018. The economics of entrepreneurship. Cambridge University Press.
Reuber, A. R., Knight, G. A., Liesch, P. W. and Zhou, L., 2018. International entrepreneurship:
The pursuit of entrepreneurial opportunities across national borders.
Xing, Y., Liu, Y. and Cooper, S.C.L., 2018. Local Government as Institutional Entrepreneur:
Public–Private Collaborative Partnerships in Fostering Regional Entrepreneurship. British
Journal of Management.
Online
Around the World of Entrepreneurial Ventures. 2018. Available through:
<https://hbswk.hbs.edu/item/around-the-world-of-entrepreneurial-ventures>.
Entrepreneur. 2018. Available
through:<https://novascotiaimmigration.com/move-here/entrepreneur/>.

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