Entrepreneurship and Small Business Management Report - Joe Woods

This report delves into the realm of entrepreneurship and small business management, exploring various types of entrepreneurial ventures such as small businesses, startups, large companies, and social enterprises. It highlights the similarities and differences between these ventures, focusing on their investment, aims, profitability, and targeting of customers. The report further examines the impact of micro and small businesses on the economy, including their role in job creation and their significance in the context of post-Brexit Britain. It discusses the characteristics, traits, and skills of successful entrepreneurs, as well as the challenges they face. The report also covers the facts of entrepreneurship in the public sector, and the personality traits reflecting motivation and mindset of entrepreneurs. Overall, the report provides a comprehensive analysis of the entrepreneurial landscape and its implications.

Entrepreneurship and small business
management

Contents
INTRODUCTION...........................................................................................................................1
LO1..................................................................................................................................................1
P1: Different types of entrepreneurial venture.............................................................................1
P2 : similarities and difference entrepreneur ventures.................................................................3
M1 Facts of entrepreneurship in public sector.............................................................................5
LO2..................................................................................................................................................5
P3: Impact of micro and small businesses on the economy of the country.................................5
P4 Importance of small business..................................................................................................6
M2 critical evaluation of medium, and large business on economy............................................7
D1 & D2 Critical judgement on the growth and development of the entrepreneurial venture....7
LO3 .................................................................................................................................................7
P5 characteristics, traits and skills of two successful entrepreneurs that have differentiate from
other business managers. ............................................................................................................7
P6: Personality traits of entrepreneur which reflects motivation and mind-set..........................9
M3 argument that help in presenting characteristics of a successful entrepreneur......................9
D3 Critical evaluation of theories..............................................................................................10
LO4................................................................................................................................................10
P7 Background and experiences of entrepreneurs and various challenges faced by them........10
D4 Debate on supporting the judgment in respect relationship on this context .......................11
Conclusion.....................................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Entrepreneurship is the method which helps businessmen to process the innovational
techniques in the form of development of new product into the business. Small businesses are
those SME companies who contributes less towards the economic development of the country.
This report is based on the self prepared research of Joe woods who will going to develop a sense
of entrepreneurship among recent graduates. Entrepreneurs generally performs these types of
activities in order to sustain the organization for the longer time. This study will help in
understanding about different types of entrepreneurial ventures, their differences and similarities
between them. The research will also focus towards micro and small business impact on
economy of the country. It will also help in creating the understanding about importance small
business after Brexit happens. The study will also reflect the entrepreneurial motivation.
LO1
Different types of entrepreneurial venture
Entrepreneurial ventures are the firms which performs different operational activities in
order to earn profits in the company. Entrepreneurs are mainly performs such kinds of activities
for the successful development and sustainability of the business (Scarborough, 2016). There are
different kinds of entrepreneurs are there some of them might perform business activities for
generating huge wealth while some performs the business activities for the betterment of society.
Typologies of entrepreneurship can be termed as classification scheme that consequently
performed in order to conduct research for identifying the entrepreneurial history. As ventures
performs different commercial functions in order to sustain in the market for the longer run then
they adopt different entrepreneurial typologies so that it helps in adopting optimum style of
achieving the objectives of the company. There are various kinds of entrepreneurial ventures
who perform operational activities in order to provide different types of goods and services to
society for consumption process. Such ventures are as follows: Small business entrepreneurial venture: These type of business are generally run with
the perspective of earning profits. They are independent businessmen who performs
operational activities on a smaller scope. Because they are privately owned businesses so
capital investment of such business is very small. Funding is generally done by friends
relatives etc. these are privately owned companies their objectives and profitability are
also restricted as their operational tasks. Such companies have large potentiality for
1

