Unit 9: Entrepreneurship & Small Business Management Report Evaluation

This report delves into the realm of entrepreneurship and small business management, offering a comprehensive analysis of various entrepreneurial ventures, including serial entrepreneurship, owner-managers, and social enterprises. It examines the impact of micro and small businesses, providing statistics on their contribution to the economy and highlighting their importance in the social economy. The report further explores the characteristics of successful entrepreneurs, the influence of entrepreneurial personality, and the impact of personal backgrounds on entrepreneurial performance, including factors that either hinder or foster entrepreneurial success. It provides an overview of different types of entrepreneurial ventures like public, private, and voluntary, and their roles in economic growth.

Unit 9 -
Entrepreneurship &
Small Business
Management

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Part 1................................................................................................................................................3
LO 1.................................................................................................................................................3
P1: Different type of entrepreneurial ventures............................................................................3
P2: Different entrepreneurial ventures-.......................................................................................5
LO2..................................................................................................................................................6
P3: Statistics showing impact of small and micro business........................................................6
P3: Importance of small business on social economy.................................................................7
Part 2................................................................................................................................................8
LO3..................................................................................................................................................8
P5: Characteristics traits of successful entrepreneur...................................................................8
P6: Entrepreneurial personality reflect on entrepreneurial mindset and motivation...................9
LO4................................................................................................................................................10
P7: Hinder and foster of background for entrepreneur.............................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Entrepreneur is an individual who is responsible for taking high financial risks and start
an organization for the purpose of earning money. Start-up is the company which is being
developed by one of more entrepreneurs for introducing new products in the market, through
with which it can supply new and rare merchandise to the consumers. Evaluation on the different
type of entrepreneurial ventures and their relation to the classification of the businessperson
project is being done in this report. With that analysis on impact of micro and small enterprise
upon the economy is being studied within report. Identification on the impact of small businesses
and start-ups on the social economy growth is also being evaluated. Analysis of impact of
entrepreneurial personality upon the overall working of the entrepreneurial performance is being
evaluated within the report. Evaluation on the impact of entrepreneur personal background and
personal experience to hinder or to foster entrepreneurship performance is also being analysed in
the report.
MAIN BODY
Part 1
LO 1
P1: Different type of entrepreneurial ventures
The entrepreneur is an individual who is responsible for setting up an business by taking
high financial risks and develop strategies so that it can achieve high rewards from the business
activities (Turner and Gianiodis, 2018). Entrepreneur activity is the overall operations which are
done by the entrepreneur within the developed business, such that it is able to accomplish
advanced work productiveness (Bublitz and et.al, 2019). The entrepreneur, is responsible for
performing several activities which include activities like monitoring performance, developing
strategies, managing operations and many more. Through these steps the entrepreneur attend to
make sure that developed business is able to achieve high level of work productivity. With that it
also tend to guarantee that it is able to reach full gross sales.
Serial entrepreneur- It is an type of entrepreneur which often tend to have a series of creative
ideas and tend to develop several organizations on that bases. Through this the entrepreneur tend
to make sure that it is able to perform several tasks within the short span of time.

