Entrepreneurship: Theory and Practice

This assignment explores the concept of entrepreneurship, examining its theoretical foundations and practical implications. It delves into definitions, historical perspectives, and influential models, such as the Big Five personality traits associated with successful entrepreneurs. The assignment also touches upon the role of entrepreneurship in economic development and emphasizes the importance of understanding its diverse dimensions.

Entrepreneurship

Table of Contents
INTRODUCTION ..........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Different kinds of entrepreneurial ventures related to the typology of entrepreneurship......1
P2 Similarities and differences between entrepreneurial ventures ............................................3
TASK 2............................................................................................................................................5
P3 Micro and small business impacts on the economy...............................................................5
P4 Importance of start-ups and small business...........................................................................6
TASK 3............................................................................................................................................8
P5 Characteristics, skills and traits of two successful entrepreneurs..........................................8
P6 Entrepreneurial personality reflect its own mindset and motivation ....................................9
TASK 4..........................................................................................................................................11
P7 Background and experience of the successful entrepreneur can hinder entrepreneurship. .11
CONCLUSION .............................................................................................................................12
REFERENCES..............................................................................................................................13
.......................................................................................................................................................14

INTRODUCTION
In the modern scenario, when a person or group of people has the capability or
willingness in order to start an innovative business as well as exchange out the profits and risks,
it is known as entrepreneurship (What is Entrepreneurship?, 2017). It is a process of launching,
running and designing a start-up which is often initially on micro scale. An individual who
develop these business operations and functions is called an entrepreneur. There are different
aspects which are includes in process of entrepreneurship such as economics and other aspects
like manpower, land and resources which support them in running operations easily (Acs and et.
al., 2014). There is asking that “More will be the earnings, More the uncertainty” particularly
when its exists to organise new business with an innovative concepts.
This report is based on different types of entrepreneurial ventures and their link with
typology. It describes all ventures that have difference and similarities which is important part of
the organisation growth and development. Both small-business and start-ups are important for
the person because it will give better job opportunities to people who live in same country. This
assignment also shows the characteristics, traits, skills, background and experience of two
successful entrepreneur which hinder on their mindset and motivation.
TASK 1
P1 Different kinds of entrepreneurial ventures related to the typology of entrepreneurship
Entrepreneurship: It is known as a process and activity of organising research and
development programs, design quality goods along with knowing customers’ needs or demands
etc. All these are important parts of launching start-ups and completing client’s requirement in an
effective manner. In the modern era, large number of organisations are in existence in the market
place which offers unique and featured facilities to its customers (Bhachu, 2017). There are
various types of entrepreneurial ventures which are described under as:
Small-business: In modern business era, all entrepreneur emphasises on setting up their
business operations and functions in the marketplace by producing quality services and products
to the buyers. As per to the figurer, there is large percentage of micro business like it has
approximately 5.9 million scale which has been functioning or working on enterprise and they
have to get in marketplace like it has around 89.7%. However, certain examples of small-
business are grocery market, carpenter, barber shop, plumber store and other little super market.
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Scalable start-up's: In order to start new business, main motive of entrepreneur is to
bring variation in the economy. In this, they attract large number of the investment in regard to
start-ups within any difficulty. Who person start their own business operations and activities with
motive of attaining impressive vision and growth are called scalable. They mainly focuses on
change the economic with particular time period.
Large business entrepreneurship: It is also known as an organisation which plays an
important role in accomplish technical and commercial activities in an effective manner. In this
type of business, variety of products and customer satisfaction are highly essential in order to
improve development and success of company (Brandstätter, 2011). There are various factors
which have their impact on business operations such as policies, governments, technology,
competitors and other parts which are present in the environment.
Social entrepreneur: Main role and responsibility of social entrepreneur is to organise
research and take production process. During the procedures, they can offer quality goods and
services to their customers. In this way, an organisation reduces all issues of customers towards
products and services effectively.
Typologies of entrepreneurship which are connected with ventures are described under this:
Survival ventures: Main aim and motive of this person is to gain maximum benefits and
profits by running business operations. They does not have any specific place as well as never
connected with banks.