future growth but they use less initiatives for implementing innovative ideas and
technology in the business.
 Scalable or start up business ventures: These are small business organizations who are
recently stepped towards the modern competitive world (Piperopoulos, 2015). Such
businesses are very small and runs with the perspective of holding the position of
companies in this highly competitive world. Such entrepreneurs mainly focus towards the
potential growth of the company. Many startup companies are making their place in the
market by various advertising methods in order to sustain and hold the position in market.
In order to grow more such companies generally attract large number of investors. They
also adopts various advertising techniques in order to grab large number of customers by
providing quality based services. Such companies also provides many discounted offers
to public in order to promote goods and services of the company (Kirzner,2015).
Discounted offers are may be considered as the marketing practices of startup companies
in order to survive and sustain its positions. Recently emerging startup companies are as
follows: Swiggy and Zomato. These companies cannot produce their goods and services
but possess a potential to use websites as a mediator platforms who makes available wide
range of eatables for customers and these startup companies also provide home deliveries
facilitates the comparison of prices of best effective hotels. Large company: These enterprises generally works with the broader vision of performing
well in the market and such enterprises uses large capital investment for setting up the
business. Due to their large capital investment such business generates higher
profitability. Such entrepreneurs make strong strategies for the successful development
and growth of the business. Their strategies impact on their main objectives for the longer
run. These ventures operate the business activities with a wider business context that help
in successful growth and development of the company. These are big corporate that
perform the business operations on a large scale and these they also establishes new
product and innovative ideas in the market which may get the support of the public
somehow. In order to introduce the development of new product in market businessmen
generally performs complete marketing research in order to identify the needs of the
consumers for a specific product. Various risks and opportunities are considered before
invention of a new product in the market.
2

 Social enterprise: These enterprises aimed at the social welfare of the people. Such
companies do not run with a perspective of earning profits but they operate the business
activities for the welfare of the society. Size of such enterprises are mainly dependent on
the members or team of workers who perform the activities for a social cause. The main
priority of the social entrepreneurial ventures is not generation of higher profitability but
they does in order to facilitate customers with the effective goods and services at nominal
prices (Garcia, 2017). They may or may not charge for their services. Such companies are
generally called as NGO’s (non-government organization) or nonprofit organizations.
Such businesses are run for the benefit of the society (Drucker, 2014). Capital investment
of is collected from the team members or it may be generated from the public by their
own.
similarities and difference entrepreneur ventures
Entrepreneurial ventures mainly operate the business in order to run commercial
activities of the business. These activities are generally performed by providing various goods
and services to people. It might be for the purpose of earning profits or it might be performed for
the purpose of society welfare but common point between all the enterprises is that they usually
do various operational tasks in order to sustain the growth and development of the organisation
for the longer time. Differences between such entrepreneurial ventures are described below:
Point of Differences Small ventures Big corporations
Social
entrepreneurial
ventures
Investment, aims and
objectives
Small businesses are
mainly run for the
purpose of earning
profits. Company is
mostly capitalized by
different sources of
individual funding
such as friends,
family and relatives
fund their business.
These are large
business and performs
the operational
activities on wider
concepts and
generally such
companies are aimed
at generating large
profits from the
business activities.
These enterprises are
not aimed at earning
profits but such
organizations
perform business
activities for the
benefit of the society.
Main objectives of
the social enterprises
are facilitating
3

These corporations
are aimed at
sustaining the position
in the market in order
to grab potential
customers against the
competitive
industries.
Such runs the business
activities in order to
achieve objective of
the successful
development of
business.
customers with high
quality of services
for the welfare of the
society.
Profitability Small companies
earns small profits as
they capitalize their
firms with a minimum
investment or
sometimes personal
savings. So
operational activities
of such enterprises are
restricted with their
functioning for
example, general
stores, independently
owned business etc.
Minimum profit are
incurred
Because these
companies performs
large business
operations and they
also apply various
innovative strategies
to their business in
order to grow and
expand the business
activities. Usually big
corporations generate
large profitability.
Such enterprises do
not work for the
purpose of earning
profits. Profit
incurred is less as
compared to other
profit generation
organizations (Dees,
2017). Social
enterprise performs
operational activities
for the beneficiary
purpose of society.
Targeting customers This venture target
middle class people
who prefer spending
less money in order to
consume goods and
services.
This entrepreneurial
venture targets high
class people in order
to gain large
profitability.
They generally
targets those people
who are incapable of
earning enough
money. These
NGO’s usually
provides help to poor
4

