Entrepreneurship: Types, Impact on Economy, Characteristics of Successful Entrepreneurs

This document provides an introduction to entrepreneurship and its importance in business. It discusses the types of entrepreneurial ventures, their impact on the economy, and the characteristics and skills of successful entrepreneurs. The document also explores the similarities and differences between different types of entrepreneurial ventures. It is a valuable resource for anyone interested in understanding the world of entrepreneurship.

ENTREPRENEURSHIP

Content
INTRODUCTION.......................................................................................................................................3
LO 1............................................................................................................................................................3
P1 Types of entrepreneurial ventures......................................................................................................3
P2 Similarities and differences between entrepreneurial ventures...........................................................5
LO 2............................................................................................................................................................6
P3 Micro and small businesses impact on the economy..........................................................................6
P4 Important small businesses and business start –ups............................................................................7
LO 3............................................................................................................................................................9
P5 Characteristics, traits and skills of successful entrepreneurs...............................................................9
P6 The entrepreneurial personality reflect entrepreneurial motivation and mind-set.............................11
LO 4..........................................................................................................................................................12
P7 Background and experience can hinder or foster entrepreneurship...................................................12
CONCLUSION.........................................................................................................................................13
REFERENCES..........................................................................................................................................14

INTRODUCTION
Entrepreneurship is also known as Business person who start their business by his own.
Business person implies a man who needs to begin his business by their own. He is the
individual who deals with his business and a daring individual. Entrepreneurship brings
imaginative thoughts for his business and makes something other than what's expected. Each
individual have their own particular perspectives with respect to Entrepreneurship. It implies a
man make new thought for advancement of his business and makes benefits. A business
visionary must be roused and certain with the goal that he does his business successfully and
effectively. Business person is those individuals who create new items by advancement and
imagination and go for broke. A business visionary must be enthusiastic and he will likewise
offer guidance to other individuals and rouse them. There are many sorts of wander and sorts of
the business (Webb, Ireland and Ketchen, 2014). The reason for this report is to distinguish the
parts of little; smaller scale and medium enterprises and they additionally influence the economy
development. There are different sorts of culture and motivational instrument which likewise can
influence the business person. In financial matters, business enterprise consolidated with land,
work, characteristic assets and capital can create benefit. Entrepreneurial soul is described by
development and hazard taking, and is a basic piece of a country's capacity to prevail in a
regularly changing and progressively focused worldwide commercial center.
LO 1
P1 Types of entrepreneurial ventures
Entrepreneur is a person who takes risk and produce new products by innovation and new
creation. He is the person with full determination and also self – motivated. He is an innovative
thinker who generates new idea for his business. There are various types of venture of
entrepreneurship which are described as below:
Small business entrepreneurship: Today, the mind-boggling number of business people
and new companies in the United States are still private ventures. There are about 5 million
independent ventures in the U.S. They make up approximately 99% of all organizations and
utilize half of all non-legislative laborers. Private ventures are supermarkets, beauticians,

specialists, travel operators, web business customer facing facades, woodworkers, handymen,
circuit testers, and so forth (Seelos and et. al., 2011). They are any individual who runs his/her
own business. They enlist nearby representatives or family. Most are scarcely gainful. Their
meaning of accomplishment is to encourage the family and make a benefit, not to assume control
over an industry or fabricate a $100 million business. As they can't give the scale to draw in
investment, they support their organizations by means of companions/family or private venture
credits.
Large company entrepreneurship: Vast organizations have limited life cycles. Most
become through maintaining advancement, offering new items that is variations around their
center items. Changes in client tastes, new innovations, enactment, new contenders, and so forth
can make weight for more troublesome advancement – requiring vast organizations to make
completely new items sold into new clients in new markets. Existing organizations do this by
either getting inventive organizations or endeavoring to manufacture a troublesome item inside.
Amusingly, substantial organization size and culture make troublesome advancement amazingly
hard to execute.
Typology of entrepreneurship:
Serial entrepreneurship: A business person who persistently thinks of new thoughts and
begins new organizations. Rather than a common business visionary, who will frequently think
of a thought, begin the organization, and after that see it through and assume an imperative part
in the everyday working of the new organization, a serial business person will regularly concoct
the thought and kick things off, however then offer obligation to another person and proceed
onward to another thought and another wander (Venkataraman and et. al., 2012). This can be
something to be thankful for if the individual has heaps of interesting thoughts and is the best
one suited to kick every erratic, except can be a terrible thing if the individual quits investing
energy into an organization that needs his or her assistance, to attempt to push ahead with
another thought that might possibly succeed.
Social entrepreneurship: Social enterprise includes utilizing the aptitudes and systems
of business to creatively and reasonably comprehend social, ecological, and monetary issues.
The endeavors made by social business people can be non-benefit, for-benefit, or an inventive

