Unit 9: Entrepreneurship & Small Business Management

Unit 9:
Entrepreneurship &
Small Business
Management

Table of Contents
INTRODUCTION.................................................................................................................................3
TASK 1....................................................................................................................................................3
P1 Different types of entrepreneurial ventures and their growth and development with relation to
typologies of entrepreneurship...........................................................................................................3
P2 Differences & Similarities among entrepreneurial ventures.........................................................5
TASK 2.................................................................................................................................................6
P3 Interpret and assess relevant data and statistics to illustrate how micro and small businesses
impact on the economy......................................................................................................................6
P4 Explain two reasons in regards with small organisations and start-ups play significant role in
social economy..................................................................................................................................7
TASK 3.................................................................................................................................................9
P5: Determine the characteristic, traits and skills of successful entrepreneurs that differentiate them
from other business managers............................................................................................................9
P6: Assess how aspects of the entrepreneurial personality reflect entrepreneurial motivation and
mind-set...........................................................................................................................................11
TASK 4...............................................................................................................................................14
P7: Examine, using relevant examples, how background and experience can hinder or foster
entrepreneurship..............................................................................................................................14
CONCLUSION...................................................................................................................................15
REFERENCES....................................................................................................................................16
Books & Journal:.............................................................................................................................16

INTRODUCTION
In business sector, small medium and large enterprises exist in the market.
Entrepreneurship is defined as process by which introducing of something new is done by
entrepreneur and is responsible for own risk as well as profit (Elkoussa, 2019). Small
business management refers to managing the small businesses operating within the market.
Main purpose of this report is to understand the importance and impact of small businesses at
market place. Also in this two entrepreneurs have been given which are tom mercer and
Elizabeth Gooch. This report comprises of different entrepreneurial ventures, similarities
between entrepreneur ventures, data and statistics analyse impact of small and micro business
on economy, importance of small businesses and start-ups, traits and skills of successful
entrepreneurs, aspects of entrepreneurial personality and examining of background and
experience affecting entrepreneurship.
TASK 1
P1 Different types of entrepreneurial ventures and their growth and development with
relation to typologies of entrepreneurship
Entrepreneurial ventures mainly emphasis on delivering service that comes under the middle
level. In addition to this, it assist business entities to carry out something unique as well as innovative
in market which in turn leads to increase in performance and productivity of companies. It is
determined that entrepreneurial ventures increase social recognition and economic value as well. The
different forms of entrepreneurial ventures is given below:
Large Company Entrepreneurial Venture: This form of ventures bring innovative
products in order to fulfil the requirements of customer and meet with the market demands in
an effective manner. One of the main reason of such ventures is to earn high profits and
capture large market share. Some of the example of large entrepreneurial ventures is
Microsoft, Google and so on.
Scalable Entrepreneurial Venture: This form of entrepreneurial ventures bring new
idea in order to accomplish their vision within the stipulated time period. In addition to this,
the focus on transforming ideas into the reality. It is analysed that scalable entrepreneurs hire
talent and skilful candidates who have the capability to perform activities in an effective
manner. Instagram, Facebook are such an example of scalable entrepreneurial ventures.

