Entrepreneurial & Small Business Management: Venture Impact Analysis

This report provides a detailed analysis of entrepreneurial and small business management, exploring different types of entrepreneurial ventures and their relation to the typology of entrepreneurship. It highlights the similarities and differences between these ventures and assesses the impact of micro and small businesses on the economy, supported by relevant data and statistics. The importance of small businesses and start-ups in fostering social economy growth is also discussed. Furthermore, the report explains the characteristic traits and skills of successful entrepreneurs, differentiating them from managers, and examines how entrepreneurial personality reflects motivation and mindset. Finally, it considers how background and experiences can either hinder or foster entrepreneurship, providing a comprehensive overview of key aspects in entrepreneurial and small business management.

Entrepreneurial and
small business
management

Table of Contents
INTRODUCTION...........................................................................................................................1
LO1 .................................................................................................................................................1
P1 Different types of entrepreneurial ventures and how they relate to typology of
entrepreneurship..........................................................................................................................1
P2 Similarities and differences between entrepreneurial ventures ............................................3
LO2 .................................................................................................................................................5
P3 Assess relevant data and statistics to illustrate micro and small businesses impact on
economy......................................................................................................................................5
.....................................................................................................................................................6
P4 Importance of small businesses and business start-ups to growth of social economy...........7
LO3 .................................................................................................................................................7
P5 Explain characteristic traits and skills of successful entrepreneurs and differentiate it from
managers ....................................................................................................................................7
P6 Entrepreneurial personality reflect entrepreneurial motivation and mind set........................9
LO4 ...............................................................................................................................................10
P7 How background and experiences can hinder or foster entrepreneurship .........................10
CONCLUSION .............................................................................................................................11
REFERENCES .............................................................................................................................12

INTRODUCTION
Entrepreneurship and small business management refers to an unique learning
experiences which aspire to start new enterprise or obtain employment in growth- oriented
businesses. It is a heart of every business and it skills are also in demand in established
organisation. It is a sequence that help in build entrepreneurial skills step by step. It helps every
entrepreneur to different from each other and their roles and responsibility are also different in
order to increase there living standard. This report includes different types of venture and relate
it to typology of entrepreneurship. And it also show the difference and similarities between
different entrepreneurial ventures and there impact on small business. Further it discuss about the
importance of small business and their impact on the growth of economy. Moreover this model
explains the skills, characteristics and traits of successful businessman and differentaite it from
other managers and how entrepreneurial their personality reflect in motivation and mind-set. At
last monitor their experiences and background whether they hinder them or motivate them
(Burns, 2016).
LO1
P1 Different types of entrepreneurial ventures and how they relate to typology of
entrepreneurship
Entrepreneurship
It refers to the process of launching, running and designing a new enterprise that is often
a small business. It is an opportunity which is beyond resources controlled. It describes as a
capacity and willingness to develop, manage and organize a business venture with more risk to
make more revenues. It is a person who finds opportunities that translate it into innovative
products or ideas that helps in earning more profits and it also provide employment to
unemployed person (Ratten, 2016).
Entrepreneurial venture
It refers to that venture which defines a businesses that place creativity and opportunism
at it produce community and economic benefit. This entrepreneurial ventures mainly focus on
giving suggestions to start-ups and mid-stage organisations. They will not focus on the size and
structure of the companies but target those that make enterprise unique. It involves different
types of entrepreneurial ventures that described below.
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 Small business entrepreneurship – It refers to that enterprise that is designed to give an
abstract on running a venture from start to finish. They are the sole owners who run their
business for their individual family for their own interest. In this type a person is solely
responsible for profit and loss. Some example of small scale start ups are grocery stores,
hairdressers, internet commerce store fronts, travel agents, plumber, carpenters,
electricians and many more. This business venture raise funds via family, friends or small
business loans not by venture capital, crowdfunding etc. The main purpose of this type is
to only make revenues not to build a 100 million company (Järvi, 2015). Scalable start-up entrepreneurship- It refers to that where a person come up with an
innovative idea and searches for scaleable and existing organisation model which focus
on turn their business into more profits, revenue and high growth. These types of
entrepreneurs know that their ideas and vision change the world one day and they attract
and raise funds from venture capitalist. For this a person hire the best one to invest in
their ideas and vision and into their business enterprise. Their main focus on that business
venture that require more funds via venture capital to expand and explore their
organisation. It includes ventures like online trading for electronics, Instagram and many
online source (Richter, Kraus and Syrjä, 2015). Large company entrepreneurship – It refers to that business venture which have finite
life cycles. These types of enterprises mainly focus on innovation and earning more
profits. They offer wide range of products to their customers according to their taste, new
technologies, new competitors, etc. their growth and revenue mainly seen in the long
term. Their purpose is to make long term survival of the company. This enterprises works
for earning more revenues and profits in the market and they satisfy all the customers
needs to longer survival of the firm. It contributes more on the economy of the country.
