Entrepreneurship Report: Entrepreneurial Ventures, Skills, and Economy

This report provides a comprehensive overview of entrepreneurship, exploring various types of ventures, including social enterprises, family businesses, and franchises, and their scope of typologies. It examines the similarities and differences between different entrepreneurial ventures, evaluating the impact of small businesses on various economies, and analyzing their influence on the social economy. The report delves into the traits and skills of successful entrepreneurs, the role of motivation and mindset, and the impact of past experiences and personal backgrounds on entrepreneurial personalities. It highlights the significant contributions of small and micro businesses to local and national economies, emphasizing their role in job creation, infrastructure improvement, and overall economic growth. The report also includes a discussion on the contribution of SMEs in health and social care sector and the impact of increased consumer bargaining power on price control.

ENTREPRENEURSHIP

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK...............................................................................................................................................1
P1. Different types of entrepreneurship and their scope of typologies..................................1
................................................................................................................................................3
P2. Similarities and Differences between different kinds of entrepreneurial ventures..........3
P3. Evaluation of the statics to display the impact of small business on different economies4
P4. Influence of small businesses on the social economy......................................................5
TASK 2 ...........................................................................................................................................6
P5. Traits and Skills of an Successful Entrepreneur...............................................................6
P6. Role of motivation and mindset on the entrepreneurial personality................................7
P7. Impact of past experiences and personal background......................................................8
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Entrepreneurship is a job of working together which is conveyed by a business visionary.
Entrepreneur can be characterized as a man who make utilization of the assets accessible in
business environment and tries to alter them into some productive products. They attempt
different sort of thoughts and ideas for producing a commodity and use distinct attracting
marketing techniques to pitch it to the clients. General goal of these entrepreneurs is to develop
an interest for a particular item and urge buyers to purchase it. League of Small Business (ESB)
intention is to make a domain where private ventures can develop effectively (Storey and
Greene, 2010). They ensure that undertakings grow their operations and set new and innovative
options in the market. Development of such undertakings is vital for an economy progresses as
this way greater work doors are open for individuals and in the meantime they will likewise
bring an item which is absolutely extraordinary for customers. The following report will talk
about different types of ventures and their similarity and differences with one another. Apart
from this it will also be discussed that what impact does these entrepreneurs have on economy.
TASK
P1. Different types of entrepreneurship and their scope of typologies
Entrepreneurship is not a single term as it includes various concepts which are complex
in nature. It consists of different activities like forming, implementing and operating an entirely
new business in the market which involves a great degree of risk. Depending upon the scale of
venture it is categorised into small big and large entrepreneur. It is not necessary that a new
product is launched in the market by these individuals as sometimes change in the existing
business can also be done to cover a greater market share. By adding a unique feature to the
existing service or product customer’s attention can be achieved which helps in fulfilling the aim
and objective of entrepreneur which are associated with the risk taken by him in trying
something new (Burns, 2010). A variety of entrepreneurial ventures can be understood from the
text given below:
Social enterprise – Business which is commenced with an intention of serving society so
that upliftment of same can be done fall under this variety. Profit earning is their secondary goal
as they run and invest resources into different sections in order to raise the standard of living of
those who need external assistance for earning their livelihood. There is some exception to this
variety as few enterprises find an option from thee society which can offer a good platform for
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business so that they can earn high profits. For instance, farmers with weak backgrounds are
provided with high technology so that they can increase their level of production. This way their
total revenue increases along with an increase in the profit margin of entrepreneur providing
application assistance to this section of society. In Uganda production of coffee is much but poor
cultivators do not have enough resources to earn actual level of returns. In this case a social
organisation took initiative and help them in increasing their market which further raise the
income of poor farmers with 5%. Such entrepreneur ensure that development of society is done
along with their own profits (Stokes, Wilson and Wilson, 2010).
Business run by family – It is some other form of venture which is operated by a single
family. All members are part of it and are responsible for taking different decisions and invest
their resources with mutual concept of one another. Ownership passes from generation to
generation and growth is done with time.
Franchises business - this type of venture is adopted by those business units which
operate on large scale and wish to expand scope of operations by exploring new cities with a
help of franchising concept. Under this different enterprise invest their amount in a big brand and
continue that business with a brand name. Best examples of such variety is MacDonald, KFC etc.
which are now available all over the world. It helps both the parties involved in earning higher
profits as entrepreneur need not to invest much on marketing and other indirect expenses and can
simply earn profit.