Entrepreneurs- An entrepreneur is responsible for developing an single business and
concentrate its operations towards the single business which is being introduced. Since single
business is being set-up by the entrepreneur, due to which it tend to perform day to day
operations.
Owner-managers- It is type of business in which a small scale business is being set-up by the
entrepreneur and overall operations are being managed by the entrepreneur itself. Through this it
tends to make sure that it is able to make improvisations as per its requirements.
Typology of entrepreneur-
Entrepreneur tend to develop business as per its requirements and expertises, so that it can
minimize the threat of facing failures. Following are the different type of typology of
entrepreneurship (Sahoo and Yadav, 2017).
Lifestyle entrepreneurship- This is the entrepreneur typology in the entrepreneur develop
business as per the lifestyle it tends to achieve, due to this the business is being developed
accordingly.
Managed growth ventures- It is an unique kind of entity in the entrepreneur develop business
such that current operations tend to pursuit future growth opportunities by utilizing innovations
and to control the organizational operations.
Social enterprise- It is the type of business which tend to concentrate its operations on the social
objectives as an prime objective of the organizational working. This type of business activities
tend to concentrate on maximizing the profit margin, while maximizing the benefits to the
society and the environment.
Roles and characteristic of micro, small and medium-sized organizations
Micro organization- It is an type of business which is having limited number of employee
workforce and tend to provide merchandise and services to the local marketplace.
Small organization- It is an type of business in which the organizational working is being
provided to the increased geographic area. Than compared to micro organization and with that
company tend to achieve employees from rural and urban areas.
Medium-sized organization- It is an type of organization in which company tend to provide its
services to the customers within the regional level and is having several customer touchpoints at
different locations. Through this the company tend to make sure that it is able to achieve high
sales.

P2: Different entrepreneurial ventures-
Growth of social economy- Businesses which are being set-up by the entrepreneur tend to
provide high financial benefits to the entrepreneur. Also, at the same time it provides several
additional benefits to the overall growth of the social economy. This happens because
recruitments are being done to achieving desired work productivity, due to which buying
capability within the regional level increased. Through this company can achieve high sales
within the regional level.
Following is the similarity and differences between entrepreneurial ventures.
Public- It is the type of business in which the funds are being raised through the means of
integrated public involvement, in such a way that company is able to achieve desired high sales
to maintain its suitability (Abdul, 2018). This is effective working measure because desired
funds can be arranged, but also at the same time profit is also being divided among the
participants. However, despite this fact the associated risk of financial loss is also being divided
among participants, due to which this is often being used by the entrepreneurs and several
multinational organizations.
Private- It is a type of business in which the individual entrepreneur is responsible for taking
high financial risks. Then on that bases is self responsible to achieve high profit from the
particular activities (Elford and Daub, 2019). High level of risk is being associated in this type of
business model, Since individual entrepreneur or an particular group is responsible for taking all
the financial risks. Due to which profit driven steps are being taken rather than risk associated
steps for taking innovative steps.
Voluntary- This is a type of business model in which social welfare steps are being taken and
due to which this type of organization is not a profit driven organization. In order to perform the
organizational operations charity or donations is often being used by the company to perform its
operations. Through this make sure that it is able to reach advanced level of brand awarenesses.
Thus, on that bases it makes sure that it is able to succeed flooded sales and also at the same time
period perform its operations of social welfare.

LO2
P3: Statistics showing impact of small and micro business
People dream to start something of their own, this contributes to small business like small scale
industry, small scaled women owned industries and so on are companies with less number of
employees and are operated and owned independently (Felzensztein, Deans and Dana, 2019).
Mainly small businesses are from beauty, wellness, consulting and construction as compared
with others. These small businesses take 99.3% of the total business. Small businesses have
employment of 48% of total (13.3 million) of the population and have turnover of 36% (1.6
trillion pounds) of total in private sector. Small business turnover shapes UK economy. In year
2018 small company with less than 50 million pound turnover gives 2.0 trillion pounds turnover
when combined. 99% of businesses operating in UK are small firms. Small business are engines
of growth and sustainability of the country (Bionic's guides to business essentials, 2021.). The
rate at which small and micro business are growing are huge, after 2015 numbers increase by
97,000 in 2016 making 5.5million in private sector business. Main reason that drives people to
start something new is the easy granting of loans but in some cases small enterprise do not get
funding, this is 20% due to bad idea for business and do not have initial capital, 30% times the
cash flow is not strong enough (Essential facts you shoulf know about SMEs in the UK,2019).
Banks and government plays an important role on emerging small businesses. These impact on
economy as they open job opportunities for many unemployed people. They have 48%
employment rate whereas medium and large industries have 12% and 40% respectively. There
are 25-27 million small business in a country, providing 60-80% of jobs. Start-ups and small
businesses gives positive influence for innovation and thus resulting in more opportunities for
people. The financial crisis year 2008 lead to rise of many start-ups. When talking about
turnover, large business make 40% but even small makes 33% where medium makes just 12%.
Majority companies in UK are small and micro businesses, small business having 99.3% of all
business in the country and micro companies having 0-9 employees, making 96% of all
businesses (UK small Business Statistics, 2021). There are 27% of real estate and renting
business, 19% of construction companies, transport, storage, communication making 12%,
whereas agriculture, fishing contributing to just 3% (Clark, D., 2020). There are various factors
affecting small business which impacts the economy, very recent example of such factor is
Covid. The income produce from small and micro industries has decreased to a large percentage.

