Analysis of Entrepreneurship and Small Business Management in UK

This report provides a comprehensive analysis of entrepreneurship and small business management. It begins by defining entrepreneurship and small business, then explores various entrepreneurial ventures such as scalable start-ups, small businesses, large company units, social enterprises, serial entrepreneurs, and intrapreneurs. The report details the typologies of entrepreneurial ventures, including survival, lifestyle, managed growth, and aggressive growth ventures, and discusses different types of entrepreneurs like male and female entrepreneurs. A comparison of small and large business enterprises is provided, highlighting their similarities and differences. The report also examines micro and small businesses, their characteristics, and their significance in the economy. The document covers UK based small and micro business enterprises and their contributions to the economy.

Entrepreneurship and Small
Business Management

INTRODUCTION
Entrepreneurship is refers to a procedure in which an individual starts own organisation
just top maximise more and more profits. This is having capability to operate a business and bear
all risk alone as well as profits, and this type of business is run by an entrepreneur, who starts
business with limited resources and funds. On the other hand, small business refers to as
independent owned and operated firm which has small size and revenue or sales depends upon
sale of company (Ács, Autio and Szerb, 2014) . This report will going to have discussion on
topic of Entrepreneurship and small business management, and respective assignment will
mainly emphasizes on various kinds of enterprising unit along with its sameness and
dissimilarity. Along with this, it will include various feature related to personality of
entrepreneurial, their mindset, motivation as well as manner in that content and aspect can foster
or hinder entrepreneurship is also going to be discussed. In addition with this, discussion will
also taken place on how micro and small-business impact on economy.
TASK 1
P1
Entrepreneurship can be defined as a process in which an entrepreneur focus on the
forming a new business which contains a higher risk to earn higher profitability. This is crucial
for an entrepreneur to bring some creativity in their ideas in order to establish a business as well
as attain more profitability ratio through it. Entrepreneur always start a business with limited
resources and fund and then maximise more profits from that business. They are the individual
who take all the duties and responsibilities in order to grow the business organisation. Apart from
this, they accept all the risk which is linked with the enterprise. There are some of
entrepreneurial ventures that are stated below -
1. Scalable start-up entrepreneurial unit : These entrepreneurial ventures mainly create and
produce innovative and quality products, and they are very much confident towards idea
by which they have produced their products, that these products will definitely bring
some change in competitive world and by this firm can gain more profits (Blackburn,
Hart and Wainwright, 2013) . Main aim of this type of ventures is scale of business and
for this venture capital and financial investment is required by firm in order to expand
business for gaining profits.

2. Small-business Entrepreneurship : This type of entrepreneurship ventures are operated
and run by single individual in which there are very few workers to perform task of
business. In this employees can be family members and friends of owner of business
enterprises. Such type of entrepreneurship ventures are small internet café's, small
general store companies, training institute firms, etc.
3. Large Company entrepreneurial unit : Firms in big companies entrepreneurship posses
certain life cycle for which they produce and create many new and innovative products
for their customers which will help firm to remain in specific competitive marketplace for
huge number of years. As this is observed that requirements and expectations of
customers are changing day-by-day so this change in demand of buyers is increasing
competition between large firms, thus to gain strong position in this competitive
market, firm is producing new and innovative products by their ideas so they can gain
attention of more customers.
4. Social Entrepreneurship – This type of entrepreneurship ventures, produces innovative
products in order to provide quality and better goods and services to society an
population of economy (Bosma and et. al., 2012) . entrepreneur create and implement
their innovated ideas in producing creative products which will lead in success of firm
and progress of society.
5. Serial Entrepreneur: They are the entrepreneur who have lot of ideas and develop new
business. They are the entrepreneurs who come up with new and unique ideas. Along
with this, they are the one who develop ideas on a regular basis and then give their
business to others.
6. Intrapreneurs: They are the employees who are assigned with support and authority in
order to develop high quality products and services to their customers. Apart from this,
they do not considered that whether the products and services generate profit or not for
the company.
7. Owner manager: The owner managers in the organisation refers to an individual person
who own a business and also manage it. In this category small firms are included as they
are also in this business a n individual person is responsible for operating the activities
and manage it also. Moreover, for all the profits and losses, the owner-manager will be
responsible for it.

