Entrepreneurship and Small Business Enterprise Analysis Report

This report provides an in-depth analysis of various entrepreneurial ventures, including female entrepreneurs, serial entrepreneurs, small-scale and large-scale ventures, social entrepreneurs, and scalable entrepreneurship. It explores the similarities and differences between these venture types, considering factors like risk-taking, profit motives, and operational scales. The report also examines the influence of entrepreneurship in both the public and private sectors, highlighting its role in driving innovation and economic growth. Furthermore, the report assesses the impact of micro and small business enterprises on the UK social economy, particularly in the context of Brexit. It analyzes the challenges and opportunities faced by these businesses, considering factors such as trade regulations, taxation, and consumer behavior. The report provides statistical data and insights into the contribution of small businesses to GDP and employment, emphasizing their importance in the post-Brexit economic landscape. Overall, the report offers a comprehensive understanding of entrepreneurial ventures and their significance in the UK economy.

ENTREPRENEURSHIP
AND SMALL BUSINESS
ENTERPRISE

TABLE OF CONTENTS

INTRODUCTION
Entrepreneurs are considered as asset of country as they are responsible generation of
new business ideas and establishment of successful business ventures and providing growth to
economy. It is a process of designing, launching and regulation a new trade which is often
initially a small business (Schaper and et.al. 2014). Small ventures are analyzed as those
enterprises which regulate their operations in domestic country at small scale and provide
employment opportunities to people in society. There are various types of ventures that exist in
economy of UK that provides major contribution towards GDP. In present report, these different
kinds are analyzed in order to provide understanding about similarities and different between
their motives and ways of regulating operations. Further, influence this small and startups on the
social after BREXIT is also explained. Analysis of various characteristics, traits and skills has
also been done by taking two successful entrepreneurs as an example. Their some important
capabilities have taken in to consideration through they have been able to achieve success in
their professional life. Other than this, impact of background and experience on personality of
entrepreneurs has also been evaluated in this assignment.
TASK 1
P1Different types of entrepreneurial ventures and their relations to typology.
An entrepreneur is a person who starts a business individually. They are like gamblers who take
risk by starting a business. He takes the initiative and looks for high achievements. He puts up
new projects that creates wealth and add value to society.
There are various kinds of business ventures that exists in economy are identified and
mentioned above:
 Female entrepreneur- they are the females who starts their own business. They either do
business by setting up a business or by working form house. Examples are Sara blakely,
founder of Spanx.
 Serial entrepreneur- Individuals that come generated new business ideas and establish
the business to earn profits for a specific period then sell its ownership to other
individuals or organisation.
 Small scale entrepreneur: It is a type of business in which an individual or few persons.
It is a sole proprietorship business whose motive is to earn small amount of profit. It does
not have any competition with large scale business (Stokes, Wilson and Wilson, 2010). In

this the fund investment is depends upon the size and nature of business. It is generally
started for execution of new ideas in production process of products. It geographically
operates in small area which may be district, city or town. They can be grocery stores,
consultants, travel agents, carpenters, plumbers, electricians, etc.
 Large scale entrepreneur: A business operating in large scale which has a variety of
products and huge workforce. It is done to capture a larger market share by earning huge
profits. Changes in customer taste, preferences can put pressure on the frim as they need
to make innovation in their products. Investors are attracted to invest in the company by
offering new shares. As their range of doing business is very broad they totally dominate
the industry. In this huge amount of capital is invested this in turn provides higher capital.
 Social entrepreneur: It is started by people who focus on to bring some changes in the
society by implementing their new ideas. It is done by creating products that solve social
needs and problems. People start this business because they know that there are some
major issues prevailing in the society and by solving this they can meet the demands of
people. In this way both are benefited in their own ways. Their aim is to make a better
society not to earn profits. They can be non-profit, non-governmental organization or
hybrid.
 Scalable entrepreneurship: They focus on creativity by making innovation in business.
They attract investment form investors by showing their ideas. A huge risk is involved in
staring this as their ideas sometimes may fail. These entrepreneurs are highly attracted
towards change in technology as they do various experiments with them in starting a
business. The probability of getting success is low because high risk is involved in
starting business and most people don’t prefer to take high risk.
P2 Similarities and distinction among the entrepreneurial ventures
It consists of major similarities and differences among the above discussed business
ventures which are described below:
Female entrepreneur- They are the females who starts their own business. They either do
business by setting up a business or by working form house.
Male entrepreneur- they start business for their own sake and are generally risk takers.
Male entrepreneur Female entrepreneur

