Classification of Entrepreneurial Ventures

This assignment involves a comprehensive analysis of entrepreneurial ventures, including lifestyle ventures, survival ventures, and others. It requires researchers to understand similarities and differences between these ventures and explore their economic impacts. The assignment provides references from books and journals that discuss entrepreneurship, small business management, and public policy levers.

ENTREPRENEURSHIP

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Various types of entrepreneurial ventures and how it is related to typology of
entrepreneurship..........................................................................................................................1
P2 Similarities and differences between entrepreneurial ventures.............................................3
TASK 2............................................................................................................................................6
P3 Interpretation of data and statistics for illustrating impact of micro and small business on
economy......................................................................................................................................6
P4 Importance of small business in business start-ups for the growth of economy after Brexit 7
TASK 3............................................................................................................................................9
P5 Mini-research for determining characteristics, traits and skills of two successful
entrepreneurs...............................................................................................................................9
P6 Aspect of entrepreneurial personality..................................................................................10
TASK 4..........................................................................................................................................11
P7 Background and experience can hinder or foster entrepreneurship.....................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Now a day's, small and medium size companies are growing in a rapid speed and it
constitute around 95% of business globally. Organisations that comes under small business are
mostly run by entrepreneurs with their start-up ventures. These firm plays an important role in
increasing the economic status of a nation (Bridge and O'Neill, 2012). An entrepreneur for
expanding their business or to start them they make appropriate plan and strategies by using all
the resources available to them. The report will focus on a mini research so as to examine
different types of entrepreneurial ventures that are available in the market area along with this
how it can be related to typology of entrepreneurship. Apart from this, relevant data and statistics
is conducted in order to illustrate how it has an impact on micro and small business. Lastly,
background and experience of an entrepreneur is been done so as to foster their business
operations.
TASK 1
P1 Various types of entrepreneurial ventures and how it is related to typology of
entrepreneurship
Running a entrepreneurial ventures is not an easy task as it is a combination of risk,
failure, ambiguity, learning and success. Small business and new ventures are totally different as
former one is a established company and provides its services and facilities to its end customers
whereas latter one is fresh in the market and start its business with the motive of achieving goals
and objectives by giving innovative and productive offerings to consumers. Operating its
business for an entrepreneur consist of full of risk and the most common is of generating funds
for foster their business in a positive manner. Thus, economy and social factor which includes
communities plays an important role in job creation. Therefore, different kinds of entrepreneurial
ventures and its typologies are explained below for better understanding:
Small business entrepreneurship: In United Kingdom, many business enterprises are
working and providing excellent services and facilities to its end customers (Carsrud and
Brännback, 2011). According to a study there are approximately more than 6 million firms who
are operating its business in UK. This mainly constitutes travel agents, electricians, grocery
stores, carpenters, plumbers etc., for expanding their business they are taking all sort of risk that
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are available in the market area as a result it will assist them in increasing their sales and
profitability.
Scalable entrepreneurship: This includes companies those who have a strong business
idea that can help them in establishing themselves unique from others. They go with the change
in the market area and make their strategies flexible so that they can make modification with the
change in course of time. Entrepreneur who come under this, interact with different investors and
stakeholders and influence them in invest some amount of money which can help them in taking
their business operations in forward direction (Chittithaworn and et. al., 2011).
Social entrepreneurship: As the name suggests they work with the purpose of providing
better services to people so that they can upgrade their living standards. So, basically they work
for the betterment of communities and society in which people live by providing excellent
services and facilities. Mainly, this includes NGOs, voluntary organisation etc.,
Large scale entrepreneurship: These are established for gaining maximum benefits and
their prime motive is to generate a large amount of funds which they can use for expanding their
business. They set targets and aims which they can achieve in speculated period of time. Thus,
companies that comes under this are well settled and big organisation and shares a large number
of market.
Therefore, typologies and ventures of entrepreneur can be interlinked with each other as
it help them in setting their missions, nature and purpose in order to shape their business. Some
of these typologies are mentioned below:
Lifestyle venture: Entrepreneur who comes under this tend to work by their own and they
try to provide maximum benefits (Chrisman and et. al., 2012).
Survival venture: They mainly run these business for living their livelihood and this
includes businesses like internet cafe, grocery store and many more.
Managed development venture: People run their business with the purpose of creating
monetary promotion of the firm. Investors who invest their money make sure that company in
which they are investing is definite and not fake.
