Entrepreneurial Skills and Organizational Impact

This assignment analyzes various characteristics of entrepreneurs and how they influence organizational activities. It examines the ability of entrepreneurs to motivate others towards innovative working practices. Additionally, it discusses how both positive and negative past experiences can affect the entire business entity.

ENTREPRENEURSHIP

TABLE OF CONTENTS
Introduction .........................................................................................................................................3
TASK 1.................................................................................................................................................4
P1. Examine different types of entrepreneurial ventures and explain how they relate to the
typology of entrepreneurship...........................................................................................................4
P2. Explore the similarities and differences between entrepreneurial ventures..............................6
TASK 2.................................................................................................................................................7
P3 Assessing the impact of micro and small scale business on UK Economy................................7
P4 Importance of small businesses to growth of social economy after Brexit. ..............................8
TASK 3 ...............................................................................................................................................9
P5 Determine the characteristics of entrepreneur which is different from the business managers.
.........................................................................................................................................................9
P6 Entrepreneur personality reflect the entrepreneurial motivation..............................................10
TASK 4...............................................................................................................................................11
P7 Background experience is create a positive and negative impact on entrepreneurship. .........11
Conclusion..........................................................................................................................................11
References..........................................................................................................................................12

INTRODUCTION
In present era there are so many people who want to start up their own businesses in current
marketplace. Who starts a new business that would be called as an entrepreneur, and on the other
side entrepreneur is a person who starts businesses that is called entrepreneurship. Entrepreneur and
entrepreneurship both the term are interconnected to each other. He is a risk taker in the hope of
generating profit. He is the person who take initiative to introduce their product in current
marketplace. He is an individual person who identify the market opportunities which would be help
to contributing in economic development. There are various similarities and differences in between
all kind of ventures those all are create influence in current marketplace. On the basis of small and
largess there are one major difference is in small venture companies investment were invest small
amount of capital and then they make higher profit from marketplace. In this present report has
been covered various types of ventures and their differences and similarities which would be create
influence in small businesses. On the other hand this report has been sated for entrepreneur
characteristics and personality traits which is differ from the business manager. ( DINKER JHA and
Kumar, 2014. )
TASK 1
P1. Examine different types of entrepreneurial ventures and explain how they relate to the
typology of entrepreneurship.
An entrepreneur in one who starts business the limited resource and planning taking all risk and
reward of his/her business. Business idea is usually a innovation of new ideas of goods or services
rather than existing business model.
Such Entrepreneurial venture target high return with high level of risk and uncertainty.
Entrepreneur is willing to put high risk of his or her financial security and career at stake to risk an
idea, spending time and valuable capital on uncertain venture. Entrepreneurial venture require
enterprising individual capital, raw material, skilled labour and location where to be manufactured.
Entrepreneurial Venture can be def fined as an organisation that work as an innovation and produce
opportunities that pace as social and moral values to society as well as economic growth.
Types of Entrepreneurial Venture:
As per the Entrepreneurial theories and business studies there are four type of entrepreneurial
venture. They are Survival Venture, Life Style Venture, Managed Growth Venture, Aggressive
Growth venture. (Drucker, 2014.)

1. Survival venture: They are very limited type of entrepreneur work in limited premises conditions,
No banking transactions, operates on barter or cash basis, As a business to provide basic business
finance one cost are coved in generally and no capacity to reinvest into venture.
2. Managed Growth Rate: Has a workable business model and seeks business growth over time. As
a reflected into occasional new product launch, periodic entry into new market, Study expansion of
facility location, staff and development of strong local and regional market brands. Ongoing
reinvestment in business and continuous moderate regional growth in ongoing business
development.
3. Lifestyle Venture: Having stable growth rate, limited premises, Limited staff, gives low and
constant growth to business, don't have opportunities to expand businesses, Limited income from
business. ( Estrin, 2014. ). Sole traders are best example of lifestyle venture as for long time they
carry out same business and limitedly expand it in specific time period. As a result their business
growth rate is low.
4. Aggressive Growth: These are typically aggressive as name suggest and having good technology,
huge capital innovation and proper planing and management to enter in new market. Their focus is
in national and international market with huge opportunities and growth. Companies are the best
example of aggressive growth as they time to time open new ventures and by making use of old
contacts in domestic and foreign market expand their business at rapid rate.
Relationship between Four topology of entrepreneurship:
1. Annual Growth Rate: Annual growth rate is major relation between these topologies as
name suggest annual growth rate measure the variability of of business profit, so their business
growth relation are
 Survival Venture: Growth rate of Survival venture are on daily basis as they are just doing
economic activity just to survive and for running livelihood. So that is because their
objective are very well defined daily sales based, small lorry seller and road side marketers
are example of such entrepreneur.
 Lifestyle Venture: Life Style venture provide relatively stable income for owner based on
workable business model and maintenance approach management. There areas of operation
are limited. They do economic activity in weekly and monthly basis. So because of it their
business growth is less than 5% yearly. Freelancer and small agent of business are example

