Entrepreneurship and Small Business Management Report

Desklib provides solved assignments and past papers to help students succeed.

Entrepreneurship and Small Business
Management
Student’s name-
Student ID-
1

Table of Contents
Task 1 LO1 Explore and illustrate the range of venture types that might be considered
entrepreneurial.................................................................................................................................4
P1: Examination of different types of ventures and their relation to topology of
entrepreneurship...........................................................................................................................4
P2: Explore the similarities and differences between entrepreneurial ventures..........................4
Task 2LO2Assess the impact of small businesses on the economy................................................5
P3 Interpret and assess relevant data and statistics to illustrate how micro and small businesses
impact on the economy................................................................................................................5
P4 Explain the importance of small businesses and business start-ups to the growth of the
social economy.............................................................................................................................5
Task 3 LO3 Determine and assess the key aspects of an entrepreneurial mindset..........................6
P5-Determine the characteristic traits and skills of successful entrepreneurs that differentiate
them from other business managers.............................................................................................6
P6- Assess how aspects of the entrepreneurial personality reflect entrepreneurial motivation
and mind set.................................................................................................................................6
Task 4 LO4 Examine the different environments that foster or hinder entrepreneurship...............7
P7 Examine, using relevant examples, how background and experience can hinder or foster
entrepreneurship...........................................................................................................................7
Conclusion.......................................................................................................................................8
Reference List..................................................................................................................................9
2

Introduction
Entrepreneurship and small business management aids the students to gain knowledge and
develop new skills in case they wish to start their own business. In this assignment, the wide
range of kinds of ventures of entrepreneurs has been investigated along with the relation they
have with entrepreneurship typology. The various effects of small organisations on the economy
have been evaluated in the assignment along with it the various aspects of mindset of
entrepreneurs have been assessed in this assignment such that the difference between
entrepreneurs and business managers can be analysed. The various environments that hinder or
foster entrepreneurship have been evaluated in the assignment with examples.
3

Task 1 LO1 Explore and illustrate the range of venture types that might be considered
entrepreneurial.
P1: Examination of different types of ventures and their relation to topology of
entrepreneurship
There is a huge range of entrepreneurial ventures that exists in which each of them are different
based on the purpose as well as objectives that the organisations have and the nature of the
organisations and their type. The investments are made in order to make sure that the
organisations run successfully without any hindrance (Drover et al., 2017). The entrepreneurial
ventures have been divided into two type namely public and corporate sectors in which the
procedure can be both business and social entrepreneurship. The entrepreneurial ventures have
an aim of offering innovative services and products to the customers such that the desires of the
customers can be met and their sales as well as profitability can be increased. The types of
entrepreneurial ventures that exist have been explained below:
 Small Business Entrepreneurship: The small business that exists employs approximately
fifty percent of the employees who work in private sectors. The examples of the small
businesses are the hairdressers, consultants, grocery stores, travel agents, carpenters,
electrician, plumbers and others. The small business entrepreneurs hire employees who are
local or members of family. These entrepreneurial ventures are not so profitable and the main
motive they have is to feed the members of their family and earn profit. They do not aim to
build an empire.
 Scalable Start-up Entrepreneurship: The scalable start-ups are started with a vision of
changing the world in long run. These entrepreneurs aim at attracting investments so that
they can hire the best and the most talented people in the organisation. Their motto is to
search for models of business that is scalable as well repeatable (Casnocha.com, 2011). They
aim at expanding their businesses so that they can offer something different to the people in
the world.
 Large Company Entrepreneurship: The large organisations grow and develop by
emphasising on innovation so that they can provide a wide range of new products that is
centred on the main products that they offer. The modifications that take place in the choices
4

