Entrepreneurial Ventures: Types, Impact, and Importance

This report examines various types of entrepreneurial ventures and their relation with topology. It highlights the impact of micro and small businesses on the economy and the importance of small businesses to the growth of the social economy. It also discusses the characteristic traits and skills of successful entrepreneurs that differentiate them from other business managers. The report concludes with an examination of how background and experience can hinder or foster entrepreneurship.

Entrepreneurial
Ventures
1

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Covered in PPT.......................................................................................................................3
TASK 2............................................................................................................................................3
P3 Interpret and assess relevant data and statistics to illustrate how micro and small businesses
impact on the economy...........................................................................................................3
P4 Explain importance of small businesses and business start-ups to growth of social
economy.................................................................................................................................5
TASK 3............................................................................................................................................7
P5 Determine characteristic traits and skills of successful entrepreneurs that differentiate them
from other business managers................................................................................................7
P6 Assess how aspects of the entrepreneurial personality reflect entrepreneurial motivation
and mindset.............................................................................................................................9
TASK 4..........................................................................................................................................10
P7 Examine, using relevant examples, how background and experience can hinder or foster
entrepreneurship...................................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
2

INTRODUCTION
Entrepreneurship is defined as procedure of launching, designing and running new
business which is often small firm. It is the willingness and capacity to organise, manage and
develop business venture and bearing risk to make high profit margins. This is managed and
developed by entrepreneur by bearing high risk to earn profits. Similarly, entrepreneurial venture
is defined as way of providing advisory services to early as well as mid stage organisations. The
role of such depends on stages of company in an effective and efficient manner. This helps in
generating new wealth for business in appropriate way. In order to start new venture, it is
essential to analyse market properly so that requirement of consumers can be known and
accordingly work are performed. The main aim of this report is to examine various types of
entrepreneurial ventures and their relation with topology. Differences and similarities among
entrepreneurial ventures are mentioned in report. It has highlighted about impact of micro and
small businesses on economy and importance of small business to growth of social economy. In
order to be successful entrepreneur, some traits and skills should be possessed individual.
Background and experience can hinder or foster entrepreneurship.
TASK 1
Covered in PPT
TASK 2
P3 Interpret and assess relevant data and statistics to illustrate how micro and small businesses
impact on the economy
Micro business is defined as an organisation which consists of very less number of
employees to perform work to attain goal and objectives in an effective and efficient manner
(Audretsch and et. al., 2016). This types of businesses are operated at small level or scale and
consists of nine or less number of staff members. The annual assets or sales of organisation is
less than $250,000 per year for micro business. As per study, there are 5.9 million private
organisation running in UK market out of which 5.82 million are small business. Micro
enterprise plays an effective role in rising economy of country through providing opportunities to
individual who are unemployed.
3

The number of business in private sector at UK along with their employees and turnover
are described below:
Illustration 1: Illustration 1: STATISTICAL RELEASE, 2019
(Source: Illustration 2: STATISTICAL RELEASE, 2019)
Interpretation
From the above data, it has estimated that there are all together 5,867,770 business in UK
market which plays an effective role in overall economy of nations (STATISTICAL RELEASE,
2019). Out of this data, SMEs consists of three fifth of employment around which half turnover
rate in UK segment. The small businesses in UK consists of 5,860,085 in 2019 year. Turnover to
be estimated from SME is £1,528,684 millions, employment to be 13,157 thousands and
turnover rate to be around £1,528,684 millions. Similarly, on the other hand, medium sized
business has employment of 16,630 thousands and turnover to be estimated £2,168,005.
Therefore, it has interpreted that SME contribute or plays an effective role in development and
growth of United Kingdom and provide employment opportunities for people by establishing
new business. As they have contributed three fifth of their total number of business at
marketplace.
The contribution made by various size of business according to employment, population
and turnover in 2019 year. They are described below:
4

