Entrepreneurship & Small Business Management

This study material from Desklib covers topics such as different types of entrepreneurial ventures, their impact on the economy, and the characteristics of successful entrepreneurs. It provides insights into the typology of entrepreneurship, the importance of small businesses and startups for the social economy, and the skills and traits required for entrepreneurial success. The material also includes examples of successful entrepreneurs and their ventures.

Unit title: Entrepreneurship & Small Business
Management

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................4
LO1..................................................................................................................................................4
P1 Different types of entrepreneurial ventures and the way they are related to Typology.........4
LO2..................................................................................................................................................7
P3 Impact of micro and small-business on the economy.............................................................7
P4 Importance of small business and Business start-up to growth of social economy................8
LO3..................................................................................................................................................9
P5 Characteristic, traits and skills of successful entrepreneurs...................................................9
P6 Entrepreneurial personality represent mindset and motivation of entrepreneur.....................9
LO4................................................................................................................................................10
P7 Covered in PPT.........................................................................................................................10
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16

INTRODUCTION
Every large company start from small business that is run operated and owned by an
entrepreneur so management of entrepreneurship and small business is necessary for growth and
success of business in the industry. This report explains about different types of entrepreneurial
ventures and the way they are related to typology of entrepreneurship. Similarities and difference
between entrepreneurial venture to understand entrepreneurship in both public and corporate
sector. It also importance and impacts of small-business and business start up to growth of social
economy. The report also explains characteristic, traits and skills of successful entrepreneur that
differentiate it from manager of business. It also describes about various aspects of
entrepreneurial personality that reflect entrepreneurial motivation and mindset. At last, it
presents background and experience of entrepreneur that can hinder or foster entrepreneurship.
LO1
P1 Different types of entrepreneurial ventures and the way they are related to Typology
Enterprise is institution that start its operations for earning profit by offering products
and services to people living in the society. Entrepreneur is the person or individual who planed
to start and run business with some capital and resource to bear all risk and rewards associated
with company (M'zungu, Merrilees, and Miller,2019). Entrepreneur is the person mindset that
bring innovation and creative ideas for launching new products and services and
entrepreneurship is mindset of individual to take estimated risk with confidence to achieve
predetermine objectives. There are different types of entrepreneur venture or entrepreneurship
such as social, growth and lifestyle entrepreneurship that are explained below:
Social entrepreneurship: Such companies are developed and run to provide solution of social,
cultural and environment issues thus business is run for social cause. It improves living standard
of people by providing services and product at reasonable rates to people living in the society
(Christensen and et.al., 2020). Thus, it raised its fund through member of company and operates
it business on small scale to provide benefits to people thus its motive is not to earn profit. For
example: Action for business limited company provide support to community by providing help
in finance related information company and is established to promote economic development and
social upliftment.
Private company: These are such enterprise that objectives is to grow and expand its
profitability and market share by providing qualitative products and services to customer. They

use innovative technology and bring creative ideas to gain competitive advantages in the
industry. High tech, high growth and lifestyles entrepreneurship come under private companies
as they main purpose is to maximize profit by continuous innovation and expansion of business.
For examples: ASDA is a private company that operates its business in UK and is established to
maximise its profit and market share by offering products and services at reasonable rates.
Public Entrepreneurship: These companies raise its from public by trading its share in open
market or through stock exchange thus owned by public and operates its function to provide
benefits to society. It is not similar to social enterprise as it is not intended to earn profit for
owners or members of company. It provides ranges of government services such as public
transport, education, healthcare and military for protection and safety of people. It has limited
market share and profit margin in the market. For example: Marks and Spencer is a public
company that is specialized in clothing, food and home products operates it business across
nation.
Typology of Entrepreneurship
Serial entrepreneur: Person that bring continuous new ideas and innovation to start business
thus it does not use same idea to start a business (Belenzon, Chatterji and Daley, 2017). High
tech and lifestyles firms are started by such entrepreneur as they need to be innovative and
creative in order to gain competitive advantages in the market.
Social entrepreneur: The owner established company for addressing social and environmental
issue thus it runs enterprise with an aim to provide various benefits to society (Croce and
Ughetto, 2019). Social enterprise are run by such people to provide benefits to society and
member of company for the profit earned.
Female entrepreneur: Such company are owned, operated and managed by women to earn
profit by offering products and services to customers. Female entrepreneurship has steady
increased in United kingdom during 20 and 21 centuries. Small-business and private firms are
run and operated by such women in order to earn living or to increase their wealth from profit
earned.
Male entrepreneur: It includes that firms that is operated and owned by male entrepreneur as
they have ability to take more financial risk as compared to females. Peter Jones is one of the
well know business Tycoon that provides various products and services to customers and have its
business in industry such as television, travel and real estate.