Such company's effect on regional areas depends on the business's success, high quality start-ups
lead to more employment in regions. Supply side effects in a region depends on experimenting of
products and innovations. Many small business operate in local area, they hire local people and
thus money stays in local community.
P3: Importance of small business on social economy
Small business and start-ups are enterprise having less than 250 or 500 employees. Major small
enterprise comprises beauty, fashion, household or cottage industries mostly in rural parts, in
urban parts construction and real estate make a huge number. Start-ups usually consists of
innovative technology, creating solution to existing old problems. Small enterprise and start-ups
are backbone of the economy, they are growing and provide employment opportunities. Growth
of such companies is measured in their turnover, outcome of money generated. They help in
poverty reduction, start-ups are creating more jobs than large companies (Turner and Endres,
2017). Everyone wants to be financially independent by working, having a job, small business
and start-ups gives them this chance by providing many options of employment. These
companies create skills and semi-skilled groups of people which supports future business. More
employment, better the economy. Customers spending affects economy growth. Small business
support local economy by bringing growth and prosperity to area outside of cities. This provides
equal distribution of wealth. Start-ups work on innovation, this helps in encouraging people to
further innovate and develops competition. Increases start-ups impacts economy in positively.
Government and banks encourages growth of small business by granting easy loans, this helps in
progress of economy. An employer while working in small company can showcase his/her talent,
excellence their skills, this improves their career graph for better good of own and socially. The
quality of business will make a true economy development. Local business support local people
in form of providing jobs or supplies, customers buying from these firms are local so in short the
income stays in local community helping the local economy grow. If a company is excelling,
will result in more development, more employees, more production and becoming major part of
social economy (Distanont and Khongmalai, 2018). The company should work well in the
market for regional development, if not then this may result in decrease of welfare. There are
various policies imposed by government, most of which are in favour of new firms to fuel up
their entry in markets this may have negative effects on regional employment. Small industries
can survive downturns of economy as they are customer-oriented and can understand needs of

customers. There are huge funding opportunities open for small business and start-ups, they
attract heavy investors benefiting people of nation as money rotates between society, wealth
remains within nation. Innovation and creativity of start-ups leads to better standard of living.
This is a women's era and many start-ups and small business encourages and inspires women to
work and be financially independent. There are many female-lead small industries which are
extremely useful for the countries' economy. Important step to enhance economy is
entrepreneurship, taking a risk on ideas leading to innovative solutions and thus increasing
economy.
Part 2
LO3
P5: Characteristics traits of successful entrepreneur
Entrepreneur is responsible to developing and organization, so that it can fulfil its
requirements and also at the same time can achieve high reward in the form of financial returns.
Whereas, managers are the organizational employees which are accountable for carry off
structure trading operations in such a way that company is able to achieve high work
productivity. Entrepreneur tend to have several characteristic differentiations with the business
managers, which are as following.
Risk taking- Entrepreneur tend to take high capital risks and develops an organization, through
this it makes sure it is able to supply new and rare products to the customers, by this high sales
can be achieved (Leitch and Volery, 2017). But on the other hand managers develop working
strategy and follow the pre-prepared paths, through this it makes sure that it is able to minimize
the risk of facing failures. Entrepreneurs are responsible for implementing creative and
innovative approaches within the company, by this it makes sure that overall work productivity
is being increased in minimum expenditures. Thus in order to achieve this entrepreneur often
have to evaluate the current working process and improvements which it can achieve by taking
appropriate working measures.
Hard workers- Entrepreneur has to guarantee that developed business is able to achieve high
sales and with that is having an appropriate working strategy. Therefore in order to achieve this
entrepreneur often have to extend its working hours beyond the scheduled working plan.
Through this step it make assure that company is able to improvise its on the job process as per

