Entrepreneurship: Background and Experience

This assignment examines the relationship between an entrepreneur's background, experience, and their venture's success. It delves into how factors like education, previous work history, and personal characteristics influence entrepreneurial decisions and outcomes. The analysis considers both positive and negative impacts of background, highlighting the importance of a strong foundation for successful entrepreneurship.

ENTREPRENEURSHIP

INTRODUCTION
Entrepreneurship stands for creating and designing of small business enterprises who
engaged in the business of production and distribution of goods and services(Z. Solesvik and
et. al 2013). Huge number of enterprises are running in UK. These are helpful for growth and
development of economy. These firms are able to provide employment to large number of
people and improve their standard of living as well. Economic development can be possible
with the help of these enterprises. Various types of entrepreneurship is start up by the
government in order to provide economic growth of country. These are able to increase
export and import level of country. Through this continuous development of country is can be
possible. These firms are also having impact on the government. They receive taxes from at
the appropriate amount which are imposed on them.
TASK 1
P1. Types of entrepreneurial firms and their relation to typology of entrepreneurship.
1) Small scale:- They exist in large number and typically are small businesses
companies. They recruit employees of local background and hardly make any profit.
Small scale entrepreneurial firms owns there own business. Normally these ventures
don't have much goals or high target they are confined to make profit that could help
them to feed there family and caters there own need.(Baines, Bull and Woolrych,
2010) They fund their enterprise through small loans taken from banks, friends and
family.
2) Scalable start up:- Starting a firm and knowing its vision from day one and will have
a goal of changing the world. They will attract certain investors who have the same
targets. Staff hired are the best in their field and work for the targets given. They takes
an idea which is innovative and looks for implementing a scalable business plan
which will make high growth, profitable firm.
3) Large Companies:- These companies are investing into entrepreneurial ideas
because large companies grow or change at very slow speed. They grow through
offering new innovation through their products. Large companies have a pressure on
them to fulfil the demands and requirements of there customers.

4) Social Entrepreneurship:- Organization making products and services to resolve the
social problems(Chittithaworn and et. al, 2011). Their aim is to cater the needs of
people with a social innovation and make world a better place for living.
All these types of entrepreneurial ventures have a relation with the typology of
entrepreneurship. Every venture reads to follow certain typology to resist in the market.
Entering to a new business or market, buying of any organization or buying a new idea,
giving aggressive services, use of contacts to build business are some typologies. These can
be created for various reasons. Developing a psychological typology for the ventures are very
much crucial, small firms might not have much goals or bigger targets but it needs that
whatever they are involved in must have positive psychology. Making staff know there
personal capabilities and what innovation they can do personally. These typologies help the
organizations to stand out of the crowd by knowing there company which include its positive
an negative aspects. A social entrepreneurial has the duty to adopt the typology which is
helpful in making life of people quite easy and simple. They could sustainable ideas which
would not harm instead give relief. A quality topology will add value to the service and
generate productive products(Dennis Jr, 2011).
P2 Differences between entrepreneurial ventures.
Types of entrepreneurial
ventures
Differences Similarities
Small Business v/s Scalable
Start up
Micro business start up work
to feed the family barely
profitable. This entrepreneur
is not design to the owner
want to own their business
and its family. Scalable start
up work to be big in the
market(Drucker, 2014). This
business start up require risk
capital to fund their search
Small venture are create to
feed their family and gain
profits for its family. The
function or activity of these
business provide goods and
services in a local market.
The ownership of this
ventures activity or
functions of accounts
controlled by individual.

for a business model or they
are attract financial investors.
These type of ventures tend
to a group together a
innovation cluster.
Scalable business create to be
big organisation in the market
and create for
profitability(Fassin, Van
Rossem and Buelens, 2011).
They only work for create
value in the market to
comparable its competitors.
Ownership of this venters by
a individual or group.
Large Company v/s Social
Start ups
Large company work for
innovate or evaporate for
their business in the market.
This business grow through
sustaining innovation
offering new products and
services. Large ventures
changes in consumer taste,
adopted new techniques in
production system to create
more pressure for new
innovation new products to
new customers in the new
market. Social business work
to driven to make difference
in the society. These
entrepreneur are no less
ambitions or driven to create
interest or impact than other
type of founder or investors.
In the current environment
entrepreneurs that look
closely at both the business
aspect of things and the social
aspect of things. A large
business create new market
for its consumers to provide
better good and services to
satisfies their needs, and to
make more probability.
Social ventures create for
services and profit for
society. A large business
organisation create change in
society and customer taste but
that this not primary function
of starting the venture and a
social business may generate
profits, but their primary
purpose for starting the
venture for social welfare.

