ENT301: Analysis of Entrepreneurial Ventures and Business Management

This report provides a comprehensive overview of entrepreneurship and small business management. It begins with an executive summary highlighting the importance of entrepreneurs in maintaining successful businesses and achieving goals. The report then delves into the different types of entrepreneurial ventures, including small business, scalable, large company, lifestyle, and social entrepreneurship, comparing their similarities and differences. It explores the influence of small and micro businesses on the economy, discussing their characteristics and contributions. Furthermore, the report examines the differences between entrepreneurial characteristics and those of business managers, including personality aspects, mindset, and motivation. It concludes by analyzing the impact of experience and background on fostering entrepreneurship, supported by statistical data and relevant examples. This report is designed to provide insights into the dynamics of entrepreneurial ventures and their significance in the economic landscape.

ENTREPRENEURSHIP AND SMALL BUSINESS
MANAGEMENT
1

Executive Summary
In any enormous or independent company, there is a prerequisite of a business person to
maintain an effective business and accomplish every one of the objectives. The business
visionaries are primarily the inspired individual those are in charge of maintaining a business.
Keeping in mind the end goal to be a fruitful business visionary, there is a necessity of good
attributes and also abilities for accomplishing the objectives for the business. Notwithstanding
that, independent company requires a ton of administration capacities which will be useful for
dealing with the business appropriately. There are different sorts of business person's
endeavours, for example, social business people, substantial business visionaries et cetera. Also,
the independent venture has an awesome open door fundamentally in the nearby financial
segments. The business new companies have an enormous open door as far as development and
additionally work moreover. The private venture has an enormous significance in the social
economy area also. There are a few aptitudes and additionally like being sure, taking compelling
choices et cetera which make them not quite the same as the administrator of an association. The
accomplished and foundation makes a gigantic effect regarding being a fruitful business
visionary.
2

Table of Contents
Introduction......................................................................................................................................3
P1. Different entrepreneurial ventures in relation to their topology............................................3
P2. Difference and similarities between entrepreneurial ventures...............................................4
P3. Influence of small and micro business on economy..............................................................6
P4 Small business sector and growth of economy:....................................................................10
P5. Difference in entrepreneur characteristics from business managers...................................12
P6. Personality entrepreneurial aspects in entrepreneurial mindset and motivation..................13
P7. Influence on foster entrepreneurship through experience and background.........................14
Reference List................................................................................................................................17
3

Introduction
Entrepreneurship is a business activity launched in the economic system. The individual
who launches the business in the economic system is known as an entrepreneur. An entrepreneur
generally starts with small ventures to understand the need of the market. An entrepreneur must
have the quality of foresightedness. He should have the capacity to predict the market condition
in order to gain profit in the business. In Order to maintain the diversity in the economy both
small and large organizations must be present in the business environment. An individual who
launches the business start-up in the economic system is known as an entrepreneur. An
entrepreneur should have the equality of risk bearing because he in order to run a business
successfully an entrepreneur must take all the risk associated with the business. A business
owner must be creative enough to involve innovations in the business. An entrepreneur must
have the farsightedness to predict the economic condition of the market .In the given case study
the growth and prospects of small organization in the economic system will be discussed in
border to understand the productivity of the economic system.
P1. Different entrepreneurial ventures in relation to their topology
Entrepreneurs are considered as the individuals starting their own business, in order to
establish a start-up business. On the other hand, entrepreneurship ventures are preferred as
different types of business under the concept of entrepreneurship. In the view of Kitching et al.
(2015, p.134), the small start-up business and entrepreneurs have evidenced to accomplish their
business successfully. On the other hand, entrepreneurs deliver a huge economic growth of
nation through their business and thus are considered as backbone of economy. In addition to
that, several; entrepreneurs at global level have evidenced to establish successful business, such
as entrepreneurs of British Telecom and Cadbury, Bill Gates of Microsoft, Mark Zukerberg of
Facebook, Steve Jobs of Apple and many such other personalities. On the other hand, based on
the statistical data of UK, it has been found that, most of the economic growth of UK have been
received from the small enterprise businesses (gov.uk, 2016).
Figure 1: Statistical data on contribution of different business in employment and turnover
of UK
(Source: gov.uk, 2016)
4