Entrepreneurship Ventures and its Typologies
Typologies is defined as categorization or interpretation of anything in form of types. For
examples - Classification can be done in respect of style, program, structure, descriptor, etc.
There are mainly four kinds of typologies that are explained as below -
 Survival Ventures – These types of ventures are involved in fulfilling basis needs.
companies which are involved in this type of ventures are unregistered and do not run
their venture in any form of business unit. This starts their business with minor fund and
resources. This ventures involves micro type of ventures. In these types of organisations,
launching of bushiness unit is often essential driven or motivated by push factors and
enterprise units mostly conduct in extremely competitive, based on price and mostly
uniform marketplace.
 Lifestyle Business ventures – This types of unit are are run to achieve level of
productivity to meet financial gain of an enterpriser. Firms which are involved in
respective kind of venture are not interested in growing and expanding. This type of
ventures are having constant workers and run their activities of business in a single
premises. Organisations which are involved in this type of ventures are small businesses.
This type of business venture are generally like to serve society by offering them good as
well as services according to latest trends and demand of customers. Through this they
able to attract more and more customer as well as able to retain at marketplace for a long
time period.
 Managed Growth Venture – This types of ventures are having aim of enhancing or
attaining higher growth, they mainly concentrate on launching new innovative product
and hire huge number of applicants along with moving their location. Ongoing
reinvestment in business and continuous but moderate regional growth guide-ongoing
business development. type of organisation involved in this ventures are named as
medium sizes firms.
 Aggressive Growth ventures – Main purpose of this type of ventures is to operate
organisations in national and international market. nature of this venture is based ion
technology and having strong innovative potential. fund and resources of this ventures
are earned by equity capital (Bridge and O'Neill, 2012). organisation which are involved

in this type of venture are type of large scale firms. Launch of venture is opportunity
driven with founders seeking to create new markets. Their market focus is typically
national or global and they often become candidates fro initial public offerings or
acquisition.
Different types of typologies:
All these enterprises perform in a business environment and plays very important role in
order to develop some typologies. All these affects a lot of entrepreneur, some of these
typologies are as follows:
Male Entrepreneur: It refers to the risk taker entrepreneurs. They are young and are
capable to take more risk in order to maintain their sustainability at the competitive marketplace.
Apart from this, these types of entrepreneurs take high risk and generate higher profitability at
the marketplace and take enough risk.
Female Entrepreneur: It refers to a type of entrepreneurs who are stable in nature. All
these entrepreneurs do not want to take enough risk in order to earn more profitability at the
marketplace. Therefore, they serves as a small scale enterprises.
P2
Below there are some of main elements by which different types of entrepreneurial
ventures can be differentiate along with its similarities are also been discussed. comparison and
similarities are stated as below -
Types of enterprises Similarities Differences
Small v/s Large Business
enterprise
main similarity of small and
large business enterprise is that
they mainly focuses on
providing huge benefits in
order to fulfil needs and
requirement of customers.
Along with this, they perform
their business functions in
order to render quality
large organisation need huge
fund and resources in order to
perform business activities, on
other hand, small-business
organisation is required
limited resources and funds for
running and operating their
business. Along with this,
large organisation operate their

products to their customers so
that they can attain their
targets easily.
business functions in national
or local market, on other hand,
large organisations are running
their business functions in both
national and global market of
economy.
Social v/s Scalable Enterprise
These types of business
enterprises perform their
business functions or activities
in order to provide welfare
and safety to society and
people. Along with this, social
and scalable business
enterprises create or make
innovative ideas which will be
beneficial for society and
make people's life more
easier. Also these enterprises
are having main aim of
rendering best quality services
to their customers and in very
effective time in order to attain
operations of their business.
types of Social business
enterprises have main motive
to provide safety and welfare
to people of society, on other
hand, scalable business
enterprises have purpose of
bringing new innovative ideas
in order to satisfy needs and
demands of customers. Apart
from this, types of scalable
organisations focuses to satisfy
needs and demands of huge
number of people's of society
so that they can enhance their
profitability, on other hand,
social business enterprises
mainly focuses to perform their
business functions in order to
resolve issues or problems
face by people's of society.
These types of Lifestyle and
survival entrepreneurial
ventures has main aim to
perform their business
These types of Entrepreneurs
of lifestyle ventures mainly
focuses on doing work in
which they have interest and