and needy people.
Innovation Such enterprises
performs less
innovation and so
they only focus in
salling existing
products and earn
profits from those
products (Brenkert,
2017).
Such organization
always brings out new
invitational ideas and
concepts in the form
of development of a
new products.
These firms are less
interested in adopting
innovative
productions. In spite
they adopt various
different ways to
perform efficient
operational tasks.
There are various similarities between different entrepreneurial ventures such similarities are as
follows
 All the profit or non- profit organizations generally perform business activities in order to
sustain in the market for longer run
 All the enterprises are generally runs with a main perspectives of developing goods and
services in order to satisfy the needs of the customers.
 Usually all the operations in the companies are performed for the generation of profits but
except one venture i.e., social enterprises.
Facts of entrepreneurship in public sector
Public sector generally contribute their products and services for public so
entrepreneurship in public sector mainly works for the society. They positively impact on the
society as they perform production of goods and services considering the needs and requirements
of people. Such entrepreneurs provides the services at cheap cost which increases the purchasijng
power of the public in order to consume the desired products. So this is a major fact that
entrepreneurs in public sector mainly produce the services as per the requirements of consumers.
LO2
Impact of micro and small businesses on the economy of the country
Micro businesses and small business are generally defined as small businesses which
operates the business activities in a smaller scale. They are also aimed at producing the fixed or
certain amount of turnover and they also employ limited number of people. Micro businesses
involves less paid up capital companies who generates minimum amount of profitability. Small
5

businesses are generally possesses a capabilities to employ people and create job opportunities
for people. Because such enterprises do not afford large machinery in the enterprises so they
employ large number of people in order to perform operational tasks manually. There are 29.6
million paid employees who are working in small businesses in 2014. It has been also found that
after the Brexit in which Britain was separated from Germany, there was a major economic
crises arrives which have to ultimately suffered by whole country (Parker,2018).
Statistics for micro and small business includes 5.7 billion SME's with fewer then 250 employees
in organization have supported the growth of big companies. When big companies loses their
financial capabilities and therefore because of the in-stable financial crises big companies cannot
be able to retain employees. In order to improve economic condition of the country many small
companies contributed towards the world’s economy.
These macro and small business organizations are emerged as the major contribution who
have contributed by providing employment to large number of people. There are almost 99.7 %
of of small business are running nowadays. And according to the exact statistical figure it was
observed that there are 19000 small business are operating these days. Employment have created
a great impact on the lives of the unemployed people and it had also one of the major
contribution of macro businesses in order to support the economy. There are various impacts of
small business on the economy such are as follows:
 Small scale businesses had adopted new technological methods in order to provide top
quality of products at nominal prices to people.
 It had also provided house hold services in rural area.
 .it had mainly focus towards employing large number of skilled labours which have
improved financial conditions of the country.
 Small industries have contributed almost 40% of the total gross value in exporting the
products and services.
Importance of small business
It can be considered as the important part which have influenced the growth and
development towards shaping the society by adding economic values to it. Small scale business
have large opportunities for scope in future (Kuratko, 2016). These companies individually
6

