Report on Entrepreneurship: Small Business Management and Economy

This report provides a comprehensive analysis of entrepreneurship and small business management, focusing on different types of entrepreneurial ventures, their typologies, similarities, and differences. It assesses the impact of micro and small businesses on economic growth, particularly in the UK, using relevant data and statistics. The report also explores the importance of small businesses and startups in fostering economic development, examining the characteristics, traits, and skills of successful entrepreneurs. Furthermore, it delves into how entrepreneurial personality aspects reflect on mindset and motivation, and how an individual's background and experience can either hinder or foster entrepreneurship. The analysis includes the role of SMEs in job creation, economic contribution, and overall social development within the UK.

Entrepreneurship and Small Business
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
Part 1................................................................................................................................................1
P1 Different types of entrepreneurial ventures with relation of typologies................................1
P2 Similarities and differences between various entrepreneurial ventures.................................2
P3 Present, interpret and assess relevant data and statistics to evaluate impact of micro and
small business .............................................................................................................................4
P4 Explain the importance of small business and start up on growth and economy of small
associations.................................................................................................................................5
Part 2................................................................................................................................................6
P5 Reason behind a successful entrepreneur with evaluation of characteristics, traits and skills
of such personalities....................................................................................................................6
P6 Assess how aspects of entrepreneurial personality will reflect on entrepreneurial mind-set
and motivation.............................................................................................................................8
P7 Analyse background and experience of an individual will hinder or foster entrepreneurship
.....................................................................................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Entrepreneur is a person who have some special skills and attributes to do something new
and innovative in market so that sustainability for long term could be encourage.
Entrepreneurship is an activity which could person by such person so that appropriate outcome
(enterprise) could be gain for better and effective working. Every big idea starts with small one
and such concepts contribute in overall economy development and growth. (Blackburn, Hart and
Wainwright, 2013). This project is based on small business and entrepreneurship for analysing
role of an individual towards social growth. In such consideration, various entrepreneurial
ventures and their relation with typologies get evaluated. Moreover, it will also reflect about
similarities and differences between various entrepreneurial ventures. With this consideration,
impact of micro and small business on growth of an economy need to interpret effectively for
measuring its importance towards growth of society. Further, every entrepreneur has some traits
and skills with suitable values which need to determine and underpin properly. Thus, it is
important to analyse and measure, their motivation and mind-set properly with appropriate
background experience of hinder and foster consents.
Part 1
P1 Different types of entrepreneurial ventures with relation of typologies
Entrepreneurial ventures are such organisations which get started by an individual whom
have an innovative idea to do something new into market world. Enterprise is an ending result
which get done by a person so that better and appropriate working could be promoted. This
signifies that enterprise need to be competitive in frame so that better and effective working
could be promoted. It is important to understand each and every factor of business properly so
that chances of suitable gain could be enhance. There are various ventures of entrepreneurial get
evaluated which stated as follow: Start-up venture: These are small business organisations which start with a new idea of
working. These venture organise with small investment and compete at not so large level.
Thus, chances of risk and inefficiency are less but number of rivalries in such industries
are more (Bridge and O'Neill, 2012). Thus, it is important to evaluate suitable
competition of every industry and an individual need to make them differ from others.

This will support in gain better and appropriate outcome so that chances of appropriate
gain could be promoted. Scalable venture: Another venture which could execute by an individual with a clear
motive to contribute in society and generate more revenue is scalable start up. In such
aspect, an individual take business to a new or determine level so that better and
appropriate working could be promoted (Carsrud and Brännback, 2011). This need
sufficient fund with risk taking experience so that every consent lead to get manage
properly and effectively which contribute in chances of success and sustainability.
 Social venture: Some entrepreneur wants to work in favour of society and profit
generation is not that much consent for them. These ventures get operated with a single
motive to support and enhance standard of society by providing and introducing many
new opportunities. These individual want to do something new and in favour of society
as well so that better and effective growth and development could be maintaining and
manage.
Every entrepreneur is related to a particular typology which need to understand in an appropriate
frame. Various typologies of entrepreneurial ventures in this consent are stated as follow: Serial entrepreneur: An entrepreneur is a person whom always comes up with a new ide
and implement in environment for gaining profit by assuming and bearing each and every
risk factor properly. Serial entrepreneur is completely differing from ordinary
entrepreneurs in which they come up with a new idea start it but when it gets successfully
implement, such individual lead to shift to some other work by giving responsibility to a
particular person. These entrepreneurs support and become large ventures owners with
successful working with a clear mind set to do something new and innovative
(Chittithaworn, Islam, Keawchana and Yusuf, 2011).
 Social entrepreneur: These are such kind of ventures which establish with a clear aim of
solving all social problems and issues which made vast impact on society. There are
many projects which have small scale nature getting done just for the growth and
development of society. Such individual work with a clear aim to support society so that
appropriate outcome could be gain. They never think about profit but just growth of
social aspects by resolving all major issues and problems.