cross breed of the two. What recognizes social business visionaries is their unwavering devotion
to accomplishing their "main goal" (as opposed to measuring their prosperity by their budgetary
primary concern). They are attempting to make positive social change, encouraging monetary
and social equity, and guaranteeing human rights in our neighborhood group and over the world.
This includes a pledge to supportability by diminishing their waste/ecological effect and
improving the personal satisfaction in their group – while giving a remarkable item or
administration to their clients (Rasmussen, 2011).
P2 Similarities and differences between entrepreneurial ventures.
There are many sorts of business visionary wander on the planet. Small business
entrepreneurship and large company entrepreneurship are most imperative from all them. Yet,
there are numerous distinctions and similitudes between them. Contrasts make them unique in
relation to each other; there are some essential contrasts which are specified as beneath:
Basis Small business
entrepreneurship
Large company
entrepreneurship
Business Size In this there are not more than
nine individuals who worked
for small ventures.
In this there are not more than
two hundred fifty individuals
who worked for large
organizations.
Innovation This type of entrepreneurship
needs more innovation in their
business compare to large
business entrepreneurship
(Jones, and Matlay, 2011).
This type of entrepreneurship
needs less innovation in their
business activities comparison
to small business
entrepreneurship.
Financing In small ventures there is less
need of fund for their
exercises of the business.
In large organizations there is
more need of back which is
vital for their business
exercises.
There are likewise a few similitudes between small business entrepreneurship and large
company entrepreneurship which are depicted as takes after:

 Both kinds of enterprise need advancement and imagination in their organizations
which can help them to make due in the focused world.
 Both sorts of enterprise help to diminish the unemployment in the country.
 Both type of entrepreneurship provide growth and development to the economy.
 Both kinds of entrepreneurship create competitiveness in the marketplace
(Sommer and Haug, 2011).
LO 2
P3 Micro and small businesses impact on the economy.
Micro and small businesses are very important for the growth of an economy. It helps to
provide job opportunities to the people of the country so that poverty line can be reduce. There
are various essential points which are described as below helps to understand about the micro
and small businesses impact on the economy:
Economic growth: Not every single private company stay independent ventures. For
instance, corporate realms, for example, Wal-Mart, Burt's Bees, and Ben and Jerry's altogether
started as "mother and-pop" organizations. Presently they are imposing players inside the
national and even worldwide market. Private companies that become famous have a tendency to
set up themselves close to their neighborhood group, proceeding to bolster monetary success.
Mapping the future: One of the significant ways that small businesses add to nearby
economies is by inciting development and development. They tend to harbor the entrepreneurial
soul by pulling in people who create new items or have thoughts on the best way to enhance
prior items. This can be seen inside the PC and tech enterprises, particularly (Ormiston and
Seymour, 2011). Numerous tech mammoths actually became out of carports, including
Microsoft.
Giving back: For the most part, Americans see private companies as positive impacts on
the group and in addition the nation. At the point when buyers visit independent ventures, they
are offering back to their neighborhood groups. Effective nearby businesses bolster the group by
paying charges, including neighborhood charges. These duties, thusly, bolster schools and
nearby government workplaces, and police and fire divisions.

Smaller businesses normally have the capacity to adjust to changing atmospheres at a
considerably snappier pace because of their abnormal state of client introduction. Thusly, it is
likely that clients will keep on supporting nearby businesses, notwithstanding amid times of
monetary anxiety. Along these lines, numerous private ventures can stay above water amid
monetary emergencies, proceeding to bolster nearby groups.
P4 Important small businesses and business start –ups
Small business and business start – ups are very essential for any country like UK. It
provides growth and development to the economy so that they can reduce the poverty line
(Morris, Webb and Franklin, 2011). There are various types of importance of small businesses
and business start – ups which are discussed as below:
Contribution: An independent venture is characterized as a business (organization,
constrained risk organization or proprietorship) with 500 representatives or less. As indicated by
the U.S. Independent company Administration (SBA), private ventures speak to approximately
99 percent of all business firms. Since 1995, independent ventures have produced 64 percent of
new occupations, and paid 44 percent of the aggregate United States private finance, as per the
SBA.
Economic growth: Private ventures add to nearby economies by conveying development
and advancement to the group in which the business is built up. Independent companies likewise
help animate financial development by giving business chances to individuals who may not be
employable by bigger organizations (Acs, Boardman and McNeely, 2013). Private ventures have
a tendency to draw in ability who imagine new items or execute new answers for existing
thoughts. Bigger organizations additionally regularly advantage from private companies inside a
similar nearby group, the same number of huge enterprises rely on upon independent ventures
for the finish of different business works through outsourcing.
Adaptability to changing climates: Numerous independent companies additionally have
the capacity to react and adjust rapidly to changing monetary atmospheres. This is because of the
way that independent ventures are regularly extremely client arranged. Numerous nearby clients
will stay faithful to their most loved private ventures amidst a monetary emergency. This
faithfulness implies that independent ventures are frequently ready to remain above water amid

