Detailed Report on Entrepreneurial Ventures: Types, Impact, and Skills

This report provides a comprehensive analysis of various entrepreneurial ventures, categorizing them into small, large, social, and scalable businesses. It explores the similarities and differences between these venture types, including their size, structure, financing methods, and market targets. Th...Read More

UNIT 9

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
P1 Types of entrepreneurial ventures and relationship to the typology of entrepreneurship. 1
P2 Similarities and differences between entrepreneurial ventures.........................................2
P3 Micro and small businesses impact on the economy with data and statistics..................5
P4 Importance of small businesses and business start-ups to the growth of the social economy
................................................................................................................................................5
P5 Traits and skills of successful entrepreneurs that differentiate them from other business
managers.................................................................................................................................6
P6 Aspects of the entrepreneurial personality reflect entrepreneurial motivation and mind-set
................................................................................................................................................8
P7 How background and experience can hinder or foster entrepreneurship..........................9
CONCLUSION................................................................................................................................9
References:.....................................................................................................................................10

INTRODUCTION
Entrepreneurship is defined as the generating a new business or expanding the existing
one by following all the business guidelines, operations, marketing strategies and ethics. Small
business is defined as the newly start-up businesses which are not very much explored and
provides less number of services initially with less number of employees working in an
organization (What Determines Small Business vs. Large Business?, 2020). The following report
is based on the types of ventures relating to typology, similarities and differences between them,
impact of small businesses on economy, importance of micro businesses, differentiating the
successful and small businesses, motivation and mindset of big entrepreneurs and discussion
using various examples of experience in entrepreneurs.
MAIN BODY
P1 Types of entrepreneurial ventures and relationship to the typology of entrepreneurship
Types of ventures
 Small: These are the organizations which are independent and mainly operated for profit
purpose on a small scale which is not dominant in their field. It's goals is to transform
their business into long term and big organizations by increasing their product and
services range, increasing their funds, sales and marketing strategies and improvement in
performances. These businesses are usually restaurants, construction firms, retail stores
and agriculture. They generally raise the funds through micro loans, personal funds, bank
loan, family and friends (Ahl and Marlow, 2019). Their outcomes includes generation of
employment and payroll taxes but not on large scale, they offer necessary products and
services in relation to retail and goods. It's relationship with research and survival
typology can be these business are established with more deep analysis of new
innovations and ideas and initially they focus on the survival of the business in order to
first gain the stability in the market. Large: These are the organizations already established which are independent and mainly
operated for profit purpose on a large scale which is dominant in their field. It's goals is
focus on generating the profits and revenues substantially. These businesses are usually
big IT companies or specific brand range like Infosys, TCS, Wipro, L&T and many more.
They generally raise the funds through revenues, subsidiaries and tax credits. They have
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large number of workforce who are working for the company in achieving their targets.
Their outcomes includes brand image and reputation, status, big corporate events and
many more. It's relationship with research and lifestyle typology can be these business are
also based on lots of research methods that is why they are well reputed and their lifestyle
focusing is important because they need to target their status and brand image. Social: These are the organizations which are dependent and operated for non-profit
purpose on a big or small scale. It's goals is to make this world a better place to live in
with their innovative solutions to repair this society socially. These businesses are usually
for health issues, developing countries, encouraging people for welfare and many more.
They generally raise the funds collectively by physical approaching people or through the
online raising funds. Their outcomes includes their potential to generate essential social
impact and improvement of lives. It's relationship with lifestyle and survival typology can
be these businesses are initially based for the better survival and give the best out their
resources and funds collected. Its' lifestyle targeting is essential because the people they
are serving must be qualitative and quantitative (Ateljevic and Page, 2017).
 Scalable: These are the organizations which are independent and mainly operated for
profit purpose on a small and large scale. These firms are considered as high growth tech
companies whose rate of growing in it's product and services range, sales and profits are
high. These are known as innovation focused firms. It's goals is to establish a firm who
have big innovations ideas and can grow in a very good pace in order to generate more
and more profits. These businesses are usually medical or information technology firms.
They generally raise the funds through risk capital which are accelerators, angel
investment and venture capital, non-dilutive capital which are provided by government.
Their outcomes includes revenues, economic impact and employment. It's relationship
with research and lifestyle typology can be these business are also based on lots of
research methods that is why they are growing well at a very good rate and their lifestyle
focusing is important because they need to target their status and brand image for further
development of their organization (Braidford, Drummond and Stone, 2017).
