Entrepreneurship Report: Ventures, Economic Influence, and Skills

This report provides a comprehensive overview of entrepreneurship, exploring different types of entrepreneurial ventures such as small business, scalable startups, large company, social, serial, and female entrepreneurship, along with their similarities and differences. It delves into the influence of macro and micro businesses on the economy, highlighting the contributions of startups and small businesses to economic growth, including employment, turnover, and exports. The report also examines the skills, traits, and characteristics of successful entrepreneurs, as well as how background and experience can foster entrepreneurship. The report is structured into tasks covering entrepreneurial typologies, economic influences, and the qualities of successful entrepreneurs, offering insights into the dynamic world of starting and managing a business.

ENTREPRENEURSHIP

Table of Contents
INTRODUCTION ..........................................................................................................................1
TASK 1 .........................................................................................................................................1
P1 Different entrepreneurial ventures and its relation with typology.........................................1
P2 Difference and similarities between different entrepreneurial ventures................................3
TASK 2 ...........................................................................................................................................4
P3 Influence of macro and micro business on economy.............................................................4
P4 Contribution of start ups and small businesses in economic growth.....................................5
TASK 3 ...........................................................................................................................................6
P5 Skills, traits and characteristics of successful entrepreneurs.................................................6
P6 The way in which entrepreneurial personality aspect reflects motivation and mind set.......8
TASK 4 ...........................................................................................................................................9
P7 How background and experience can foster entrepreneurship..............................................9
CONCLUSION ...........................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Entrepreneurship refers to the process starting new business and taking risk in the hope of
earning profits. The individual who establish new enterprises are known as entrepreneurs. It
defines as an activity in which a person is willing to create and operate business by taking certain
kinds of risks like financial, political etc. so that higher profits can be earned (Abu-Saifan,
2012). The main purpose behind starting a new venture is to attain high growth and sustainability
in the market by earning higher revenues & profits. Entrepreneurs are the innovators; they have
ideas, business processes, goods and services. They have ability to identify opportunity and grab
that at right time. They convert low productivity resources into higher one in the areas with high
yield. Entrepreneurs plays crucial role in economic development and growth. They have the
ability to think out of the box as well as competency to forecast business requirements. The
report covers various types of entrepreneurial ventures and its similarities as well as differences.
It also includes influence of macro and micro businesses on economy as well as contribution of
entrepreneurs towards it.
TASK 1
P1 Different entrepreneurial ventures and its relation with typology
Entrepreneurship is a process that deals in creating and operating new venture by taking
up high risks in the hope to earn profits. A person who starts a business are termed as
Entrepreneur. These are the individuals who have unique ideas to establish an enterprise for the
aim of earning profits by satisfying needs and desires of customers. They grab opportunities
from market and combine production factors such as resources, capital and manpower in these
business opportunities for yielding high profit ratios. Below defined are several entrepreneurial
typologies by which high profits can generated. These are as follows:
Small business entrepreneurship:
These are the small businesses which are owned and operated by an individual. These are the
start up ventures with single owner (Barringer, 2012). These ventures are considered small in
size as initiation of these businesses not require high amount of funds and much human resource.
In UK, these ventures are start with the aim of earning enough profits that fulfils the basic needs
of individuals. The main objective of a person behind starting these businesses is to feed family
members in spite of making profits. For instance: carpenters, grocery stores, consultants,
electricians etc.
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Scalable start up entrepreneurship:
These entrepreneurs are creative and skilled. They have the ability to change world by
their competencies and innovative ideas. They emphasize on finding out scalable and repeatable
model of business. After found such kind of framework, they focus on getting attraction of
venture capitalist. With their creative and innovative vision, these entrepreneurs establish, grow
and expand their business (Baum, Frese and Baron, 2014).
Large company entrepreneurship:
These companies include corporate organisations with finite life cycle. Large scale
financial activities are also included in it. Growth and development of such kind of organisations
are rely on offered goods and services to target audience, sustaining innovation etc. They
develop products and make alterations in them as per the needs and demands of customers which
administers them competitive edge over competitors. These businesses are run with the objective
of attaining higher profits & capturing large proportion of market share.