With the choice of brexit, UK business can have the opportunity to capture the single market
with saving the taxes, which UK had to pay for EU. In addition to that, the entrepreneurs can
engage in different types of ventures such as:
Small business entrepreneurship
Small business entrepreneurship is considered as the business by entrepreneurs, who establish
and runs their own business. In the view of Storey (2016, p.46), the small business entrepreneurs
approaches funds for their business, from the local people, family or friends. In addition to that,
the entrepreneurs in small business provide the business of storefronts, consultants, grocery
stores any other such small business.
Scalable entrepreneurship
Scalable entrepreneurship, on the other hand, starts business of the existing and well known
companies and products. In the opinion of Zacca et al. (2015, p.21), scalable entrepreneurs gains
their funds from the financial investors and aims to gain repeatable model of business. The
scalable entrepreneurship can be approached by the serial entrepreneurs, as the serial
entrepreneur handovers their business to other successor groups after gaining fame and strong
brand image, with reference to success.
Large company entrepreneurship
Large entrepreneurship focuses on gaining high amount of profit and revenue generation through
delivering the products and services to varieties of customers at a national level or globally. In
addition to that, as Alasadi and Sabbagh (2015, p.294) has commented that, the large
entrepreneurship provides innovation, different varieties and specifications in their products,
based on the changing trends and taste of their customers. On the other hand, the large
entrepreneurs have definite market segmentation and target customers, where the products and
services are produced and innovated based on the preferences of customer choice. Large
entrepreneurship business of UK is Tesco Plc, M&S and others. Lifestyle entrepreneur topology
can be related to the large company entrepreneurship ventures, as the companies grow on a
chosen model of business, in order to gain their objectives and aims.
Social entrepreneurship
The social entrepreneurship are generally considered as the non-profit organisations, which
provides the services and products for the well-being of society and public. However, as Goss
(2015) has stated that, in several cases the social entrepreneurship businesses can also be
profitable or hybrid. On the other hand, the social entrepreneurs can be related with the social
topology, which helps the society with identifying an issue and thus provides services and
products based on the issue. The organisations, such as Belu, Big Issue and others are the social
entrepreneurs business.
Further, below given are some of the types of entrepreneurial ventures and they are as
follows:
Male entrepreneurs: They are the one who have
the characteristics to make other involved and
also perform the task that other person.
Female entrepreneurs: They focus on making
others perform their set of roles and each one to
grow in positive direction.
Social entrepreneur: Person who establishes an
enterprise with the aim of solving social
problems or effecting social change.
Serial entrepreneurs: Someone who starts and
leads one business after another or, multiple
businesses at the same time.
5

P2. Difference and similarities between entrepreneurial ventures
Different ventures of entrepreneurship and topology possess both similarities and differences in
their business process.
Small Business entrepreneurship venture
and large business entrepreneurship
venture
Similarities ● Both of the large business
entrepreneurship and small business
entrepreneurship provides the products
and services for their customers.
● As Wilson et al. (2014, p.8) has
commented that, both the large
business entrepreneurship and small
business entrepreneurship are
generally customer centered.
● Both of the entrepreneurship business
approaches the business in order to
gain profit and high sales.
Differences ● Alike of the large business
entrepreneurship, the small
entrepreneurship business does not
have departments and full-time
employees.
● The hiring procedures and process do
not need high standards employees in
small business. However, the large
business needs highly skilled
employees in their business.
● Small business entrepreneurs provide
service up to the local areas and local
people. On the other hand, the large
business entrepreneurs provides their
services for large numbers of
customers from different geographical
regions and sometimes globally.
● The small scaled business
entrepreneurs do not possess online
appearance and website as the large
entrepreneur business does.
● Online applications are not possessed
by the small entrepreneurs. However,
in the view of Grimes (2013, p.461),
the business of large entrepreneurs
6

possess online application of their
business.
Social entrepreneur and serial
entrepreneur
Similarities ● According to Amit et al. (2015,
p.301), both of the serial entrepreneurs
and lifestyle entrepreneurs innovates
and delivers their products and
services to the customers.
● The choice and needs of customers are
considered while development of a
product of both the entrepreneur
company.
● Both the entrepreneurs possess new
ideas on the development of products
and services.
Differences ● Major difference which is seen
between the lifestyle entrepreneur and
serial entrepreneurs is of risk taking.
● Serial entrepreneurs generally take
new ideas and implements in their
business with taking risks. However,
in the opinion of Grant (2016, p.75),
on the other hand, the lifestyle
entrepreneurs, generally do not
possess risks, while doing business.
● The lifestyle entrepreneurs grow and
implements their strategy based on a
specific and chosen model of business.
However, on the other hand, the serial
entrepreneurs, takes risks with
innovation of different services and
products in different time. In addition
to that, the serial entrepreneurs focus
on the experience with new innovative
services and products.
P3. Influence of small and micro business on economy
As business consists of different sizes, based on the employees and other criterion, it has been
classified as small, medium and large sizes on a standard base. The small business possesses less
than 50 employees in it and the standard turnover has been estimated of 10 m with reference to
10 m of total balance sheet. On the other hand, as Autio et al. (2014, p.1101) has stated that, the
7

medium sized business consists less than 250 employees based on the UK standard, with an
estimated turnover of 50 m with reference to total balance sheet of 43 m. Micro business size, on
the other hand is estimated with less than 10 employees, with reference to turnover of 2m and
balance sheet of 2m.
Figure 2: Private sector business growth of UK
(Source: gov.uk, 2016)
On the other hand, business are further described in more wider classification, such as :
Private business
Private business are run based on limiting the number of owners extending from the owners of
company to the investors, in order to provide the services and products to the customers and thus
to gain profit.
Sole Proprietorship
In the sole proprietorship, business is run by a single individual, in order to gain profit and high
revenue. On the other hand, as Bruton et al. (2015, p.23) has commented that, the owner might
hire other individuals in order to run the business or might run the business alone.
Partnership business
Partnership business are considered as the collaborative partnership of two individuals, with
owning the same business with different shares, in order to gain high revenue and profit with
approaching large numbers of customers.
8

