Types of Entrepreneurial Ventures and Their Relation to Typology of Entrepreneurship

ESBM
Introduction
(Briefly state the purpose of this unit and the knowledge expected to gain in completing the
unit.)
The purpose of this unit is to impart the learner with vital knowledge regarding
entrepreneurship activities and ventures. After completing this unit, the learner is expected to
have a thorough understanding of various concepts in business entrepreneurship.
Task 1
Q1 (P1+M1)
(P1) Examine different types of entrepreneurial ventures and explain how they relate
to the typology of entrepreneurship.
Small Business entrepreneurial ventures: These ventures involve small scale business
ventures and one characteristic of these ventures is that they cannot provide the scale to
attract venture capital. Funding of small business entrepreneurial ventures are from small
business loans, friends, and relatives (Faizal, 2019).
Scalable Startup entrepreneurial ventures: Unlike small Business entrepreneurial
ventures, these types of entrepreneurial ventures have a huge growth potential. As a result,
they attract financial investors such as venture capitalists.
Large Company entrepreneurial ventures: Large Company entrepreneurial ventures have
finite life cycles. Most of these entrepreneurial ventures develop by sustaining novelty,
providing new goods and services which are variants around their core products.
Social entrepreneurial ventures: Social entrepreneurs are business entrepreneurs who
concentrate on generating goods and services which provide solutions to social needs and
problems. However, as opposed to scalable startups the goal of social entrepreneurial
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ventures is to make the world a better place, not to create to wealth for the founders or to take
market share or
(M1) Investigate a diverse range of entrepreneurial ventures to demonstrate an
understanding of entrepreneurship in both the public and corporate sector.
In the public sector: The public sector organizations are managed and regulated by the
federal government. The government invests huge amounts of money on those organisations
and different private organizations offer premeditated helps to them. These types of
organizations have establishments in various industries and their main aim is to offer top-
notch goods or services to the consumers. These organisations do not focus solely on making
profits; instead they purpose to enhance social development and welfare.
In corporate sector: These types of organizations are managed and controlled privately and
are often possessed by public or individuals. They come up with marketing plans to generate
high quality goods and services to consumers in order to grow their productivity and
prolonged existence. A majority of the huge organizations, scalable entrepreneurship ventures
are affiliated to corporate sectors which emphasize on sustainable growth through
concentrating on on their competitors and implementing strategies to increase their
competitive edges.
Entrepreneur:
(Explain who is an Entrepreneur / What is Entrepreneurship?)
“An entrepreneur is one who creates a new business in the face of risk and uncertainty for the
purpose of achieving profit and growth by identifying significant opportunities and
assembling the necessary resources to capitalise on them.”
Entrepreneurship
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The capacity and willingness to develop, organize and manage a business venture along with
any of its risks in order to make a profit. The most obvious example of entrepreneurship is
the starting of new businesses.
Different entrepreneurial ventures:
Note for students: (Examine/ inspect thoroughly, entrepreneur ventures that fall in the
categories below in order to determine their nature or condition. The examination would
require inspection and examples from the categories below)
 “Creation and development of New Ventures of all types” (Meyer 2009):
The entrepreneur venture that fall in this category is scalable startup
entrepreneurship. These forms of entrepreneur ventures start business
activities with ground-breaking ideologies and concentrate on offering
innovative goods or services from the starting. They create develop new
ventures with an aim of changing the world and searching for investments
from venture capitalists (Picken, 2017).
 “Based on the Performance of business”
The entrepreneur venture that fall in this category is large company
entrepreneurial ventures that have predetermined lifecycle and emphasize on
offering new goods and services to consumer for the sake of their effective
business performance and sustainability. Good performance of business is the
core objective of large company entrepreneurial ventures and as a result, they
device ways of expanding their market coverage and handling competition.
 “Emerging enterprises that May or may not grow, do or do not innovate”
(Mitzberg 1989, Gartner 1990)
The entrepreneur venture that fall in this category is social entrepreneurial
ventures who concentrate mainly on solving various societal problems by
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delivering products or services. They therefore do not focus so much on
growing or innovating since they are not profit-oriented. Their main goal is
making the world a better place for people to leave.
 “Firms that are innovative- High Tech firms” (Langlois 2007)
The entrepreneur venture that fall in this category is High-Tech entrepreneurial
ventures that get into marketplace fast, scrutinize their ideas swiftly, ramp up
their entrepreneurship speedily and scale hastily. Owing to their need for
swiftness, High-Tech entrepreneurial ventures call for significant, talent
expertise and capital early in their lifecycle.
 “Any Established company, small size social venture , High growth firms”
(Shane 2012; Ucbasran et.al 2001; Zahra 2014)
 Small size social Venture
 Large size social venture
 High growth firms
Any Established company: An established Company is an organisation which is officially
recognized or in overall, approved because it has been existing for a long time. An
established company unlike a startup has an already known brand and its marketing plan is
clear. A good example is Coca-Cola Company which has been in existence since 1892.
Small size social Venture: Small size social ventures are small-scale entrepreneurial
activities that entrepreneurs establish with a sole purpose of providing systematic solutions to
attain sustainable social objectives. Small size social ventures can be structured in different
forms such as for profit and non-profit organizations, sole proprietors, community
organizations, youth groups, non-governmental organizations, and more. The primary aim of
these small-scale initiatives is to provide social benefits and solve social problems. Though
they might generate some profits that is not their primary focus (Kickul, & Lyons, 2016).
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