Serial entrepreneur: Main role of this person is to look upon innovative concepts and
aspects for organising research programs by analysing needs and demands of the buyers
(Drucker, 2014). During the investigation, they can evaluate market trends and client’s
requirements which assist in scheduling all function of enterprise.
Lifestyles ventures: These are important person who can change their strategies, structure
and objectives as per the actual trends of market. They primarily include maximum expansion
and trends, proper areas and business workers.
Female entrepreneur: In this, an organisation mainly works on betterment and
development of female employees in the society. Female worker is beneficial and important part
of the business organisation who give their full efforts in business success and development.
Main motive of this enterprise is to increase living standard and moral of female as well as bring
quality or justice for them in community.
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Male entrepreneur: In each and every organisation, male worker is very essential part of
the business success and development (Fisher, 20121). They create more revenues and profits
which is beneficial in company growth.
P2 Similarities and differences between entrepreneurial ventures
Differences and similarities between all entrepreneurial ventures are determined under
this:
Lifestyles Ventures and the business
Similarities
Serial Venture similarities
 This business is being launched with
the motive of new plans for achieving
success and growth of them.
 Effective and skilled will be recruit so
that assigned tasks and projects can be
achieved in specific time period.
 Attracting different number of clients
within specific place and offering them
with the innovative or quality products
to customers (George and Bock, 2011).
 This business is being launched or
started their own business with fresh
vision and emphasis on attaining it in
short time period.
 They hire knowledgeable candidates
who have to attain business tasks and
goals within time frame.
 Common aim and purpose of the
organisation can be declared as other
aspects of similarity. It can be attained
by getting large amount of share in
market.
Difference Difference
 While starting up a business, their main
focus is on developing their own
lifestyles and also uplifting social and
economic factors.
 Their purpose of starting up new
business, in this they want and need to
run in long duration as well as generate
more revenues.
 Firm is being launched with the motive
of formulating new plans and thus after
success and growth. In this business,
authority is being exchanged to other
people.
 This type of procedure does not keep
duties for maximum period as it is
transferred to few other person as well
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as move on to other new ideas.
Female entrepreneur or business similarities Male entrepreneur or business similarities
 Main motive and aim of this business
entity is to earning maximum profits by
starting new operations.
 Market Analysation is being completed
and basic wants and needs are being
identified so that fulfilment level be
increased effectively.
 Competitive benefits is essential and
significant parts of organisation
whether its a micro business and large
one.
 Main important elements of this type is
to achieving long term objectives and
aims of the company in minimum time
period. So in this way, revenue and
profit can be created for which the
entire has been established (Grimaldi
and et. al., 2011).
 Development and modification in the
business products that take effective
place related to the dynamic feature of
market.
 The other goes regarding getting
different number of clients along with
the aggressive benefits.
Difference Difference
 As per the capabilities and talent,
female employees have less
confidence and strengths differentiate
to the male workers while running
start-up's.
 Female entrepreneur is part of business
success and development so in this has
better skills and quality about any
judgement making activity (Kuratko,
2016).
 In elements of creativity, in this female
staff is more effective or impressive in
 They achieve higher level of
confidence and capability to start
business operations as differentiated to
female staff.
 Male employee mostly are better in
making accurate judgement about
business functions and activities. But
sometime, they have lake of
knowledge in reducing work based
conflict.
 Effective and better funnel of
communication can be successful
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nature. within enterprise.
TASK 2
P3 Micro and small business impacts on the economy
In the modern business area, small scale plays vital and important role in success and
growth of country. In this, they are capture maximum market share which mainly concern in
United kingdom government. There are certain aspects which impact on environment either
negative and positive such as Export & Import, Unemployment and GDP(Gross domestic
products) rate etc. There has been different effects of small scale in 2016 like, there were approx
6.5 million start-up's which was starting on the small-business. There are approx 94% scale
which are organising on micro enterprise and has been involving in employability and economy.
Micro Business: In regards to acquire security and safety through finance, small scale is
being organised as well as operated on little business (Light, 2011). It mainly includes of ten to
twelve worker who function on attaining common interest and goal. Micro business annual
turnover is about $2Million. This enterprise mainly emphasis on generating maximum profits
and achieving success and growth of them. This kind of business generally includes cafe,
garages, carpenters and others shops.