Small business Entrepreneurial Venture: This entrepreneurial ventures perform their
activities in order to satisfy their requirements and enhance their living standard. In addition
to this, they mainly take help from friends as well as families to bring something new in
market. some of example of scalable business entrepreneurial ventures are carpenter, plumber
and so on. The main motive is to fulfil their basic needs and enhance level of profits in order
to uplift their living standard.
Social Entrepreneurial Venture: It is also termed as non-profit business organisation.
Their main motive is to offer those products and services that fulfil requirements of
prevailing with in the society. In addition to this, they bring innovation for the welfare of
societies in an effective manner. One of the example of social entrepreneurial ventures is
Safepoint Trust that work with small clinics in order to give best treatment to people who
cannot afford it.
This form of enterprise plays vital role in developing different forms of business
typologies. In addition to this, these typologies have direct influence on decisions that is
taken by entrepreneurs. Along with this, there are various forms of typologies that is given
below:
Aggressive growth Ventures: In this form of typology, there is adoption of latest and
new technology for producing innovative products as well as to customer. The main objective
here is to attract customers and retain in market for longer time. In addition to this, such type
of typologies is related with large entrepreneurial venture that main motive is to attain higher
growth and success at marketplace.
Lifestyle Venture: Herein, the main objective is to fulfil requirements of customer
and meeting with market trends instead of emphasising on expansion of new ventures. Along
with this, it does not involve large number of employees. Such types of enterprise are operate
at a particular place and is interrelated with social entrepreneurial ventures.
Managed growth Ventures: This form of enterprise emphasis in enhancing their
business operations at international level. The main objective here is to earn profits and gain
higher growth at marketplace. Along with this, they emphasis on hiring talented and effective
employees that suggest new ideas and bring innovation in an effective manner. One of the
example of managed growth ventures is scalable entrepreneurial ventures.
Survival Ventures: They focus on satisfying their basic requirements and wants in a
proper manner. Along with this, they emphasis on enhancing living standard of their own and
family members. Moreover, they also focus on retaining at marketplace for longer time. One
of the example small entrepreneurial ventures.

P2 Differences & Similarities among entrepreneurial ventures
Differences among Entrepreneurial Ventures
Small Business Entrepreneurship Large Businesses Entrepreneurship
 Small business entrepreneurial ventures
involve two staff members and more
than it which is owned by sole
proprietor and business owner
according to its requirement.
 The main objective is to fulfil
requirements of its basic needs and also
the requirements of family as well. It
involve needs such as food, clothing,
shelter and so on.
 This entrepreneurial ventures have
more than 250 employees that perform
activities as well as task in an effective
manner. In addition this large
entrepreneurial ventures are controlled
& managed by professional partners.
 The main motive of large scale
ventures it to expand their business and
earn higher profits in an effective
manner.
Similarities between Entrepreneurial Ventures
Apart from the differences, there are various similarities among small and large
entrepreneurial ventures. These are given below:
 The main similarity between such ventures is both put efforts and hard work in order to gain
profits in an effective manner. In addition to this, both are working with a motive to uplift
their living standards and enhance their social status in a proper manner.
 The another similarity is both ventures have identify requirements of customer in order to
implement activities so that they meet with the needs of customer and increase their
performance level in an appropriate manner.
 Moreover, it is analysed that income earn from large and small venture is contributed towards
growth as well as development of societies which leads to improvement in economic
conditions of country.

TASK 2
P3 Interpret and assess relevant data and statistics to illustrate how micro and small
businesses impact on the economy.
In market micro is a small business are important for an economy because they both
provide equal contribution to growth and development. These businesses have a deep impact
on economy because of their wider access to customer and resources. The below is a picture
shown reflecting the data and statistics which depicts way micro as well as small businesses
effect on economy (Corazza, 2019).
The above picture depicts the effect of micro as well as small businesses on economy.
Impact of small and micro business on economy
 Enhances productivity- Both businesses of small and micro improves productivity
of business factor at high level cause they provide employment and jobs to the society
which have a direct impact on economy growth of a country. From the above picture
it has been specified that micro deliver more job opportunities in market and all
micro, small and medium enterprises strengthen the base of a country.

Reduce unemployment rate- Another impact of these two businesses on economy is that
they reduces the ratio and rate of unemployment in a country which results in in battery
improvement of job sector. Also, when unemployment rates are reduced society becomes
more responsible towards development (Novari, 2020).
After analysing of above matter, it has been seen that both micro as well as small
enterprises assist economy to access opportunities globally. Moreover, with changing period
of time this to businesses has been rising with rapid scale which leads to development of
economy.
The displayed picture reflects that small micro and medium enterprises deliver a huge
contribution to market as compared to large companies. Also in given picture, it is shown that
between the year 2010 and 2009 success rate of larger organisations is going at decreasing
rate (Saputro, 2020). Therefore it has been evaluated that people often prefer and purchase
products as well as services mostly from small and micro businesses.
P4 Explain two reasons in regards with small organisations and start-ups play significant role
in social economy
Small organisation as well as start-ups plays a crucial role in social economy as because
they are active and have a proper knowledge of market and accordingly provide products as