Social entrepreneurship:
These entrepreneurs are consider as innovators that emphasize on developing products
that assists in solving needs and issues of society. Their main aim is to improve economic
condition of country. These enterprises are exists not only for earning profits but also contribute
in the well being of society. They deal with various issues like illiteracy, poverty, health care etc.
Social entrepreneurship promotes interest of society and its welfare.
Serial entrepreneurship:
These are the entrepreneurs who constantly come up with new and creative ideas in
order to start a venture. Other entrepreneurs starts business with their own ideas and plays crucial
role in managing day to day business operations. But, serial entrepreneurs are those who come
up with ideas, start business and transform it in the hands of others. After that, they start new
venture and are referred as the founder of various business organisations (Dacin, Dacin and
Tracey, 2011).
Female entrepreneurship:
In female entrepreneurship, ventures are establish by females. They start business with
creative ideas and earn high profits and serves the people of society. All the operations and
activities of the business are run and monitored by females only. They solely carry out all the
functions. They have minimum 51% stake of the company.
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P2 Difference and similarities between different entrepreneurial ventures
Certain characteristics are associated with every business venture that differentiates it
with competitors (Drucker, 2014). Simultaneously, some identical traits are also possess by these
ventures. Below mentioned are some similarities and differences of various entrepreneurial
enterprises.
Lifestyle ventures Serial entrepreneurs ventures
Similarities Similarities
Main objective of lifestyle ventures is to gain
high profits in order to enjoy rich and luxury
lifestyle.
It is necessary to hire skilled and competent
personnel so that higher revenues and profits
can be earned.
Focus on capturing large market share and
optimum utilization of resources so that goals
and targets are accomplished in effective and
efficient manner.
These ventures emphasize on holding good
position in market place and generates high
profits. It allows them to get benefits of lavish
lifestyle.
As objective of both the ventures are similar
so, it is essential for them to recruit competent
and talented manpower.
The main similarity among both are; these
utilize resources in proper manner and are
customer centric.
Differences Differences
They do not convey information about their
growing stage to financial capitalist.
Power is centralized in such kind of ventures.
These businesses are operated in all over the
world (George and Bock, 2011).
They communicate each and every information
of the company and its internal as external
situation to their financial investors on regular
basis.
These ventures operate in certain places.
Power and authority is decentralized in these
kinds of venture.
Female entrepreneur ventures Male entrepreneur ventures
Similarities Similarities
Their main aim is to attain high growth and As female entrepreneurial ventures, its main
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capture large portion of market share.
They constantly make alterations in their
goods and services according to the desires
and preferences of customers (Grimaldi, R.,
Kennel, Siegel and Wright, 2011).
Their main purpose is to get competitive
advantage from market so that they can
compete with competitors in effective manner.
aim is to yield high growth and revenues.
They examine changing needs of customers
critically and modify their goods according to
that.
Their prime objective is also to gain advantage
from market over competitors.
Differences Differences
Female entrepreneurs possess less capability
and confidence in comparison with male.
Their take more time in making decisions.
They have excellent communication skills
compared to males.
The motivation level of male entrepreneurs is
high.
Their decision making ability is good and take
quick decisions.
Communication skills are not so good than
female entrepreneurs.
TASK 2
P3 Influence of macro and micro business on economy
Various forms of ventures are available for entrepreneur in order to initiate or start a new
business enterprise. These may be micro, small, medium and large depends on the potential of
owner and available resources in the enterprise.
Micro business
These businesses are owned and operated by single individual with the aim of fulfilling
basic needs of themselves as well as family members. This type of venture is established by sole
proprietor. Less capital is invested in these kinds of ventures & its organisational structure is
simple as well as flexible as less number of individuals are involved in it.
Small business
These types of ventures are run in domestic economy and are owned and operated by
either single individual or by partner. Less number of personnel are engaged in these enterprise
in comparison to large organisations (Kuratko, 2016). It is easy for these ventures to determine
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taste and preferences of customers in order to alter their products according to that. It is difficult
for an individual to solely run the firm so partnership is recommended to operate it. For carrying
out daily operations in effective way, its main objective is to earn high profits.