P2 Similarities and differences between entrepreneurial ventures
Differences
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 Size: Size of small businesses in term of infrastructure is not very good because initially
any staring business will search for space to work and not for the large building. In terms
of people, they hire people especially who are interning or if experienced then less
number of people because funds are less in small business so they cannot afford more
people to work for them. Whereas, large businesses in terms of infrastructure, they
contain big buildings with more number of employees hired, fresher as well as
experienced once. Social businesses in terms of infrastructure can be considered as
similar to small ones because development of NGO's takes time with proving proper
facilities to the society and workforce depends on how the big is organization. Whereas,
scalable businesses in term of infrastructure can be considered as similar to large
businesses with big buildings and strength of workforce is also good with trained and
specialised people (Dana, 2017). Structure: Structure of a small business is not at all diversified, they can have one or two
people as board of directors and only those departments are there which are essentially
required by the firm for their operations. Whereas, large business is very much
diversified, they have more than four members in their board of directors team and
departments which are not essential are also established for the better operations of the
firm. Structure of social business depends upon it's working stage, it they are working on
a high scale then they are diversified otherwise they can be similar to small businesses in
terms of departments also. In term of board of directors again depends on the size of the
business. Whereas, scalable business is considered as diversified with more number of
departments so that they can grow even faster with good number of people in their board
of directors team (Doern, Williams and Vorley, 2019). Financing: Financing of small businesses are usually done on small scale where only
one or two people are appointed to handle financing of the company because they do not
earn good amount of revenue that is why less people are sufficient to control such
function. Whereas, large businesses financing are done on large scale because they earn a
lot of revenues so they require good number of people to handle such function. Financing
of social businesses depends on the funds collected by them for the social welfare, if
funds are good in number than they need more efforts to finance them otherwise not.
Whereas, scalable businesses are somewhat similar to large businesses because they also
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earn good profits that is why they need skilled people to control financing with their
increasing growth and development.
 Market target: Market target of small businesses is not wide, they mostly target the
nearby areas or locations where they are established, they do not have wider reach
because small businesses are not that much known by the people. Whereas, large
businesses is very wide, they target almost every market digitally or physically, thy have
a broader concept and wider reach across their country or world if they are international.
Market target of social businesses are mostly rich society because they take 8interest in
funding to their organization, middle class and poor class people are reluctant to fund
NGO's. Whereas, scalable businesses has a specific target market according to the
products and services they serve to the customers They target only those people who can
take interest in their product and can buy them (Fotopoulos and Storey, 2017).
Similarities Decision making process: Whether it is a small or big organization and social and
scalable firms, decision making process everywhere is similar. This process includes,
identification of the scenario, gathering information, identification of the backup
alternatives, choosing amongst them, action taking, reviewing decisions and their
outcomes and consequences. All the organizations follow similar process in order to
perform better and could maintain effectiveness in their working. Supports economy: It doesn't matter that what of venture is, every organization supports
economy in term of gross domestic product, employment, national income and all the
economic factors that are valued and considered as a factor for growth in a country. This
is a similarity between small, large, social and scalable organizations (Fotopoulos and
Storey, 2019).
 Purpose driven: If any organization is established, it will never be purposeless. Business
needs purpose to attain required targets for the reason it is established. Small businesses
are purpose driven, as they start with a purpose to earn and expand. Large businesses are
purpose driven as they have a purpose to earn more and more revenues. Social businesses
are purpose driven as their purpose is to bring welfare and harmony in the society.
Scalable businesses are purpose driven as their purpose is to grow and develop at a very
good rate. Therefore, similarity is that all the firms are purpose driven.
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P3 Micro and small businesses impact on the economy with data and statistics
This graph is showing the population of small, medium and large in terms of businesses,
employment and turnover in UK. It is analysed that UK economy is more of small business and
least of medium businesses. Larger business population is average in number. Maximum
turnover is of large businesses and minimum is of medium businesses. Average turnover is of
small businesses. Moreover, it has maximum of employment population in small businesses and
minimum of medium businesses. Average is of large businesses. Therefore, it is observed that
small businesses is impacting more to the UK’s economy in terms of businesses and employment
thereby benefiting the economy of UK (Freiling, Harima and Heilbrunn, 2019).
P4 Importance of small businesses and business start-ups to the growth of the social economy
Employment
Small businesses contribute to the economy by providing the jobs to the youth of the
country. Youth are considered the future of a country and plays a major role in growing and
developing the country to the next level. Therefore, it is important to train the people so that they
can contribute to the business as well as to the economy (Laudano, Marzi and Caputo, 2018).
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Every functional department is important to run a businesses like marketing, operations,
productions, information technology, financing and many more as per the businesses
requirements. There are different types of people who educate themselves in some of the
specialization in order to grow in that particular sector and would be able to give contribution to
the firm and economy as well.
Adaptation to climate change
Small firms are the struggling firms and they easily adapt the climatic change. They start
their business for not only to put up a store or a restaurant but they also dream to expand their
business by exploring everything can make them grow. Their hard work and struggle gives them
the courage to face such problems. Simple definition of success is to coming out from the
comfort zone. Small businesses which aims high follow this definition of success (Leitch and
Volery, 2017).