contributes their small contribution and generates a bigger wealth for the country’s economic
development. Sometimes small business promotes the individual talent of the employees in order
to develop new goods and services for the company. Such business also play significant role in
developing and designing new policies and procedures for the smooth functionalities of the
organisation. Such business have large potential capabilities which help them to grow rapidly.
Small business generally provides large employment opportunities to people that
improves the skills and knowledge of the educated people. Small companies generally focus
towards quality of services and also help in building strong customer relationship that help them
in improving the goodwill of the organisation. They also provides variety of goods and services
to people and such services are provided with nominal prices. It also help in building standard of
living among people of the region. By facilitating them with variety of services. Small
enterprises also help in simulating the economic growth of the firm by generating large
employment opportunities for people. In order to maintain the position of the company for a
longer time duration these companies makes lot of efforts in attracting large number of people
towards the goods and services which are provided by the organisations.
critical evaluation of medium, and large business on economy
Start-up companies have although provided many contribution in improving the social
economy at various levels. It may be regional or national. After the war of Brixit when Britain
decided to exit from the Germany. On the other hand after the Brixit, medium and large business
are almost exploited which are not capable of producing the sufficient economies in business. All
the big corporations are separated and this war have greatly influence the economic situation of
the company. In these in-stable condition small business help the country in again regaining the
economic position in the market. it have not only supported in regional development but it had
provided a Strong and effective support in the international economy. Instability have widely
impacted on international financial position which have later supported many small business.
Critical judgement on the growth and development of the entrepreneurial venture
Higher growth and development of the business can only be possible when small
businesses had decided to contribute to the economic wealth of the country. It have positively
supported the economic condition by provided large employment opportunities to people. On the
other hand if such small entrepreneurs do not support the country then it might be a great loss for
7

the country as financial conditions plays the important part in growth and development of the
society.
LO3
characteristics, traits and skills of two successful entrepreneurs that have differentiate from other
business managers.
One of the most popular entrepreneur in the world is Bill gates who have created a big
empire with their passion and skills in the field of entrepreneurship. Second is Steves job who
have conquered the world by taking a victory in this field (Burns, 2016). Both the entrepreneurs
need to possess high motivational spirit which makes them different from other businessmen.
Some characteristics, traits and skills of these two entrepreneurs which makes them different
from other businessman's are described below:
Comparison of successful entrepreneurs from other businessman’s: Expertise knowledge: High skills and expertise knowledge of Bill gates and steves job
makes them successful as compared to another business persons. Every entrepreneur
faces lot of challenges in the life but successful one’s are those persons who have
capabilities to manage and overcome the threats of the business in order to achieve the
main organizational objectives. Analytical perception: Observing and proper analyzing capabilities of Bill gates and
Steve Job help them in carefully analyzing the requirement and opportunities in order to
improve the performance of the business. Better communication: Successful entrepreneurs are also need to acquire best
communication abilities which help in influencing the minds of employees which help in
motivating the workforce of the company.
Marketing knowledge: Bill gates and Steve Job have the very important skills of marketing
research which help them in developing or inventing the product in the company. These qualities
makes them better from other entrepreneurs (Storeyed, 2016).
.  Ability to predict future: Successful Entrepreneur have to consider all the aspects of
business as considering and managing the negative points help them aware about the
future risks and uncertainties. Bill gates and Steve jobs have a power of predicting the
future aspects which help them in identifying the methods to deal with such issues. On
8

the other hand, normal entrepreneurs have a lack of prediction which takes their actions
towards the major failure. Flexibility in nature. Environment changes continuously according to need and
requirement of customers. Entrepreneur should be flexible enough to adapt changes.
Steve job was very flexible, development and production of new products bring tools and
equipment’s which help in performing the operations of the company so successful
entrepreneur have a great quality of flexible nature while other don’t have it. Innovative thoughts: in order to sustain the business in the market for longer duration it
is must to timely introduce and refresh the business with establishment of new products
and this quality makes Bill gates and Steve Job different from others (Weber and Gibson,
2014).
 Time management abilities: it is most important aspect that help in efficiently
performing the different activities of business. As business is the combination of various
departmental activities which have to be properly coordinated and controlled. These two
successful entrepreneurs have the ability to manage the time which helps in managing the
different operational activities in business.
Personality traits of entrepreneur which reflects motivation and mind-set
Personality traits basically reflects the positive attitude of entrepreneurs which helps in
motivating and creating the mindset of employees. Such personality traits of entrepreneurs are
elaborated below:
skills of Bill gates are as follows: Extroversion: Expressing power of the entrepreneurs help in controlling the actions and
activities of the people. In order to work effectively entrepreneurs need to understand
strengths and weakness of their employees so it help in proper assignment of duties and
authorities. This also help in empowering the work of the employees by properly taking
suggestions and ideas from them that motivates the employees.
 Agreeableness: They need to understand nature of employees and also behave friendly
with them this creates the sense of trust and faith among the employees. This also helps
them to easily discuss any problem with their managers.
9