of such entrepreneur.
 Managed Growth: These type of entrepreneur enter in business with proper planning and
having long term profit. So they are capable enough to grow more then 10-15% in yr. They
think of long term survival in market
 Aggressive Growth: These type of entrepreneur are highly skilled and experienced. They
take huge risk with new innovation and opportunities of investment. From this they gain
reward as well. They have set of planning and management so they target not at domestic
level but at international level. That's why growth rate is 20% and above in 2-5 years for
them. ( Galindo, and Méndez, 2014.)
2. Management Focus: Management focus in sense management ability to handle their
Business so this is must require skill to grow any business. This shows how they manage da
Today routine and how they sales their product or manage business.
 Survival venture- No proper management is seen in these type of venture. They sale
whatever they have and whatever they want. Roadside pedlars and hawkers are example of
survival venture.
 Lifestyle venture- These are serious businessman who want to sustain in market and have
management focus to achieve objective. They work and maintain working business model
on routine basis so they invest and maintain working capital as require by their business.
 Management Growth- Because of such type of businessman who are very clear in their
vision can get an incremental strategic growth.
 Aggressive Venture-These entrepreneur target product and market as per planning and
strategy specified by management team. So they can achieve and get scalability growth
3. Management Style: Management style are different for different entrepreneur or
Businessman because every aspect of business are different according to different business.
 Survival Venture-They react as per customer and as per environment. They are reactive in
nature. They deliver one time selling and services in market.
 Lifestyle- They are little bit Tactical and use less management technique
 Management Growth- Strategic management is seen in this type of venture style.
 Aggressive- Strategic and Proactive management style is seen in these venture. They take
huge risk and play more risk and reward game in market. ( George, and Bock, 2011. )

P2. Explore the similarities and differences between entrepreneurial ventures.
Difference between various types of entrepreneurial venture:
Basis of
difference
Survival
venture
Lifestyle
venture
Managed growth
venture
Aggressive
venture
Risk taking ability Very Low risk Low Risk Medium Risk High
Skills No Skills Medium Skills Good skills
Hight professional
Skills
Working
Environment
NO working
environment
Moderate
working
conditions Good working conditions
Excellent working
environment
Investment
Low Capital
Investment
Medium capita
Investment
Sufficient Capital
Investment
Huge Capital
Investment
Goal
Daily Basis
Survival Short Term Goal Medium Term Goal Long Term Goal
Similarities
 Innovation: All four ventures seeks opportunities of innovating new ideas. So they seek
opportunities and collect data from various sources and start working on it. This is because
already in specific domain there are number of firms that are making available similar
services. Firms like Uber are best example of innovation as there are already number of
people that are providing taxi services to the people. Uber by using technology providing
innovative services to the people and due to this reason within short time period it managed
to expand its business at rapid rate across the globe.
 Proactive: All four venture having a similarities of being proactive as they all have
willingness of working and as an proactive they react immediately before things or situation
being out of control. For example firms that enter in to telecommunication sector time to
time change plans so as to maintain competitive edge over rivals before they take action to
give stiff competition to the firm.
 Opportunity driven: This is must have traits for any type of entrepreneur that they should be
opportunity seeker. They start their business as not just to seek opportunities but they have
clear vision that they can achieve goal from this opportunity.
 Product Oriented: Being an start up entrepreneur they want to deliver new product in market
which can fulfil l demand of people. So these are common similarities in all four
entrepreneur. ( Hagen, Denicolai, and Zucchella, 2014.)