Medium business
These ventures are operated on large scale. Its major aim is to yield high profit ratios and
hold good position in the market. Number of personnel in these firms are more, i.e., around 500.
profits and losses are equally distributed and shared among partners. All the individuals are
participated in decision making process of the company (Martin, McNally and Kay, 2013).
Defined below are the areas of economy which are influenced by small and medium
enterprise.
Employment: Small and medium enterprises highly contributes in administering better
opportunities of job to large group of people who have less qualification and knowledge. Their
main purpose is to administer employment opportunities in rural areas. These organisations
recruit employees on the basis of their experience and skills instead of knowledge and education.
The contribution of SME's in economic growth and development is 30%.
Foreign direct investment: In this, domestic country invites others to establish their
business in home town. The major reason behind doing this is to earn high revenue and profits
that assists in improving country's economic condition.
Rural areas: Small and medium enterprises hold strong position in urban and rural areas
by administering them various opportunities for job. They provide appropriate training to
workers in order to enhance their skills and knowledge in effective way.
Enhancing adaptability: In current situation, tastes and preferences of customers are
frequently change. This enables the enterprises to alter their goods and services as per their
needs.
P4 Contribution of start ups and small businesses in economic growth
Start ups and small enterprises highly contributes in growth of economy. In United
Kingdom, these businesses are growing rapidly and is beneficial for economy as its contribution
is 30% in economic development. Brexit put negative influence on functioning of the whole
business (Naudé, 2014). Approximately 50% businesses of UK generates profits from start ups.
Below mentioned are the significance of these businesses in growth and development of country
which are as follows:
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Employment: Various job opportunities are provided by small and medium enterprises
on large scale. They highly contributes in improving skills and competencies of individuals and
are often called job creators as they administer various employment opportunities to local people
of the country. Above 25 million individuals are working with start ups as well as small
enterprises.
Turnover: It refers to the sales cycle of an organisation throughout the year. Sales
turnover ratio of the country is 1.8 trillion in which the contribution of SME's is 48%.
Exports: Export of products and services in other nation is very common now a days.
This is done for the purpose of capturing large market share. It results in increasing profits of
country (Santos, 2012). In UK, the current record of export is 408.9 billion and the contribution
of start ups and small businesses is nearly 15%.
Growth: Economic growth is highly depends on available employment of the country.
This can be calculated by number of employed individuals. Start ups administer high job
opportunities to local residents of the country that is beneficial for future success and growth.
TASK 3
P5 Skills, traits and characteristics of successful entrepreneurs
An entrepreneur is an individual who have ability to start a venture with his innovative
ideas, knowledge and skills. Huge risk is associated with start ups and entrepreneurs take up this
risk in the hope of getting profits. They work with determination for making business successful.
These individuals have strong inner drive that motivates them towards attaining goals. Bill Gates
and Jeff Bezoz are the 2 successful entrepreneurs who created history with their creative and
innovative skills. Different characteristics and traits are possess by them which administer them
successful businessman designation.
Jeff Bezoz: He is the founder, CEO and chairman of Amazon.com. It is a well known
online shopping retailer of the world. The firm is established in 1994. It started initially as
internet merchant of books and expanded to wide variety of products and services. Utilization of
internet has grown very fast and Jeff has taken this opportunity. He left job and develop its own
business Amazon.com. They satisfy needs and demand of large number of customers through
online platform which is the major reason behind its success (Storey, 2016). Some traits and
characteristics of Jeff Bezoz are as follows:
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Knack for innovation: Since childhood days, Jeff is known for its uniqueness and
innovation. He created sound alarm in his early days that guards his room. His spirit of
developing new add his name in the list of richest person of the world. His creative skills helps
him in business expansion. Development of the devices like Kindle and E-Book assists in
gaining more popularity.
Hardcore realistic: This quality is necessary for each successful entrepreneur and Jeff
possess this. Before establishing Amazon, he thinks about all the issues and risks that are
associated with the business. He accepted the fact related to the failure of venture. He assess all
the factors carefully that may leads business to downfall (Welter, 2011).