Small business venture – These are those venture which has limited resource and
therefore operate on a less diversified scale. They start a new business which does not demand
much investments and use the income earned through same in order to reinvest in business. Main
source of finance for such enterprises is self-raised finance and small loans from different banks
(Bridge and O'Neill, 2012). There is a direct connection between the different types of typologies
some of which are discussed below:
Female entrepreneur – It is that variety of business which is started by females keeping in
a normal return. It is assumed that the females are comparatively more effective and are capable
of giving more efforts towards what they do. Oprah Winfrey is one of the most important
example of such type of entrepreneur who has successfully carried out the business at
international level.
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Serial entrepreneur – These are those entrepreneurs who work continuously in order to
innovate and bring new and effective ideas in the business.
Illustration 1: Innovative Entrepreneurship
P2. Similarities and Differences between different kinds of entrepreneurial ventures
Different business units operate on a distinct scale and deal in variety of services
depending upon the goal behind operations. Although each venture is different from one another
they share a wide range of similarity too. Both of them are discussed below separately.
Small and large business ventures
It is a basic feature which separate two venture from each other. Start-ups fall under the
category of small business units which are started by investing less funds and therefore their
returns are also comparatively low. Enterprisers try to earn normal returns and once find the idea
successful continue to make change in the same by adding value to it. They do not employ much
staff as their daily operations are not of much complex nature and can be continued entrepreneur
himself or with an assistance of one or two helpers. This make their structure to a simple one as
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there are not much divisions of departments. Contradict to it large business ventures are
different. They deal in more complex business activities with huge financial and non-financial
investment made in it (Lee-Ross and Lashley, 2010). Degree of risk involved is greater and has a
complex structure of organisations. There are different departments which are responsible for
their own functions. Profit ratio is also high as activities are performed on a large scale with a
view of capturing greater share of market.
Similarities
Though the scale of operation of both the venture are different but aim of each is profit
maximisation with the help of an innovative technique. They come with an entirely fresh idea or
market which has capacity to cover different segments of customers.
Difference between family run business and franchise owned business
In the privately-owned company, the individuals from the family are the genuine
proprietors on the other hand in case of franchises profit earned is shared among two parties in
the ratio decided in advance. Owner of a franchise business are not the genuine maker of that
concern as they are running that endeavour on the name of others. They invest cash and are made
the impermanent proprietors of that specific brand. Before association is made a notice of
comprehension is marked between the two gatherings characterizing the agreement rules. A
portion of the choices are additionally made by the establishment proprietor and this likewise
help the genuine proprietor to extend their market in more extensive setting. For instance; KFC
needs to open couple of stores in different location, so they will offer establishment to just those
individuals who are knowledgeable with the business condition of that range (Singh and
Raghuvanshi, 2012). In family based organisations owners of business does not look who is
capable of performing duty or not, as it is certain that the exchange of designations will be done
within family members only.
Similarities
If the sources of funds are analysed for both the venture are observed than they are almost
same as each of them approach for loans to banks and increase their total investment. Combined
decisions are taken in both cases although in one members are of family and in other they are
from different backgrounds. Franchisees also get transferred to another party after the maturity of
contract and also in case of family business post get transferred but within the family member.
Male Entrepreneur Female Entrepreneur
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The have wider scope as they can start
operating in any field.
Comparatively lesser scope as women’s can
select only few alternatives.
Give less dedication and take high risk. Show more dedication and take less risk.
Serial Entrepreneur Lifestyle Entrepreneur
Serial entrepreneurs have high time
management skills.
Lifestyle managers have comparatively low
managerial skills.
They deal in more areas and provide a range
of options in market.
The product in which it deals are related to
fashion and create development of society.
P3. Evaluation of the statics to display the impact of small business on different economies
Small businesses are contributing much to the economy of UK as it has raised to a great
level after the introduction of different ventures. Though they are operated with less amount of
resource it provides a great variety of goods and services the market which gives customers a
higher level of customer satisfaction. These are different small scale business activities which are
performed that offer great variety to market. As the degree of risk involved is low small business
enterprises come forward with options which are not existing from before and are new to market.
Contribution of these business is in both manufacturing and various different services which
makes the scope of same to be vast (Rahdari, Sepasi and Moradi, 2016). Apart from adding just
options in the market SMEs has also contributed in creating much job opportunities in the
society. There are now more places where even a non-skilled candidate can be appointed which
has further reduced the level of unemployment from country. This has further raised the
standards of living of people. Involvement of small scale industries in vital in health and social
care sector too which has added quality of services for users and they now have better options
which are made nearby to them. Due to availability of number of options with customers their
bargaining power has also increased which keeps control over the prices of different
commodities as now no single person can enjoy all the benefits by creating monopoly
(Malebana, 2016).
Impact on local: Small and micro business helps in improving the infrastructure of
locality and regions as it is the engine of growth that encourage citizen and government for
adopting domestic products and services for the purpose of achieving growth
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Impact on national economy: Small-businesses contributes in increasing growth and
GDP of the nation so that their financial conditions can be improved. Entrepreneurs support in
increasing export and reducing import which contributes in brining foreign currency for
development of country.