P2 Similarities and difference between Entrepreneurial ventures
Similarities between lifestyles and serial entrepreneur
Lifestyles entrepreneurship are those that is established by owner to live a luxurious live
by maximizing its profit. On the other-hand serial entrepreneur is person that bring continuous
innovative ideas.
Strong- willed Entrepreneur: These entrepreneurs have strong willed and determination to start
and run business by bearing all its associated risk and rewards (Smith, 2017 ). Both Lifestyles
and serial entrepreneur have strong will and are confident to run business by bringing continuous
innovation and creative ideas in the company to gain competitive advantages in the industry.
Creating a brand image: Most of the company operates its business to build strong brand
image as it helps in increasing sales and market share of company. Lifestyles and serial
entrepreneur focus is to create strong brand image by providing innovative and qualitative
products and services to customers.
Similarities between Female and male entrepreneur
Highly motivated: Both female and male entrepreneur are highly motivated and determined to
start business and earn profit by satisfying needs of customers. They put lot of effort and time for
success and growth of an enterprise in the industry (Leppänen, McKenny and Short, 2019). For
example: Kim Antoniou started Kafoodle to provide delicious food she was motivated and
excited to start business as he likes to make food. On the other-hand Sir Charles Blyth was
highly motivated to start Challenges business as he was interested in sailing and was first person
to sail non-stops.
Difference between lifestyles and serial entrepreneur
Long term growth: Lifestyles entrepreneur focus is to grow and expand business for long term
whereas serial entrepreneur jump from one business to another by bring new ideas and
innovation thus not start business for long term. Tim Ferriss is a lifestyle entrepreneur that
started business of sport nutrition to enjoy his lifestyles by maximising profit (Belenzon,
Chatterji and Daley, 2017). Now, Tim Feriss is an advisor for 20 companies including Facebook
and twitter. On the other-hand George Karibian is serial entrepreneur who founded two
companies Telecom and Eurooffice then venture into Paymentsense, Judo pay and capital on
Tap.
Difference between Female and male entrepreneur

Age: Mostly women start there business in mid of first or second career whereas male start
business in its initial stage of education. It can be explained through Facebook and gateway
examples as Gateway was started by Ted Waitt in early twenties on the other hand Facebook was
started by Marks Zukerburg when he was in college.
Raising of fund: Female doesn't easily get investor as most people think that women has less
experience and knowledge of business (Manesh and Rialp-Criado, 2019). Thus, it would not able
to run business properly and repay investment. On the other-hand investor are willing to
investment money in business whose owner is male as they think it has more knowledge and
experience. For example: Waitt has to use its personal saving to start and operate business
whereas Marks Zukerburg is able to raise fund through angel investors.
LO2
P3 Impact of micro and small-business on the economy
Micro business: Business that have less than 10 employees and turnover valued 250000 per year
and is sub category of small-business established to grow and expand its business in the future
(Granz, Henn and Lutz, 2020). Small cafe, bakery are examples of micro business that are
started by owner for earning living for himself and his family thus it has limited capital,
resources and operates at small scale.
Small-business: Enterprise that have less than 50 employees owned and operated by single
individual, proprietorship having limited capital, resource and market share depending upon
industry. Such as small grocery store, restaurants, guest house are some examples of small scale
business that have started their business with limited capital.
Elaborate more on Micro and Small business section.
Medium sized enterprise: It is a business that employees large number of people and brings
competition and innovation in the economic. It has annual turnover below €50 million or balance
sheet below €43 million thus employees less than 250 employees.
SMEs helps in economic development of UK as it account for 99% of all UK firms and
has contributed to 60% of employment in private sector. It is important as bring productivity
growth and innovation in UK and create 1.9 million jobs in 2015. As per SBA estimate small-
business employees 30.2 million out of 58.9 million workers. Turnover of small-medium scale