Interpretation
From the given diagram, it can be easily estimated that there is 99.3% of small business
which has employment of 47.8% and turnover of 36.8%. similarly, medium has 0.6% of business
where employment is 12.6% and turnover is 15.4%. Lastly, large organisation has 0.1% of
business where employment is 39.5% and turnover is 47.8%. The employment in SME sector is
15.7 million that helps in contributing about 60% of whole private jobs in UK market.
Therefore, it has analysed that small and micro enterprise of UK possess large market
share (Autio and et. al., 2018). All these small, medium and large organisation helps in growth
and development of nations in an effective and efficient manner for positive outcomes. Here,
small enterprise helps in contributing to economy of country in three different ways. Firstly, they
provide opportunities to those individuals who are searching for job and making them financially
stable. Secondly, they create employment opportunities to those people who are citizens of
United Kingdom for maintaining economical rate and assist country in eliminating
unemployment ratio from country. Lastly, small business provide services, goods and jobs to the
people of country in an effective and efficient manner. Thus, growth of SME has positive impact
in an economy of United Kingdom.
P4 Explain importance of small businesses and business start-ups to growth of social economy
Social economy is defined as collection of different institutions as well as enterprises
which are rich in diversity including social enterprises, foundations, mutuals and so on (Bai,
5

Holmström-Lind and Johanson, 2018). The small as well as start-up business are considered as
significant part of firm as it focus on providing employment opportunities, revenue for country
as well as individuals in an effectual manner. Such small business get support in terms of loans
from government and start up create employment opportunities and enhance living standard of
people of country. The importance of small businesses and business start-ups to growth of social
economy are as follows:
Contribute to local government with taxes- Both start-ups and small business focus on
generating high revenue in which they will pay tax to local authority (Bertoni, D’Adda and
Grilli, 2016). The money earned from taxes can be used for government school education as well
as local police departments. As small enterprise helps in rising value of property at community
level by generating taxes for local bodies. The companies has to pay high taxes to government
that will assist in collecting funds for other aspects of country like education programs,
promotional activities and so on.
Enhancement of Standard of Living- The start-ups and small organisation plays
effective role for social growth of country as they create job opportunities for people that helps in
rising living standards. This also assist in facilitation of providing products as well as services at
affordable cost to people of country in effective manner. These business fulfils need and demand
of local people that leads to rise in living standard of people in best possible manner. According
to provided data, small business are liable for 99.3% of business share in market of United
Kingdom. There are 15.7 million employment from SME sector which leads to 60% of jobs in
private sector that helps people to enhance their living standard and earn money. The earning of
money will fulfils requirements of people along with achievement of success and growth in their
life.
Economic development- The small and start-ups business plays an effective role in
development of economic of nation as it creates employment opportunities for local people of
country and leads to rise in per capita of nation (Bertoni, Martí and Reverte, 2019). These
business utilise less number of natural resources that helps in economy growth of country. From
the data, it has estimated that 47.8% of employment is provided to individual who helps in
economy development of UK. This assist in bringing high amount of cash flow and creating
large employment opportunities. It provides an opportunity to earn money which contribute
6

towards economy development of country along with enhancement of financial status of each
and every citizen through small and start-ups business.
TASK 3
P5 Determine characteristic traits and skills of successful entrepreneurs that differentiate them
from other business managers
In present context, there are Mark Pearson and Anthony Rose that are the two inspiring
entrepreneurs that are taken into consideration within this section (Brem, 2017). Basically, they
consists of different skills, characteristics along with the traits and some of these of both the
entrepreneurs are presented underneath :
Mark Pearson
Markco Media is the organisation, which was found by Mark Pearson and this is being
considered as one of the crucial business firm known for it's European discount network. Within
the year of 2014, Mark Pearson's business firm Markco Media was listed in United Kingdom's
market as mobile payment organisation. Away with this, if it is talked about the characteristics,
traits and skills that Mark Pearson is carrying, then these are described underneath in a detail
manner.
Skills
Communication skill- This is being considered as one of the crucial skill that Mark
Pearson is carrying and which made him one of the famous motivational speaker and a
successful entrepreneur as well. Through this skill, he has become effective within the market
and started influencing customers, stakeholders, partners and which made him a successful
personality in a short span. On the other hand, if it is talked about manager of a business
organisation, it is may be possible that he/she may not have this skill, which could create
conflicts among manager and subordinates. This can be considered as something, which made
Mark Pearson different from others.
Characteristics
High Perseverance- Putting huge efforts on a particular task with subordinates is
something that Mark Pearson used to do in order to motivate his company's staff other
individuals like investors and so on (Brown and et. al., 2018). This characteristic of Mark
Pearson directly brought high amount of interest of both staff and investors as well. This is
7