Lifestyle and survival
Entrepreneurial Venture
functions in order to enhance
business growth and maximise
more profits. These
enterprises also focuses on
building market reputation of
firm.
for which they are passionate.
They also operate their
business operations in field of
their interest such as fashion
and travel bloggers. While on
other hand, survival ventures
entrepreneur perform their
business operations in order to
sustain in market for long
period of time.
TASK 2
P3
Micro Business- It refers to an small organisation where there are 10 employees are working
within or help in operating business of these kind of firms. These business having a balance
sheet or turnover less than a certain amount €2 million or 3 million.
Small business- It is an independently owned and operated company that is limited size and in
revenue depending on industry. There are 50 people within these kind of firms and balance
sheet having a certain amount of €10 million.
small and micro business enterprise are very essential part of country economy in order
to enhance their business growth in global market. Small and micro business are very much
important for a nation, as this help them in improving their economic conditions and also help
them to develop at market place (Choi and Majumdar, 2014) . As UK provide a great business
environment where ample number of small businesses use to perform their operations and also
use to serve them, so that they can gain some profits and also generate some revenue for nation.
As about 87% of total revenue has been generated by UK came from small and micro
businesses. And about 4.1 million small and micro businesses use to perform their operations at
market place of UK. Also, this all has impacted and helped UK in increasing about 6.1% of their
GDP. From the given graph, it is very much clear that in last few years, number of small and
micro businesses are increasing with very high speed. Also they use to play an important role in

growth and development of nations economy. As they use to serve ample number of customers
and also use to provide very unique products and services to ample number of customers at very
low cost. This all help them in increasing satisfaction level of their customers, and also help them
in generating huge amount of revenue for themselves and for their nation also.
Illustration 1: Impact of Economy on UK, 2018
(Source: Impact of Economy on UK, 2018)
From above graph, it has been interpreted that, when after Brexit use to took place,
number of small and micro business has increased by 88.2% and as compared to GLLCP, they
have grow with about 0.6%
Also they use to provide ample number of opportunities for society like, job opportunities
to lower and educated people of society (Chrisman and et. al., 2012) . This all help them in
earning some thing and also help them improving their life style. Also they use to make products
which are very much unique and innovative at market place.
P4
Social economy can be explained in a variety of ways and there is ongoing debate about
some of these definitional issues and scope of what should be included in it. It is generally taken
to be a third sector of mixed capitalist economies distinct from private an d public sectors. Social
economy are classified as cooperative, mutual societies, voluntary organisations, foundations
and social enterprise.

Small business: It means small scale business which is fully owned and controlled by
sole proprietors so that they will be able to meet up with the basic requirements. In this case, they
have only one or two workers, and those are of from their family. Examples of small scale
business are grocery stores, brokers, carpenters and many more.
Business Start up: It refers to the latest or newly launched businesses who have small
premises and develop new and unique products in order to attract large number of customers,
investors and stakeholders. It includes around 10 employees with the motive of earning money.
All these business entities helps in developing strong economy of the country and help in
overall development of the country. Along with this, social economy of the country will be
enhanced in an effective manner. As this help them in making improvement in their living
standards, as by this they use to earn huge amount of money which they can spend on their daily
needs. This all result government of nation that they use to make proper rules and regulations for
them, so that they can provide some benefits to small and micro businesses in their business
environment.
When Britain use to exit form EU, then situation was named as Brexit. It has posed huge
impact on economic conditions of nations, and also cause to huge inflation in economy of
nation. Also this leads to decrease in over all economy of nation. Fro making some solution of it,
they use to introduce idea of small and micro business in business environment of UK. As they
has helped economy of nation in making improvement and also lead nation in increasing total
economy of them, so that they can grow and develop their nation. Also small business use to
provide ample number of job opportunities to those people which are uneducated and also which
belongs to lower society of nation (Decker and et. al., 2014) .
Along with this, these rules and regulations has helped and encourage ample number of
people, so that they also start their own business. This all has helped nation by increasing their
GDP by about 0.6% and also help them in improving their economic conditions, so that they can
grow and develop. Also they has helped society in gaining ample number of quality and
innovative products at very low cost, so that they can fulfil their daily needs.
Small and micro business enterprises are very much contributing in the economy socially
which include -:

1. Employment generation- One of the biggest contribution made by SMEs are generating
employment opportunities to the company. Along with this, they will aid in removing
poverty from the country and raise in enhancing the living standard of individuals.
2. Standard of living- Micro and small business enterprises helps in developing standard of
living of individuals across the whole nation. They help in generating employment
opportunity and remove poverty from the whole nation effectively. It will contribute in
developing the economic condition of UK.
3. Innovation- SMEs help in innovating and generating unique and attractive products and
services to their society. Innovation aid the country in order to compete with other rivalry
countries and gain positive returns.
TASK 3
P5
Entrepreneurial mindset- It refers to a specific state of mind which orientates human conduct
towards entrepreneurial activities and outcomes. Individual with entrepreneurial mindset are
often drawn to opportunities, innovation and new value creation. It is important because it focus
on finding solution not problem, it help in building support network, seeking opportunities to
indulge creativity. There are four types of entrepreneurial mindset like towards results meaning,
fulfilment, fun & freedom, profit last.
This is essential for every businessman to keep themselves up-to-date with all factors in
order to enhance their practical knowledge and their skills. They must have skills of worrying
about failure or risk, and having high level of confidence of attaining goals and objectives.
Peter Jones, which is an successful entrepreneur and has taken birth in year 1966. he founded an
academy which was named as Peter Jones Enterprise in order to teach youngsters about Skills
of Entrepreneurial (Drucker, 2014) . Below are some of skills, and entrepreneur must have to
run their business in an effective way -
Characteristics of Peter Jones
1. Innovative Thinking – Peter Jones is an innovative thinker with many skills and having
interest in TV, smartphones, property, etc. He also founded academy to teach adult ones
about concept of entrepreneurial skills.

2. Passionate – Peter Jones was so much passionate towards his work that after facing
failure of 200,000 euros, he don't losses his hope of attaining its goal. This is very
necessary for each entrepreneur to have similar zeal throughout business life.
Skills an entrepreneur must have like Peter Jones.
Below there are skills of Peter Jones, which every entrepreneur must have, skills are
stated as below -
1. Confident – To achieve any goal, it is essential to have confident in your own as this will
not only help individual to gain their goals but this will also help firm to motivate itself
in doing or performing any task. Having self confidence will assist entrepreneur to
enhance their own performance level along with encouraging other peoples towards
path of success. In context with peter Jones, he was so confident towards his work of
Television Presenter, as this job itself need confidence to face huge number of peoples
and cameras.
2. Time management – This is very essential for an entrepreneur to be punctual, as time
management is very essential factor in attaining goal of life. Time management will not
only help in attaining goal in effective time-frame but this also helps in producing
quality products and services for customers and deliver them on time by satisfying their
needs and requirements (Fassin, Van Rossem and Buelens, 2011) . Peter Jones was so
punctual towards his work, as he manages his all business activities in an effective time
frame. He also manages his duties as well as his organisation of charity.
Simon Phillips
Simon Phillips is also an successful entrepreneur, who was born in year 1959 in
England. He is an Entertainment manger, Talent Judge and television producer. He is famous
personality and popular for its singing boy bands.
Characteristics of Simon Phillips
1. Optimistic – Simon Phillips is having ability to change negativity into positivity which
result in positive outcomes. He is an successful entrepreneur, businessman and
consultant, etc. He is also having ability of performing many of its operation with
optimistic.
2. Risk Tolerance – Simon Phillips get success in his life because of having ability of
tolerating risk. As an entrepreneur and a talent judge, he believes that to attain life goals,