They are oriented towards construction,
technology and traffic.
They strive for fulfilment of their creative
ideas.
There top priority is money Money is not an important factor in starting a
business.
They often turns towards investors They start with their own money.
Similarities- these both are having the similarity of taking risk and starting their own business.
They both have innovative ideas and leadership skills which helps them to grow.
Lifestyle entrepreneur Serial entrepreneur
They are generally more aggressive than the
serial entrepreneur.
They are having patience and self confidence
which makes them successful
Their do not make profits but improves the life
of people.
Their aim is to make profits
Similarities- both are focused towards the improving the lifestyle of society.
Differences- In small entrepreneur the area of doing business is generally smaller as compared to
large scale business. The small business venture motive is to earn small amount of profit while in
large venture want to gain market share by earning huge amount of profit (Burns, 2010).
Generally small venture is owned by sole proprietor and large business is done in partnership.
Registration is not needed for small business whereas it is compulsory for large venture to
register them. There may or may not be employee in small venture on the other hand large
number of employees are required to run business. Social and scalable- Social entrepreneurship venture is done to solve the issues of
society but scalable is done to improve the lifestyle of people. Social venture may be non-
profitable but scalable is always profitable venture. There is no risk in starting a social
venture on the other hand a huge amount of risk is involved in scalable. The focus of
social venture is to satisfy the needs of people of society whereas scalable focuses on
making innovation in business thus by satisfying the needs of customers.
Similarities- Both the small and large entrepreneurship provides growth and development to the
economy. Both help in creating demands and satisfying needs of customers (Bridge and O'Neill,

2012). They provide employment to people who help them to achieve their goals and objectives.
Their main goal is earned profit. There is a great contribution of large and small ventures in GDP
of the country.
 Social and scalable- They both focuses on improving the lifestyle of people by providing
creative products to the society. They are small start-ups which help in solving the issues
of people by satisfying their demands. In this society plays an important role as the main
customers of these two businesses are the same. If they are a change in living of people
by using innovated products then it can implement them at a larger scale. Therefore,
profits will start increasing and at later stage people will adopt that product.
M1 Determination of understanding of entrepreneurship in both public and private sector.
It is generally believed that corporate sector is highly influenced by entrepreneurship
which termed as evolution of new thoughts and chance within deep-rooted enterprise which
leads to improvement in profits and improvement of competitive perspective. It may create
entirely new industries (Down, 2010). On the other hand public sector entrepreneurship brings
transformation by increasing the effective knowledge in economic environment. There is more
development in this sector as compared to corporate sector. This is due to change in taste and
preferences of customers and to increasing level of entrepreneurs in public sector. Corporate
sector entrepreneurs are highly affected by huge amount of risk and challenges involved. Public
sector is benefited with more entrepreneurs as they bring innovation in public services.
TASK2
P3 Influence on micro and small business enterprise on social economy after Brexit.
Micro enterprises are considered as those ventures which consists of single owner. It is
king of very small business that has been one of main growth areas of UK businesses in last 10
years as rise in number of people have become self employed.
Small enterprise considered as for profits maximizing the business which are controlled by
independent personality and operated by investing own capital.
Medium sized business enterprises are those who have employees in between 50 to 249
employees with respect to particular in UK.

A private company is an enterprise which is owned private owner and they are not able to gain
investments by issuing there shares.
A partnership is a business that consists of two or more individuals who share the responsibility
of regulating the business operations.
Further, there is major significant growth has been achieved by micro business as they
are continuously increasing in various parts of UK. Small business or private has also achieved a
significant growth as 22 million of small business exists in UK.
Creativity is an ability to think and formulate unique business ideas that supports in
accomplishment of objectives. Moreover, innovation refers to think creatively in order to make
changes in something that already exists. As per the analysis, micro and small ventures regulates
their business operations with an aim of maximizing profits and provides satisfaction to their
customers by making continuous changes in their products and services. They also have their
focus on enhancing their business operation by seeking investments from various sources and
application of various strategies in order to increase the marketing (Statistics on small and
medium-sized enterprises, 2017). Brexit is popular aspects that relates to the exit of Britain from
European countries. It is also considered as major impact on operations of every small business
enterprise in UK as they to face various restrictions related to trade, taxation policies and other
government. Further, there is major contribution of micro and small business enterprise in
providing growth to economy of UK as they are providing yearly employee turnover of 1.8
million that is 47% of part of private sector
Figure 1 Statistical data
(Source: Statistics on small and medium-sized enterprises, 2017)