business is around £2.0 trillion and 99% of business is run by small and medium enterprise thus
help in growth and sustainability of economy (Bionic’s guides to business essentials. 2019.).
Nature and characteristic of partnership, sole proprietor and private:
Partnership: Companies that are owned and operated by number of people or more than two
people with an agreement between them to bear all losses and profit of the company in specific
proportion (Hui and Gerber, 2017). It is owned by number of people, have unlimited liability,
share profit as per mutual agreement and voluntary registration are characteristic of partnership.
Sole proprietary: It in an individual plans to start and run enterprise by using its personal saving
or borrowing money from friend and family to earn living by earning profit. Individual is solely
responsible for all losses of business and enjoy rewards of company (Burt, 2019). Thus, person
only take all crucial decision of company and have small market share and profit margin.
Private: Whereas enterprise that are owned and operated by private individual in partnership or
cooperation with another to maximize its profitability by providing qualitative services to people.
Such as ASDA is large private company that is operating its business across UK to provide
qualitative products and services at reasonable rates. Thus, has maximized market share and
profitability with large number of employees for achievement of organisational goals.
P4 Importance of small business and Business start-up to growth of social economy
Small-business have limited capital and resource that are established to earn profit for
better living in the society. Whereas start-up business are small version of large companies that is
temporary established to know various way business can significant impact on current market.
Brexit is a withdrawal of United kingdom from European Union which impact on import and
export of small and start-up business as UK was leading partner in trade with EU.
It was found that SME was compelled by UK department for energy, business and
industrial strategy in 2016. 25% of them think Brexit as obstacle in success of small and
medium enterprise while 1.25 m business think it had lead to increase in business to 16% (More
than a million UK small businesses see Brexit as major obstacle to success. 2019 ). As per 57%
of Scottish SMEs Brexit will be negative impact on business.
The SME that were internationally oriented such as tech firms have been affected
adversely as export has reduces. Uncertainty about future regulation and access and increased
import cost are also threat from SME. Thus, two third SME had cancelled plan for capital

investment and less focused to increased export sales. Thus, Brexit posses opportunities and
threats for small and start-up business.
LO3
P5 Characteristic, traits and skills of successful entrepreneurs
There are various characteristic, traits and skills such as passion, determination,
motivation ability to take risk, creativity and competitiveness that are required for successful
entrepreneur to operates its business successfully in the industry. It can be explained through
following examples of various entrepreneur:
Before you support the section with examples, give a brief explanation of the characteristics,
trains and skills needed to be a successful entrepreneurs.
Andrew Disprose: He is CEO of Ubiqutek whose brand name is Rootwade that is use electricity
to kill weeds thus offering sustainable and scalable alternative to chemical herbicides. He was
innovative and creative it developed technology that can reduce carbon emission, soil erosion
and spread of diseases and water consumption (Breazeale and Hustedde, 2017). Highly motivate
and passionate allows him to expands and grow it business across nation by providing innovative
products to people. Determination, commitment and competitiveness spirit promote its business
to gain competitive advantages by facing various challenges and risk.
Chay Blyth: He established challenges business that organize world toughest Yacht races thus
breaking down barriers to adventures sport. He was highly motivated, passionate and ability to
take risk as he was first person to sail non-stop around the world that motivate and influences
him to start a business by taking risk (Hoppe, 2016). Self starter characteristic of it helps in
gaining competitive advantages in the market. Confidence and open-minded helps in identifying
opportunities to start a business whereas confidence helps him to stay positive for growth and
survive of business.
P6 Entrepreneurial personality represent mindset and motivation of entrepreneur
Entrepreneur personality such as self-discipline, passionate and effective management of
time and people represent mindset and motivation level. If a person is self-discipline and perform
its work on time than it represent that it will be motivated to work hard for achievement of
objective on time. It states its mindset that it give importance to time and want every work to be
done within time limits (Elo and et.al., 2018). Individual is strong and determined it encouraged
or motivate him to take risk and mindset to start business by bearing all risk and reward

associated with it. On the other-hand if individual is passionate and have certain skill related to
business than it can motivate it to meet challenges and to remain positive (Westhead and
Solesvik, 2016). Thus, it has positive mindset towards business and interested in growth and
success of company. Therefore, it can be said that entrepreneur personality represent motivation
and mindset of person.
You need to elaborate more in P6. Give some examples like you have used for P5.
LO4
P7 Covered in PPT