Risk taker: Jeff have the ability to take risk. He left his job for the fulfilment of his own
desires and dreams. All the risks are calculated by him related to finance, human and physical
resources. He is aware from the fact that there are high chances of business failure but his strong
beliefs and determination didn't let him down.
Bill Gates: Microsoft Corporation is founded by Bill Gates. He is a drop out from
Harvard University and set an example for people. He is one of the most successful persons and
believes that if an individual want to attain something then he will end up with accomplishment
of that. The only thing that matters is strong determination and courage. Below defined are some
traits and characteristics that makes him successful. These are:
Philanthropist: Thinking about future in present is always better. Bill and Melinda Gates
Foundation is established by Bill Gates and his wife. He took retirement and become chief
software architect. He already prepared his future plans before getting retirement from Microsoft.
He is a philanthropist and with these efforts, he emphasize on improving education system of
United States.
Voracious reader: He believes that reading can improve the skills and abilities of an
individual. He prefer hard books for reading instead of e-books. He thinks that reading assists
increasing learning as an individual can learn and get knowledge about different areas that
directly or indirectly facilitates in its growth (Wiklund, Davidsson and Audretsch, 2011).
Knows to prioritize things: Prioritization and habits of an individual determines its
success and failure. Management of time is an essential factor that plays important role behind
success of an entrepreneur. Gates knows it very well and manage his time in proper manner by
utilizing it in doing productive activities. This results in effective accomplishment of goals.
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There are things that exists but, we cannot become part of each one so, it is necessary to
determine priorities of each.
P6 The way in which entrepreneurial personality aspect reflects motivation and mind set
An entrepreneur is a person who creates venture with his innovative ideas and skills with
the hope of making profits. Each entrepreneur possess different qualities and characteristics.
High risk is associated with the start up of new business and it rely on the courage and
determination of an individual that how effectively they can deal with it (Abu-Saifan, 2012). The
five factors model determines five personality traits of an individual that assists in attainment of
goals and targets. These factors are openness to experience, neuroticism, conscientiousness,
extraversion, agreeableness. Each factor is interrelated with each other. These are:
Openness to experience: Creativity and curiosity of an individual is depicted by its
openness. It defines the extent to which an individual can be creative or imaginative. This skill
assist in effectively dealing with uncertainty. Their imagination power is described by their high
openness which is the reason behind its competitiveness. Extreme imagination and innovation
sometimes results in adverse manner. This enables an entrepreneur to change its business
practices and operations on continuous basis.
Conscientiousness: This personality trait tells about how well a person is organised and
developed in order to attain its objectives in effective and efficient manner. Rather then reacting
spontaneously, these individuals handle and deal with the condition in proper and systematic
manner. Individuals with high conscientiousness are stubborn which is not good in context of
handling different situations. It influence their decisions in negative way.
Extroversion: It deals with the tendency of an individual to value stimulation and
achievement. They are often sociable, assertive, active and shunning self denial in favour of
pleasure and excitement. These individuals are strong predictor and contributes in success of
business (Barringer, 2012). The entrepreneur with high extroversion trait are attention seeker
which is not beneficial for the enterprise as it influence the image of organisation.
Agreeableness: This trait depicts the ability of an individual to become coordinative and
cooperative with others. This provides them advantage of getting high competitiveness in
comparison to competitors. The results of high agreeableness is conflicts as the individual
becomes more dominant. Individuals with low agreeableness are often challenging and
competitive which can seen as untrustworthiness or argumentativeness.
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Neuroticism: It defines the ability of an individual to deal with unpleasant things,
feelings or emotions regarding vulnerability, anger and depression. Neuroticism determines
certain individuals who are close to physiological stress. It defines as a degree of impulse control
and emotional stability. High stability need manifest itself as calm and stable personality.
TASK 4
P7 How background and experience can foster entrepreneurship
Entrepreneurs are the persons who have innovative and unique ideas by which they
establish business with the hope of high profits (Baum, Frese and Baron, 2014). Various risks are
associated with starting of a new venture. Entrepreneurs takes all the risks and start a business.