Therefore, it can be evaluated that there are different types of entrepreneur that are
explained below:
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Serial entrepreneur: They are considered as an entrepreneurs who take an initiative to
start a business and take them further into next phase. For this, they includes creative working
and implementation of innovative ideas (Dennis, 2011).
Social entrepreneur: These majorly look after all the issues and that can hamper
communities or society.
Female entrepreneur: In recent times, an increase in female entrepreneur can be seen
and as compared to male counterparts they are considered as dedicated and committed while
performing their jobs. According to the study, in United Kingdom they have the liability of
creating around 51% job opportunities in the nation.
P2 Similarities and differences between entrepreneurial ventures
Entrepreneurship is said to be the capacity and willingness of an individual of operating
and developing its business. Starting of new business is totally a difficult task as with profits it
bring lot of risk and problems that are to be considered so that it can be eliminated in a better
manner. Entrepreneurs have totally different traits and skills which they acquire, as a result it
help them in taking their business to an another level. In this recent times, it can be evaluated that
with the increase in entrepreneurs in the market area competition has raised (Drucker, 2014) .
Thus, it is important that every individual apply some unique strategies in order to make
themselves different from others.
SIMILARITIES Lifestyle Ventures Social Entrepreneurs
 Their priority is not to
earn maximum benefits
and advantages.
 In their initial years they
start their business with
a small ventures.
 They start their
business with the
purpose of providing
maximum benefits to
people and society.
 They take initiate to
serve to the needy
people and therefore,
works for the
goodwill of the
people who are living
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in the society.
DIFFERENCES Lifestyle Ventures Serial Entrepreneurs
 Companies that comes
under this start their
business with the funds
that are provided to
them by different
stakeholders and
investors.
 While executing their
plans they doesn't
formulate any kind of
strategies and go along
with the trends that are
present in market area.
 They do not have any
particular place and do
their work wherever
they want to.
 Thus, they work with
the purpose of gaining
maximum benefits but
with the motive of
pursuing their approach
and lifestyle.
 These ventures grab
attention of
maximum number of
investors as these
firms work for a
noble cause. As a
result it helps them in
executing their plans
in an appropriate
manner.
 For improving their
business serial
entrepreneurs
formulate strategies
so that it can be
implemented
properly.
 Therefore, their
prime duty is to
generate a large
amount of funds and
gaining profits as
well (Fassin, Van
Rossem and Buelens,
2011).
SIMILARITIES Female Entrepreneurs Male Entrepreneurs
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 It is said that female
entrepreneurs are
considered as more
dedicated and
concentrated for
whatever work they are
performing.
 As compared to their
male counterparts they
are use their innovative
and creative minds for
executing their plans
and operating their
business as well.
 Men are dedicated
towards their work
and they operate their
business with their
mindset.
 They work with full
enthusiasm and
passion along with
this they use their
creative minds and
innovative thoughts
for implementing
them. As a result it
provides them with
maximum benefits.
DIFFERENCES Female Entrepreneurs Male Entrepreneurs
 It has been evaluated
that female
entrepreneurs take more
time in decision making.
 They believe in
contributing more in
social contribution and
best quality services.
 While taking any kind
of financial decision
they feel themselves
conservative and
bounded as compared to
male entrepreneurs.
 They look out for
easy easy process of
decision making.
 Their prime focus
remains on
minimising the cost
for the development
of company and
individual as well.
 Male entrepreneurs
take risk when it
comes to decision
making as a result it
gives them maximum
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 They maintains a better
relationship with
consumers and their
business partners.
benefits but some
times this can lead to
losses and
consequences as
well.
 They are considered
as more task oriented
while performing
their task which help
them in allocating the
activities in a better
manner (George and
Bock, 2011).
TASK 2
P3 Interpretation of data and statistics for illustrating impact of micro and small business on
economy
Business classification: In order to achieve their set targets and objectives in speculated
period of time business organisations perform different types of operations and practices. In a
society large number of firms are operating their business. Some of the classifications are given
below for better understanding:
Micro Business: This are the companies that are regulated by single owner along with
some five or six employees. These businesses are flexible because of which they people of
different age can be seen. In the year 2015, around 5.15 million number of micro business
organisation are there in United Kingdom which is raising with a rapid speed and it has now
come to 95% which is large in number (Gorgievski, Ascalon and Stephan, 2011).
Small Business: People who run their business work independently in the areas but they
are less dominated as compared to other firms who are working separately. Employees in these
kind of organisations consist of approximately 5 to 500 and enterprise wholly depends on the
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work they are performing. Therefore, United Kingdom constitutes half of the business that are
operated by small firms in United Kingdom.