the ever-changing market trends and customer requirements (Kuratko and Morris, 2018). This
will provide company an high level of work productivity and the chances of goal
accomplishment can be enhanced. Whereas managers are the organizational employees and often
work within the official working hours because of this the overall performance of the company is
also limited (Mamabolo, Kerrin and Kele, 2017).
Willingness to make improvisations- Entrepreneurs have to make sure that the organization is
able to increase its market share and due to which often tend to make respective steps, through
this it makes sure that it is able to accomplish a competitive edge. Due to this entrepreneur often
tend to make several appropriate changes in the organizational working, through which sales can
be increased and with that company can achieve a competitive edge.
P6: Entrepreneurial personality reflect on entrepreneurial mindset and motivation
Elizabeth Gooch, is an entrepreneur which is having an organization EG solutions PLC,
through which she is able to become one of the top female entrepreneur of UK. Elizabeth is the
founder EG solution, which tend to software, through which the clients are able to evaluate their
performance. Since, Elizabeth is having an clear mindset about the requirements, due to which it
is able to identify the requirements and tend to make changes appropriately, through the overall
working of the company can be increased (Jalilov, Annayev and Mukhammedov, 2018).
Since Elizabeth is having a clear understanding about the working experience, due to
which her problem solving skills is also being improved. This motivates Elizabeth to make
appropriate changes in the working process of EG solutions. In such a way that company is able
to overcome the problems and also at the same time can improve its performance within the
market. Elizabeth's motivation can also be seen, as per the case study in which EG Solutions
suffered £700,000 and £800,000 loss within 2006 and 2007. Thus, on this bases the clear mind
set of requirements helped Elizabeth to evaluate the situations and take appropriate steps.
Through this it can make a point that it is able to tackle the situation and attain a improved
working condition.
Tom Mercer is an entrepreneur which is responsible for establishing a healthy food
organization which is being known as MOMA Foods. The start-up which is being introduced by
Tom tend to provide healthy food options to the customers commuting in London. The
entrepreneur tend to have a clear mind-set about the specific customer requirements which it tend
to fulfil (Lee and Black, 2017). Thus due to this it makes sure that the formed product is able to

accomplish the needs and by which its proposed organization can achieve high sales. This clear
idea and vision of Tom motivated him to be an entrepreneur and develop MOMA.
Tom have a clear vision and working strategy due to which it tends to conduct primary
research by taking genuine customer reviews about the new product. Then it made several efforts
to identify the expected sales which MOMA can achieve. Through this integrated steps and
creative working strategy Tom was being able to evaluate the effectiveness of the proposed
business plan on the ground level. This motivated tom to leave the well-established job and make
concentrated efforts for ensuring the MOMA is able to achieve the expected economic growth.
LO4
P7: Hinder and foster of background for entrepreneur
Individuals tend to achieve experience with the amount of activities which they tend to
perform. Through this it tends to make sure that it is able to integrate the previously achieved
experiences in the current process. Through which it can revisit the advantages which were
achieved previously. With that entrepreneur also tend to make sure that the through continuous
monitoring failures and errors can be identified in the initial stage (Parkinson and et.al, 2017).
Through this changes of achieving the desired working outcome can be increased. This can be
seen in the case of Elizabeth in which the entrepreneur utilizes its experience, in the year 2006
and 2007. This was being achieved due to the fact that Elizabeth was being able to analyse the
overall working process and uses cost-cutting on the specific sections within the company.
Through this it makes sure that company's sustainability within the market is not being affected.
This was necessary for Elizabeth because she tend to make several efforts by which the
geographical reach of the organization can be increased. Due to which has to face limitations in
the developing strategy and this was being seen in the case in which company has to face loss.
Therefore, hinder as well as foster is often being used by the entrepreneurs to identify the
effectiveness of the developing strategy which it often make to increase its market share by
increasing organizational sales.
Tom Mercer is an entrepreneur which is responsible for developing healthy food
providing organization which is known as MOMA. Tom tend to have a wide range of creative
ideas for establishing its own start-up, due to which it made several efforts by which it can
identify the overall effectiveness of the developed working strategy on the ground level (Dana,