TASK 2
P3 Assessing the impact of micro and small scale business on UK Economy
Small business are backbone of UK economic, driven growth, opening a new market and
creating jobs therefore there contribution is important. As seeds and feedback they starts for
innovation, encourage competition and bring fresh ideas that challenge the status of people. In
simple sense small business are good for UK of which they places 99.9% business in UK. Mark
Gould stone, client proposition manager for sme's at BSI, commented "Small business owner have
long said if the UK stifles growth here, impact will be felt far wider.
Research is supported by recent findings by RSA will demonstrate that 55% of small and medium
Size enterprise don't survive for more than 5 years. Beyond survival business also faces
considerable changes in achieving growth with two third 63% of small business owner admitted that
it is difficult to grow their firm and three fifth of owners lacking confidence in their ability to
achieve 3 yr continued growth.
In 2014 there were an estimated 5.2 million businesses in the UK- 99.9% of those being SME's
therefore these research is an concern if organizations are to continue to growth and thrive in today's
market. ( Herrington, and et.al., 2010. T)
Research Data on SME's in UK:
 There were recorded 5.5 million private sector businesses at starting 2016.
 There is an increase of 97000 since 2015 and 2.0 million more since 2000.
 Employing businesses number increased by 14,000 and no. of self-employed and sole trade
business increase by 84,000 with the annual growth for both group being around+3%.
SME's and Economy:
 Small businesses accounted for 99.3% of all private sector businesses at the start or 2016
and 99.9% were small and medium size.
 Total employment in SME's was 15.7 million; 60% of all private sector employment in UK.
 Total Turnover of SME's was 1.8 Trillian pond, 47% of all private sector turnover in uk.
Composition in business population

 In 2016, there were 1.3 million employing business and 4.2 million non-employed business.
Therefore 76% did not employ anything from owner
 Overall business population include 3 main forms: 3.3 million sole proprietor, 60% of total,
1.8 million companies(32%), and 421,000 ordinary partnership 8%
 There were 2.5 million business registered for that VAT or payee. 45% of total population. A
further 3.0 million are not registered for either VAT or PAYE.
Trends in Business class in SME's
 There has been sustained growth in total business population with increase of +59% since
2000, and +2% in 2015.
 Drastic business growth last year reflected composition of sme's in 2015 and non-
employing business class 86% of overall 97,000 increase.
 Number of companies has increased in recent years and increased again in last year by
125,000 or 8%. In contrast from 2015 no. of partnership firm decreased from 16,000 to
12,000.
P4 Importance of small businesses to growth of social economy after Brexit.
Small business are helpful to contribution there economy development. Small business are
contribution toward their economy development. In small business venture companies are down by
the small entrepreneur. In this type of entrepreneurial venture person establishes such types of stores
like, grocery stores, hairdressers, travel agents etc. these are the various small business, the main
motive of small businesses is only generating profits (Huggins, and Thompson, 2015.) One of the
best thing about the small venture is it hire local people who has average skills. This thing will help
to reducing unemployment from marketplace. Small business are helping to economy contribution
where they hire new average employee for their concerning work and generate high profits. On the
other hand Social venture is a part of the market venture where main motive of business entity is to
serve society in context of their needs and wants. These type of venture are focus on creating new
products which are helpful to meet their fulfilment of needs and expectations of society. In this type
of Venue Company focus on to make world a better place. Social venture are helpful to contributing
economy development. In that situation economy will rapidly growing and furthermore, after Brexit
most of the companies are grow rapidly for example companies are able to enhance the volume of
their sales and profits. With the help of separation of EU, country will rapidly growing and
increasing productivity and profitability. It is all because of Brexit whereas EU union has separated
and on the basis of that separation most of the companies has to develop their performance
After Brexit companies are set their own polices and regulations to under concerning organisation. I
t will help to create a huge benefits to their business growth. In the initial stage Brexit have also res