and the desires of the customers along with the competition they face in the market, the latest
developments in technology, the new laws, etc makes the organisations to focus on creativity
and innovation so that they can offer fresh products to the customers and increase their sales
and profitability. The large organisations that already exist in the economy generally adopt or
acquire the organisations that are innovative so that they can adhere to disruptive innovation
and increase its sales as well as profit (Kuratko et al., 2015)..
 Social Entrepreneurship: The social entrepreneurs are the organisations that focus on the
creation of services and products that can solve the issues or the challenges that has perturbed
the society. The motto of the social entrepreneurship is to make the world a better place to
live in so that the quality of lives of people can be improved instead of increasing their share
in the market.
The various typologies of entrepreneurial ventures have been discussed below:
 Individual Entrepreneurship: The businesses that are started by the individuals in order to
increase profit are termed as individual entrepreneurship. Its examples are the start-ups,
franchise, acquisition and others.
 Corporate Entrepreneurship: Corporate entrepreneurship can be termed as actions of
innovation or creativity that are taken by the organisations that are existing in the market so
that they can offer a wide range of products and services to the customers. Its examples are
joint ventures, franchise, partnership and others.
 Public Sector Entrepreneurship: The ideas of innovation that are adopted by an organisation
in order to offer a huge range of products and services to the customers are public sector
entrepreneurship. Its examples are the partnership between the private and public firms and
others.
P2: Explore the similarities and differences between entrepreneurial ventures
The various entrepreneurial ventures that exist in the market are different from each other in
several ways however there are several similarities as well among them. The various ventures of
entrepreneurship are owned by different people have varying background or nature however the
various ventures of entrepreneurship mainly provide services and products to people though the
nature of the products and services are different (Altinay et al., 2016). The products and the
services offered by the entrepreneurs are different based on the way it was started the scope they
5

have in terms of generation of income. There are organisations that have the motto of growth as
their main priority while there are organisations that do not have such priorities. The similarities
as well as the differences that exist among various ventures of entrepreneurship have been
explained below:
Similarities
 The various ventures of entrepreneurship generally commence with creative ideas such that
fresh services can be offered to the customers (Volery and Mazzarol, 2015).
 The various ventures of entrepreneurship generate various opportunities of employment or
jobs.
 The various ventures of entrepreneurship aids o earn profit and offer services to people.
Differences
 The various firms or the various ventures of entrepreneurship that exists in the market mainly
have different strategies of expansion so that the revenue they generate can be increased or
the strategy of making a difference to the society without generating revenue (Amato et al.,
2017).
 The investments that are made in case of each entrepreneurial ventures are different, the
ways in which they are started is different thus the process of their operation is different as
well.
 The opportunities of employment that are created by each of the entrepreneurial ventures are
different in each of its type.
 The hours of working along with the objectives that the organisation has are different.
 The plans that are devised in each case of the entrepreneurial ventures vary.
 The opportunities that the entrepreneurs have in case of their increase in profitability based
on the nature of the products and services that they provide is different.
6

Task 2LO2Assess the impact of small businesses on the economy
P3 Interpret and assess relevant data and statistics to illustrate how micro and small
businesses impact on the economy.
The micro and the small business have a huge impact on the economy of a country. In case the
country the United Kingdom is considered it can be stated that the small and the medium-based
organisations account for about 99 percent of the total number of organisations in the country.
Even at times of recession that micro and the small organisations have generated a number of
opportunities of job (Thebalancesmb.com, 2019). As per the reports, it has been observed that
number of organisations have increased by 63% since 2000. The reports of 2018 shows that the
number of micro organisations in the United Kingdom is 5,416 while the number of small
organisations in the country is 210.
The number of people that the micro organisations employ are 8,802 and number of people
employed by the small organisations are 4,083. The annual turnover of the micro organisations is
808 million pounds and the annual turnover of the small organisations is 590 million pounds.
The micro organisations account for 96% of the organisations in the United Kingdom while the
small organisations account for 4% of the organisations in the country. The employment
generated by the micro organisations is 33% while the employment opportunities generated by
the small organisations are 15%. The turnover of the micro organisations is 21% of the total
turnover of the country while the turnover generated by the small organisations is 15% of the
total turnover of the country.
Thus, it can be stated that in the United Kingdom the small and medium-sized organisations
make up to 99% of the organisations (Rhodes, 2019). Thus, the impact it has on the economy of
the country is immense. The small organisations have been observed to make major contribution
in the growth and development of the organisations as it has made immense contribution in the
sales it made in the international market. The small organisations have made a big contribution in
driving innovation or creativity that has further encouraged the growth and development of the
country. There are various factors that affect the growth and the development of the small and
the medium-sized organisations in the country like Brexit and the financial system of the
country. The SDP of the country has been affected due to Brexit however the small and the
7

