Entrepreneurship and Small Business Management Report - University X

This report provides a comprehensive overview of entrepreneurship and small business management. It begins with an executive summary and table of contents, followed by an introduction that defines entrepreneurship as a complex process involving designing, launching, and running a business. The report then delves into various aspects of entrepreneurship, including different types of entrepreneurial ventures and their relationships to typologies, the similarities and differences between these ventures, and the impact of micro and small businesses on the economy. It explores the role of small businesses and start-ups in the growth of the social economy and analyzes the characteristic traits and skills of successful entrepreneurs, as well as the reflection of entrepreneurial personalities, mindsets, and motivations. The report also examines how background and experience can affect entrepreneurial performance, using Mark Zuckerberg as a case study, and concludes with a summary of key findings and a list of references. The report utilizes data and statistics to illustrate the impact of micro and small businesses on the economy and explains how small businesses and start-ups contribute to the growth of the social economy. It also investigates the skills and traits of successful entrepreneurs and explores the influence of background and experience on entrepreneurial performance.

Entrepreneurship and Small
Business Management

Executive summary
Entrepreneurship is an important process which involves various processes such as
designing, launching and running a business. The report will highlight how different
entreprenuial ventures and typologies are related with each other. It will also highlight the impact
of micro and small business on the social economy. Later part of the report deals with the
analysis of different skills and traits of entrepreneurial mindsets. Moreover, the report will also
look into the personal and social background of some famous local, international and social
entreprenurs.

Table of Contents
Executive summary..........................................................................................................................2
INTRODUCTION...........................................................................................................................4
TASK 1............................................................................................................................................4
P1 Different types of entrepreneurial ventures and manner in which they relate to typology of
entrepreneurship.....................................................................................................................4
P2 Similarities and difference in between entrepreneurial ventures......................................6
P3 Interpret relevant data and statistics to illustrate how micro and small business impact on
the economy............................................................................................................................9
P4 Explain small business and business start ups to growth of the social economy............12
P5 Characteristic traits and skills of successful entrepreneurs.............................................13
P6. Entrepreneurial personality reflects, entrepreneurial mindset and motivation..............15
P7 Different ways by which background and experience can hamper the performance of
entrepreneurship...................................................................................................................16
Mark Zuckerberg:................................................................................................................16
CONCLUSION..............................................................................................................................18
REFERENCES .............................................................................................................................20
UK Small Business Statistics .2018. [Online]. Available through:
<https://www.fsb.org.uk/media-centre/small-business-statistics>................................................20

INTRODUCTION
Entrepreneurship is an complex procedure comprises of various processes such as
designing, launching and running a new venture. The new business is generally a small business
to star a innovative enterprise it is essential for entrepreneur to capture and create new and
unique ideas so that so that these ideas can be converted into new products (Burns and Dewhurst,
2016). This project is going to analyse various kind of entrepreneurial venture along with their
classification. It will also differentiate between them and it will also highlight small and micro
businesses contribute in betterment and growth of economic society. Along with this, report
deals with various skills and traits of some successful entrepreneur and the skills and trait
required by a person in order to become a successful entrepreneurs. Along with it a study will be
taken in order to analyse how background of a entrepreneurs effects their skills (Bennett, 2014).
TASK 1
P1 Different types of entrepreneurial ventures and manner in which they relate to typology of
entrepreneurship.
Entrepreneur is a person who identifies growth opportunities and capture them to set up a new
business. For attaining success, it is very important for them to create innovation ideas and
products to invite more and more customers towards its services.
Entrepreneurship is an complex procedure which is being used by different businessperson in
order to implement their innovative and creative ideas which can assists them in performing at a
better level. In order to start a new enterprise it is an primary for an entrepreneur to adopt
modern or new ideas and approaches in order to provide product that comprises of new and
unique feature in the marketplace. It will help them to carry out the changing needs of the
customer in effective way by producing innovation product that matches the customer needs.
There are several methods that can be used in order to classify an organisation and these
factors can be also be known as topologies (Burns, 2016). Some form of topologies that are used
for classification can be elaborated below:
1. Small business entrepreneurship : Under this type of venture the owner perform the
activities of business along with few employees. Activities of the business can be even
performed by family members only. UK comprises of large number of small business
entrepreneurship which use to earn a high amount of revenue for the economy. For

