Entrepreneurship and Small Business Management

UNIT- 9
ENTREPRENEURSHIP AND
SMALL BUSINESS
MANAGEMENT

Table of Contents
INTRODUCTION.......................................................................................................................................3
LO1.............................................................................................................................................................3
P1 Examine different types of entrepreneurial ventures and how to relate to typology of
entrepreneurship......................................................................................................................................3
P2 Explore similarities and differences between entrepreneurial ventures..............................................5
LO2.............................................................................................................................................................7
P3 Interpret and assess relevant data and statistics and how micro and small businesses impact on
economy..................................................................................................................................................7
P4 Explain importance of small businesses and business start-ups to growth of social economy............8
LO3...........................................................................................................................................................10
P5 Determine characteristics traits and skills of successful entrepreneurs that differentiate from other
business managers.................................................................................................................................10
P6 Assess how entrepreneurial personality reflect entrepreneurial motivation and mindset..................12
LO4...........................................................................................................................................................12
P7 Examine relevant examples how background and experience can hinder or foster entrepreneurship
...............................................................................................................................................................12
CONCLUSION.........................................................................................................................................14
REFERENCES..............................................................................................................................................15

INTRODUCTION
Entrepreneurship and small business management refers to an efficient term that gives the
skills and new ideas related to operating the business and help the person to become an
entrepreneur. It helps in managing and new ideas and applying those to create a successful new
enterprise that offers innovative goods and services to satisfy the customers and earns high
amount of profits. This report includes the various ranges of venture types with their similarities
and differences. It also helps in showcasing the data and statistics that helps in illustrating the
impact of micro and small businesses on economy and importance of small business and start-
ups in the growth and development of social economy. It also inculcates the key aspects that
helps in mindset the entrepreneurial and how different environment foster and hinder
entrepreneurship(Maziriri, Mapuranga and Madinga, 2018).
LO1
P1 Examine different types of entrepreneurial ventures and how to relate to typology of
entrepreneurship
Entrepreneurship: It refers to an approachable activity that helps in setting the enterprise while
taking the monetary risk for earning the profits. It is a capacity to enhance mange and organize
the venture along with the risk and the best example of the entrepreneurship is start-up business.
Entrepreneurs: It defines those individual who are accountable and responsible for operating
the new venture where they offer goods and services to the society for earning high money and
profits. This helps the person to increase their living standard and with more high respect.
Enterprise is operated by the business and with the motive of earning high profits by fulfilling
the demand of the society people and according to the demand of the business environment. It
includes various types of entrepreneurship such as owner’s managers, social enterprise, large
business enterprise etc(Kuratko and Morris, 2018).
Entrepreneurial activity: It defines that human action in the enterprising that generates the
value related to creation and expansion of the economic activity. in this entrepreneurship is
generally linked with the entrepreneurial activity. This activity helps in converting the ideas into
the meaningful activity that gives the benefits to the society and the enterprise itself. It helps in
economic growth in the country.

Different types of ventures
 Owners-managers: It refers to that business enterprise which is related to the small
business ventures as they are working with limited resources and workforce. In this they
can offers good quality goods and services that the customers can enjoy and venture can
earn high profits and revenues. This type of enterprise contributes in the economy of the
country. This type of businesses can collect their funds from their family and friends and
also by taking small loans from the financial investors of the country.
 Large business: It refers to those business enterprises that are having their operations
with large number of workforce and high amount of capital and recourses. This type of
business venture done their trading on the international level where they run their
operations in an effective and smooth way. They always work for customer’s satisfaction
due to this they can earn high amount of profits and revenues with longer sustainability in
the marketplace. The best example of this type of enterprise is Google, Microsoft and
Tesco etc(Mirzanti, Simatupang and Larso, 2015).
 Social enterprise: It defines that business enterprise which is working for the welfare of
the society and their interest. In this businesses are offering new and innovative ideas for
solving the problems of the society and improve their living standard. They majorly not
target the profits but they are working for the contribution in the development and
enhancement of the society. The best example of this type of organisation is the BBC.
Typologies of entrepreneurship
Entrepreneurship typology refers to the term which is used to classify the basis of
entrepreneurship that helps in operation s of the organisation in a more effective way. some
typology of entrepreneurship can be shown underneath.
 Lifestyle enterprise: It refers to that type of entrepreneur typology which can helps in
increasing the living standards of the local community people where they established
their ventures and they also helps in providing the effective opportunities of the job to the
person in then local area that is called the social ventures(Wingwon, 2015).
 Growth firms: It refers to those business entrepreneurs that are designed for earning
high profits and revenues and also longer sustainability of the firm. They are always