Types of Entrepreneurial Ventures and Their Impact on Economy

UNIT 9

Table of Contents
Table of Contents
INTRODUCTION ..........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Examine types of entrepreneurial ventures and how they relate to typologies......................1
P2 Explore similarities and differences between entrepreneurial ventures.................................4
TASK 2............................................................................................................................................5
P3 Interpret and assess relevant data and statistics that reflects impact of micro and small
business on economy...................................................................................................................5
P4 Explain importance of small businesses and start-up businesses to growth of social
economy......................................................................................................................................8
TASK 3............................................................................................................................................9
P5 Determine characteristics, skills and traits of successful entrepreneurs that differentiate
from other business manager......................................................................................................9
P6 Assess aspects of entrepreneurial personality reflect entrepreneurial motivation and
mindset......................................................................................................................................11
TASK 4..........................................................................................................................................11
P7 Examine relevant examples how background and experience can hinder and foster
entrepreneurship........................................................................................................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................14

INTRODUCTION
Entrepreneurship is refers to the ability and readiness to develop, organize and manage a
enterprise along with its uncertainties as to make maximum profit. Entrepreneur is an individual
who develops a business with the new and creative idea to satisfy the demand of the market ad
generates high amount of profit (Dees, 2017). Entrepreneurs pays a key role in economy while
using skills and necessary initiatives to carter the needs of consumers along with this, brings new
idea into the market. They generally seen as innovator and the sources of new ideas, goods,
services, processes and entity. It helps in providing in job opportunities to the local peoples
through which their living standard is to be enhanced. This report is consist of various types of
entrepreneurial ventures and typologies, similarities and difference between entrepreneurial
ventures. Moreover it includes impact of micro and small business on the economy . Further it
elucidates characteristics, traits and skills of an successful entrepreneur along with analysing
their personality by using OCEAN model. At last it demonstrate background and experience that
can hinder and foster entrepreneurs business.
TASK 1
P1 Examine types of entrepreneurial ventures and how they relate to typologies
Entrepreneurship defines as an practice of setting an organisation or an enterprise in
which a person take monetary risk for attaining revenues. It is an essential term for implementing
change by doing innovation to generate high profits and satisfying needs of customers (Goffee
and Scase, 2015). Entrepreneurial activity refers to a procedure within an organisation that
are associated with creating values by exploring new ideas for generating financial resources.
Implementing new ideas into reality helps in developing growth within competitive marketplace.
Enterprise defines as an entity where entrepreneurs are working to attaining profits. These
enterprises are considered as entrepreneurial ventures. It involves various kind of entrepreneurs
like owner-manager, serial entrepreneurs, entrepreneurs etc.
 Serial entrepreneurs are those entrepreneurs who mainly emphasised on inventing new
ideas and convert it into reality for satisfying customers requirements. This kind of
business are started on small level with innovation and after entrepreneur handed over
this business to large firm so that it will sustain in market for more time with more capital
and resources (Barringer, 2015). Whereas, owners- manager are those type of
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entrepreneur who handle small firm for executing change to attain growth and profits.
These type of entrepreneurs faces major risk and stress because of more burden to sustain
in competitive market.
Different types of entrepreneurial ventures
There are several other types of entrepreneurial ventures that are elaborated below:
 Small Enterprises- It refers to that entrepreneurial venture that are operated on small
scale by an individual person for fulfilling local people needs. It is based on small size
and scope because they provides offering at niche markets. Small enterprises are mainly
associated with sole trader and partnership firm. Purpose of this entrepreneurial venture
are mainly generating small profits by fulfilling local people needs and providing
employment opportunity to few people i.e. around 40-50 people. The net worth of these
firms is maximum €2 million. For example- CafePod Coffee co.
 Social Enterprise- It refers to that type of businesses who works for welfare and benefits
of community and their people. These types of ventures focus on executing new ideas
and benefits for developing society so that living standard of people is to be increased.
The main aim of this type of ventures are not generating profits but helps people of
community for their benefits (Bhachu, 2017). This entrepreneurial ventures having high
scope for local people so that they live their lives better. For example- cancer research,
National trust etc.
 Large Companies- It refers to a type of venture that operates on huge level because of
more resources, capital, scope etc. It offers products and services to huge base of
customers by satisfying their needs using innovation. The main motive of this type of
ventures is to gain high profits and growth in global competitive market. For instance-
Aston Martin, ASDA etc. are associated with private companies and BBC as public
sector.
Different typologies
There are several types of typologies that are linked with various entrepreneurial types. It
is associated with development of companies that reflects operations properly. Different types of
typologies are presented below:
 Social ventures- It define that typology in which entrepreneurs are focused on welfare of
society and their people. This type of ventures are not mainly emphasis on earning profits
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