Entrepreneurship, Small Business Management, and Nepal Economy Report

This report provides a comprehensive overview of entrepreneurial ventures, focusing on their types, characteristics, and impact on the Nepal economy. It begins with an executive summary discussing the various types of entrepreneurial ventures, including small business, scalable startup, large company, and social entrepreneurship, and their contributions to the Nepalese economy. The report explores the typology of entrepreneurship and its role in improving efficiency and performance. It compares and contrasts the similarities and differences between various entrepreneurial ventures, highlighting factors such as aims, risks, employee numbers, and organizational structures. The report also delves into the impact of micro and small businesses, providing relevant data and statistics on their contribution to employment, turnover, and the overall GDP of Nepal. Furthermore, it emphasizes the importance of small businesses and startups in fostering economic growth, job creation, and innovation within the local economy. The report concludes by discussing the characteristic traits, skills, and mindsets of successful entrepreneurs, differentiating them from other business managers and highlighting the significance of these qualities in establishing and growing a successful enterprise.

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Understanding Entrepreneurship and Small Business Management
Executive Summary
In this brochure I have discussed about the various types of entrepreneurial ventures and the
contributions of micro, small, medium and large business in the Nepal economy. In this
brochure I have provided some advice and market intelligence to small businesses and
entrepreneurs so that they can get little more knowledge about the entrepreneurship and small
businesses management. In this brochure you can find out the importance of entrepreneurial
venture and small businesses impact on the economy of the Nepal. Whereas how start-up and
small businesses are contributing to the economy of Nepal are also defined.
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Understanding Entrepreneurship and Small Business Management
Entrepreneurship is a method to startup an idea for business taking the account of the
business risk in both the economic and administrative aspect of the business. The
entrepreneurship can be categorized into different ownership organization. In taking the step
to entrepreneurship, certain skill set and aspect towards the business in need for the business
to grow in near future. The experience and the research in the new startup will help to prosper
or hamper the business in the near foreseeable future. The research will focus on the different
types of entrepreneurial endeavors, its impact on the economy of the business Apart from
this, the skills and mindset needed to set up a commercial business will be
elaborated alongside with the experience and personal history to the business can have an
effect on a start-up business. (Seth, 2019)
An organization which places innovation and opportunism at its heart in order to produce
economic or social value is known as Entrepreneurial Ventures. Entrepreneurial Ventures is
centered on presenting advisory services to early and mid- level business. Entrepreneurial
ventures are centered on presenting advisory services to early and mid-level businesses.
Entrepreneurial ventures create massive wealth more than any other regular businesses and
these kinds of ventures have more risk than any other businesses because they innovate new
ideas which is do not exit in the market. Entrepreneurial ventures are generally compared
with the entrepreneurial characteristics.
The entrepreneurial venture types which are related to the typology of
entrepreneurship are explained below:
1. Small Business Entrepreneurship
Sole owner and few numbers of employees in a startup business are known to be small
business entrepreneurship. The revenue generation is quite less, and the ownership solely
focuses on getting new clients to make their business into a commercial one. Meeting the
demands with their product to the existing client and marketing for the new clients are the
work done in such startups. These types of startups are usually family business and run by the
family members or business startups between friends. But small businesses are quite
innovative with new product and services an in future will grow speedily.
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Understanding Entrepreneurship and Small Business Management
2. Scalable Startup Entrepreneurship
These types of businesses have a consistent idea for doing business repeatedly in the near
future. These type of business focuses in providing new and quality product or services in the
consumers. The "NEW IDEA" is what draws the attention of such business. These types of
new ideas which the entrepreneurs believe to change the world with it.
3. Large Company Entrepreneurship
These types of ventures have a consistent amount cycling product and services which never
fails to fulfill the demand. The demand of the consumers and the recent trends are ever-
changing alongside the new competition, regulation that forces the large organization in to
the new ideas and product for an entirely new market. However, the large size of the
organization makes the innovation difficult.
4. Social Entrepreneurship
These type of entrepreneurship focuses on solving the social problems of the society by
introducing and delivering the demanded product and services in the market. The
organization Focuses on Making the World a better place to live in. These types of
entrepreneurship can be profitable or non-profitable organization.
Above were the different types of entrepreneurial ventures which were related to typology of
entrepreneurship.
The different types of entrepreneurial ventures are related to typology of entrepreneurship.