Small-Business: In nature, it is also small but by studying it to micro business, it is high.
So it is define as a main difference between small and micro business. They mainly includes 35
to 50 workers and about their annual turnover approx $ 10 million. This business is emphasis on
marketing and try to attract different number of buyers by providing effective products and
services.
Medium Business: They matily needed to start their new business in partnership because
in this they required more investment which is not possible for arranging individual (Naudé,
2013). It mainly includes 250 workers and their annual turnover is about $50 million. This scale
mostly emphasis on marketing advantages which is involving in social welfare or development.
Characteristic and nature of partnership, sole proprietorship and private:
Partnership: It is identify as a relation between different groups who have united to
exchange the revenues of a company carried on by entire activating for whole. There are various
characteristic which are take by the partnership such as existence of a statement, sharing of
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benefits, being of business, agency relationship, membership, nature of liability, fusion of control
and ownership, registration of firm and Non-transferability of curiosity.
Sole Proprietorship: A sole proprietorship is define as a business which are opened by
single person. They are liable for the whole concern in order to maintain all activities and
functions in an effective manner. There are some features which are proceed by the sole
proprietorship such as ownership, liability, tax liability, risk, considerations and many other.
Private: This type of business is held by some persons in a private manner that having a
individual legal entity. It includes 50 members which are work with the aim of accomplish goals
and objectives. Characteristic of this company such as limited liability, members, perpetual
succession, number of director, minimum subscription and many others.
Illustration 1: Micro and Small business Employment
(Source: Impacts on Various Areas, 2015)
There are various activities and tasks of the economy that will highly impacts the SME's which
are determine under this:
Employment: Small and medium size business includes the 90% of the functions and
activities of business which takes effective place in environment so that it will be give better job
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opportunities to nongovernment employees employment (Neck and Greene, 2011). It is also
provides better platform for the jobless person as well as decrease unemployment rate and
creates the community.
Foreign Direct investment: It is investment type which is made by firm in to other
locations with motive of organising start-up's with an innovative approach as well as involving
towards the country economy.
P4 Importance of start-ups and small business
Brexit: It is define as a form which is popular and connected to the withdrawal and
individual from the European Union (Onetti and et. al., 2012). In year 2016, approx 52% of the
persons are contributing united kingdom selection for UK to leave of absence. On 29th March,
2017, approx 50% are treaty on the EU by British Government (Schaltegger and Wagner, 2011).
There are various parts which are determine as a threats and effects of EU which are describe as
follows:
 Various amount of capital or fund will be never available
 Changes and variation of future skills gap
 In the nature of collaborative which do not trust or believe on limits.
 Placing of headquarters
 Scientists do not trust on cross EU acts essentially.
 Inaccurate partnership that determine as big risk
Importance and significance of start-up's and small-business
Basis Start-up's Small-business
Expectation and growth rate Main motive of start-up's is to
giving different job
opportunities to the
unemployment persons by
growing in a fast level. One of
the main purpose of starting
this business is to scaling
innovative technology.
It is also known as important
and essential part of the
business entity which also
provides large number of the
job possibility to jobless
persons in a systematic
manner.
Nature of the plan It is an essential and beneficial This type of business is
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part of the new entrepreneur
who are concerned in
organising new business at
large level. They produce fresh
goods and services to their
potentials buyers.
emphasis on providing old
facilities or products to the
clients (Shepherd, 2015). In
this various business are
involved such as barber,
carpenter, travel agent and
other small retail store.
Contribution In 1995, approx 64 % are new
jobs are introduced by
launching start-up's. So it is
define as a main contributions
of Micro scale towards the
development and growth of
economy.
Small-business is known as a
enterprise which have fifty
employees. As per the United
state, small scale management
is 99.7 % of entire worker
company are being organised.
Adaptability to modifying
climates
It is also very essential and
significant part of the business
success (Tracey and et. al.,
2011). In this middle crisis and
customers loyalty state that
often capable to endure during
situation.
Economical or market
conditions modify with taste
and time of the person. In the
small-business case, it is very
easy in order to select all
variation in an effective
manner. Main benefits for the
small scale that there are few
buyers who remain trustworthy
loyal to them.