 Social entrepreneurship- It refers to that venture that is start by an individuals, start-ups,
group of people which develop and modify, raise funds for the social, cultural or
environmental welfare. They mainly focus on development of society and community
rather than to earn profits. For example- providing accommodation facility to the
homeless people or employment to unemployed person who live in a society. social
venture like Scott Harrison that are well known in the country UK.
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Typology of entrepreneurship
It refers to the academic field such as policies, size, rules, structure that all appeared in
entrepreneurship. It includes various types of typology that are interrelate it to maximising
profits and longer sustainability. Some of this are explained below. Serial entrepreneur typology – This typology is related to scaleable start-ups
entrepreneurs where enterpriser come up with new ideas and creative thoughts to start a
new business or innovate or expand an existing one. In this a person manages and plan
time to think the best opportunities and plan that provide profitable results in desired
time without any hindrances come around (Simatupang, Schwab and Lantu, 2015). Female venture typology- This typology belongs to the women entrepreneur who run
business and take big decisions related to the longer sustainability, growth and profit
earning. They organise and manage whole business activities and become a self
independent women. They mainly related to social entrepreneurship. Running a business
by a women enterpriser is very effective because at the time of decisions making they are
very calm and more patient as compare to man so the decisions can be very succesful
and effective. Male venture typology- This typology means to the men entrepreneur who are able to
control and evaluate the whole organisation in an effective way as compare to women.
They belongs to a large scale business enterprises because there only purpose is to make
more profits rather than welfare of community and society.
 Social entrepreneur typology – This types of typology depends on the social enterpriser
where main motive is to save the society from the harm, and also safe the economy of
the country. This type of individuals are very active welfare of societies and they are
always ready to take risk that is related to social welfare only. Their main motto is to
earn social wealth rather than earning profits (Ratten, Dana and Ramadani, 2017).
P2 Similarities and differences between entrepreneurial ventures
There are some dissimilarities between various entrepreneurial ventures that are
explained below.
Basis Large business
entrepreneur
Scale-up start
ups enterprise
Small business
enterprise
Social business
enterprise
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Meaning It simply means
those enterprise
which belongs to
changing
environment and
create, modify
and develop
product offering
according to the
customers need
and earn more
and more profits
in a competitive
world.
It refers to that
business venture
that fragment new
ideas and
thoughts to
expand or explore
the business for
increasing the
growth. In this
type entrepreneur
follow proper
procedures that
was available in
the present trend.
It includes
Instagram,
Facebook
It refers to the
venture in which
a person is solely
responsible for
profits and loss.
They earn more
profits for their
individual family
and they do not
focus on making
the 100 millions.
They mainly
focus on short
profits. Example-
hairdresser,
painter, carpenter
etc.
It defines that
entrepreneur that
mainly focus on
the welfare of
society rather
than profit
earning. They
make plan and
finds
opportunities for
providing better
life to the society
people.
Key attributes The main feature
of large
entrepreneur is to
earn more profits,
maximising
growth,
increasing
sustainability.
The main key
attributes of
scaleable start-up
is to raise funds
by venture
capitalist or like
online source.
The main
attributes of small
enterprises is
earning small
profits for their
individual family
and friends.
Key features of
this welfare of
society and using
innovative
resources that
help in increasing
the society living.
Purpose of
existence
The purpose of
existence is earn
more and more
profits only and
longer survival.
Major purpose is
to innovate plan
and ideas and
raise funds by
using capitalists.
Purpose is the
existence of
business and
fulfilling the
demand for their
Purpose is to
increase the living
standard of
society people for
this they make
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family and
friends.
plans and find
better
opportunities.
similarities between different entrepreneurial
Basis Large
entrepreneur
Small enterprise Social business
enterprises
Scale-up start
ups enterpriser
Contribution
towards
environment
They make
products without
harming the
society resources.