something, which mostly managers do not uses as an approach, and delivers orders to their staff
and this what makes them different from a successful entrepreneur like Mark Pearson.
Traits
Passionate- This is said to be one of the influential trait, that Mark Pearson is having
towards the company that he has launched (Colombo and et. al., 2016). With the help of this, he
has become successful in attaining number of desired goals and objectives to reach to the leading
position within United Kingdom's potential market. Away with this, in some cases it can be said
that manager of a company do not stays passionate towards his or her work, which can be
considered as difference that a successful entrepreneur carries from an individual who is carrying
a post of manager.
Anthony Rose
Anthony Rose, is one of the famous personality in United Kingdom, who has saved BBC
and helped them in launching BBC iplayer. Basically, he has brought in existence a number of
business like Beamly, 6Tribes, Hey Blab and QJAM. And at present he has become the founder
and CEO of SeedLegal, the world’s first legal automation platform for start-up funding. This
successful entrepreneur has number of effective skills, traits along with the characteristics as well
which made him different from other individuals like managers and some of these are described
underneath:
Characteristics
Confidence- A primal characteristic, that Anthony Rose is carrying, which has helped
him in supporting BBC through delivering them with the ideas to launch BBC iplayer in an
effective manner (Cornwall, Vanga and Hartman, 2019). This has brought self belief within him,
and helped in taking right decisions in correct time. Under this, this characteristic is not carried
by most of the managers as they rely upon existing approaches and make them less effective as
decision taker.
Traits
Versatility- Over the years, Anthony Rose has brought number of changes within his
companies like Beamly, 6Tribes, Hey Blab and QJAM, which has helped him in bringing right
modification in correct span. Basically, a manage do not make changes and due to this, they are
different from successful entrepreneurs.
Skills
8

Time management- Effective skill, which led Anthony Rose to attain desired goals in
right time. This is something, that most of managers of a business firm do not carries, which
delays the tasks.
P6 Assess how aspects of the entrepreneurial personality reflect entrepreneurial motivation and
mindset
In today's business world, it has been found that there are ample number of entrepreneurs
are present that are serving the best to their potential and targeted customers (Davies, Haugh and
Chambers, 2019). Basically, they consists of different types of characteristic, traits along with
the skills which helps an entrepreneur to become successful and carry a different or unique
personality from others. With the help of this, an entrepreneur could sustain within the market
for a longer period of time. In present context, it has been found that entrepreneurial personality
always reflects on other people towards behaviour and attitude in order to set motivational
mindset for others. OCEAN Model is taken into consideration to understand the entrepreneurial
personality of successful entrepreneurs like Anthony Rose and Mark Pearson. Basically, this
model is holding 5 different elements and these are mentioned underneath:
Openness- This is said to be the primal phase, where shows their interest and open
themselves or their thoughts towards a particular point.
Conscientious- This is the phase, where entrepreneurs mainly looks forward to complete
number of tasks in specified time frame (Eddleston and et. al., 2016).
Extraversion- This is said to be one of the crucial phase, where entrepreneurs uses their
power so that to express themselves in front of individuals. Through this approach, both Anthony
Rose and Mark Pearson has reached to success level in shorter span.
Agreeableness- Faithful along with trustable are the two elements that both Anthony
Rose and Mark Pearson has carried under this phase, which helped them in coping up with
others.
Neuroticism- It has been found that, under this phase only suitable personality is being
considered where people mainly behave weird so they can be aggressive.
Mark Pearson and Anthony Rose
Over the years, Mark Pearson has become successful because he has carried number of
characteristic along with the skills, which directly shaped his personality and made him a
successful entrepreneur.
9