CONCLUSION
From the above report it can be explained that entrepreneur needs various characteristic,
traits and skill for success of enterprise. This skill and knowledge are sometimes born and
sometimes they are learned and developed from personal experience of individual. Various types
of entrepreneurial venture are there such as social enterprise, public and private company that are
owned and operated by social entrepreneur, serial and female entrepreneur. Small medium
business promote economic development by generating large number of employment and
turnover. It can also be concluded from above report entrepreneur personality represent
motivation level and mindset of entrepreneur. Thus, it concluded that successful entrepreneur
help in growth and survival of business in the industry.

REFERENCES
The list of reference should be one list on alphabetic order. You do not need to separate Books,
Journal and Online.
Books and Journals
Belenzon, S., Chatterji, A. K. and Daley, B., 2017. Eponymous entrepreneurs. American
Economic Review. 107(6). pp.1638-55.
Breazeale, N. D. and Hustedde, R. J., 2017. Understanding the impact of culture in
entrepreneurship. Toward entrepreneurial community development: Leaping cultural and
leadership boundaries. pp.104-125.
Burt, R. S., 2019. The networks and success of female entrepreneurs in China. Social Networks.
58. pp.37-49.
Christensen, L. J. And et.al., 2020. Separate but not equal: Toward a nomological net for
migrants and migrant entrepreneurship. Journal of International Business Policy. 3(1).
pp.1-22.
Croce, A. and Ughetto, E., 2019. The role of venture quality and investor reputation in the
switching phenomenon to different types of venture capitalists. Journal of Industrial and
Business Economics. 46(2). pp.191-227.
Elo, M. And et.al., 2018. Advancing the views on migrant and diaspora entrepreneurs in
international entrepreneurship. Journal of International Entrepreneurship. 16(2).
pp.119-133.
Granz, C., Henn, M. and Lutz, E., 2020. Research on Venture Capitalists’ and Business Angels’
Investment Criteria: A Systematic Literature Review. In Contemporary Developments in
Entrepreneurial Finance.(pp. 105-136). Springer, Cham.
Hoppe, M., 2016. Policy and entrepreneurship education. Small Business Economics. 46(1).
pp.13-29.
Hui, J. S. and Gerber, E. M., 2017, February. Developing makerspaces as sites of
entrepreneurship. In Proceedings of the 2017 ACM Conference on Computer Supported
Cooperative Work and Social Computing. (pp. 2023-2038).
Leppänen, P. T., McKenny, A. F. and Short, J. C., 2019. Qualitative comparative analysis in
entrepreneurship: Exploring the approach and noting opportunities for the
future. Standing on the shoulders of giants: Traditions and innovations in research
methodology, pp.155-177.
M'zungu, S., Merrilees, B. and Miller, D., 2019. Strategic and operational perspectives of SME
brand management: A typology. Journal of Small Business Management. 57(3). pp.943-
965.
Manesh, S. M. Z. E. and Rialp-Criado, A., 2019. International ecopreneurs: The case of eco-
entrepreneurial new ventures in the renewable energy industry. Journal of International
Entrepreneurship. 17(1). pp.103-126.
Smith, R., 2017. Documenting entrepreneurial opportunism in action. British Food Journal.

Westhead, P. and Solesvik, M. Z., 2016. Entrepreneurship education and entrepreneurial
intention: Do female students benefit?. International Small Business Journal. 34(8).
pp.979-1003.
Online
Bionic’s guides to business essentials. 2019. [Online]. Available through :
<https://bionic.co.uk/business-essentials/guides/the-role-of-small-businesses-in-the-UK-
economy/>.
Brown M., How Important Are Small Businesses to Local Economies?. 2018. [Online].
Available through : <https://smallbusiness.chron.com/important-small-businesses-local-
economies-5251.html>.
More than a million UK small businesses see Brexit as major obstacle to success. 2019.
[Online]. Available through : <https://theconversation.com/more-than-a-million-uk-
small-businesses-see-brexit-as-major-obstacle-to-success-114518>.

1

2