Skills of Steves jobs analytical perception: analytical perception of steve job is so remarkable that help in
observing and the trends of the market and requirements of the customer that help in
developing the successful business.
 Conscientiousness: proper observing and analyzing qualities of the entrepreneur helps
them in taking proper steps and actions which help in sustaining the business growth and
development.
argument that help in presenting characteristics of a successful entrepreneur
Successful entrepreneurs are not emerged as strong businessmen by birth but they have
acquired the qualities which makes them different from other managers. They have to do hard
work for creating a successful mansion and this hard work pays them in terms of successful
business career. Successful entrepreneurs can also contribute towards the economic development
of the country while if the entreprenueurs are not capable in generating the stated profits then it
will also create negative impression on the minds of the consumers. It also negatively impact on
the economic development of the country.
Critical evaluation of theories
Business are the wider concept which need to be properly managed in terms of
coordination and efficient efforts of the employees. So if the employees of the companty are
motivated then it is ultimately impact on the higher production of the company. In order to
motivate the workforce, managers need to apply range of motivational theories in order to bring
out best of their employees. Maslow's need heirarchy theory and chaos theory explains such
types of motivational spirit among workers. Effective application of such theories improves the
morale and helps the workers in generating quality of products while on the other hand
unsatisfied workers may leads to the ineffective work which may impact on the quality of
production and therefore decreases the profitability of the company.
LO4
Background and experiences of entrepreneurs and various challenges faced by them
Better background and experiences help entrepreneurs in thinking the innovative
concepts of developing new ideas in order to start business activities with an effective planning
and strategies. Setting up of a large organisation requires proper skills and techniques which help
in establishing the big empire. Entrepreneur need to possess overall skills and knowledge about
10

the business activities and this help in businessmen in supporting the growth and development of
industries (Link, 2015). Such experiences helps Entrepreneurs in taking the correct actions
regarding the implementation of strategies and policies of the organisation.
In order to develop effective plan of performing various activities one needs to identify
different aspects business. Considering negative and positive aspects of the business would help
in estimating the performance of business. Entrepreneurs also have to understand the basic
concept behind the uncertainties of risk which occur in every types of business activities but
businessman required to possess a quality to overcome such business risk and also determining
various measures to eliminate risk factor from the business.
Entrepreneur have to face many challenges in becoming successful. To start any business,
funding sources are the major problem which need to be timely fulfilled and if the businessman
cannot be able to arrange sufficient fund then how can he perform the operational activities of
the business. Investor don't like to invest their funds in new venture. They struggle a lot to
manage funds for the start up. As a company is establishing, it has to face lot of criticism from
existing firms in order to create effective impression in the minds of customers which help in
growth and development of the company. Entrepreneurs have to face both negative and positive
influence of the business.
Debate on supporting the judgment in respect relationship on this context
If we see the positive influence of business then it might be possible that many startup
companies grow rapidly in the market and if plans and strategies successfully worked then it
might be a great threat to other competitive organizations in the market. Experienced business
men earns a lot of profitability by applying their entrepreneurial skills into the business (De
Massis 2015). On the other hand if the business man cannot able to manage and control the
business activities then it may have to suffer many problematic situations like failure major loses
etc.
Conclusion
It had been concluded from the above context that different entrepreneurial business
functions differently in order to improve the economic situation of the country. This study have
mentioned various importance of small business and their contribution towards the growth of
economy. The study had also created understanding about improved standard of living of the
people after the war of Brixit. It also helped in understanding different types of ventures who
11

performs commercial practices in order to sustain the future growth and development. It had
been also concluded that Small business consist of large part of economy. As it is small in
nature, many people choose to start up this. If provides employment to people of backward areas.
This type of industry help in maintaining balance between urban area and rural area. There are
some characteristics and skill which an entrepreneur should have to become successful. This
project deals with everything that is necessary for growth and establishment of businesses.
12

REFERENCES
Books and Journals
13