extreme circumstances, which can additionally reinforce neighborhood economies. Private
ventures likewise gather less income than bigger companies, which means they may have less to
lose in times of financial emergency (Karataş-Özkan, 2011).
Future growth: Independent companies don't generally remain little. Expansive
partnerships, for example, Nike and Ben and Jerry's, began off as private companies that
developed to wind up plainly real players in the national and universal commercial center.
Numerous PC industry pioneers started as "tinkerers," taking a shot within reach collected
machines out of their carports. Microsoft is a prime case of how an independent venture thought
can change the world. Independent ventures that develop into extensive organizations regularly
stay in the group in which the business was first settled. Having an expansive partnership
headquartered in a group can additionally help give work and invigorate the neighborhood
economy.
Competitiveness: Small businesses and start – ups help to make the UK more focused
and appealing to guests and speculators. They change up towns and urban areas, while assuming
an essential part in serving the groups in which they are based. Not exclusively do they increase
the value of territorial zones, they likewise help to lift rivalry in nearby markets. As rivalry
increments, there is turnover in the market whereby the minimum gainful firms don't survive and
the most beneficial organizations extend, bringing about a lift to total profitability (Anderson,
Drakopoulou Dodd and Jack, 2012).
Creativity and innovation: Such organizations are better ready to pull in and prepare
new ability to create inventive items that are better focused towards the requirements of their
nearby groups. They are in an interesting position to put additional time and care into actualizing
new arrangements and enhancing existing thoughts. They hence have an extraordinary
arrangement to contribute as far as imagination.

LO 3
P5 Characteristics, traits and skills of successful entrepreneurs
Every entrepreneur has their own skills and knowledge. They also have some
special qualities that make them different from others. There are many qualities of an
entrepreneur that makes them successful. These are mentioned as below:
Disciplined: These people are centered around making their organizations work, and
wipe out any impediments or diversions to their objectives. They have larger methodologies and
layout the strategies to finish them. Fruitful entrepreneurs are taught enough to make strides each
day toward the accomplishment of their destinations (Korsgaard, 2011).
Confidence: The entrepreneur does not make inquiries about whether they can succeed
or whether they are deserving of progress. They are sure with the information that they will make
their organizations succeed. They ooze that trust in all that they do.
Open – minded: Business visionaries understand that each occasion and circumstance is
a business opportunity. Thoughts are continually being produced about work processes and
proficiency, relationship building abilities and potential new organizations. They can take a
gander at everything around them and center it toward their objectives.
Self – starter: Business people realize that if something should be done, they ought to
begin it themselves. They set the parameters and ensure that ventures take after that way. They
are proactive, not sitting tight for somebody to give them authorization (Tracey and Phillips,
2011).
An unwavering person: An entrepreneur must be so energetic toward its work with the
goal that he can't shake from what he is doing. He should be so devote towards his occupation or
work so he can create new items and administrations by utilizing some imaginative terms. He
must act naturally – spurred so he will carry out his occupation viably and productively without
waving.
A forward looking approach: An entrepreneur dependably thinks something important;
they generally think for their future. They have their techniques that they take after to accomplish

their coveted objectives and targets however they additionally bring a few options with them so
that if any of the best option is accessible then they will go for that.
It is realized that each entrepreneur don't utilize bluprints for their business. They do their
business as per needs, needs, abilities or training moreover. For this they can likewise confront a
few attributes that are depicted as beneath:
Full of determination: When you embarked to wind up noticeably an entrepreneur it
will oblige you to set clear objectives en route (Welter, 2011). Developing your business,
expanding deals and procuring new representatives require a few miniaturized scale objectives
inside them to be executed effectively. This sort of workload and test is sufficient to prevent
many individuals from seeking after the entrepreneurial vocation way. You must be resolved
from the earliest starting point to be fruitful - before you even begin. In the event that you aren't
completely resolved to make it there is a decent shot you will disintegrate under the weight.
Craves learning: You need to remain sharp, and that requires that you are continually
learning. Businesses continually change and advance - just those that are additionally developing
through steady learning will remain ahead. You will dependably have contenders breathing down
your neck attempting to outperform you. There will dependably be somebody guaranteeing to be
the following most noteworthy thing.
Remaining sharp, through steady learning, will empower you to remain ahead and abstain
from getting passed. Perused books and wake up prior in the morning to peruse industry news -
do all that you can to always learn and assimilate new data (Hattab, 2012).
Passionate about his or her business: Energy powers the drive and assurance required
to be fruitful, regardless of whether you are building an organization starting from the earliest
stage or purchasing an Internet business that as of now has a demonstrated reputation. You need
to completely appreciate what you are doing - there will be long days and evenings and at a few
focuses en route your business will devour you. On the off chance that you aren't completely
enthusiastic about what you are doing the additional anxiety and deterrents will develop on your
shoulders and in the end be in charge of your crumple.