example Ma baker which is an start-up by Liz Wilson situated in London that sells bread
and bakery item to its customers and employee a small number of employees to perform
business activities (Volery and Mazzarol, 2015).
2. Scalable start up entrepreneurship : Under this type of entrepreneurship the main aim
of the owners is to produce innovative products and then providing them to customers. In
this the entrepreneur have full faith on their products that they posses the ability to
change the world.
3. Large company entrepreneurship : Under this type of enterprise the number of
employees who are working for them are high in numbers. Along with it they focus on
providing different types of products and services to their customers in order to enhance
their sustainability for a longer period of time. For example Facebook which is one of the
most successful innovative an high tech firms.
4. Social entrepreneurship : These type of enterprises existing in the market place perform
their operations in order to benefit the society from them. Their aim focus is to benefit the
society by performing different activities. Example of these venture are funeral care and
SHS.
Entrepreneurial ventures is the businesses that are run by individuals and a group of
individuals. There are large number of venture that perform their operation in the UK economy
some of them can be further elaborated below:
 Survival venture : These types of venture focus on performing their operations in order
to survive in the market and satisfy their daily needs. These type of venture are small in
terms of size and they tent to perform with a limited number of resources.
 Life style venture : These enterprises focus on making a set up in order to produce in
large quantity so that they can achieve their targets (Chell and Karataş-Özkan, 2014).
These are usually small businesses enterprises that perform their activities from single
premise.
 Managed growth ventures –it can explained as to established new and smart business
with the aim of earning lots of money that can be connected with scalable
entrepreneurship.
There are some public and corporate sector venture which are determined as under:

 Large business entrepreneurial ventures: They are ones who have accurate product
life cycle phase. In such type of venture, there is a correct innovation, challengers,
regulations, etc (Ratten, 2014). The best example of such kind of venture is TESCO,
Facebook, Apple, etc. All these organisation have motive for earning more profit. Social entrepreneurial venture: In this type of venture an individuals involved in
emphasising on innovation as well as creation of innovative products or services which
works to attain social needs. This kind of venture can be set up for profit motive, non
profit motive and also hybrid intent. For example, NHS, funeral care, Cancer research
health centre, etc. are best example of social venture. Public venture: BBC is one of the best example of public venture. Main motive of public
venture is to provide best and accurate services to the customers.
Difference between entrepreneur and intra intrapreneur
Basis Entrepreneur Intrapreneur
Concept Entrepreneur is mainly related
with setting up of innovative
businesses with effective
ideas.
It is mainly related to the
workers of an enterprise who
is liable for supporting
innovations in goods, services
and processes.
Challenges In this, the challenges is
managed by the entrepreneur
himself.
In this, the challenges or issues
is taken by an organisation.
P2 Similarities and difference in between entrepreneurial ventures.
There are different types of entrepreneurial venture that exist in the market. They pose
certain type of similarities and differences that can be elaborated below-
DIFFERNCES
Basis Survival venture Life style venture Managed growth
ventures
Aggressive
growth
Economic
motives
This firms motive
is to survive and
meet the ventures
Lifestyle
entrepreneur gets
into business as
They focus on
creating
something of
The motive of this
type of venture is

financial
obligations.
means to a
particular
lifestyle. So the
economic motive
is income
substitution
(Obeng, Robson,
and Haugh,
2014).
longer term value
and they tent to
continuously seek
to make business
bigger and more
competitive along
with wealth
creation.
wealth creation.
Investment The investment
in survival firms
are low. As they
are micro
enterprises that
have been crested
by entrepreneur
to feed
themselves and
their families.
They tend to use
engage in higher
value activities in
order to do so
they needs to
make a large
upfront
investment in the
business.
They need to
make larger
investment in the
business both in
terms of upfront
capital investment
and time
investment that is
involved in
managing
business as it
grows.
They require high
amount of
investment.
Return They tent to
focus on creating
very little wealth
in the operations
(Stamboulis and
Barlas, 2014).
They tent to
survive while
living on the
As they are
investing in large
upfront
investment they
tent to get better
returns
As they tent to
take more risk
they earn high
level of financial
rewards if the
business achieve
success.
As the investment
is high the
changes of return
is also high.

profit fro one day
to next.
Managerial focus They tent to
focus on
performing day
to day activities
as they have the
fear from the
future
commitment.
They tent to enter
business with the
purpose of
altering their
peroneal lifestyle
not for the sole
purpose of
making profits
(Siegel and
Wright, 2015).
Entrepreneur
under this tent to
compete in the
market and grow
the business. So
the focus is on
incremental
strategic growth.
The focus of
manger is on
scalability.
Annual growth
rate
The growth are
for the survival
ventures are low
as they tent to
only focus on
present not on
future.
They tent to have
higher growth rate
then survival firm
as they are
investing in
higher volume. So
the percent is <5
percent weekly
and monthly
operations.
They have high
rate of growth if
as the business is
taking higher
mount of risk and
if thy succeed
they will achieve
higher level of
growth. So the
percent is 10-15
percent.
>20 percent as the
investment is
high .
Similarities-
Basis Public and social enterprise Private and public
organisation
Creative idea Both type of organisation have
creative idea which will helps
them in its growth and success.
Public and private organisation
have creative idea which will
help them to provide quick