They assess all the factors which might be the cause of its failure and take suitable measures to
lower down the impact of risk. Entrepreneurship is foster in an individual by various factors.
These elements motivates and encourage individual to take risk and start a venture. Their unique
and creative ideas distinguish them from others and their success is highly depends on it. They
have the ability to identify opportunities from the market and grab that quickly. They take very
less time to convert idea into business. For example, if an individual in a family is entrepreneur,
then it is natural that other person may possess the same characteristic. Thinking ability of an
entrepreneur reflects its success. Sometimes, entrepreneurial skills are found in an individual
from their birth and it depicts from their interest towards specific things.
Bill Gates and Jeff Bezoz are not started their career as an entrepreneur. In reaching at
today's position, they both confront various hurdles. Jeff Bezoz left his job to pursue his passions
or dreams. Bill Gates is a drop out of college as he is passionate towards his dreams. They both
are the most successful entrepreneurs today and falls in the category of richest man of the world.
Their journey towards success is not easy as they face various hurdles in order to achieve the
position of a successful entrepreneur (Dacin, Dacin and Tracey, 2011). Large number of
population can learn by them that a individual can fulfil his dreams if he have courage and
potential to do it. The background of an individual assists in fostering entrepreneurship in an
individual. If the background of an individual is positive then it fosters the activity of
entrepreneurship in proper way and if it is negative then it can not foster entrepreneurship among
individuals. Their experience is also important in fostering entrepreneurship. It is important for
an individual to learn from their negative experience and continue to take up risks. This increase
their ability to handle situations in effective manner and attaining success.
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CONCLUSION
As per the above mentioned report, it has been concluded that entrepreneurship refers to a
process of setting up business, taking risk in the hope of making profits. The individual who
starts an enterprise is known as entrepreneur. They possess various skills and attributes that
defines their success. They creates businesses with their innovative ideas and serve goods
according to the needs of customers inn order to satisfy them. There are various types of
entrepreneurs and each works in their own manner. Entrepreneurial ventures highly contributes
in growth and development of economy as well as they also contributes in well being of society.
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REFERENCES
Books and Journal
Abu-Saifan, S., 2012. Social entrepreneurship: definition and boundaries. Technology Innovation
Management Review. 2(2).
Barringer, B., 2012. Entrepreneurship: Successfully Launching New Ventures, (2012).
Baum, J.R., Frese, M. and Baron, R.A. Eds., 2014. The psychology of entrepreneurship.
Psychology Press.
Dacin, M.T., Dacin, P.A. and Tracey, P., 2011. Social entrepreneurship: A critique and future
directions. Organization science. 22(5). pp.1203-1213.
Drucker, P., 2014. Innovation and entrepreneurship. Routledge.
George, G. and Bock, A.J., 2011. The business model in practice and its implications for
entrepreneurship research. Entrepreneurship theory and practice. 35(1). pp.83-111.
Grimaldi, R., Kenney, M., Siegel, D.S. and Wright, M., 2011. 30 years after Bayh–Dole:
Reassessing academic entrepreneurship. Research Policy. 40(8). pp.1045-1057.
Kuratko, D.F., 2016. Entrepreneurship: Theory, process, and practice. Cengage Learning.
Martin, B.C., McNally, J.J. and Kay, M.J., 2013. Examining the formation of human capital in
entrepreneurship: A meta-analysis of entrepreneurship education outcomes. Journal of
Business Venturing. 28(2). pp.211-224.
Naudé, W., 2014. Entrepreneurship and economic development. International Development.
Ideas, Experiences and Prospects.
Santos, F.M., 2012. A positive theory of social entrepreneurship. Journal of business ethics.
111(3). pp.335-351.
Storey, D. J. ed., 2016. Entrepreneurship and new firm. Routledge.
Welter, F., 2011. Contextualizing entrepreneurship—conceptual challenges and ways forward.
Entrepreneurship theory and practice. 35(1). pp.165-184.
Wiklund, J., Davidsson, P., Audretsch, D. B. and Karlsson, C., 2011. The future of
entrepreneurship research. Entrepreneurship Theory and Practice. 35(1). pp.1-9.
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