Medium size business: Organisations that comes under this are well settled and formed,
investors and lenders are also included in decision making, as a result they have an idea about
what kind of a business plan firm is going to opt. In their firm they have around 100 to 999
workers who work there for providing maximum benefits. As a result it is helping them in
increasing their economic level and productivity (Jones and Rowley, 2011).
Nature of small business:
Shoestring budget: They are considered as a sole proprietors and their budgets are
limited according to the functions they have to perform.
Intensive labour: Most of the companies depends upon the functions done by labours so
it they are considered as an important element for an organisation. Further, labours do physical
work instead of intellectual work.
Indigenous technology: In this, firms are confined to local areas and they include local
labours. For them they incorporate tools and technologies which can be easily understood by
them. As a result it bind smaller companies in limited area and doesn't give them much exposer.
In can be said that small business enterprise has supported United Kingdom in
maintaining their economy level after the happening of Brexit. Therefore, small business and
start-ups had a great impact on the growth of countries economy and it is explained below:
Local Impact: They are playing a crucial role as companies that come under this are
provides employment opportunities to individuals after the period of Brexit. Thus, it has
upgraded the standard of living who resides in United Kingdom.
National Impact: Small business at national level not only give employment
opportunities but also help them in improving their business for getting maximum benefits
(Karlan and Valdivia, 2011).
Regional Impact: Small business work for providing better services and facilities to its
employees so that they can sustain in the market for a longer period of time. Therefore, these
firms works according to the choices and preferences of people and this leads them in earning
appropriate amount of money for themselves and company as well.
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Henceforth, it can be said that small and medium enterprise in a country plays an
important role in generating more and more revenues for country as a result stability in economic
conditions can be seen.
Illustration 1: Impact of Brexit on Economy
Source: Impact of Brexit on Economy
With the help of the it ca n be evaluated that after the BREXIT percentage of business
has been increased in United Kingdom as government of UK has given freedom to small
business enterprise to implement new innovative business ideas so that employment can be given
to people who are living within the nation. For example: in terms of micro level business they
have an increase of around 18.9 percent whereas in context with small business which comes
under the category of 10 – 49, was shown a growth of 23.4 percent. Lastly, in relation with
medium business enterprise it has been a rise of around 29.2 percent. Thus, with the help of this
graph it can be evaluated that all the factors that are shown in the graph all the bars are moving
into forward direction which is playing a positive role for the economy of the nation.
P4 Importance of small business in business start-ups for the growth of economy after Brexit
Brexit happens when, United Kingdom decided to take themselves out from European
Union. Its implications after two years can be seen as it is considered as an strongest agreement
according to consensus and economist in context with economic conditions. But it was a time
when UK's per capita income was decreased as compared to previous years (Neck and Greene,
2011). The process was started from 29th March, 2017 and a referendum was signed by the
regulatory bodies of United Kingdom on 23rd June, 2016 under article 50 of European Union.
Henceforth, Brexit has a large impact on country's economy and in decision making as well.
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Further difference between start-ups and small business in order to have economic growth are
explained below:
Small-business Start – ups
 They take initiative of making
improvement in their business operations
by implementing innovative ideas and
thoughts.
 Small business majorly work with the
purpose of earning and living their live
in a better manner.
 They basically do their work in a
traditional way and deliver products to
its customers.
 They are scalable in nature as compared
to start-ups.
 These companies are basically owned by
private owners and includes around 250
workers in an organisation.
 These are considered people who
start a new business with a fresh
through and innovative ideas.
 They apply creative thoughts for
providing better services and
facilities to its end customers. Thus, it
leads them to occupy a large number
of market share.
 Further for expanding their business
they tend to apply various kind of
innovative ideas and for this they
included people who are different
with their mind and think creatively.
Small business and its impact on economy of United Kingdom
Social and economic evolution: Small business are considered and determined as
economical power of United Kingdom (Storey, 2016). They are increasing day by day and
giving job opportunities to around 15.2 millions people which is giving a positive impact on the
economy of United Kingdom.
Development of social security: People work in order to become stable and in terms of
income and security as well. Thus, it is an essential component for every individual, regulatory
bodies of United Kingdom have formulated rules and regulations under which company has to
give proper income which they have deprive because of death and retirement.