Contribution in taxes for the government
Small businesses supports economy not only by gross domestic product or employment
but also one of the major contribution is in taxes to the government. Government earn income
from the taxes which helps them to develop the country in every possible way. Taxes are
necessary to pay for any business so that they can use the public services that are all available for
the people and as well as for the business. Taxes helps in improvement of the government
strategies to plan for something better for the people and the country. In which businesses has the
major contribution of it.
New ideas and innovations
Existing business keep updating their ideas from time to time in a market. It is difficult
for them to produce new ideas. But small business always comes up with the new ideas and
innovations because they are starting new so it is important for them to think in a unique manner
so that they can attract the audiences and can increase the sales and profits for the firm.
Moreover, it helps economy with it’s new ideas and innovating which results in more of
purchase and sale activities thereby developing the economy (Linton and Solomon, 2017).
P5 Traits and skills of successful entrepreneurs that differentiate them from other business
managers
Vision
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Entrepreneur has a vision of taking risks and bearing the same with confidence and
efficiently because they are once who has established the business of their interest so they works
with the motive to gain brand image and loyalty so they usually takes risks whereas managers
mainly works to gain salary and don’t want to bear any risks because they have the responsibility
of harmony in an organization and risk can spoil that so they are least interested in taking the risk
and works for the salary (Outsios and Kittler, 2018).
Focus
Entrepreneurs focuses on expanding the business with good exploration and knowledge
of it because they want their business to be expanded with good reputation so they tries to
explore more and more by gaining the deep knowledge of business and market whereas
managers focuses on regular business operation and it’s smooth functioning because they focus
is on accomplishing the task for which they are assigned for so tries to maintain stability in an
operations and functioning in an organization.
Motivation
Entrepreneurs motivation is to achieve of what they has targeted and accomplishing of
goals because objectives of the firm are set by the entrepreneurs and it motivates them to
complete that whatever they had decided whereas managers motivation is to gain high power in
an organization with good promotion because managers work for the owner of the firm so they
will definitely aim to be at higher designation in an organization.
Rewards
Entrepreneurs rewards is the profits which they earn from the business they are operating
for because their main target is to earn more and more revenues from the firm so that they could
earn maximum rewards whereas managers rewards is a good salary for what they work for the
organization because managers don’t own the organization, they are responsible for the
operations in firm so their reward is their good and high salary with some bonuses (Pasillas,
Brundin and Markowska, 2017).
Solution
Entrepreneurs solutions to the problems can be formal and informal as well because they
know that only formal solution won’t help, sometimes it is important to be informal to tackle the
situation or conflicts in an organization whereas managers solutions can only be in a formal
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approach because informal way can hinders their responsibility of smooth functioning in an
organization so most of managers adopt formal approach.
P6 Aspects of the entrepreneurial personality reflect entrepreneurial motivation and mind-set
Positivity
Entrepreneur has the personality of positivity which reflects them to be motivated and
positive mind set. Because of this personality they are able to own an enterprise which is not at
the cup of tea for everyone because positive mind set is difficult to gain, most of the people have
negativity in terms of business risk. But entrepreneurs tackles such negativity and owns the
positivity to run an enterprise (Porfírio, Mendes and Felício, 2018).
Creativity
Without creativity, it is next to impossible to be an entrepreneur. Because there are
businesses who are running without any innovation or creativity so it is becoming for them to
expand on larger scale. Entrepreneur who has the good idea to explore it’s business in terms of
creativity and innovation can easily be succeed in their business. Therefore, creativity is essential
to run a business on a large scale to gain competitive advantage in the market.
Curiosity
Entrepreneurs are curious at high level of what they have planned and what can be
outcome of decision making by them. So they continuously, regularly and with efficient efforts
work for the target for an enterprise to accomplish the goals which was set at the time of decision
making. Without curiosity, it is difficult to gain motivation to take an organization to the next
level and it is necessary for every entrepreneur to be successful (Rahman, Ullah and Thompson,
2018).
Flexibility
It is important for an entrepreneur to be flexible. Consistency is good at some point of
time but flexibility leads to tackle the situation in a more effective manner. Because all the
situations cannot be same every time, it changes according to the operations and behaviour of the
people. So flexibility is the most essential to adopt to deal with different kinds of people as well
as situations also.
Passion
Entrepreneur cannot be ever successful if they are not passionate about the business they
are trying to establish. Because passion gives motivation to the people to achieve something
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better in life specially in which people are interested in. Passion helps entrepreneur to deal with
the ups and downs in a business because they are passionate about their organization so they will
definitely wants to sort every problem which comes in their way of succession.