M1.
Corporate sectors in large companies believed to refer to the development of new
ideas and opportunities within large or establishing ventures directly leading to the
increasing its profitability and an enhancement of competitive position in the market or the
strategic and techniques are renewal of an existing business. Small business in corporate
sectors to work for local market and create feed for family(Gorgievski, Ascalon and Stephan,
2011).
Public sectors, this form of entrepreneurship with societal benefits is fast gaining
recognition as an important constituent in the development of society in many terms
financial, social, ecological and understand the cultural of different regional. Social ventures
is generally understand the entrepreneurs activity not only generates income for its business
and employees, but also in a visible accounts to provides a positive impact on individuals and
society locally, regionally or globally.
D1.
The main purpose of the entrepreneurship is to come out with a new innovation which
will add value to the market he is entering in. Uniqueness and usefulness of that idea decides
its scope, development and its growth in future. A entrepreneur has to think out of his
comfort zone and should develop risk taking qualities so that his venture could make a place
in market.
TASK 2
P3 Micro and small businesses impact on the economy.
Micro business is a business which operate on small scale. The range of micro
business started with high and low both growth potential(Haase and Lautenschläger, 2011).
These businesses faces complexities as compared to larger business. In the small businesses
there are at least 5 or fewer employees and lesser revenue as compared to large business.
These businesses start their at small scale but they can quickly grow in to large businesses.
The development organizations of these enterprises provide some services to helps the
entrepreneurs to start these businesses and helps in growth. These services includes:-

planning of business,provides training to the management, market analysis, providing better
networking, helps in financing of loans.
Small business in which there are very small number of workers and the volume of
sales does not high. These enterprises are mostly privately owned and these are operated
through partnership, sole proprietorship(Haynie And et. al 2010). These businesses includes
operations and services like bakeries, small grocery stores, restaurants, guest houses.
The impact of small businesses and micro businesses on economy are as follows:-
Job creation – It is important to know that small businesses provides employment and
good services. These businesses creates a large number of new jobs. These enterprise are
labour intensive as compared to capital intensive.
High worker productivity- In this the organisation structure is less complex and the
owner wants to directly involved in the management. It can express that these enterprises
have lesser productivity and provides lower wages and fringe benefits as compared to large
enterprises.
Employment practices- These firms are likely to provide employment to less skill
people with no work experience. These practices benefits the economy like employment of
these employees helps in increase the productivity by providing the training.
Unemployment reduction- Small-scale businesses plays a vital role in reducing the
unemployment. Government policies focused on these businesses development like providing
loans on low interest,the displacement effect and may cause the effect on dead weight.
Inflation- These firms have greater flexibility than the larger firms in adjusting the
level of productivity and and able to provide quickly and short term fluctuations. These
businesses helps temporary satisfy demand increases without increases the price(Islam, and
et. al, 2011).These enterprise can not compete with the larger enterprise because larger firms
may cause to the many consumer to buy higher prices services and goods and the prices for
substitutes of small enterprise are lower.
Gross domestic product- Small enterprises are regard to make a contribution to gross
domestic product because of the large number and income effects in the form of salary and
wages given to the workers as well as profits to the entrepreneurs. These firms plays a big
role in servicing local markets.

Challenging- Owner of these businesses are very challenging. They are owned
independently and operated with few employees(Jones and et. al 2011).
Positive impression- Small businesses making the positive impression in the
community because around 90% owners of these businesses are donate money for charity and
about approx 70% of owners are contributed money and time in charity.
P4.Importance of small enterprises and business start ups will able to contribute in the
economic growth.
Small businesses and start up are able to contribute in the development of country.
Large number of enterprises are running in the UK. These enterprises are able to provide
employment to people and try to offer standard of living. Many large companies support for
these ventures in the various programs and policies to create new new markets to increaser
the economy growth. These business help in many to grow and development the country
economy;
Economic growth- These business contribute to the local economy by brining the
growth and innovation to the community in which the business also help the to providing
work opportunity to the people who may not be employables in the market. This ventures
tend to attract new talent for invent in new product, services and new implementation for
new new solutions exiting ideas. Large and start up business to provide benefits for small
ventures with in the small or local communities.
Contribution and competitiveness - A small business, corporation, limited liability
company or proprietorship to involve the numbers of employees are 400 or more. According
to the UK small business administration represent the percentage of employers firms and
generated the new jobs in the market. They are innovative significant higher growth rate in
areas of innovations namely products, process, and wider creativity. Micro business help to
make the UK more competitive and attractive visitors and financial inverters. They add
diversity for towns and cities while play an important role serving the communities which
they are based. As competition increases in their turnover in the market whereby the least
productivity companies do not survives in the market.
Adaptability and creativity- Many small-business also process the ability to respond
and adapt new techniques to quickly changes i9n economy climate. Many local customers
remain loyal to their to favourite business in the midst of economic crises and problems. Such