After BREXIT, the figures were 0.7 percent, so ultimately it is a decline in rate of
economy growth rate. Falling in GDP will provide huge impact on business activities of small
business enterprise and customers buying their products and services. From the effective
research, it has been identified that 99% of overall 5.2 Million private sectors is small business
enterprise which are still increasing continuously and providing growth to economy of UK. They
also have access to 500 million potential consumers which is analysed as major part of country’s
population. The main source of generating business and entrepreneurial ideas are considered as
those individuals who have the potential and skills to establish and regulate business operations.
It also provides positive impact by supports to protect the intellectual property rights. Therefore,
these business enterprises has provided positive impact on growth of economy by providing
major contribution of 10% towards GDP but BREXIT will provide a negative impact on growth
and lower their profitability. This will also lead a negative impact on national income and GDP
of UK will tend to decrease.
Nature and characteristic of business
Private: Those business enterprises in which minimum 2 members are required and a maximum
of number of 200 members as the per legislation of companies act 2013. Members in the private
company has limited liability and if company faced loss then the shareholders posses the liability
to sold their assets for settlement of losses. Minimum 2 directors are their in private limited
company.
Sole proprietorship: It mainly implies to this enterprise which consist of single owner Who is
liable to bear all the losses of business and receive the gains. It is considered as easiest business
structure to create and consist of less restrictive laws as compared to partnership.

Partnership: The main characteristic of partnership organisation is agreement between the
parties and without it partnership cannot be formed. Consist of two or more members but not
exceed the limit of 20 people. Partnership has been done with the competent parties with a
motive of earning profits and it distributed among the partners in agreed proportion as written in
agreement.
P4 Importance of SME and start-ups in towards growth of social economy.
Explaining BREXIT: It is considered as common term which is allotted to overall procedure of
Withdrawal of Britain from European union countries.
There are various business opportunities have been raised for small business enterprises
after as they can also develop their trade relationship with other countries and expand their
business operations without any restrictions of European union.
As per the previous analysis, Micro and small business enterprise are those business
organization which operates in domestic country but also have their trade relations with other
European Union countries. These enterprises are mainly established by private individuals or
entrepreneurs by generating an innovative and creative business idea and concepts with an aim of
achievement of profitability (Lee-Ross and Lashley, 2010). Startups are also considered as new
and unique business concept that differs from others enterprises and requires less capital
investment. As per the report of government, there are more 5 million startups are presently in
existence within UK. Further, these startups have not provided huge contribution towards GDP
but they have achieved a continuous growth within domestic country by influencing and
satisfying the needs of their target customers. In present scenario, importance of SMEs and
Startups in providing growth to social economy of UK have been analyzed and mentioned above: Employment: It is considered as major significance as rise in employment opportunities
will lead to increase in income level of people in country which is also considered as
growth and development of society (The importance of small businesses in the UK
economy, 2017). As per the analysis, SMEs hired 14,424,000 people in the UK last year
and it is still rising continuously with high growth rate.

 Micro business: In UK, micro business accounted for majority of SMEs and made up
96% of total in 2013. These are defined as firms which have fewer than 10 employees but
these companies have made up of 4.6 Million enterprises in UK. Competitiveness: There is major important of SMEs and startups in increasing the skills,
knowledge and capabilities of individuals in societies to generate new ideas of being self-
employed and removing the social problems like poverty and unemployment. They also
help to make the UK more attractive as well as competitive to investors and visitors. Creativity: These business ventures are able to pull and train new employee for creation
of innovative products which are effectively targeted towards the needs of their local
communities.
 Challenges: Achievement of financial resources is considered to be major challenge for
many small firms. Due to this, most of these companies depend upon alternative leaders
and loans firms to gain financial resources.
Further there are some difference between small business and start-ups have also been discussed
above:
Start-ups Small business
Owner of start ups business continuous there
operations with new business concepts by
taking investments from society or own capital
These business ventures are usually set up by
similar business ideas and concepts but with
new methods of working.
Start ups have less contribution towards
growth of economy as they in very small scale.
There is major contribution of small ventures
in increasing the growth of economy as they
are continuously increasing.
M2 Difference small, medium and large business ventures make to the economy.
All these play different role in economy thus by bringing new products and ideas to
market. Every business operates in its own area thus providing various products to their
customers. The economy has a major impact of large business as they dominate the whole
industry. Medium and small and medium business can play a role in mitigating the problem of