On the other hand, Anthony Rose has made himself as UK's best entrepreneur through
looking at his goals towards the company much more aggressively and positively as well.
TASK 4
P7 Examine, using relevant examples, how background and experience can hinder or foster
entrepreneurship
In order to become success entrepreneur, there are several aspects which has to be
considered by individual to accomplish their goal and objectives (Lee and Huang, 2018). This
depends on elements such as family background, past experience, education, income level of
family and others. Some of the factors that assist Mark Pearson and Anthony rose to become
successful entrepreneur are as follows:
Family Background- The family background also plays an effective role in becoming
successful entrepreneur at marketplace. If family is supportive and educated then it becomes
easier to achieve goal and objectives of life by individuals. In case of both entrepreneur, family
supported them for financial as well as non-financial sources to achieve their dream.
Level and Type of Education- The education also plays great role to become successful
entrepreneur along with becoming successful citizen of country. In context of Anthony Rose, he
found pick and place machine and automatic machine for study. He was student from University
of Cape Town. Similarly, on other hand, Mark Pearson, he has left his schooling at age of 16 for
taking admission in local catering college. He has won many competition for cooking across
nation. This represents that both entrepreneur has done higher education in their own respective
field. If they had not done higher studies then they would not become successful entrepreneur.
Therefore, level and type of education helps in becoming successful and renowned entrepreneur.
Economic circumstances- The economical conditions also assist in becoming successful
entrepreneur (Leitch and Volery, 2017). This happens because economical conditions of country
will help individuals to get assistance from various institutions in an effective and efficient
manner. Here, both Mark Pearson and Anthony rose has become entrepreneur due to better
conditions of country. In case of South Africa, it has helped Anthony Rose to get financial help
from various sources at low cost in effective and efficient manner. Similarly, on the other hand,
United Kingdom has also good economic conditions which has helped Mark Pearson to expand
business through various financial alternatives along with stability of country. It is important for
10

any individual to become successful entrepreneur to possess from good family background along
with having zeal, enthusiasm and economic conditions to be good.
National culture- It is referred as values, norms and beliefs that are shared by people of
specified country (Reed, 2016). This also includes other aspects like religion, language, cultural
history and others. These all aspects impact capabilities and skills of individuals in an effective
and efficient manner. From the above, it has mentioned that both entrepreneurs belongs to
various nations and places with their own aim and objectives of life. Here, Anthony Rose
belongs from South Africa and Mark Pearson is from United Kingdom. As career of both
entrepreneur is influenced through their culture of country from which they belong. It has said
that culture of South Africa is ethical and peaceful which helped to become successful
entrepreneur. Similarly, in case of UK, individual has to groom themselves to grab opportunities
to become successful personality.
Character Traits- The traits of individual helps them to attain goal and objectives of
their life (Shams, 2016). This can be sociability, compassion, loyalty, self-control and so on. In
context of both entrepreneur, they possess all these character traits which assist them to become
successful personality.
Therefore, these aspects helps people to become successful entrepreneur. All are
important element to achieve goal and objectives of life in an effective and efficient manner.
CONCLUSION
From the mentioned report, it has concluded that entrepreneurship is important practices
that should be adopted by individual to manage and start their own venture at competitive
market. Different types of entrepreneurial venture exist at marketplace such as small, large,
private, public and so on which are related to topology of growth, lifestyle and survival. These
venture has different aim and objectives but these focus on fulfilment of need and demand of
society and their people. SME has positive impact on economy of nation that create large
employment opportunities and improving living standard of people. In order to be successful
entrepreneurs, they should possess characteristics, skills and traits to different themselves from
other business managers. Personality of entrepreneurs helps in creating motivation among them
to become successful person at society. Successful entrepreneur are impacted through their
family background and experience they have faced by them.
11