Effect on taxes and revenues: It has been located that, most of small business enterprises
that are doing business at domestic level mostly influence by tax policies because most of
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employment or jobs are being given by this sector only. Therefore, it can be said that it has a
direct linked between taxes and revenues because as employment will increase funds will also
increase so as the economy.
Impact on poverty and other elements: As in the present market scenario, richer is
becoming more richer and poorer are becoming more poorer. So, economic condition of a nation
and poverty are inter related. As government will be able to generate more amount of money
than it will develop large number of job opportunities (Welter, 2011).
TASK 3
P5 Mini-research for determining characteristics, traits and skills of two successful entrepreneurs
Entrepreneurs and entrepreneurship are both can be linked with one another, to become
successful in business operations it is important that they have surplus amount of knowledge
regarding their project. This will help them in managing and organising work in a proper
manner. Further they can use innovative and creative ideas as well as thoughts for taking their
business in forward direction. Therefore, person acquiring skills and knowledge is not enough
they must have adequate traits and like personality traits, qualities and abilities of handing a
different kinds of situations and circumstances that are present at the moment. This can be
explained with the help of two examples of eminent personality that are explained below:
Richard Branson, who was a co-founder of Virgin Group, and he explains that there are
several elements that an entrepreneur must consider because this will help them in influencing
their nature and way of operating its business (Zott, Amit and Massa, 2011). One of the major
thing in which he has focussed is risk taking practice which is very important for taking business
in forward direction. Therefore, while running a business entrepreneur can face risk at different
levels so, they must be prepared for the same. Henceforth, the person must be able to use his/her
skills for operating and handling situations in a better manner and this will come by adopting
leadership skills and style (Bridge and O'Neill, 2012).
Therefore, it is a saying that “leaders are not born infact they are made” this happens
when a person incorporates useful traits and skills for upgrading their knowledge. Practising on a
regular basis is also needed thus, a person needs to be extrovert so that he/she can influence
other for getting effective results.
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Another entrepreneur whose example can be explained is Oprah Winfrey whose story is
very famous she became one of the richest African American person and came from rags to
riches. Her net worth is of around $3 billion and is considered as a most influential women in the
world. Oprah's first break was her gig in local black radio station, and manager was impressed
with her passion and oration. Therefore, after signing a deal of Winfrey Show and later is just
history (Carsrud and Brännback, 2011).
P6 Aspect of entrepreneurial personality
It is important that an individual develops entrepreneurial personality traits as it will help
them in developing in a right manner. Thus, to become successful in life it is crucial that a
person acquires all the traits which can give them positive result and outcomes. They must have
the ability of making appropriate decision at right time so that they can carry out all the activities
in speculated time frame. Further in context with myself I have incorporated big five model in
my life and because of that my proposal was accepted by Joe Woods. So, nothing is impossible if
person is determined to do that.
Openness: An entrepreneur must be extrovert in nature as it will help them in expressing
their ideas and thought to other individuals. Thus, the person must be creative in nature.
Conscientiousness: It includes more standard components like for an instance
thoughtfulness, goal-oriented behaviour and high level of control. Therefore, it is considered as
mindful and conscientiousness details.
Extraversion: It is determined through sociability, higher emotional expressiveness as it
will help them in coroneting with people more effectively (Chittithaworn and et. al., 2011) .
Agreeableness: There can be a possibility that clashes in views and thoughts can be seen
thus, it is essential that an entrepreneur listen to all the thoughts expressed by other individuals.
Other than this trust amongst employees is important and should be the prime concern.
Neuroticism: Such factors like sadness, moodiness and emotions, stability must be
avoided as it can have an impact on business operations.
Therefore, to become a successful person an individual can take example of renowned
personality like Richard Branson, so that a person can implement this for getting success in life.
Along with this, education and life experience is important as its influence can be seen in their
business operations and an individual as well (Chrisman and et. al., 2012).
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TASK 4
P7 Background and experience can hinder or foster entrepreneurship
Experience and background of a person depends upon how he /she is treated by other
individuals . For keep them motivated it is important that they are given appropriate rewards and
also telling them about their drawbacks that are explained below:
Rewards Drawbacks Control: In this employees are
determined as one of the crucial
element and strengths as well so they
must be given work according to the
capabilities. This will help them in
attaining their objectives in
speculated time frame. Excitement: Entrepreneurs perform
their work with full enthusiasm as
they do what they like to do as a
result it assist them in influencing a
large number of people for future
proceedings. Flexibility: Entrepreneurs work
according to their flexible time which
help them in reducing stress and
anxiety level. Freedom: Entrepreneurs enjoy
freedom of accomplishing their
activities according to the
requirements so that they can fulfil
demands and needs of customers.