Entrepreneurship aids to create new business venture and helps entrepreneurs to choose best
venture according to their knowledge, skill and abilities. The typology of entrepreneurship is
useful in improving the efficiency, effectiveness and performance of the venture. Proper use
of typology of entrepreneurship can help entrepreneurial ventures to make effective decision
to get their targeted goal and objectives. The typology of entrepreneurship helps to introduce
many appropriate tools for entrepreneurial venture for the achievement of their personal goals
and objectives. The typology of entrepreneurship not only explain the action, behavior,
attitude and activities of entrepreneurial venture but also make sure that the ventures are
doing best on their own. So, this is how the different types of entrepreneurial venture are
related to the typology of entrepreneurship.
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Understanding Entrepreneurship and Small Business Management
The similarities and the differences between the entrepreneurial ventures are as follow:
Similarities:
Small, scalable startup, large and social business entrepreneurship has one common
similarities between each other which is that these businesses are established to earn profit by
providing service or introducing new product in the market and improve the living standard
of entrepreneurs. Small and scalable startup businesses are usually operate by family
members with investing little amount of money. Whereas large and social entrepreneurship
are operating their by loans from bank. This is why these two businesses have more risk than
small and scalable startup businesses. Scalable startup and large businesses have many
partners. Large business and social good enterprises have same capital provider like friends,
family and personal funds. Large and social business help to create significant social impact
and improves the lives of many people. And these all businesses have one same similarity
which is that they generate job opportunities.
Differences:
Factors Small Business
Entrepreneurship
Scalable Startup
Entrepreneurship
Large Company
Entrepreneurship
Social
Entrepreneurship
Aim and
Objectives
Generation of
small revenue with
less product and
services but stable
flow of delivered
These type of
business focuses
on providing new
and innovative
ideas to achieve
These type of
organization
focuses on proving
the large number
of products,
These
organizations aim
to provide product
and services to
help the world
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Understanding Entrepreneurship and Small Business Management
good in the market high productivity
for the investors.
services in the
market.
make a better
place.
Risks Risk are lower but
competition can be
high with the same
sized organization.
The risks are high
considering the
high investment in
the business and
possibly unsure
investment return
in achieving the
required sales
volume.
The risks are less
considering the
production of large
number of
products which
will cover-up any
investment
The risks are not
high because most
of these types of
organizations are
non-profitable or
government
funded.
Employee
Number
Employees are not
more than 50
Depends on the
structure and size
of the
organization.
Employees can be
more than 1000.
Depends on the
size of the
business.
Structure No proper
organizational
structure, often
runs solely by the
family members
and friends.
Mainly investment
cooperation's and
equities-based
partnership.
The organization
structure is complex
and consists of
hierarchy and can be
private limited or
public limited.
(Liew, 2017)
Many
governmental or
trusties-based
organization
Above were the similarities and differences between entrepreneurial ventures.
Micro and Small businesses impact on the economy with relevant data and statistics.
The micro and small business cover a high part and contribute high in the economy of a
country. There are a number of micro and small businesses in our country. The number of
micro and small business is increasing over a time and helping our country by generating
high revenue by providing different kind of job opportunities and introducing new product
and services to the consumers. Micro and small business are helping us to use our home base
product and utilize it in an effective way.
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Understanding Entrepreneurship and Small Business Management
In Nepal, the number of micro and small businesses are highly different industry and there
are more than 1 million small and micro businesses which has been established in Nepal
which is almost 64% of all the businesses in the country. Therefore, micro and small
businesses generate more revenue by highly contributing to the Gross Domestic Product
(GDP) of our country. These micro and small businesses provide 62% employment and 33%
of total turnover in our country. (nepal.undp.org, 2017)
Employmen
t Turnover Business
Micro and
Small 62% 33% 64%
Medium 4% 14% 22%
Large 34% 53% 14%
Micro and Small Medium Large
0%
10%
20%
30%
40%
50%
60%
70%
Chart Title
Employment Turnover Business
According to above graph, the number of micro and small business is much higher than any
other businesses like medium and large businesses in Nepal. In the graph it shows that high
number of employment and turnover is given by the micro and small businesses in our
country. These micro and small business helps to generate revenue and helps to export our
products in international market to earn foreign currencies and contributes to the economy of
Nepal.
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Understanding Entrepreneurship and Small Business Management
The importance of small businesses and business start-ups to the growth of the social
economy.
Start-up business is the one of the greatest firms to make world better place. Start-up
introduces new businesses with the new product and services and with new and innovative
ideas in the market. And the purpose of start-up companies is to develop new and innovative
product and services in uncertain circumstances. Start-up and small business can globally
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Understanding Entrepreneurship and Small Business Management
renowned if its new product and services satisfy the consumers. These businesses have great
growth potential.