well as services to the customers fulfilling their basic needs or demands. Social economy is
defined as mixture of economy that comprises of both public and private sectors. They have a
larger portion of market which increases their importance in economy of a country. Due to
this reason they are being considered as crucial businesses (Morris, 2018).
Two rationale are-
Enhance the market sector- Micro as well as small businesses and start-ups are
crucial for social economy because they produce and introduce new products as well as
innovations within the society that have a positive impact on growth of a country. Also it
impacts the profitability and development of social economy at larger level.
Develop organisational structure- Another rational of importance of these
businesses that they improve the work thing efficiency and organisational structure through
which it is easier to manage resources and workforce with an economy or a country. It is
essential to develop organisational structure so that everything is been done in systematic
manner (Santos, 2017).
Importance of small businesses towards growth of social economy:
 Development in technology- Small businesses improves the growth level of social
economy as because in market they have a larger accessibility and ratio of customer
because of providing daily basic needs products at affordable prices. The rise of small
businesses technology is being also developed which is contributing a growth towards
social economy. Because many small organisation are using technologies and
advanced tools for their business.
 New job opportunities- In this competitive era, small businesses are responsible for
providing many new job project is two people which results in development of social
economy at wider level. Therefore, from above display pictures and matter it has been
seen that small businesses start-ups have a deep importance because they are
responsible for growth of social economy.
After analysis of above paragraph it is examine that importance of small businesses
and start-ups is widening which changing period of time. It is important to carry out their
activities in most efficient manner so that growth of economy does not get affected.

TASK 3
P5: Determine the characteristic, traits and skills of successful entrepreneurs that differentiate
them from other business managers.
In given case studies two entrepreneurs have been given who are Tom Mercer and
Elizabeth Gooch. Both entrepreneurs are different from each other and which also reflects are
they having heterogeneous characteristics, traits as well as skills. Moreover, business
managers are different from these two entrepreneurs as they perform differently within
business sector depending on their roles and responsibilities (Molotkova, 2019).
Traits of successful entrepreneurs
 Motivated- A successful entrepreneur is always motivated toward their goals and
objectives in every type of situation. Also they motivate others towards their goals.
 Enthusiastic- Another trait of successful entrepreneur is that they are enthusiastic in
regards with developing something new and accept the change easily.
 Flexible- This is also a trait of successful entrepreneurs because they are flexible and
adjustable according to the situation which helps them to make decisions effectively.
BASIS Elizabeth Gooch Tom Mercer
Traits Openness- Elizabeth
Gooch is CEO of easy
solution who have a trait of
openness and which means
that she is open to
everyone.
Motivation- it is also
another treat of Elizabeth
good as she is motivated
lady who founded EG
solution PLC in UK.
Passionate- Tom Mercer is
a passionate person who is
entitled to words his way of
doing business and work.
Determination- He has a
high determination of
solving problems and issues
which arises in different
aspects or situations.
Skills Critical thinking- With
this skill Gooch is able to
innovate new ideas and
Communication- Tom
Mercer, this is an important
skill as he has an effective

understand the problems as
well as implement strategies
full stop this critical
thinking skill help her to
make decisions.
Business skills- Elizabeth
has very set of business
skills such as ability to deal
with people analysis of
every situation etc. Thus,
with these business skills
she introduces a new
company.
communication duty which
is able to communicate to
the audience in proper
manner.
ICT skills- It is also another
skill of Tom mercer as he
has knowledge of use of
information, communication
technology which he uses
for his business.
Characteristics Risk taker- Elizabeth has
characteristics of a risk
taker as she started her
business by borrowing
money from family and
friends and from her on
savings which was risk
taking option.
Leadership- Elizabeth has
characteristics of a risk
taker as she started her
business by borrowing
money from family and
friends and from her on
savings which was risk
taking option (Herte, 2017).
Team player- Tom has
characteristics of working
with group of people as a
team player for example he
was having 25 people and
10 people of staff working
around him in 2009 when he
started his business.
Problem solving- Tom has
a characteristics of solving
every problem and issues
faced by people around him
or by self as is solving
issues of an healthy food by
other brands for example he
started his own business and
name the company MOMA
which focuses on providing
healthy foods or beverages