 Administration: Undertaking of all the
activities by their own can simply
increase burden on an individual and this
can hamper business operations.
 Competition: In this current market
scenario, a large number of competition
has increased because most of them are
opting start-ups.
 Work schedule: Because of the improper
working hour it can disappoint
employees in working process as per the
requirements.
 No general wages: While working as an
entrepreneur they don't have fixed salary
and wages and this can lead to loss
(Dennis, 2011).
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Therefore, it can be said that entrepreneurs are now a day's are in boom and maximum
number of people are opting for the same (Drucker, 2014). Every positive and negative things
that are acquired by them are depends upon the culture or the background form which they have
come. If an individual have experiences good things back in his/her life than its effect can be
seen in business operations. Example of Richard Branson can be seen as he has the risk taking
ability because of which his company Virgin Mobile is one of the leading company in United
Kingdom.
Background and experience of entrepreneurs influences their growth and also motivates
them to become successful in life. It can be said that if an individual has an educated family
background then it motivates them to become an effective and successful entrepreneur. As their
family support them to fulfil their needs and demand so that they can work on their own dreams.
In relation to Richard Branson, the entrepreneur owns an educated family which have always
motivated him to become successful. Along with this an educated family also helps him in
decision making process.
CONCLUSION
From the above report, it has been concluded that entrepreneur are the who prefer to work
individually rather than working under someone. There are different typologies that are present
in the market area and they accomplish their goals and objectives by applying certain strategies
and plan of action that are formulated by them. In United Kingdom an increase in small and
medium business can be seen and they are playing a crucial role in increasing the economy of
nation at different levels. In this market area there are different kind of entrepreneurial ventures
who are operating their business such as small business entrepreneurship, Scalable and large
scale entrepreneurship. All these are connected with various typologies like lifestyle ventures,
survival ventures etc., With the help of this assignment researcher get to know about similarities
and differences between entrepreneurial ventures. Apart form this, classification of different
business and its impact on the economy of a nation.
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REFERENCES
Books and Journals
Bridge, S. and O'Neill, K., 2012. Understanding enterprise: entrepreneurship and small
business. Palgrave Macmillan.
Carsrud, A. and Brännback, M., 2011. Entrepreneurial motivations: what do we still need to
know?. Journal of Small Business Management. 49(1). pp.9-26.
Chittithaworn, C. and et. al., 2011. Factors affecting business success of small & medium
enterprises (SMEs) in Thailand. Asian Social Science. 7(5). p.180.
Chrisman, J. J. and et. al., 2012. Family involvement, family influence, and family‐centered non‐
economic goals in small firms. Entrepreneurship theory and practice. 36(2). pp.267-
293.
Dennis Jr, W. J., 2011. Entrepreneurship, small business and public policy levers. Journal of
Small Business Management. 49(1). pp.92-106.
Drucker, P., 2014. Innovation and entrepreneurship. Routledge.
Fassin, Y., Van Rossem, A. and Buelens, M., 2011. Small-business owner-managers’
perceptions of business ethics and CSR-related concepts. Journal of Business ethics.
98(3). pp.425-453.
George, G. and Bock, A. J., 2011. The business model in practice and its implications for
entrepreneurship research. Entrepreneurship theory and practice. 35(1). pp.83-111.
Gorgievski, M. J., Ascalon, M. E. and Stephan, U., 2011. Small business owners' success
criteria, a values approach to personal differences. Journal of Small Business
Management. 49(2), pp.207-232.
Jones, R. and Rowley, J., 2011. Entrepreneurial marketing in small businesses: A conceptual
exploration. International Small Business Journal. 29(1), pp.25-36.
Karlan, D. and Valdivia, M., 2011. Teaching entrepreneurship: Impact of business training on
microfinance clients and institutions. Review of Economics and statistics. 93(2). pp.510-
527.
Neck, H. M. and Greene, P. G., 2011. Entrepreneurship education: known worlds and new
frontiers. Journal of Small Business Management. 49(1). pp.55-70.
Storey, D. J., 2016. Understanding the small business sector. Routledge.
Welter, F., 2011. Contextualizing entrepreneurship—conceptual challenges and ways forward.
Entrepreneurship theory and Practice. 35(1). pp.165-184.
Zott, C., Amit, R. and Massa, L., 2011. The business model: recent developments and future
research. Journal of management. 37(4). pp.1019-1042.
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