companies are better able to attract and train new talent in the market to develop the new
products and services that are better target the needs and wants of local communities.
Employment and future growth- The contribution of small business to make
employment is phenomenal. Micro ventures are grow with large business often remain in the
community in which the company was first established in the market. This business also
create a future growth for people who are employable In the large corporation and they are
providing better quality in jobs, good incentives, better environment for women(Kriewall and
Mekemson, 2010).
M2
Small business owner come from variety of backgrounds each with their own reason
and interest for pursing self employment. They give people the opportunity to achieve
financial independent and create employment growth in the economy. Small businesses are
give the important due to their role in exporting to other country.
Medium ventures help to create stability in the economy and financial strength of a
country. These venture work from a group to innovate the new products for new customers
in the Market. Its also help to increases the import and export activities from others nations.
Large business contribute more to a country’s economic performance than smaller
ventures. They are more productive, pay higher wages, create higher profit and more
successful in the international market.
D2
These ventures are not create or generate the equally money balance to the contribute
in the growth of economy in local, regional, national and international. At local and
regional level to provide employment and help the small stores, handicrafts, hand-looms and
local markets. It has wider role in national economy where it contribute factors like GDP,
inflation rates and taxation of national income and unemployment.
TASK 3
P5 Characteristics, traits and skills of successful entrepreneurs,
Local business and shops to great value in social media companies, many businesses
only exist thanks to the vision and dedication of an entrepreneur. No matter the size of

industry, starting a company require to a set of skills or attributes not all workers posses.
Those are characteristics and skills of a entrepreneur;
Self motivated and leadership skills- An entrepreneur is self motivated as there is
typically no financial reward in the beginning of a company. Rather then wait for the success
an entrepreneur takes what action and step is necessary to facilitate these things. This self-
motivation is because entrepreneurs enjoy a challenges. An entrepreneur must have to ability
to motivate his employees to work together to a common goal and objective.
Risk takers and innovators- Risk is inherent in starting a company. Entrepreneur
must be able to operate effectively in an environment filled with risk. Requiring this process
to develop decision making skills, in the case of failure and being flexible with the methods
when things to not go as planned(Lee-Ross and Lashley, 2010).
Ethical- Entrepreneur often answer only to themselves and must therefore possess a
strong sense of basic ethics and integrity issues in the business. Some new business owners
have a great experience for the success for long run, clients and investors will lose interest in
doing with an entrepreneur who lakes credibility.
Communication- An entrepreneur with good communication skills is less of an issues
, interact with their staff, deal with clients and investors to increases their business in the
market.
Traits of successful entrepreneur
Passionate and Resilient- A businessman should to be driven by a clear sense of
purpose and passion. An entrepreneur need a spirit of determination coupled with a high pain
tolerance by its compositors in the market.
Financially Prepared and Strategy- A businessman need to a capital or funds to start
or run a business, understanding the financial statement, profit margins and cash flow.
Strategy are very important for a business because result are easy to see. Strategy and skills
help to the industry functions and increases the competitive in the marketplace.
An entrepreneur refer to a person who creates an enterprises by taking financial risk.
A mangers individual who take the responsibility to controlling the company. A entrepreneur
focus on business start up, achievements and risk takers. A manager focus on operation of its
company, primary motivation of power and risk averse.