REFERENCES
Books and Journals
Audretsch, D. B. and et. al., 2016. Entrepreneurial finance and technology transfer. The Journal
of Technology Transfer. 41(1). pp.1-9.
Autio, E. and et. al., 2018. Digital affordances, spatial affordances, and the genesis of
entrepreneurial ecosystems. Strategic Entrepreneurship Journal. 12(1). pp.72-95.
Bai, W., Holmström-Lind, C. and Johanson, M., 2018. Leveraging networks, capabilities and
opportunities for international success: A study on returnee entrepreneurial
ventures. Scandinavian Journal of Management. 34(1). pp.51-62.
Bertoni, F., D’Adda, D. and Grilli, L., 2016. Cherry-picking or frog-kissing? A theoretical
analysis of how investors select entrepreneurial ventures in thin venture capital
markets. Small Business Economics. 46(3). pp.391-405.
Bertoni, F., Martí, J. and Reverte, C., 2019. The impact of government-supported participative
loans on the growth of entrepreneurial ventures. Research Policy. 48(1). pp.371-384.
Brem, A., 2017. Creativity and routine: Conceptual considerations on managing organisational
ambidexterity in entrepreneurial ventures. International Journal of Entrepreneurship
and Innovation Management. 21(3). pp.261-273.
Brown, R. and et. al., 2018. Working the crowd: Improvisational entrepreneurship and equity
crowdfunding in nascent entrepreneurial ventures. International Small Business Journal.
36(2). pp.169-193.
Colombo, M. G. and et. al., 2016. How high-tech entrepreneurial ventures cope with the global
crisis: changes in product innovation and internationalization strategies. Industry and
innovation. 23(7). pp.647-671.
Cornwall, J. R., Vang, D. O. and Hartman, J. M., 2019. Entrepreneurial financial management:
an applied approach. Routledge.
Davies, I. A., Haugh, H. and Chambers, L., 2019. Barriers to social enterprise growth. Journal of
Small Business Management. 57(4). pp.1616-1636.
Eddleston, K. A. and et. al., 2016. Do you see what I see? Signaling effects of gender and firm
characteristics on financing entrepreneurial ventures. Entrepreneurship Theory and
Practice. 40(3). pp.489-514.
Lee, M. and Huang, L., 2018. Gender bias, social impact framing, and evaluation of
entrepreneurial ventures. Organization Science. 29(1). pp.1-16.
Leitch, C. M. and Volery, T., 2017. Entrepreneurial leadership: Insights and
directions. International Small Business Journal. 35(2). pp.147-156.
Reed, P., 2016. Entrepreneurial Ventures in Chemistry: The Muspratts of Liverpool, 1793-1934.
Routledge.
Shams, S. R., 2016. Entrepreneurial challenges in the 21st century: Creating stakeholder value
co-creation. Springer.
Vonortas, N. S. and Kim, Y., 2015. Managing risk in new entrepreneurial ventures. In Dynamics
of Knowledge Intensive Entrepreneurship (pp. 145-165). Routledge.
Welter, F. and et. al., 2017. Everyday entrepreneurship—a call for entrepreneurship research to
embrace entrepreneurial diversity.
Wright, M. and et. al., 2016. The evolving entrepreneurial finance landscape. Strategic
Entrepreneurship Journal. 10(3). pp.229-234.
12

Wu, J., Si, S. and Wu, X., 2016. Entrepreneurial finance and innovation: Informal debt as an
empirical case. Strategic Entrepreneurship Journal. 10(3). pp.257-273.
Online
STATISTICAL RELEASE. 2019 [Online]. Avaialble through:
<https://assets.publishing.service.gov.uk/government/uploads/system/uploads/
attachment_data/file/852919/
Business_Population_Estimates_for_the_UK_and_regions_-
_2019_Statistical_Release.pdf>
Types of topology lifestyle ventures these are such. 2020. [Online]. Available through:
<https://www.coursehero.com/file/p1010af/Types-of-Topology-Lifestyle-Ventures-
These-are-such-types-of-businesses-which/>.
What Is Entrepreneurship? – Types & Importance. 2020. [Online]. Available
through:<https://www.feedough.com/what-is-entrepreneurship-types-importance/>.
13

14