ulted in affected the overall economic growth of UK in negative ways, whereas, it was also predicte
d by the financial economy expert. ( Huggins, R. and Thompson, P., 2015.)
TASK 3
P5 Determine the characteristics of entrepreneur which is different from the business managers.
The successful entrepreneur has a various new skills and knowledge which are aid to
developing new products. Entrepreneur has to develop their skills with the help of current market
knowledge which are helpful to creating business. Entrepreneur is a person who develop their skills
according to current market trend. He is an innovative person and make creative strategy to meet
their goal accomplishments. Creativity in strategically tools are render impact on the whole
organisation, whereas create strategically tools are build differentiation in strategies which will be
create a competitive advantage over the other markets. He has a innovative and creating working
practices. It helps to improving high productivity and performance capabilities. There are two
successful entrepreneur who is taking initiative and develop new business enterprise. Mark
Zuckerberg is one of the famous entrepreneur which has to create competitiveness in current
marketplace. He is the person who get famous for their innovations and creativity in products. He
has a innovative thing towards their working practices. He is a risk taker, he has various quality like
he is a self-motivated person and his grab opportunities from the current market place. On the other
hand Steve job is also one of the big entrepreneur where he has also different working methods
which are totally different from the other ones and it will make competitive advantage in
marketplace. Both are the entrepreneur are successful in their respected
field( Morris, Kuratko, and Covin, 2010.)
Now there are basic difference in entrepreneur and business managers:
Entrepreneur Business manager
 Entrepreneur has create their own rules
and regulations.
 Entrepreneurs are not focus on academic
qualification they always focus on
practical knowledge an d creativeness.
 He is a risk taker.
 He always think innovative and creative.
 Entrepreneur has own income. But some
 Business manager always take
responsibilities to controlling whole
organisation. Manger will focus on all
policies and management of the
concerning organisation.
 Manager keep control over the whole
process of the company.

time they face loses in their business
concern.
 He is the owner of the whole enterprise.
 Entrepreneur always work for himself.
 It is a informal approach.
 Entrepreneur always focus on running
activities.
 It is a formal approach.
 Managers have their salary which are
payable in every month.
 Manager keep focus on enterprise
objectives and goals which will be sated
of future profits.
 Manager follow top management
directions.
 Managers are managed all process of the
whole organisation activities. (
Nalawade, and Shah, 2015. )
P6 Entrepreneur personality reflect the entrepreneurial motivation.
As the above successful entrepreneur has various skills and ability to perform various task
and duties in workplace. Entrepreneur has various characteristics and skills which are render impact
on the whole process of the organisation. Some characteristics like; self-motivated, determination
towards their work, hardworking, innovative, creative etc. all these characteristics are helpful to
making business strong. Which means these are the characteristics of each and every entrepreneur is
beneficial for the organisation. In an organisation most of the employee were get motivated towards
there entrepreneur practices. Whereas, they all are also keep focused on their working practices and
also thing creative and innovative. In that situation other employee were get encourage towards
their practices and working method where they all are also create competitiveness for concerning
organisation. On the other hand individual develop their capabilities and working efficiency to
manage all work and achieving higher targets. With the help of entrepreneur working methods
organisation get develop their vision and mission and values towards their customers. With the help
of entrepreneur skills and knowledge company has to be develop their working performance and
efficiency which are create a render impact on the production department. In that situation
organisation increasing their productions and improvement in some product range. On the other
hand creativity and innovations in strategies and in that case organisation with the help of
entrepreneur visionary power, other employees are get more motivate towards their organisation
vision and also focus on customer services where they build a healthy relationship. Creativeness
and innovation are make competitiveness in their current working situation where it help to
increasing productivity and profitability. It help to raise maximum profit. It can also build a strong
relationship with other existing employees. On the other hand some of the employees are encourage