Classification of business into small, medium and micro business:
Small – Entrepreneur on the basis of their capacity takes the investment decisions. At this
scale most of the business activities are carried out with the help of other partners who willingly
participate in commercial activities.
Medium – It is another type of proprietorship in which the comparatively more
investment is made and dealing in more variety of products is done. It is carried out by the
private individuals who does investment in a fix amount and is liable for the amount invested by
each partner.
Micro business – It is that commercial activity which is carried out on a very tiny level
and range of products offered are very less. Investment of resources are less and therefore is
easily carried out by a sole proprietor.
P4. Influence of small businesses on the social economy
Though the small scale business units have insufficient funds to full fill their demand of
finance like in comparison to big enterprise they are crucial contributor in economy of UK. They
act as small resources through which wealth and income is generated in bulk if results of all
small business is compiled together.
Contributions – Small business is one whose total number of employees is less than 500
and does not have much complex structure. Their overall contribution in raising the employment
level is of more than 80% which is a good percentage.
Economic growth – Business is started with a new and innovative idea which helps in
growing innovation in society and therefore this way small businesses play a major role in
contributing to local economies. There are people who do not possess great skills or education
and therefore they do not get job opportunities by big organisations. Same can be employed by
small scale commercial units as they do not demand more labour skills but attract new
suggestions which can be received from anyone be it educated or non-educated (Nakara and et.
al., 2012). Thereafter small units apart from job opportunities helps the big organisations by
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outsourcing their less important wok. They take the responsibility of performing particular
operations on behalf of big enterprise which further reduces their tress and help them in
concentrating more on important projects.
Adaptability to dynamic climate – Business environment is dynamic in nature which
effects the day to day operations of different industries. Since the small scale enterprise operate
on a low scale they are capable of adopting to fluctuations and respond quickly to them. It help
economy to be stable and manage operations in the difficult times. Tiny units have more
trustworthy customers who do not switch more frequently and therefore they can survive in
tough times too (Neck and Greene, 2011).
Future Growth – Economy is benefited from small scale business units as they in future
by earning continuous profit becomes large organisations such as Microsoft. Therefore, they
have more capacity to meet the demand of customers and can establish huge headquarters which
will further add value to system.
Britain is existing EU, the whole process is known as Brexit. In present scenario, small
enterprises in UK are getting various assistance from EU but after Brexit, things will change and
it may make a huge negative impact on small business and start-ups. Start-ups is basically related
to technological but on the other hand small business may or may not have any relation with
technology.
TASK 2
P5. Traits and Skills of a Successful Entrepreneur
Entrepreneur isn't an alluring field as it is more about being fortunes, trusts, quality. It’s a
be reinforce, reliability, train and not surrendering state of mind while everything appears to be
negative surrounding on your odd, its end of consumption. Set designs at that point concentrate
without a doubt, buckle down and accomplishing their objectives it’s an essential arrangement of
all the specialist. At first they don't make excessively higher arrangements nor, making it
impossible to little one which can be simple achievable it made for which they can do some more
diligent work however can be achievable.
Mark Zuckerberg is a one of the most significant case of fruitful business visionary who
isn't even of 30 years however is a (CEO) Co-originator of a very famous social media site that
is Facebook. This site fundamentally interfaces billions of the general population in once and
imparting to a considerable lot of the individual from wherever in the world. His efforts made
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correspondence simple. As indicated by him he says that in the event that you need to
accomplish something incredible or fabricated something cool at that point don't hold up and
focus on the things that you need to roll out improvement on the surroundings (Nga and
Shamuganathan, 2010). He gave a few recommendations to the individuals who needs to do
something new like in the event that you need to begin any organization then at first stages begin
simply look into hard and know all the aspects which are associated with same. There are couple
of abilities and characteristics which comprise by Mark Zuckerberg and are discussed below:
Insight to shape designs reality: He is extremely aggressive and buckle down for his
desires. At first he saw some need in the social gathering. He noticed some void of the
correspondence segment. There were no advanced facilities and alternatives and gadgets for
conveying each other. At that point he got and thought to satisfy this provision and his
enthusiasm through innovation and let downs too make his thought conceivable to change over
in the truth. When he began taking a shot at the Facebook that he didn't this it as a mission or a
tremendous achievement he understood that lone fundamental point was it to make individuals
less demanding and helpful to close each other without giving so much of labour (Preuss, 2011).