Future growth Start-up's also very essential
and vital part of the future
growth. This enterprise
provides different
opportunities to the new
persons in an effective manner.
Small scale is does not stay
micro for ever. There are
certain certain small
businesses like Microsoft,
Google and Nike but today,
they are very big.
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TASK 3
P5 Characteristics, skills and traits of two successful entrepreneurs
There are main and most successful entrepreneurs are Mark Zuckerberg and Bill Gates.
Both are successful in their field and motive of achieving long term success and development of
the business in an effective or efficient manner. They plan to started new business so in this, they
are successful in competitive marketplace (Welter, 2011). Both have some skills, characteristic
and traits are described under this:
Hard worker: Both entrepreneurs are successful because they are hard worker in
achieving long term goals and objectives of the business entity. Their success and growth story
tells its working hard so in this from they launch and remained emphasised on their objectives
and tasks. It is required for building enterprise successful so that all objectives and goals
accordingly attained.
Risk taker: Mark Zuckerberg and Bill Gates took the maximum uncertainty and provide
entire money and time into their organise business at the period of starting. In this they used
different kinds of approaches in regards to look the risk as well as get the revenues and attain the
objectives and goals. It is a best and necessary skills for the business success and development
because with the help of this, they are capable to face difficult situation in an easy manner.
Money management: Both are successful entrepreneur and had enough resources. So in
this their role and responsibility is to manager all sources of the funds in an effective manner
(Wiklund and et. al., 2011). All these are used them sagely and in specific way so that better
output could be identify about success and growth of their business starting.
Successful planner: The strategies and plans made by Mark Zuckerberg and Bill Gates
in effective manner so in this they can acquire the profitability and productivity essentially. They
measured the real demands and needs of the buyers and thus build their services and products
consumable & effective.
Traits and skills of Mark Zuckerberg and Bill Gates:
Communication skills: It is one of the main and essential quality which is beneficial for
the business manger in order to communicate with their employees. They have large strength
working and functioning with them. So it is highly needed in order to retain the decorum among
the different employees so that productivity of the workers can be determined.
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Determination: It is known as talent and skill that can not be evaluate on the business
operations basis. But both are facing different difficulties and challenges from business start-
up's, in this their mindset and skills supported them in order to completing all tasks and projects
in given time period. For that results, it is needed in order to found effective communication
quality between leaders and workers of the authority or team.
Opportunities Searcher: After acquainting experience and knowledge by handling with
difficult conditions, so in this they acquire practical quality and build their mindset optimistic,
calm nature and more broader.
P6 Entrepreneurial personality reflect its own mindset and motivation
While placing workers into their correct position, human resource management often
follow OCEAN aspects which supports manager in order to assign all projects and goals
according to their knowledge and skills to enhance the personality and development (Naudé,
2013). In this approach, five elements are includes which is used for personality development
and they are known as Openness, Extroversion, neuroticism, agreeableness and
conscientiousness etc. All these are deter min under this -
Openness: It is known as main aspects of the entrepreneur which is required by all
business persons successfully. In this way, an entrepreneur learn innovative things and ideas in
order to achieve long term goals and objectives. One of the main needs of this elements is to
increase basic knowledge and skills on particular subjects. This in move assist in creating
friendly and effective atmospheres as well as also support in regards to attain desire objectives
and aims essentially.
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(Source: Big Five personality Traits of Entrepreneur, 2017)
Conscientiousness: In regards to state a successful entrepreneur, this aspect is highly
needed by themselves (Light, 2011). So in this, it is mainly emphasised and have alert and active
knowledge so that both are can predict the futuristic issues and variation as well as grab a job
opportunity or positivity which can provide maximum revenues to the organisation.
Extroversion: It is makes by the entrepreneur in respect to forecast situation or condition
which will get in upcoming and thus built strategies and plans as per that. It will assist
businessperson to calculate the hard situation or conditions in an effective manner. Due to this,
opportunities and possibility for the upcoming variation in marketplace by suing proper
approach.
Agreeableness: It is best and essential type which is make a business person in order to
develop effective surrounding among the clients and employees (Kuratko, 2016). It will also
cover sympathetic, affectionate and ethical etc.