Palalic and Ramadani, 2021). The entrepreneur Tom uses its experience which it achieved by
counting the average footfall within the London tube and by taking feedbacks from the initial
customers, about the proposed healthy food product. Thus on this bases Tom tends to make
several efforts to hinder the overall performance and by this it made sure that it is able to achieve
high sales. This can also being identified in the case in which Tom was being thrown out of the
London tube for counting the expected foot fall manually and looking suspicious. This foster
Tom's experience and due to this Tom has to improvise its working process in such a way that it
is able to fulfil its requirements.
Contrasting both entrepreneurs
Thus it can be identified that both the entrepreneurs tend to take several steps, through
which it make sure that company and business idea is able to achieve high returns. In this in case
of Elizabeth the entrepreneur has to implement cost-cutting to reduce the expenditures. Similarly
Tom has to identify several new ways through which it check that MONA is able to attain
advanced sales.
CONCLUSION
From the above study it can be identified that entrepreneur is responsible for establishing
an organization such that it is capable to use its knowledge and skills, in such a way that it is able
to resolve the specific problems which the customers are having. Through this approach the
entrepreneur tend to make sure that it is capable to fulfil the customer requirements and by which
it is able to achieve high sales. Due to which entrepreneur tend to develop entrepreneurial
venture as per its requirements in such a way that entrepreneur can achieve high level of work
productivity in minimum expenditures. Thus, through this ventures entrepreneur also tend to
provide its contribution to the economy, through which it tends to insure that it is able to succeed
advanced level of brand awareness. With that it can also be identified that the personal
characteristics of the entrepreneur also is being reflected within the start-up performance. This
can be seen through the means of risk taking or integrating new technological advancements in
the working area.

REFERENCES
Books and Journals
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infrastructure. Journal of Business Research. 100. pp.354-365.
Dana, L.P., Palalic, R. and Ramadani, V. eds., 2021. Entrepreneurship in the Gulf Cooperation
Council Region: Evolution and Future Perspectives. World Scientific.
Distanont, A. and Khongmalai, O., 2018. The role of innovation in creating a competitive
advantage. Kasetsart Journal of Social Sciences.
Elford, A.C. and Daub, C.H., 2019. Solutions for SMEs challenged by CSR: A multiple cases
approach in the food industry within the DACH-Region. Sustainability. 11(17). p.4758.
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networks and internationalization in the southern hemisphere. Journal of Small Business
Management. 57(2). pp.496-516.
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Lee, W. and Black, S.L., 2017. Small business development: Immigrants’ access to loan
capital. Journal of Small Business & Entrepreneurship. 29(3). pp.193-209.
Leitch, C.M. and Volery, T., 2017. Entrepreneurial leadership: Insights and
directions. International Small Business Journal. 35(2). pp.147-156.
Mamabolo, M.A., Kerrin, M. and Kele, T., 2017. Human capital investments as sources of skills:
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Parkinson, J. and et.al, 2017. Approaching the wicked problem of obesity: an introduction to the
food system compass. Journal of Social Marketing.
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Online
Bionic's guides to business essentials, 2021. [Online]. Accessed
through:<https://bionic.co.uk/business-essentials/guides/the-role-of-small-businesses-in-
the-UK-economy/>