Do holding business purposefully: - A person should have some reason for the life
when he anticipate that something good should be done so that accordingly further steps can be
taken. The main reason for Mark's existence was more clear and deliberate to interface
individuals in vast range. Presently as a whole can see today Facebook isn't only a person to
person communication site in truth it’s a stage which joins individuals and give them stage to
express so anyone can hear and raise their thoughts by this source.
Considers criticisms voluntary: - Mark was additionally tolerating in nature whether its
favourable or non-favourable. He concentrates more on inviting the negatives about his invention
so that accordingly changed can be made and best result is provided in front of society. It shows
that an entrepreneur must have a positive attitude so that he does not get demotivated on getting
feedbacks as they are helpful for the development of an individual. He used to interact more with
different Facebook users and invite their opinion about the new application as they are the one
for whom this social site was actually invented and therefore the can tell more about what else
should be added to same.
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P6. Role of motivation and mind-set on the entrepreneurial personality
Personality of an individual is a sum of motivation level and attitude of an individual.
How an individual behaves depends on his lifestyle and family background along with the past
experiences of an entrepreneur. It is the basic reason behind why different individuals reacts
distinctly. Motivation plays a crucial role in constructing the entrepreneur personality as more
motivated person has the capacity to take higher risk and face the challenges with great
enthusiasm. He develops skills to resolve different issues which are encountered while dealing
with dynamic business surroundings. On the other hand, if a person is less motivated than he will
not take much efforts and will lose hope in his first try. Apart from this mind-set of person has
also great influence on the behaviours of any entrepreneur. If he is focused and determined than
even after continuous failure he will not give up and will give continuous efforts towards
achieving his targets and will satisfy only after getting the final desired result (Sahut and Peris-
Ortiz, 2014). OCEAN acronym is another concept that describes the characteristics of an
entrepreneur more clearly and explains how they carry out their work differently:
Openness to experience – It is one of the most common feature that is found in an entrepreneur
as he is always ready to welcome new ideas and is curious to try innovative ideas.
Conscientiousness – It included to dimension of an entrepreneur personality. One shows that an
entrepreneur is hard-working for which a person work towards achievements and on the other
hand dependability which is not much studied.
Agreeableness - Agreeability assesses one’s social position. Individuals high on Agreeableness
can be characterized as trustful, kind, tender, selfless, and gullible. The high end of
Agreeableness represents someone who has cooperative values and a preference for positive
interpersonal relationships.
P7. Impact of past experiences and personal background
Personal and past experience do hinder in between the behaviour of entrepreneurs.
Background of the family is the first place where person come to know about different things in
correct way. Family lifestyle and their standard of living affects behaviour of people. If family
has seen many problems in their life and has negativity in their thoughts thus affects the
behaviour of entrepreneurs. They cannot think beyond thee capacity because all such things
bring hurdles in their mind-set. Family background is that which make a person with different
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views and shapes his/her perceptions and level of thinking. Rather, if the person has seen that
their family is doing business from past so many decades then it becomes usual that he/she is
going to bring the business on another level. Because his/her mind and perception goes with that
only (Schaper and et. al., 2014).
Another place of mind-set of people are schools and colleges, these both are those places
where a person bring shape in their thinking level. At this level teacher are used to give practical
knowledge about many things and which creates in developing the mind-set of people. At
college or school level they learn new things, which become lessons for their life long scenario.
To be an effective entrepreneur it is required to have a perfect communication and personality
which can be developed in school or college. Attitude should be positive which will help in
crossing all the hinders coming in between the entrepreneurs. A positivity in person helps them
to work hard and no hurdles or problem can bring their morale down.
Personal experience is also a main factor in affecting the perception level of
entrepreneurs. If any loss or poor condition is seen by the entrepreneur makes them to have fear
of losing the money or to take risk in their life. But to be an effective and best entrepreneur it is
needed to be a risk taker in their life. Loss of money do come in between the mind-set of
entrepreneurs to take risk and this brings them in morale down and they cannot take the
advantages of challenges. Entrepreneur has to be efficient in his/her working style to make their
business. Lack of all such competencies make them tom lose confidence and their motivation
level goes down which affects the success of firm. To be a successful entrepreneur he/she needs
to take risk and overcome all the hindrances they are having in their thoughts (Stokes and. al.,
2010).
A good perception and mind-set makes a person with his/her skills. Confidence and
competency in working has to be there which makes an entrepreneur in perfect way.
All such aspect has impact on the thinking and behaviour of person, if an entrepreneur wants to
be succeed in their working then they have neglect all those and it is required to work with
enthusiasm, confidence and risk taking power. An entrepreneur has to work hard to follow their
dreams and can shape their thoughts accordingly (Storey and Greene, 2010).
CONCLUSION
From the above discussion this has been summarised that an entrepreneur has a unique
personality which makes him different from others. There are a number of variety through which
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