Figure 3: Estimated Business numbers of UK in 2016
(Source: STATISTICAL RELEASE, 2016 )
Based on the Brexit policy of the United Kingdom, it might impact on the economical situation
of migration in the UK. As based on a report, it has been found that, implementation of Brexit in
UK, might change the policy of immigration of EU individuals in UK territory, with restricting
the low skilled labors to enter in UK for employment. On the other hand, as the small businesses
recruits the low skilled employees, thus it might hinder the small businesses.
Figure 4: Migration rate to UK
(Source: Woodford, 2016)
On the other hand, as Chaston (2017, p.9) has commented that, if UK will continue their
immigration policy of trade with EU after application of Brexit, UK might capture the overall
single market, with shifting their recruiting policy with high skilled and knowledge based
individuals. Thus, as the small business are dependent majorly in the migrant labors, thus, the
restrictions on immigration policy of UK after application of Brexit can influence the small
business sectors.
On the other hand, as Fayolle (2017, p.65) has stated that, with the implementation of Brexit in
United Kingdom, can help them to improve the economic growth of the nation, with reducing the
tariff and tax costs, which they have to give to European Union, in order to trade their business.
9

Figure 5: Impact of Brexit on Economic growth of UK
(Source: Woodford, 2016)
On the other hand, United Kingdom might have an opportunity to do business with the other
non-European countries, with providing lower import costs to them and thus to gain spur
competition and real incomes to the SME’s. In addition to that, as Schaper (2016, p.16) has
commented that, the cheap gained import materials and products to United Kingdom can help to
gain the opportunity of competitive advantage, with boosting up the manufacturing companies
and business.
10

Figure 6: Share, employment and Turnover of SME of UK
(Source: BARCLAYS, 2016)
On the other hand, as the SME of UK is considered as the financial backbone of UK, thus, it can
ultimately help the UK economy to boost up.
P4 Small business sector and growth of economy:
As stated by Ridley and Bull (2015, p.30), since 80’s small economic sectors are playing a major
role in enhancing the economic growth. While starting the business an entrepreneur must study
the economic condition o0f that particular society such was the income of the consumer,
demand, preferences, etc, so, that they does not incur losses.
Brexit is a term which came into existence while the process of separation of UK from European
Union was proposed. Brexit had tremendous effect on the economic condition of UK which, is
explained below:
Brexit might tremendously affect the per capita income of UK. Presently the per capita income
of UK is high due to the high rate of population. After the withdrawal the per capita income
11

became can be low due to the low rate of population. Thus, it can be said that brexit might
reduce the real per capita income of UK. Brexit will increase public expenditure because the rate
of tax will get increased to a greater extent. The rate of employee can also be affected due to
Brexit because the employee cannot enter and exit the European market freely. Thus it can be
said that Brexit has a negative effect of the economic market of UK. Brexit might become a
barrier for immigration, direct investments and foreign trade (Barreto, 2014, p.500)
Difference between startup and small business are explained below.
Start up
● Start up is a small business venture
newly launched by an entrepreneur.
● The aim of startup is to earn high rate
of profit and meet the demand of the
customer.
● The main aim of the startups is to
fulfill the customer's demand
● Profit of startup can increase with time
● In start up business the scale of
business is not measured
Small scale business
● Small scale business is not a new
venture but the output of the
organisation is low.
● Small scale industries fail to meet the
demand of the customers and
sometimes earn loses in the economic
activity which hampers its growth.
● Small scale business fails to fulfill the
demand of the customers as less
capital is invested in small scale
business.
● Rate of profit of small scale business
is low.
● In this type of business scale of
business is measured.
Importance of small scale business is explained below:
Small scale industry helps to increase the productivity of an economy. It provides employment in
an economic system reducing the rate of unemployment and poverty level. Small scale industries
and startup ns improves the economic condition of the rural people by increasing the rate of rural
employment (Schaper et al. 2017, p.300).
Small scale industries promote social and economic growth because it increases the rate of the
employment. These small scale industries and startups enhance the social development of an
economy by providing employment opportunities to the women of the society. Small scale
industries help in the poverty reduction of the economy enhancing the social growth
Small scale industries helps to reduce the unemployment rate as it create employment
opportunities for the unemployed. Small Scale business removes the regional imbalance by
constructing small scale industries in the rural areas. On the other hand small scale industries
promotes both rural as well as urban development
Small scale industries and startups promote infrastructure development by increasing the
employment opportunities to the rural unemployed (Epifanova et al. 2015, p.23).
Small scale industries not only enhance the income opportunities but also social developments. It
improves the health and sanitation facilities of the rural and urban people.
Small industries have increased the rate of employment in UK. It also facilitates international
trading and economic growth by removing the regional disparities. Small scale industries have
initiated equal distribution of weal.th in UK by providing equal income opportunities in rural as
well as urban sectors.
12