P2 Similarities and differences between various entrepreneurial ventures
There are various entrepreneurial ventures are operating in business environment which
need to understand in a suitable and appropriate frame. All such individual has a direct or
indirect relation of working and they want to accomplish something new by creating vast range
of opportunities. Most of the business get run with an individual but a new venture or an idea get
implemented with support on an entrepreneur so that better and effective target accomplishment
become possible by bearing each and every risk factor (Chrisman and et. al., 2012). thus, it is
essential to evaluate all similarities and differences between such ventures like several firms get
operated by men but very few get run with assistance under women. A major difference between
such consents are depicts as below which enables in better and clear understanding:
Social ventures similarity Serial entrepreneurs ventures similarities
Such ventures run for betterment of society
so that an appropriate up bring could be
maintain and manage.
Such ventures run in order to enhance
economic level of a country so that chances
of better and effective working could be
encourage.
They resolve all major issues and problems
by increasing job opportunities etc.
They always get shifted to some another work
which support in increase of job opportunities
for many unemployed section individuals.
Working on small level because possibility of
gains is minimum in frame.
These ventures also working at small level
thus number of competition is wide in nature.
Differences Differences
These are working in favour of society for
resolving each and every problem of society
in an appropriate and suitable frame.
A major difference of social and serial
entrepreneur is they only work to gain profit
and accomplish profit.
Social entrepreneur has a potential and a soft
heart as well through which all social
problems get resolve in a minimum and
absolute frame.
Serial entrepreneur never thinks about anyone
else but they work for generating more and
more profit so that sustainability could
manage effectively.
Female entrepreneur businesses
similarities
Male entrepreneur businesses similarities

They have a clear mind set for
accomplishing their targets.
Male entrepreneur also wants to accomplish
their targets to sustain into keen competitive
world.
Female entrepreneur always motivate their
team
Male entrepreneur also motivate their team so
that effective and efficient working could be
promoted
Differences Differences
Less focused on goals and targets Significantly higher focused than female
entrepreneurs towards targets and goals
Uncertainty of female entrepreneurs are
usually more as due to social involvement.
Male entrepreneurs have more stable working as
compared to female one.
Finance and financial management and
arrangement do not lead to take place
properly due to men dominating society.
Finance and financial management is more
appropriate in frame as many people think that
men are more hard working then women.
These all are several differences between entrepreneur and their venture with type of working. It
will support in better and appropriate working so that chances of effective gain and better
understanding could be promoted.
P3 Present, interpret and assess relevant data and statistics to evaluate impact of micro and small
business
In UK, number of small businesses has increased in last few years. Their contribution in
economy of United Kingdom is continuously increasing and according to a recent report, around
5 million small enterprise are currently operation in this region. This country is highly dependent
on growth of small and medium sized organisation. Around 89% of the national income of UK is
generated by businesses of SMEs. Economic growth of this country is fine compared to the
overall GDP growth rate of Europe. In present scenario, Britain is going through process of
Brexit (Dennis Jr, 2011). This is a hard time of people of this country because many multi-
national corporation are hesitation doing investment in this nation as they have a fear of
uncertainty. But SMEs sector is still strong and they are providing employment to almost 67%
of people who are living in UK.
Unemployment is a global problems and it is also present in United Kingdom. One of the
most important things which is analysed in recent years is that number of self employed people

has gone up by 5%. Turnover of private companies is approximately 2.2 trillions euro in UK. A
recent research shows that SMEs sector also have almost same amount of contribution in term of
turnover. These figures clearly shows that they success of small and medium sector is directly
linked with economic growth of this nation. This sector can be considered as the strength of UK
and in upcoming they may play crucial role in removing all the negative impact of Brexit. One of
the most important thing which most of the people ignore about SMEs is that they have increased
living standard by decreasing number of unemployed people (Drucker, 2014).

Illustration 1: Employment in small business
Above graph shows that number of people employed in SMEs sector has fluctuated
between 2009 to 2014. But if this data is analysed in proper way then it will reveal that the
overall jobs given by SMEs sector has increased.
P4 Explain the importance of small business and start up on growth and economy of small
associations
Small and medium sized enterprises have significant amount of contribution in social
development on UK. Their is a general perception that they if multinational companies will enter
in a country then they will provide more jobs and develop infrastructure. But people should also
see another side of MNCs. When they fail to attain their objectives then they fire thousands of
people in one shot. This does not happen in SMEs sector because they are not too vulnerable to
external changes and if a small organisation shuts down then it does not make any major impact
on the economy and social development (Fassin, Van Rossem and Buelens, 2011). Living
standard of people in UK has always remained high. SMEs played significant role in removing
major problems like unemployment. This is one issue which directly connected with poverty.
Below are some of the importance of of start ups and small businesses in social and economical
development:

Employment – Micro and small business has created lots of employment opportunity in
UK. Most of the people in UK are getting jobs according to their potential and skill. One of the
major issue related to unemployment is that, qualified people have to do a job which not related
to the field in which they completed their education (George and Bock, 2011). In present time,
millions of people are working in small businesses or start ups. If this sector would not have too
strong in UK and then many people could have been unemployed in present time.
Standard of living – Employment is connected to standard of living. If people will earn
more then they will also spend more. Small businesses help in increasing income earned by
many people. Part time jobs, Work from home etc. are some of the forms of businesses which are
generating employment at different levels.
Regional development – Normally MNCs and big companies invest in popular
destination like London. But SMEs and start up initiate their business at regional level and
contribute to the growth of a particular region where development is required.
Exports – Developed countries earn lot of money from selling goods to other nation.
Small organisations and start-ups are exporting goods and services and assisting in social and
economical development.
Part 2
P5 Reason behind a successful entrepreneur with evaluation of characteristics, traits and skills of
such personalities
Executive is required to poses capabilities through they are able to design system in such
manner that organisation goals and objectives are accomplished. So, this benefit them to evolve
in their career. Besides this an entrepreneur need to have skills through which they are able to
handle business activities and people in better manner. These are some characteristics which they
need to have to make system function effectively:
Passionate: A person is required to have this trait; as if they are not dedicated towards
organisation than they will not attain goals timely (Gorgievski, Ascalon and Stephan, 2011) .
Business person will be able to accomplish aims within deadlines; if they have enthusiasm and
interest towards firm and its operations.
Optimistic: An entrepreneur require to be positive and confidence about their thoughts,
functionality and views. He/she should be able to handle all situations effectively and finding

appropriate solutions through which problems are sorted. This will help them to carry out
business activities in better manner by selecting options which are beneficial for organisation.
Confidence: This is important feature which business person should posses, so that they
are able to make system function properly. By dealing with all situations professionally they are
able to remove obstacles which are hindering business activities. So, this help them to complete
targets within deadlines and utilise market opportunities by positioning superior than rival firms
(Goss, 2015).
Thinker: It is powerful component which entrepreneur is required to posses to make
organisation succeed. They need to make innovative ideas so that they are able to utilise
resources efficiently and thereby manufacture products and services in creative manner. This
help them to attract large number of customers by providing them quality offerings. As a result,
firm profitability is also improved.
If a person is having adequate capabilities through which they are able to accomplish activities
properly. This also help an entrepreneur to sustain for longer period, if they posses additional
features and easily position firm superior than competitors.
Henceforth, there are certain skills related with an entrepreneur, mentioned as beneath:
Communication: It is must for superior to maintain an appropriate conversation at
workplace. This will help to improve involvement level of employees into business. Along with,
they will easily share their opinions and thoughts with managers. It assists to improve their
morale and motivation. Along with, they need to provide them proper information which is
required for accomplishment of their work. For this, they will use some techniques or methods,
such as email, website, meeting and many more.
Leadership: This kind of abilities need to be possess by an employer; thus, they will be
able to provide appropriate guidance to their staff members. It works as a motivation for them
and they will be able to accomplish targets and goals adequately (Jones and Rowley, 2011). By
getting proper direction work will be complete timely and appropriately. It assists to keep up

effective relations with subordinates and boost their morale and confidence. It is fundamental
duty of a leader to encourage their workers to complete work more efficiently.
Decision making: It is must for manager to take effective judgement for affiliation as this
will provide benefits to firm. By taking best decision, organisation will be able to use
opportunities which are accessible for them at marketplace. They have to utilize finance
appropriately so that entire work will be manager more effectively. If company is earning
maximum profits then, they will provide maximum return to investors. It helps them to improve
their reputation and in addition, they will survive at marketplace for maximum time duration
(Karlan and Valdivia, 2011). Rather than this, manager needs to develop proper strategies which
aid workers into their working in an effective way.
Time management: It is must for superior to set some deadline for entire task; therefore,
they will be able to accomplish work within limited period of time. By doing this, they will take
benefits from their competitors. Along with, it helps clients to satisfy needs and wants within
certain time span. As a result, production or sales of an enterprise will get enhanced. It enables
them in improvisation of revenues and they will manage entire working operations effectually.
P6 Assess how aspects of entrepreneurial personality will reflect on entrepreneurial mind-set and
motivation
Personality of an individual reflected in his or her behaviours and on the basis of this
efficiency of his task accomplishment is to be measured. For making better understanding on this
concept there is a model that contains almost five elements. This model is helpful in identifying
mixed effect on motivation as well as mind-set. Elements that are associated with this are
elaborated as below:
 Extraversion: Personnel’s that are related with topic are very extrovert and energetic as
they can share their feeling with other persons. Persons that are linked with this heading
are very jolly in nature. It is a virtue by which a person feels inspired and he converted
this inspiration into hard working which is helpful in attaining all targets in set time
duration (Neck and Greene, 2011). Open conversations can be establishing in enterprise
if an entrepreneur thinks with broad mind perspective. So it makes possible to share
thoughts who are not comfortable in sharing ideas and feelings.