with these entrepreneur skills which can be affected to the whole organisation process. So other
people were doing al same things and also make them heather and stronger environment in their
workplace. ( Palit, 2015. )
TASK 4
P7 Background experience is create a positive and negative impact on entrepreneurship.
In an enterprise entrepreneur has various past experience towards their working
performance. In this current situation entrepreneur has a positive or negative past experience which
are render on current performance slandered. Positive past experience has aid to creating new
businesses. It help to generating more effectiveness in working practices. Past positive experience is
helpful to connecting with large number of customers which has to develop their productivity and
profitability. It may also help to create a competitiveness in current market place. Background
experience is also help to learning new technologies and which can be helpful for the business
concern. On the other hand past negative experience is also render on current market situation.
Negative experience create a bad impact on the whole process on the business activities. It is create
a bad image of the whole firm where nobody can attract with that products. In past situation lack of
strategy making and cheap product quality is create a bad image of cited firm so in that situation
most of the time customer avoid those products and services (Palit, 2015). Background and
experience foster and promote and entrepreneurship. This is because one before opening new
business gather wide sort of experience in wide variety of fields. That experience help one in taking
prudent decisions. During entire lifetime one do a lot of activities and achieve success and failure in
it. Such kind of experience help one in making correct business and risk related decisions. It can be
said that experience help one in successfully operating its business. On other hand, background is
specific domain also help one in making proper business related decisions. It can be observed that
strong background in specific domain help one in taking more accurate decisions. Thus, background
have positive impact on entrepreneurship. However, sometimes background also put negative
impact on the entreperumerial ambitions of individuals. This happened because one have strong
knowledge in science field but same person have limited amount of money and wants to open
trading company. In such kind of situation background can put negative impact on individual
because it have background in science but intends to enter in commercial activity.
CONCLUSION
As per above study, it can be concluded that small business venture companies are down by

the small entrepreneur. In this type of entrepreneurial venture person establishes such types of stores
like, grocery stores, hairdressers, travel agents etc. these are the various small business, the main
motive of small businesses is only generating profits. Social venture is a part of the market venture
where main motive of business entity is to serve society in context of their needs and wants. These
type of venture are focus on creating new products which are helpful to meet their fulfilment of
needs and expectations of society. There is different time schedule for each and every venture. On
the basis of methods there are various different-different working methods of each one of venture.
Entrepreneur make create a strategies which laid to build a competitive advantage in marketplace.
Mainly small companies and large companies has to develop their product for hoping their future
profitability on the other side social venture are based on only provide contribution in society to
economy development. On the other hand in this report concluded various characteristics of
entrepreneur which has to create a render impact on the organisation activities and these skills and
characteristics are get motivated others in there concerning organisation towards there innovative
working practices. This reports has been concluded positive or negative past experience has
influence to whole businesses entity. ( Palit,2015. )

REFERENCES
Books and journals
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Drucker, P., 2014. Innovation and entrepreneurship. Routledge.
Drucker, P., 2014. Innovation and entrepreneurship. Routledge.
Estrin, S., 2014. How does Foreign Direct Investment Affect Domestic
Enterpreneurship. Managament and Economic Policy for Development. New York: Nova
Science Publishers Inc, pp.53-72.
Galindo, M.Á. and Méndez, M.T., 2014. Entrepreneurship, economic growth, and innovation: Are
feedback effects at work?. Journal of Business Research, 67(5), pp.825-829.
George, G. and Bock, A. J., 2011. The business model in practice and its implications for entreprene
urship research. Entrepreneurship theory and practice. 35(1). pp.83-111.
Hagen, B., Denicolai, S. and Zucchella, A., 2014. International entrepreneurship at the crossroads
between innovation and internationalization. Journal of International
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Herrington, M., and et.al., 2010. Tracking entrepreneurship in South Africa: a GEM perspective. Gr
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Huggins, R. and Thompson, P., 2015. Entrepreneurship, innovation and regional growth: a network
theory. Small Business Economics, 45(1), pp.103-128.
Morris, M. H., Kuratko, D. F. and Covin, J. G., 2010. Corporate entrepreneurship & innovation. Ce
ngage Learning.
Nalawade, P.K. and Shah, V.B., 2015. Influence of Motivational Factors on Women
Enterpreneurship. A Journal of research articles in management science and allied areas
(refereed), 8(2), pp.27-33.
Palit, S.K., 2015. Social and cultural matrix of industrial enterpreneurship a case study of selected
small scale industries in Orissa.