BDC's Entrepreneurial Self-Assessment: A Comprehensive Analysis

This assignment provides an analysis of an entrepreneurial potential self-assessment completed using the Business Development Bank of Canada (BDC) online tool. The self-assessment results are presented, highlighting strengths in motivation, need for achievement, power appeal, self-sufficiency, perseverance, self-confidence, creativity, and perception. The assignment distinguishes between entrepreneurs and small business owners, emphasizing the transformative and innovative nature of entrepreneurs compared to the more stability-focused approach of small business owners. It explores the intention behind the BDC site as a tool for self-evaluation of entrepreneurial traits. The document further discusses the significant contribution of small and medium-sized enterprises (SMEs) to Canada's GDP and job creation, as well as the reasons behind the increased interest in small business and entrepreneurship, including challenges related to interest rates from financial institutions. It concludes by referencing sources that support the analysis of entrepreneurial characteristics and the role of small businesses in the Canadian economy. This assignment is available on Desklib, a platform offering a range of study tools and resources for students.

Entrepreneurship
How did you do?
After attempting the self-assessment entrepreneurial test, I have managed to score a general
average of 174 which is above the average obtained by entrepreneurs. Other areas where I have
exceeded the average score for an entrepreneur are: Your motivations (average score: 62), Need
for achievement/ success (average score: 18), Power/control appeal (average score: 19), Self-
sufficiency/freedom (average score: 14), Perseverance/determination (average score: 15), Self-
confidence / enthusiasm (average score: 15), and Creativity/imagination (average score: 22), and
Perception to act upon one's destiny (average score: 21). These scores indicate my potential as a
would-be entrepreneur. They depict that I possess the basic characteristics of a successful
Canadian entrepreneur.
What is the difference between an entrepreneur and a small business owner? Are they the
same? What do you think (“critical thinking”) was the intention behind this site?
To a layman, being an entrepreneur or a small business owner is interchangeable but in the real
sense they are not the same. It is true both are self-employed and they are after money, but there
are few differences. Entrepreneurs hardly want things to stay as they are rather they are they are
ever looking to transform things, create more energy, and improve things (Keith, Unger, Rauch,
& Frese, 2016). Small business owners, on the other hand, are usually contented with the way
things are, satisfied to keep going (if successful). Entrepreneurs formulate and invent things, aim
at doing things differently and are usually technically minded. In contrary, small business owners
are more likely to do things other people are doing, like venturing in an already existing business
idea.

The main intention of this site was to enable the test taker figure out where he/she has the
pertinent characteristics of an entrepreneur or not. I am saying so since it provides one with
average scores based on the traits he/she depicts through answering the questions.
Do you believe that all small business owners are entrepreneurs?
All small business owners are not entrepreneurs since they lack the vital features of an
entrepreneur both in person and also their business activities (Wagner, 2006). Most of them
cannot be said to be entrepreneurs since their main aim is to making profits regardless of the
activities they will carry out to realize the profits. They are in contrary to entrepreneurs whose
aim is try different ways of doing things - ones that are more sophisticated and resourceful. Some
of them can be considered as entrepreneurs since it is possible to be entrepreneur and a small
business owner at the same time.
Discuss the importance of small business to the Canadian economy.
Small and Medium Sized Enterprises (SMEs) with not more than 500 employees contribute
54.2% to Canada’s GDP (Canada.ca, 2015). This contribution increases further in relation to the
industry. SMEs are also renowned for their job creating capacities and thus help reduce the
unemployment menace in Canada. Also small businesses often fill market niches which big
businesses are reluctant to compete in. SMEs, due to their innovative nature help in the creation
of specialized products.
Why has there been an increased interest in small business and entrepreneurship?
There are various reasons why financial institutions charge small businesses and entrepreneurs
high interest rates. Low interest rates turn out to be lower profits generated from making loans,

and this normally discourages banks to grant credit requests made by small businesses and
entrepreneurs. So, these entities must be charged higher interest rates to guarantee them a reliable
source of loans whenever they need them (Arora, 2015)

References
Arora, R. ( 2015). Why Higher Interest Rates Are Good for Small Business. Rising interest rates
make loans more profitable for big banks to approve, thereby encouraging them to grant
more funding requests. Retrieved from: https://www.inc.com/rohit-arora/why-higher-
interest-rates-are-good-for-small-business.html
Canada.ca, (2015). The Contribution of Small and Medium-sized Businesses to Gross Domestic
Product: A Canada-United States Comparison. Main article. Retrieved from:
https://www150.statcan.gc.ca/n1/pub/11f0027m/2011070/part-partie1-eng.htm
Keith, N., Unger, J. M., Rauch, A., & Frese, M. (2016). Informal learning and entrepreneurial
success: a longitudinal study of deliberate practice among small business owners. Applied
Psychology, 65(3), 515-540.
Wagner, B., (2006). What's Your Entrepreneurial Personality Type? Retrieved from:
https://www.entrepreneur.com/article/84134