services and quality products
to the customers.
Constant innovation Social and public enterprise
have constant innovation
which will support them in its
development in marketplace.
In public and private
organisation, constant
innovation assist them in
retaining workers for long
time.
Creating a brand name Both organisation have main
motive is to create brand name
and image in customer's mind.
For example TESCO and BBC
have motive is to improve their
goodwill and brand image in
marketplace.
Driving forces Technology is common force
which is used by public and
social enterprise while
providing of best services in
quick manner.
In private and public
organisation, technology force
assist them by maximising
customer base and also helps
them in improvement of its
brand image in customer's
mind.
P3 Interpret relevant data and statistics to illustrate how micro and small business impact on the
economy.
Small businesses comprises of either services or retail transaction for example medical
stores, bakeries and small manufacturing units. These business are independent owned
organisations and they tent to need few capital and less manpower and less amount or no
amount of machinery (Rey-Martí, Porcar and Mas-Tur, 2015). All these are operate a smaller
scale in order to serve local community and to earn profit for the owners.
Micro organisation are the smallest businesses in the small business segment they can
defined as a small organisation that comprises of employing nine people or less and it have a
balance sheet and turnover which is less then a specific amount.

Both micro and small businesses are essential for economy, as they are responsible for
providing an various number of benefits to the nation. Along with it they play an important part
in the development process of a country. UK is among biggest country across the globe. It is well
formulated and also comprise of an environment that assist individuals to come up new ideas and
perform their activities. It provide an environment in which individuals can run their business
ideas and can perform business in an efficient manner. In order to gain profitability and also to
facilitates growth in their business. United Kingdom is an hub for small and micro businesses
and around 4.1 billion small and micro businesses firms who execute their activities in their
economy. Which have a Hugh impact on the economy which have directly affected the Gross
Domestic Product of the nation and from the graph below it is clear that the 87 percentage of the
total economy is been represented by contribution of small and micro businesses which has
affected the economy Gross domestic product by 6.1 percent.
Micro and small business directly impact on growth of UK economy in different ways
such as providing job opportunities, improving infrastructure etc. these will support a country in
its growth and success within given time period. Small businesses accounted for around 99.3%
of all private industry organisation at the start of 2018 and around 99.9% were small or medium-
sized (SMEs).

From the above graph it has been concluded that small businesses accounted for 99.3% of
all the private sector businesses at the starting of the year 2018 and 99.9% out of them were
small or medium sized business. Total employment in SME was 16.3 million which accounted
fro 60% of all private employment in the UK. There were 5.6 million small business were
present tat the start of 2018 as compared to the previous year the private sector business
population fell by 0.5% whilst the employment increased by 2%. the contrast can attribute the
number of smaller non employing business falling by 1% and the number of larger employing
business rising by 2%. (UK Small Business Statistics 2018).
Illustration 1: Emplyment and Turnover

(Source: Impact of Economy on UK, 2018)
Along with this, various other advantage that they provide to the society. That also
impact the overall economic condition of the nation. IT helps the UK economy in terms of job
opportunists as they tent to create more job opportunity which will help the individuals residing
in the economy to get an opportunity to work and thus fulfil their daily needs in an effective
manner (Fayolle and Gailly, 2015). The job possibilities provided by small and micro enterprise
are focus on proving employment to weaker section of society and to the uneducated section of
the society. It improve employment rate and also will assist in generation revenue. Along with it
improve the standard of living of the individuals existing in the weaker section of society as they
can now work and can fulfil their daily needs by working in micro and small enterprises.
P4 Explain small business and business start ups to growth of the social economy.
Social economy is formed by combination of different types of organization and
enterprises such as cooperative, mutual and social enterprises. It can be developed with the help
of small and micro businesses and startups. Small and micro businesses have been playing an
important role in the overall development of a nation in different economical and social aspects.
They have greatly contributed in key areas such as creation of employment, innovation, engaging
significant number of people including the from disadvantaged groups. They have also lead the
way on diversity and meeting social purposes and local improvement. The author has discussed a
few points below:
Creation of employment- They have certain benefits such as they tent to facilitate is
they create large amount of employment opportunities in the nation. Small and micro businesses
hires people in order to carry their activities they focus on hiring individuals at a lower cost rate
in order to maintain their cost of production low and also it helps them in offering product at low
cost and it also helps them in fulfilling their corporate social responsibility by proving
employment to people and benefiting them (Smallbone, Welter and Ateljevic, 2014).
Local improvement- In order to do so they hire people from weaker section of society
which comprises of uneducated people. It helps them to produce product and services at low cost
and also facilitate employment to the weaker section of the society. By hiring people from
weaker section they tent to provide an employment opportunity to them by which they get an