medium-sized organisations have still sustained in driving the economy of the nations in a
positive direction.
P4 Explain the importance of small businesses and business start-ups to the growth of the
social economy
The small business organizations and start-ups are on the rise in the market of the country of
United Kingdom. The job sector and the industry in the country of United Kingdom flourished as
the small businesses had developed well. According to Pigou (2017), the economy within the
market of United Kingdom grew and was maintained in a systematic way by adhering to the
varied range of processes going on in the daily transactions of the small organizations. The micro
businesses developed their infrastructural framework to ensure the smooth functioning and
operations in the market.
The Companies carrying out the varied ranges of small business operations and strategies
ensures the growth and development of the economy. It helps in providing employment to
numerous individuals living within the society. According to Ward (2016), the funds and
investments coming from numerous sources provide the aid to the different individuals to
establish the small business Companies and entities. The economy in the society is added up due
to the blossoming of the small business entrepreneurial ventures that are set up. United Kingdom
also faced the good results of following the quality services and methods that are helpful in
setting up the entrepreneurial ventures and Companies.
The different stakeholders associated with the operations and activities of the small organizations
provide the impetus and the drive to the organizations to carry out their activities in an efficient
way. Huge numbers of workers are recruited within the small Companies to develop the variety
of categories of actions continuing in the micro organizations. The desire and the necessary
commitment among the individuals can be identified to establish the different actions and tasks
that ensure the maximum profits and productivity of the organizations plying their trade
activities within the market. The activities once perfected in a profitable way by devising the
specific processes tend to ensure that the trade actions are done in a proper method. The small
enterprises would help to get developed by following the basic procedures that are helpful for
their survival and prosperity. According to Tidd and Bessant (2018), the Companies that do not
have a huge scope plays an important and crucial role and responsibility to execute the duties and
8

responsibilities associated with framing the infrastructural framework of the small business
ventures.
There are numerous number of Companies that have come up in the market of United Kingdom
to improve the market conditions in the country of United Kingdom. The micro enterprises also
play the stellar role and responsibility to implement the different strategies to provide the
resources for the large organizations in order to ensure the development of the actions and
products by them in future. The country of United Kingdom has seen quality rise in the small
business ventures and organizations. The development of the small and medium organizations in
the society of UK raises the economic condition of the market and supports the entrepreneur to
implement the actions by following a operations process and methodology.
The various sectors found in the country of UK provide the basic assurance to the stakeholders of
the small entities to be assured of shining in their prospects of developing the Companies into
huge organizations. The huge organizations would have a great quality infrastructure that would
cater to the different customers availing the facilities and services of the organization. The
entrepreneur is a promising and dedicated individual who follows the basic steps and strategies
to execute the small business activities. The entrepreneur takes risks and the operations to enable
the desirable actions to operate on a smooth basis. The promising individual follows the policies
and steps to ensure the completion of the variety of tasks within the Company. According to
Burns (2016), the statistical data being represented for the small Companies to help in
establishing the varied range of operations behind developing the small and micro enterprises.
9

Task 3 LO3 Determine and assess the key aspects of an entrepreneurial mindset.
P5-Determine the characteristic traits and skills of successful entrepreneurs that
differentiate them from other business managers
The entrepreneurs who progress in developing the business ventures in entrepreneurship
implements the variety of activities and operations of the organizations. The certain skills set and
the variety of actions being followed within the small businesses provides the assurance to
execute the operational procedures of the organization. The entrepreneurs are very people having
the much-needed confidence and the motivation within them to shine and excel in their lives to
implement the strategies required to establish the ventures that are entrepreneurial in nature and
feature. The business individuals have to be ambitious and possess the capability to develop the
basic skills and talents to establish the different activities continuing in the smaller and micro
enterprises.
According to Storey (2016), the entrepreneurs must have the spirit and vigour to build up the
small business initiatives and enterprises to frame the variety of jobs allotted to them in order to
accomplish the measures behind implementing the activities. The entrepreneurs have the urge to
think something out of the box and develop the acumen within them to perform the tasks allotted
within the small and micro Companies and entities. The functions and the roles of the
entrepreneurs are developed in a significant method by devising the procedure that supports the
establishment of the framework of the sphere of the medium and small organizations. The people
who are involved in the entrepreneurial options and choices tend to provide the basic aid to the
stakeholders in acquiring the details and facts associated with the organizations. The
entrepreneur needs to possess the skills of communication that are of different ranges or
categories and provides the assurance that the operations and actions are completed in a matured
manner.
Managers have extra responsibility to handle the operational tasks and actions that help them to
implement the operational procedures and strategies that distinguish their role from the budding
entrepreneurs. The entrepreneurs have dreams of being established as responsible individuals
within the society to build up the entrepreneurial ventures that have a positive impact upon the
business and manufacturing operations and activities continuing within the organisation. The
10