imbalance in balance of payment (Gorgievski, Ascalon and Stephan, 2011). While large business
increase the inequities of income of wealth, Small and Medium Enterprise helps in equal
distribution of income and wealth. Small enterprise provides opportunities to potential and
capable entrepreneurs. Also, risk is minimum in this so more resources will be employed by lab
our force. The jobs provided by small and medium business are more and decent as compared to
large enterprise. Although large enterprise contribute more in GDP but the role of small and
medium business cannot be ignored.
TASK 3
P5 Characteristics, traits and skills of two successful business entrepreneurs.
The traits are the skills, ability and characteristics that an entrepreneur possess and use these in
their business to get success.
 Motivation and passion- They must be cheerful and great. They should consider that
they will be prosperous and in order to do that they put their resources at risk. They are
prepared to put surplus hours to make enterprise win (Blackburn, Hart and Wainwright,
2013). They must contain high energy level to think that how to increase their business
and market share. Mark Zuckerberg always had passion to do something big and
motivated himself.
 Versatility- They must have enough versatility to do different task independently. It
means if there is no one available to - They must be cheerful and great. They should
consider that they will be prosperousdo that task an entrepreneur should rely on himself
to do a particular task.
 Decisiveness- Ability to take quick decisions in order to grab an opportunity which may
be successful for business (Acs and et.al. 2011). Timely decision taking is very important
as it can cause missing opportunities that could move towards the growth of business.
Also, the results of previous decisions must be mentioned as will lead to better decision
making. Mark Zuckerberg takes quick and better decision.
 Creativity- It is being able to make connections between unrelated events by coming up
with various solutions. They must have the capability to pursue and recognize
opportunities. They must not come up with creative ideas but also to turn those ideas into
profits. Skills like strong selling, market product in new industries, learning, etc. Mark
Zuckerberg always tries to do creative with his ideas.

 Risk taking- They are ready to deep dive into future of uncertainty. It means to risk time
period and monetary system on unknown, but they keep roots and programme for
handling with unknowns in reserve (Nakara, Benmoussa and Jaouen, 2012). They also
evaluate the cost risk involved is the most important trait any entrepreneur must possess.
If he will not take risk then he can’t be successful in his business. Mark Zuckerberg took
risk of acquiring What's App.
 Vision- Entrepreneur must have vision of where they want their business to be in the
future. In addition, they must communicate it to employees and investors. It will help
them to achieve their vision. It means where you want your business want to be. Mark
Zuckerberg’s vision was clear as want he wants to make a platform where people are
connected with each other.
 Flexibility- It is enough to do new things through application of initial plans and
strategies. They must be able to adapt their strategies to meet the changing market
conditions. There should also be flexibility in working ways as it will lead to creativity.
Mark Zuckerberg was very flexible in working with his Co- owners.
 Open minded- Entrepreneur should recognize that every circumstance and position is a
business possibility. They have the ability to look around them and focus it towards their
goals. Ideas can be generated regarding how flow of work should be there, to identify
people skills, abilities and to find out new potential business areas. it means to think in a
wider area with the prospects of business.
A business manager leads his employees whereas the entrepreneur leads his business. The
manager focus on growth and development of business whereas entrepreneur develops his
employees.
The characteristic of Mark Zuckerberg is he is hard worker and a good communicator . Being a
good communicator he asks the people about the changes that can be made in Facebook. He is a
hard worker that's why he never gave up. He is also open minded and meets people by sharing
his ideas and views.
Steve jobs- this man was having the characteristic of being innovative that's why he kept on
developing the products and satisfying the customer needs.
On the other hand jeff Bezos is having characteristic of prioritizing the customer service through
process , ideas and products.