(Negedu, 2020).
BASIS Entrepreneurs Business managers
Meaning
An entrepreneur is one who
to start something new with
aim of making a change in
society.
Business managers are
those who are entitled to
accomplish organisational
goals and objectives by
putting group efforts.
Focus Their main focus is on
enhancing the growth and
development of business at
higher level so that goals are
accomplished.
Business managers focus on
carrying of the work most
effective manner and within
a period of time without
facing any problem or issue.
Approach
Entrepreneurs carry out
their businesses with the
process of formal relations.
They uses approach of both
formal as well as informal
way.
Therefore from the above specified table it is examined that traits characteristics and
skills of every entrepreneur is different from each other which is used by them according to
their perception level. Furthermore it is important for them to edit this in most efficient
manner so that goals are achieved properly.
P6: Assess how aspects of the entrepreneurial personality reflect entrepreneurial motivation
and mind-set.
The personalities of entrepreneur are heterogeneous and according to which they
perform their roles as well as responsibilities in business sector. It is important for
entrepreneurs to be aware about their personality so that decision making process is carried
out effectively. Mind-set and motivation of entrepreneur are being affected by the personality
aspects which are being discussed below by use of Ocean Model (Hadi, 2018).

OCEAN model- It is a model which reflects the different types of personality of an
individual. In this model it comprises of 5 types of personalities which are discussed below-
Openness-
This is a type of a personality in which individual is innovative and have a new
thinking of gaining knowledge as well as developing own skills. This aspect of
entrepreneurial personality affects their both mind-set and motivation.
Mind-set- Tom Mercer has mind-set of improving healthy life of people by providing
them healthy and nutrition foods. Whereas Elizabeth mind-set is to become a successful
entrepreneur (Obschonka, 2017).
Motivation- Tom as well as Elizabeth both are highly motivated personality as
entrepreneur as they both are self-made person who work with motivation
Conscientiousness-

In this type of personality individual perform their roles and responsibilities as well as
carry out their work in perfect and appropriate manner. Moreover they are able to deal with
any type of situation because of their deep knowledge in a particular field.
Mind set- Elizabeth Gooch fit in this type of personality because she has a mind-set
of getting the work done in such a way that no problem occur (Amini, 2018).
Motivation- This type of personality reflects motivation as she is encouraged in
difficult a situation which assists her to make decisions in positive manner
Extraversion-
This kind of personality reflects people who are open with anyone and talk with
confidently. These types of people are extrovert in nature who does not have fear of anything.
So, Elizabeth comes to this type of personality which reflects her mind set as well as
motivation.
Mind-set- With the mind-set and decision theory of investing into a business and
taking help from family, friends reflects her extrovert nature & open mind set.
Motivation- This extra with nature also reflect some motivation as because she is motivated
to open a business firm and become a top female entrepreneur in UK (Muilwijk, 2018).
Agreeableness-
Then further comes type of personality in which individual show empathy as well as
kindness towards society community and organisation. Therefore, Tom mercer fit in this kind
of personality as his focus towards providing healthy foods around country.
Mind-set- The decisions and Inception of Tom is to deliver and provide healthy
nutritional food services. The kind and agreeableness personality of Tom reflects his mind set
(Kärnä, 2018).
Motivation- This personality also reflects is motivation because he is developing his
brand under many big companies such as Tesco, Orcado etc. This shows his level of
motivation in business.
Neuroticism