P7 How background and experience can hinder or foster entrepreneurship
Culture
If entrepreneur is from different culture than the environment they are getting in
establishment of it’s business then it could be the problem for them because culture is something
through which the person is attached emotionally and emotional feeling is some how difficult to
tackle, and if culture is similar to that of the environment of the business then it can be easier for
them to establish the business (Varady, Kleinhans and Van Ham, 2017).
Education
It is one of the most necessary aspect for being good entrepreneur because education
only decides that what type of business they can establish. If entrepreneur’s passion is for some
other field and it’s education system is totally different from that then it can be difficult to be
successful in such field, and if educational background matches the passion then no one can stop
an entrepreneur to be successful.
Characteristics
All the entrepreneurs are not successful because of their traits and characteristics they are
having in them since childhood. Changing it’s traits suddenly is very difficult for any person. So
characteristics background can lead an entrepreneur to be successful if it is according to the
business they want to establish otherwise it can hinders their entrepreneurship.
CONCLUSION
It is concluded that entrepreneurship is important for those who aspirants of establishing
their own business with new and innovative ideas with the motive of earning revenues,
expanding the business and gain the brand image and loyalty. Relating to this, report covers the
types of entrepreneurship ventures with the relation of some typologies, some differences and
similarities between ventures, justification through data and statistics, importance of small
businesses, skills and traits of entrepreneur over managers, entrepreneurs motivation and mind
set and finally the impact of entrepreneur’s background in their succession.
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References:
Books and Journals:
Ahl, H. and Marlow, S., 2019. Exploring the false promise of entrepreneurship through a
postfeminist critique of the enterprise policy discourse in Sweden and the UK. Human
Relations, p.0018726719848480.
Ateljevic, J. and Page, S.J. eds., 2017. Tourism and entrepreneurship. Routledge.
Braidford, P., Drummond, I. and Stone, I., 2017. The impact of personal attitudes on the growth
ambitions of small business owners. Journal of Small Business and Enterprise
Development.
Dana, L.P., 2017. International entrepreneurship research: how it evolved and directions for the
future. International Journal of Entrepreneurship and Small Business. 30(4). pp.477-
489.
Doern, R., Williams, N. and Vorley, T., 2019. Special issue on entrepreneurship and crises:
business as usual? An introduction and review of the literature. Entrepreneurship &
Regional Development. 31(5-6). pp.400-412.
Fotopoulos, G. and Storey, D.J., 2017. Persistence and change in interregional differences in
entrepreneurship: England and Wales, 1921–2011. Environment and Planning A:
Economy and Space. 49(3). pp.670-702.
Fotopoulos, G. and Storey, D.J., 2019. Public policies to enhance regional entrepreneurship:
another programme failing to deliver?. Small Business Economics. 53(1). pp.189-209.
Freiling, J., Harima, A. and Heilbrunn, S., 2019. Refugee Entrepreneurship A Case-based
Topography. machmilan.
Laudano, M.C., Marzi, G. and Caputo, A., 2018. A decade of the International Journal of
Entrepreneurship and Small Business: a bibliometric analysis. International Journal of
Entrepreneurship and Small Business. 33(2) pp.289-314.
Leitch, C.M. and Volery, T., 2017. Entrepreneurial leadership: Insights and
directions. International Small Business Journal. 35(2). pp.147-156.
Linton, J.D. and Solomon, G.T., 2017. Technology, innovation, entrepreneurship and the small
business—technology and innovation in small business. Journal of small business
management. 55(2). pp.196-199.
Outsios, G. and Kittler, M., 2018. The mindset of UK environmental entrepreneurs: A habitus
perspective. International Small Business Journal. 36(3). pp.285-306.
Pasillas, M.R., Brundin, E. and Markowska, M. eds., 2017. Contextualizing entrepreneurship in
emerging economies and developing countries. Edward Elgar Publishing.
Porfírio, J.A., Mendes, T.C. and Felício, J.A., 2018. From entrepreneurship potential in culture
and creative industries to economic development: the situation of UK and southern
European countries. International Entrepreneurship and Management Journal. 14(2).
pp.329-343.
Rahman, M.Z., Ullah, F. and Thompson, P., 2018. Challenges and issues facing ethnic minority
small business owners: The Scottish experience. The International Journal of
Entrepreneurship and Innovation. 19(3). pp.177-193.
Varady, D., Kleinhans, R. and Van Ham, M., 2017. The potential of community entrepreneurship
for neighbourhood revitalization in the United Kingdom and the United States.
In Entrepreneurial Neighbourhoods. Edward Elgar Publishing.
Online:
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What Determines Small Business vs. Large Business?. 2020. Available through
<https://smallbusiness.chron.com/determines-small-business-vs-large-business-
20302.html>:/
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