Entrepreneurship and Small Business Management

ENTREPRENEURSHIP
AND SMALL BUSINESS
MANAGEMENT
Table of Contents

INTRODUCTION ..........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Explain various kind of entrepreneurship ventures and discuss their relationship with
entrepreneurship typology...........................................................................................................1
P2 Mention the differences and similarities among entrepreneurial businesses and ventures ...2
TASK 2............................................................................................................................................3
P3 Assess and interpret statistics and data to demonstrate the manner by which SMEs
influence on economy ................................................................................................................3
P4 Mention the value of business start-ups and small businesses in growth of social economy
.....................................................................................................................................................6
TASK 3............................................................................................................................................7
P5 Explain the traits, skills and characteristics of a successful business entrepreneur that
distinguish them from business managers...................................................................................7
P6 Describe how the aspects of entrepreneurship impacts mindset and motivation of
entrepreneurs...............................................................................................................................9
TASK 4..........................................................................................................................................10
P7 Explain with the help of appropriate examples, how experience and background can foster
or hinder entrepreneurship .......................................................................................................10
CONCLUSION .............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Entrepreneurship is referred to the process where an individual starts up a new business
usually at a small or medium level so that high profits or revenues can be earned. Basically,
entrepreneurship is an aspect in which different kind of manufacturing and investment
opportunities are explored by a person along with risk bearing so that a standardised life can be
achieved (Bakeman and Hanson, 2012). This project report is prepared for Rowlinson Knitwear
which is a UK based small and medium level enterprise, situated in Stockport, UK. This
company is operating at small scale and offers high quality corporate & school wear to their
customers. This assignment is going to cover about different kind of business ventures along
with similar and dissimilar aspects in them. Other than this, role of SMEs in stabilising the
economy and social-economy of UK will be mentioned. Information about varying traits,
characteristics and skills of entrepreneur are discussed to differentiate them from business
managers. At last, importance of good background and experience in enhancing motivational
aspects in a person is discussed.
TASK 1
P1 Explain various kind of entrepreneurship ventures and discuss their relationship with
entrepreneurship typology
Entrepreneurship is stated as the will of a person to manage, start and proceed the
operations of a business in hope to attain high profits and sales within marketplace. Businesses
managed by an entrepreneur are prone of more problems and risks as their success is
unpredictable (Barringer, 2015). Ventures in entrepreneurship are basically of three kinds i.e.
large scale, small scale and medium-sized entrepreneurship. Activities and operability of these
businesses is different due to which they have different ways and tactics to achieve expected
goals and objectives. Different business ventures and information related with them is discussed
below:
Different type of business venture
Small business: Such businesses requires less money, workforce and equipment for
managing their overall business activities. Because of this, the scope and size of such businesses
is low and it operates at local level only. These enterprises offers products and services at
adequate price and it employees workers not more than 50. It works on partnership or individual
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basis. Such businesses have income of around 2 million pounds which it earns annually. For
instance, the New London cafe and Rowlinsons Knitwear.
Large businesses: Such businesses requires large amount of investment, resources and
workers for the purpose of performing their business activities and operations. These
organisations helps in providing standardised and branded products to its customer that are of
high or moderate priced. Such firms operate its activities at global level such as H&M, Zara, and
so on (Burns and Dewhurst, 2016).
Social enterprise: The following type of companies provide services to the needful
people for their welfare and well being. The motive of these type of organisation is not to earn
profit but to work for the welfare and betterment of people. These organisations provide their
services both at the local as well as national levels in a country and their main aim is to fulfil the
basic requirements of people who are not getting this much fulfilment of their needs. The
examples of these companies is such as Oxfam, Save the Children and many more which work
for the welfare of people.
Entrepreneurial typologies
The description of some of the typologies is provided as under:
 Lifestyle enterprises: These are the businesses which are owned and controlled by some
businessmen whose main focus is on earning special income. The growth capacity of
these organisations is also low due to their fixed level of income.
 Growth enterprises: These business enterprises makes their focus on earning high level
profits as to spend high standards of life without having any worries or tension. These
firms are operated both at small scale and large scale but the main focus of these
organisations is to remain in competitive advantage over their competitors (Burns, 2016).
P2 Mention the differences and similarities among entrepreneurial businesses and ventures
There exist many similarities and differences in entrepreneurial ventures. Some of these
similarities and differences are discussed below:
Similarities in business ventures
 Meeting needs of people: Main purpose of contrary business ventures is to complete the
changing needs and preferences of masses. Either Small businesses, social businesses or a
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