managers have to handle situations of immense importance and they have expectations of
millions of individuals who depend upon the actions and decision making of the managers. The
entrepreneurs on the other hand tend to take calculated risks to develop the operational tasks
within the functional units and departments that are found within the Company. According to
Goffee and Scase (2015), the managers have targets and goals to reach within the organisational
sphere whereas the entrepreneurs do not have to reach the targets and goals and can go on with
their work without any deadlines or targets to meet.
According to Steiss (2019), the various actions of the entrepreneurs and managers have to be
designed in an efficient way by adopting the specific practices and policies to generate the
actions that are helpful for enhancing the productivity of the organisations. The entrepreneurs
tend to possess the necessary and basic skills that provide them the impetus to follow the
activities and services going on within the organisations. The entrepreneurs have a different role
to play in developing the small business ventures and develop the growth in the economy of the
organizations in near future. The entrepreneurs need to assert their personality that helps them to
take up initiatives to exert their influence upon the manufacturing of the operations and tasks that
have developed within the Company.
P6- Assess how aspects of the entrepreneurial personality reflect entrepreneurial
motivation and mind set.
The entrepreneurs must possess the specific skills and characteristics features that would lend the
necessary support and aid to the Company to fulfil the duties and actions that are associated with
the Company. According to Sanghi (2016), the entrepreneurs are promising individuals who
have the potential to develop the basic skills and traits helping them to execute the variety of
activities being continued within the organisation. The entrepreneurial personality highlights the
variety of skills and traits that helped the individuals to establish the different activities and
behaviours within the organisation to implement the actions behind developing the
infrastructural framework of the organisations.
The entrepreneurial skills and abilities that are developed among the various individuals working
in the Companies tend to reflect upon the entrepreneurial motivation and the mindset of the
workers working within the organisations. The skills that the entrepreneurs need to possess are
the passion and ambition and the necessary characteristic features that help in creating the
11

features of bravery among the different individuals working in the organisations and performing
the tasks.
The different actions and tasks devised by the management of the Company to develop the
operational procedures and actions that has helped in implementing the operational strategies
related to the work of entrepreneurial ventures.
The business ventures and employment strategies have developed the necessary activities that
have established. The various Companies that have devised to adopt the specific practices and
policies to enable the varied range of categories, which has helped the entrepreneurs to blossom
and develop into the various actions implemented within the actions.
The different mindset of the entrepreneurs tends to help in developing the varied ranges and
categories of duties and responsibilities to provide the benefits to the customers. The
entrepreneurs need to have the basic vision and the blue print in mind about establishing the
ideals that would help in guiding them to create the infrastructure integrated within the
technological methods and features. The organisations need to be structured in a proper manner
to ensure that the jobs are fulfilled in accordance with the expectations of the management and
the employees working within the organisation to build up the activities and services.
The motivation and the basic enthusiasm have to be provided to the employees to help them to
implement the basic strategies that are essential to be followed within the organisations. The
entrepreneurs need to be motivated in order to ensure that they can develop the skills to fulfil the
basic actions and tasks happening within the organisations. The confidence and the never say die
attitude has to be imbibed among the various individuals to ensure the smooth completion of the
variety of activities and operations going on within the organisations. The entrepreneurs need to
be brave enough to help in implementing the different business and manufacturing operations
and actions within the organisations that would ensure the smooth cohesive action being
performed within the sphere of the organisation. The various actions and skills tend to integrate
the technological necessities that would support the setting up of goals and aims of the
organisations.
12