P6. Influence of entrepreneurial skills and characteristics on motivation and mindset.
Motivation is a term used to define the behaviour of any person. In a layman language
it is a condition which makes people do certain activity. Through motivation a person get
inspiration for doing something. Anyone sitting dull or depressed can be motivated through
various techniques and ways. A employee whose performance is low or poor in the work
place might make company business affect. So they can conduct a study on that employee
and can come out with different ways by which that employee can be charged up and a desire
of working hard for them can be create. It promotes them to work or act in a certain way or to
develop that specific behaviour. Motivation can be done through physiological and physical
ways which may include making staff involved in physical activities or making them know
the art of happiness or art of living etc. On the other hand mindset is a fix assumptions and
beliefs of a entrepreneur mind based on its thinking. Mindset is made from certain
experiences whether personal or through advice of the people. Every entrepreneur thinks of
making its business or venture for that he sets certain assumptions like if he will be doing this
or will be innovating that idea than this could happen and certain change could occur. A
proper mindset and motivation is required for an successful business. A entrepreneur posses
certain skills and characteristic which creates his mindset and inspire him. His venture should
have a simple communication system so that flow of it could takes place smoothly. The ideas
which comes in the mind could be setup to every staff's mind which will make a mindset of
them to follow those instructions and achieve goals(Neck and Greene, 2011). Branding of the
product and services is only the way through which he creates goodwill of his venture.
Creativity of the entrepreneur's mind is reflected through the branding and advertising of that
idea, product or item. He should have a risk taking approach and should not feel inferior in
making decision as this comes from the motivation and positive mindset. Entrepreneur have
mindset of taking his firm to a different level where growth of his innovation and idea takes
place. They should frame a plan, set goals and set rewards for motivation because they are
person responsible for making there people believe in their plans which would attract
customers to their side. He requires a self motivation and confidence to run there venture
steadily.

M3
Characteristics of a successful entrepreneur passion and motivation for its business
growth. Risk taking for all accounts function, investment, return of income and future
financial plans, self belief, work hard, adaptability of ll decisions, and money management of
a organisation.
D3.
Every entrepreneurs of the new era are driven with reasons. But reasons like power,
getting rich and fulfilling the dreams should not be the reasons. Focusing on internal
satisfaction will lead to more success. In the hope of making a impact on the society, self
growth, helping colleges to achieve targets and satisfaction of doing something useful are the
motivational drivers for becoming a successful entrepreneur(Neneh, 2012). For example; a
person has launched a app on the road safety, so the purpose this is to make people aware
about the importance of it.
TASK 4
P7. Effect of background or experience on entrepreneurship.
Background or experience are the same terms which means the person experience,
education and the environment he has lived in. Everyone has different background of them
which includes where they were born, what education they got and what kind of interest they
had in past. Background and experience of the entrepreneurship decides the fate of it and how
they will be perform in the market. When background and experienced is discussed in context
with the entrepreneurship which means its policies, plans, goals, what is the profile of his
owner, there vision for the employees. Whenever a entrepreneur comes with its enterprise
people study its history, ownership, legal structure, location and services it is providing,
mission. Company history section include when it was founded and what was the
contribution of the different people involved in it. This is a vast thing in which a lots of
details can be mentioned like the business plan, at what stage the firm is in. Anyone willing
to invest in your company will deep look into your back history, how much growth it had till
now and what changes has been made till now, what hierarchy are followed at the work
place. Background and experience influence the entrepreneurship and equally the
entrepreneur. Its owner's education qualification like what subjects he has studied in the past

what skill he has learned, suppose a person having degree or knowledge about the organic
farming, so he could start up his own business of organic foods. These things definitely
benefit the entrepreneur because he know what can happen, what are the scope, he can pre
assume the situation coming. Any person with no experience or of not any good background
could also sustain in the market because he has new vision, idea or innovation for the product
which is already existing in the market. A different and new approach will always be
encouraged in the industry this will make the other competitors loose there market. Food
company in UK received warning from the government for a product which he sells in the
market had lead content in it and this news hit the sales of that company. So we could see that
any controversy or the bad background could push it in loss. A person known for its
philanthropic work or social work comes out with natural juice brands so his company will
definitely go in profit jut because people knew that this entrepreneur had a decent
background(Nga and Shamuganathan, 2010).
M4.
Successful entrepreneur have some characteristics and experienced background which
they use in their business so that could lead their enterprise to top level. A
entrepreneur might have characteristics of entrepreneurship but if he
does not have a healthy background than that would influence him.
D4.
There is no doubt in the fact that experienced background would definitely help in
business growth and a bad background of an entrepreneur will image its image and the
enterprise he is coming out has to face the problems because of this.
CONCLUSION
On the basis of above report it has been concluded that, entrepreneurship is a complex
activity which has various aspects and areas to start a business. An entrepreneur have a greet
scope of activities and skills to establish a business and take the all risk. Entrepreneurship
impact the economy of a country while providing many opportunities such as employment,
jobs, export and import transaction out side of the country.