This type of personality shows that people with unlike behaviour that remain sad and
upset others with their demotivation motivational thoughts. It neither reflects mind set or
motivation of both entrepreneur Tom Mercer and Elizabeth Gooch.
Therefore, above explained model it has been seen that all types of personality are
different from each other according to which the mind-set as well as function of entrepreneur
get affected. So it is essential to use this personalities most efficient we so that positive
outcomes are achieved.
TASK 4
P7: Examine, using relevant examples, how background and experience can hinder or foster
entrepreneurship.
Background & experience- Eliza Beth Gooch- Background and experience of
Elizabeth reflect her personality of entrepreneur. At the age of 18 started working for HSBC
Bank and then worked for a consultancy. Talking about her experience she has long
experience of both employee as well as entrepreneur in her life. But both background as well
as experience fosters the entrepreneurship process to start her business she used to work in
many companies such as HSBC a consultancy firm etc. This was a challenging task for her to
become entrepreneur and gain knowledge ( Herdjiono, 2017).
Background and Experience Tom Mercer- The background and experience of Tom
Mercer also effect and foster his entrepreneurship because he was a college graduate student
from the Cambridge University who was working for Bain and Company enterprise
headquartered in London. You always wanted to start his own business because of no new
idea it was becoming impossible for him to start a business. So, then he realise that it is
important for people to have a healthy and nutritional food from anywhere and place and any
point. Which is experience of working as an employee in a multinational company it helps
him to develop his business idea (Elkoussa, 2019).
Therefore, by examining the background as well as means of both and it has been
seen that please have a deep impact on their entrepreneurship and so there way of becoming
entrepreneur.

CONCLUSION
After a brief analysis of above report it has been concluded that managing small
business management is not easy task. So discussion I will need about different types of
entrepreneur real ventures, similarities between them, data of micro and small business
affecting economy. Then importance of small organisation and start-ups, trade skills and
characteristics of entrepreneurs and different types of entrepreneur real personality, Russian
model and background and experience fostering the entrepreneurship has been explained
briefly. So it is saying that small business management is a time consuming process which
required a deep level of knowledge.
REFERENCES
Books & Journal:
Elkoussa, 2019. Managing Small Business Human Resources: An International Approach.

Corazza, 2019. Managing Small Business Social Responsibility (SBSR) in Formalized Network
Using a Euclidean Perspective. In Social Entrepreneurship: Concepts, Methodologies, Tools,
and Applications (pp. 1031-1052). IGI Global.
Novari, 2020. The SMEs Performance: Mediation of Ambitious Entreprenuer. International
Journal of Psychosocial Rehabilitation, 24(08), pp.4828-4839.
Saputro, 2020. Kampung Wayang Dan Penguatan Materi Bahan Ajar Entreprenuer
Sejarah. AGASTYA: JURNAL SEJARAH DAN PEMBELAJARANNYA, 10(2), pp.222-233.
Morris, 2018. Distinguishing types of entrepreneurial ventures: An identity‐based
perspective. Journal of Small Business Management, 56(3), pp.453-474.
Santos, 2017. Resource-based Theory and Types of Entrepreneurial Firms. In Academy of
Management Proceedings (Vol. 2017, No. 1, p. 17637). Briarcliff Manor, NY 10510: Academy
of Management.
Molotkova, 2019. Small business in digital economy. In SHS Web of Conferences (Vol. 62, p.
04003). EDP Sciences.
Herte, 2017. SMEs and Start-Ups. Importance and Support Policies in European Union and
Romania.
Negedu, 2020. Importance of WhatsApp And Facebook Advertisement on small Business startups
in Nigeria: A Case Study of Abuja Municipal Area Council.
Hadi, 2018. The leverage of entrepreneur skills and entrepreneur traits to business success: a case
study of Pakistan's marble industry. International Journal of Entrepreneurship and Small
Business, 33(3), pp.315-334.
Obschonka, 2017. Using digital footprints in entrepreneurship research: A Twitter-based
personality analysis of superstar entrepreneurs and managers. Journal of Business Venturing
Insights, 8, pp.13-23.
Amini, 2018. Identifying social entrepreneurship competencies of managers in social
entrepreneurship organizations in healthcare sector. Journal of Global Entrepreneurship
Research, 8(1), p.19.

Muilwijk, 2018. Atlantic Water heat transport variability in the 20th century Arctic Ocean from a
global ocean model and observations. Journal of Geophysical Research: Oceans, 123(11),
pp.8159-8179.
Kärnä, 2018. Thetis coastal ocean model: discontinuous Galerkin discretization for the three-
dimensional hydrostatic equations. Geoscientific Model Development, 11(11), pp.4359-4382.
Herdjiono, 2017. The factors affecting entrepreneurship intention. International Journal of
Entrepreneurial Knowledge, 5(2), pp.5-15.