Neuroticism: It will assist to develop that effective type of environment which generates
effectual atmospheres as well as cheerful so that bonds or connection can be acquire more
powerful and strong.
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Illustration 2: Big Five personality Traits

TASK 4
P7 Background and experience of the successful entrepreneur can hinder entrepreneurship
Being a business person the journey is never easy because in this they face difficult
problems such as obstacles, conflict and other difficulties within their own life. But their mindset
and emphasis always support them to understand their objectives and purpose and acquire
motivation and encouragement from them. In this both entrepreneurs such as Mark Zuckerberg
and Bill Gates who are founder on the business, in this they faced different problems while
opening new business and managing the customers and whole society. Hence, background of the
entrepreneurs is always foster and hinder their working or functioning.
Rewards is one of the main and essential parts of launching business operations in
successful manner. In this they are motivated and generate maximum profits as well as gaining
competitive benefits but disadvantage always considers to hinder and foster the success or
development (Grimaldi and et. al., 2011). In regards to acquire disembarrass of them, different
techniques and methods should be follow so that all issues can be resolved just like Mark
Zuckerberg and Bill Gates did. Both are never gave up as well as better know the company, so
both are took rank in that several locations and achieved experience by functioning or working in
an enterprise. After the capital or funds difficulty, both are evaluate the market trends and
identified growing opportunity with the help of internet marketing system. By using better
techniques and methods they grabbed or captured the opportunity or possibility. So it is
beneficial aspects which increased business sales and revenues in an effective or efficient
manner.
Both education background is different but they decide to start and launch new business
in an effective manner, during this, they face entire issues and problems but they successfully
face this and develop different new products and services in start-up's (George and et. al., 2011).
Hence, both entrepreneurs can acquire innovative things and plans from the Mark
Zuckerberg and Bill Gates in order to increase their experience level and attain objectives and
goals effectively.
CONCLUSION
As per the above mentioned report, it can be concluded that entrepreneurship is a process
of running new business. It is beneficial and important part of the new persons because start-up's
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provides different job opportunities to unemployed persons. Different types of entrepreneurial
which are connected with entrepreneurship typology. Start-up's and small business both are
important and beneficial for the unemployed persons because they provide better opportunities
and job possibility in order to earn maximum profits in an effective or efficient manner. Both
business are impacted on economic such as employment and foreign direct investment. OCEAN
is a best aspects that can effects of entrepreneurs mind set and their motivation level in a positive
and negative manner. Personality, traits, skills and background of the entrepreneurs also effects
on their mindset which is effective for the company success and development.
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REFERENCES
Books and journals
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Routledge.
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Drucker, P., 2014. Innovation and entrepreneurship. Routledge.
Fisher, G., 2012. Effectuation, causation, and bricolage: A behavioral comparison of emerging
theories in entrepreneurship research. Entrepreneurship theory and practice. 36(5).
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George, G. and Bock, A. J., 2011. The business model in practice and its implications for
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Grimaldi, R. and et. al., 2011. 30 years after Bayh–Dole: Reassessing academic
entrepreneurship. Research Policy. 40(8). pp.1045-1057.
Kuratko, D. F., 2016. Entrepreneurship: Theory, process, and practice. Cengage Learning.
Light, P. C., 2011. The search for social entrepreneurship. Strategic Direction. 27(6).
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frontiers. Journal of Small Business Management. 49(1). pp.55-70.
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pp.337-368.
Schaltegger, S. and Wagner, M., 2011. Sustainable entrepreneurship and sustainability
innovation: categories and interactions. Business strategy and the environment. 20(4).
pp.222-237.
Shepherd, D. A., 2015. Party On! A call for entrepreneurship research that is more interactive,
activity based, cognitively hot, compassionate, and prosocial.
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Tracey, P., Phillips, N. and Jarvis, O., 2011. Bridging institutional entrepreneurship and the
creation of new organizational forms: A multilevel model. Organization science. 22(1).
pp.60-80.
Welter, F., 2011. Contextualizing entrepreneurship—conceptual challenges and ways forward.
Entrepreneurship theory and Practice. 35(1). pp.165-184.
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