Entrepreneurship and Small Businesses: Types, Similarities, Differences, and Impact on Social Economy

This report discusses the different types of entrepreneurial ventures, their similarities and differences, and their impact on the social economy. It also explores the characteristics, traits, and skills of successful entrepreneurs and how their background and experience can hinder or foster entrepreneurship.

Unit 9- Entrepreneurship and small
businesses (Part 2)

Table of contents
• Introduction
• Different types of entrepreneurial ventures
• Similarities
• Differences
• Interpretation of data and statistics
• Impact of small business on social economy
• Characteristics, traits and skills of entrepreneur
• How entrepreneurial motivation reflects personality
• Background and experience of entrepreneurs
• Conclusion
• References

Introduction
Entrepreneurship refers to the
activity of an entrepreneur for
setting a business in order to gain
various advantages. When an
enterprise pursues new practices
and opportunities in order to
enhance their profitability and
growth is describes an
entrepreneurial venture.

Analyzing different types of ventures
Entrepreneurial ventures are type of business which is distinguish in
different categories according to their nature. There are different
types of entrepreneurs and they create business are also different. The
basic different kind of entrepreneurial ventures are described below:
• Small business entrepreneurship
• Scalable start-up
• Large company
• Social entrepreneurship
Different type of entrepreneurial typologies
• Lifestyle entrepreneurship
• Growth entrepreneurship

Similarities between different
entrepreneurial ventures
Different entrepreneurial ventures has different natures in order to
conduct their business in effective manner but they have some
similarities that makes them to considered for conducting their
business in effective manner. Some similarities in between
different entrepreneurial ventures are mentioned below:
• In all type of ventures, their entrepreneurs main purpose is to
conduct their business effectively in order to survive for long
time in the market.

Differences between different
entrepreneurial ventures
Basis Small business entrepreneurship Large company entrepreneurship Scalable Start-ups Social entrepreneurship
Focus The focus of small businesses
entrepreneurs to meet the demand
of the consumer and achieve their
goals.
The main focus of the large
business entrepreneurs is to
increase their market share and
gain competitive advantages.
The focus of scalable start-
ups entrepreneurs is to
change the lifestyles of
people with their unique
ideas.
The main focus of social
entrepreneurs is to help the
society and environment in
effective manner.
Challenges The basic challenges faced by the
small entrepreneurship are lack of
capital, lack of knowledge about
market and more competitors.
The challenge faced by large
business are increase in
globalisation, increase in
pandemic situations.
The challenges faced by the
scalable start ups are fear of
expecting their new ideas by
the customers, lack proper
technology and labours.
The challenges in social
entrepreneurship are increase in
pandemic situation, proper
funding and hazardous
environmental situations in
country.

Interpreting and assessing the relevant data
and statistics
SMEs has a great impacts on
the growth of the economy as
they create more employment
and help country to develop
effectively. It also helps in
serving the equal distribution,
effective production, increase
in export and employment
creation in order to improve
the economic growth of the
country in effective manner.

Importance of small businesses and new
start-ups to the social economy
Social economy refers to the set of different foundations, mutual
organisation, associations and cooperatives that conduct their business
within a specific values and social purpose in effective manner
Following are the importance of small businesses and new start ups
that helps in increasing the growth of social economy are mentioned
below:
• Respond and adapt changes quickly
• Generate employment opportunities
• Generate competitions and encourage further innovations
• Evaluating the differences of small, medium and large
businesses make to the economy

Characteristic, traits and skills of successful
entrepreneurs (Continued)
The various characteristics, traits
and skills of successful
entrepreneurs are mentioned
below:
Decision making
Dynamic personality
Problem solving

Entrepreneurial aspects personality reflect
entrepreneurial motivation
The entrepreneurial personality is combination of several aspects
and traits which makes a leader more competitive at the
marketplace. It is crucial role of an entrepreneur to develop a
dynamic and vivid personality to influence majority of
employees in the company. Collective and collaborating working
is also supported with the help and support of entrepreneurial
personality. The mindset and motivation of different employees
are also affected with help and support of psychological
conditions

Background and experience can hinder or
foster entrepreneurship
Experience and background of entrepreneurs has a great impacts
on their passion of starting or running a business that foster and
hinder the entrepreneurship in effective manner. It also helps
entrepreneurs to achieve their goals in effective manner. Example
of local, social and global entrepreneurs with their background and
experience that hinder and foster the entrepreneurship are
mentioned below:
Local entrepreneurs- CafePod Coffee Co
Global business- Tesco
Social entrepreneurs- Active Prospects

Conclusion
From the following presentation, it is concluded that
entrepreneurial mindset describes the ability of a person that
makes them effective in order to operate their business in more
effectual manner. Decision making, Dynamic personality, Problem
solving, Leadership, Patience, Creativity and Adaptability are
some traits and skills of an entrepreneurs that makes them
effective in order to operate their business in more effectual
manner.

References
• Bhawe, N. and Zahra, S.A., 2019. Inducing heterogeneity in local
entrepreneurial ecosystems: The role of MNEs. Small Business
Economics, 52(2), pp.437-454.
• Morris, M.H. and Kuratko, D.F., 2020. The entrepreneurial journey:
intention versus emergence. In What do Entrepreneurs Create?. Edward
Elgar Publishing.
• Morris, M.H. and Kuratko, D.F., 2020. What do entrepreneurs create?:
Understanding four types of ventures. Edward Elgar Publishing.
• Murnieks, C.Y., Klotz, A.C. and Shepherd, D.A., 2020. Entrepreneurial
motivation: A review of the literature and an agenda for future
research. Journal of Organizational Behavior, 41(2), pp.115-143.

Thank You