Small and start-up entrepreneurship is important because it create new job opportunities in
the business environment, and it innovate new ideas in the market. Small and start-up
organization have ambition and potential to become successful business with quick growth,
creating a large number of new jobs. Small and start-up business are the main driving force
behind economic development and the increase of productiveness in a society. Small and
start-up businesses contribute to development of new technologies and the location where
they operate. Small and start-up businesses contribute to local economies by bringing growth
and innovation to the community in which the business is established. (Hales, 2016) Small
and start-up businesses also help stimulate economic growth by providing employment
opportunities to the people who may not be employable by larger corporations. Small scale
and start-up industries are important because it helps in economic development and increase
employment opportunities. They also help the government in increasing infrastructures and
manufacturing industries, reducing, issues like poverty and many other developmental works.
Some of the important are mentions below:
1. It helps to increase employment rate.
2. It helps to increase production.
3. It helps to increase total exports.
4. It helps to increase opportunities to use our local resources.
5. It helps to advance social welfare of the country.
Worldwide, the small and start-up business has been accepted as the engine of economic
growth and for promoting equitable development. The major advantage of the sector is its
employment potential at low capital cost. The small and start-up business constitutes a very
importance segment to the growth of the social economy in Nepal. Small and start-up
business sector has emerged as a dynamic and vibrate sector economy. It is therefore an
excellent sector of social economy for investment growth with the help and support from
small and start-up businesses.
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Understanding Entrepreneurship and Small Business Management
Executive Summary
This article is based on the characteristic traits, skills and mindset of successful
entrepreneurs. This article reflect what special idea works behind being successful
entrepreneurs. How the thinking, and character can separate the entrepreneurs from any other
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Understanding Entrepreneurship and Small Business Management
businessperson is explained and how the entrepreneurs does not limit themselves to pure
ideas turning into product and services is clarified.
The characteristic traits and skills of successful entrepreneurs which differentiate them
from other business managers.
Most of the entrepreneurs have some characteristic traits and skills in common. Hence, theses
characteristic traits have become involved in establishing the business and bring about long-
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Understanding Entrepreneurship and Small Business Management
term success. Specific characteristic traits and capabilities are vital for the entrepreneurs to
the installation of a successful enterprise and enhance its growth. To be able to start a
cooperation, distinctive tactic needs to be taken into consideration by using an entrepreneur
and people wishes to be completed single handedly because of loss of capital in first.
The personal characteristic traits of the entrepreneur which make them different from other
business manager are as follows:
1. Capacity to taking risks
Entrepreneurship is always about taking risks. To be a successful entrepreneur, one should be
prone to failures. Entrepreneurs often consider failure as a learning experience and try to
overcome it with a new tactic and solution for the betterment of the cooperation.
2. Have vison and goals:
Being an entrepreneur often indicates that the company must have 10 or 20 years plan ahead.
This is also considered as a strategy to business. Planning is the crucial thing in business
which help to tackle day to day responsibility and makes one focus on the future of the
business.
3. Have motivation to reap the desires:
Self-motivation is an important thing in an entrepreneurship. Entrepreneur should believe in
oneself that one can succeed. One needs to dedicate his/her plan for the betterment of the
company. (CP, 2018)
4. True management abilities associated with sources, monetary and human sources
An inventive use of resources to the best of its ability is the one thing that an entrepreneur
should be good at. This ability helps them to manage all the resources by themselves.
The personal skills of an entrepreneur which makes them different form any business managers
are as follows:
1. Conversation talent is needed to engage with variety of people inclusive of suppliers,
vendors, customers, personnel.
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Understanding Entrepreneurship and Small Business Management
2. The management abilities is wanting to expose the path to the personnel for achieving
dreams.
3. Negotiation ability is needed to deal with clients and additionally to mitigate any internal
troubles.
4. Time control latent is crucial to finish the tasks in time to achieve success.
Hence, the main difference between an entrepreneurs and business manager is that manager is
concerned about the work which is given by organization whereas entrepreneurs carries their
business on their own shoulders. The manager has to complete the given tasks and manage
his department for the better of the organization whereas, entrepreneurs should control all the
departments. Besides, manager cannot be affected by the performance of the company, they
will not be in risk if business is not good and easily find job elsewhere. Whereas, if
entrepreneurs fail on their business, they have to take all the risk by themselves.
Reflection of entrepreneurial motivation and mindset on the entrepreneurial
personality.
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