Good understanding of money management: It doesn't make a difference in the event
that you are bootstrapping your business, utilizing individual charge cards or have a great many
dollars from speculators - you should have superb cash administration abilities. Poor money
related choices; for example, overspending or distributing assets to less imperative errands can
rapidly destroy a business. Have a get money related guide drawn out - what are your basic
month to month costs and commitments? What amount would you be able to distribute month to
month for things that fall outside of the "fundamental" class? Adhere to your arrangement and
ensure all originators and shareholders are in agreement. Cash issues can obliterate a business a
similar way they can destroy a marriage (Bacq, Hartog and Hoogendoorn, 2013).
P6 The entrepreneurial personality reflect entrepreneurial motivation and mind-set.
Business visionary has many sorts of identity and he will persuade individuals
additionally with the assistance of them. He is additionally daring individual and has
exceptionally creative personality for doing their business. There are numerous perspectives
which are characterized as beneath of the identity characteristics of business person:
The improver: Entrepreneur resembles an improver since he generally concentrates on
the business so he can enhance the world. He additionally enhances his aptitudes and capacities
with the goal that he will do his business all the more successfully and effectively.
Personality alert: They additionally need to mindful from the propensity of them and it
can be basic to their representatives likewise (Chan and et. al., 2012).
The advisor: Entrepreneur is likewise a consultant, he additionally give an exhortation to
individuals. They additionally offer exhortation to their clients with the goal that they will help
them in regards to the selection of items and administrations. The fundamental maxim for giving
an exhortation is excessively mindful the clients.
Personality alert: Entrepreneurs give guidance to the general population so they can
concentrate on their requirements and needs and satisfy them.
The artist: Personality of a business visionary additionally reflects as far as a craftsman.
They are more imaginative and creative with respect to their business. Business visionaries

additionally have some one of a kind ability and they deliver new items or administrations
interestingly and creatively (Shane, 2012).
Personality alert: If boss get input from their client and it is so helpful then it can
influence the business contrarily.
The hero: Entrepreneur will likewise in term of saint since he is the person who drives
the world and furthermore ready to manage each issue which can produce in the business.
Personality alert: If business visionary needs to carry out his occupation for long haul
then he can't make false guarantees and never utilize wrong strategies for their business. On the
off chance that they need to be effective then they need be capable like a pioneer.
LO 4
P7 Background and experience can hinder or foster entrepreneurship
Business visionary is the individual who goes out on a limb and begins his business by
his own. He is simply the individual with loaded with energy and self – roused. He additionally
offers exhortation to other individuals and does his work with more imaginative way. Business
person is the individual who thinks something else contrast with other individuals. Each business
person has their own abilities and learning that aides in their business in particular (Webb and et.
al., 2013).
Each individual do their reviews as indicated by their decision. Some can concentrate all
the more hard however some can't. Study is not just essential in reality quickness additionally
matter to be business person. Be that as it may, likewise on the off chance that they take level of
administration then they apply it in their business extremely brilliant completely. Each individual
have their own particular culture and they can influence their business. Individuals have their
own particular convictions, values, standards and so on that can likewise mirror their business.
Like that business person additionally has their way of life and they do their work as per it.
Culture can likewise influence the business either emphatically or adversely.
On the off chance that business visionary has their family foundation extremely powerful
means their relative has legitimate information then they can likewise rouse him. The relatives of

the business visionary realizes that what challenges can emerge with the goal that they can
likewise mindful him in regards to that. In the event that business person foundation is very little
successful then it can be pessimistic to him. Individuals from their family can demotivate him.
Past experience of the business visionary likewise make positive effect in his profession.
On the off chance that he has more experience then he will carry out his occupation all the more
impeccably. The more experience and the greater accomplishment can make him learned. On the
off chance that he doesn't have encounter then he can confront more troubles to be a business
visionary (Kuratko, Morris and Schindehutte, 2015).
CONCLUSION
According to the previously mentioned report it is presumed that Entrepreneurs are the
individual who goes out on a limb in their business and grow new items too. They additionally
guidance their clients and self – roused. They are extremely enthusiastic towards their work and
make a few systems for their business to accomplish the coveted objectives and goals. They are
exceptionally imaginative and creative scholar too. In this report it is portrayed that there are
different sorts of business that can influence the economy. They all are make more occupations
and give development and improvement to the economy. There are additionally smaller scale,
little and substantial endeavors that do their work all the more creatively. In this report it is
likewise reasoned that a business person experience and foundation additionally have
constructive outcome to their business. They have attributes like they are daring individual,
trend-setter, improver and so forth that can make them not quite the same as other individuals.

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