They also
contribute toward
a betterment of
society by
operates their
small business in
the society.
They also make
plans and
opportunities that
are related to
welfare of
environment.
In this they
innovate and
create ideas
without harming
the environment
because in this
they don't use
paper they raise
funds online.
Growth Main focus is on
increasing the
growth of
business
It main aim to
maximise growth
for their family.
The focus on
growth to life
long satisfy the
society needs.
There main focus
on innovate new
ideas and grow
their business for
longer survival.
PROFITS They work for
profit earning
It also work for
small profits
earning
It works for social
profit earning
It main aim to
earn profits by
innovation.
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LO2
P3 Assess relevant data and statistics to illustrate micro and small businesses impact on economy
In current competitive world, small business is very effective in developing the
innovation and using the advanced technology. They create several job opportunities, high
turnover in the company this are as follows (Volery and Mazzarol, 2015).
Illustration 1: sme turnover graph
from the above graph it shows a small and medium business turnover is very effective. They
will earn a good revenue as shown in the graph because of using new ideas and innovative
technology. In this there are involvement of various types of business like sole proprietorship
and partnership. In this they innovate new products and earn more and more profits(Millsteed,
Redmond and Walker, 2016).
In the above graph it has been include that employment in small and medium size business is
very much effective. Like small business provide employement around 50 employees and their
annual income belongs to approx 7.3 %. they contribute in small amount of market share. And
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there growth are also small basis. Although in medium size business there are approx 250
emplyees work in thier like 15% people working in it. They contribute more than small buinsess
in the economy of the country.
Small business create a great impact on the local, regional and national economy as they provide
employment to the local and regional area people and contributes more on the national GDP of
the country. In UK small and micro business play an important role that it helps in enhancing the
economy and the incomes of the people who are living in the society. It includes some
frameworks that can be shown below. Innovation and growth – small and micro business enterprises majorly focuses on the
innovation in their products that helps in maximise the growth of the company. It
includes innovative ideas and creative thoughts to admire and attract more people in the
wide area. This innovative product helps in attracting the more customers and this will
grow the business at high level. Innovation is the trump card of the small and micro
businesses. And this will increase the national GDP of the country.
 employment – The basic motive of small and micro business unit is to provide
employment to the local people who are needy. So that they increase the standard of
living in the society and helps in bettering their income. It also contributes in
incrementing the country economy. Because of this people can spend more on purchasing
the products. It place a great impact on the national economy and also enhance the image
of the firm.
 Contribution in taxes- Small business contribute small amount on taxes as they are
operates on small platform because of this government gives some rebate at the time of
tax. They will contribute less as compare to large organisation but gives the great benefit
to the nation. This play an important role in the national GDP because small amount of
tax help more at this time when the Brexit in the UK is affected the large companies.
P4 Importance of small businesses and business start-ups to growth of social economy
Social economy refers to a bunch of economics where people focuses on the relationship
between economics and social attitudes and actions. This suggest how ethics, emerging popular
sentiments and social norms influence and examine the behaviour of customers and it also helps
in shaping the buying behaviour of the people. In UK start ups and small business increasing day
to day because of Brexit that create issues and problem to big and large companies in terms of
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trading with other European countries. Because of Brexit, it is beneficial for small business that
provide employment to many people. In this new enterprises attracts more and more investors
that develops new economy in the country UK. There are various importance of small businesses
and business start-ups to growth of social economy that are explained below (Naldi,
Achtenhagen and Davidsson, 2015). Attracts innovation and advanced technology – The first importance of small business
and start ups is that they promote innovation and creativity in making the product
offerings that will attract more and more customers and in this they used advanced
technology in promoting their business activity so it will attracts many people. Advanced
technology and adopts innovation is the basis for small business and start-ups. Provide opportunity to local resistance- The best example of small business and start-
ups is to provide better opportunity to local resistance. In this they appoint peoples so
they innovate new things as compare to larger organisation. They mainly give the
opportunity to local people. It also helps in improving the economy of country UK.
Because of Brexit, the economic is not stable but because of new small business and
start-ups improve the economy. In this they provide funds from the government society
and taking a loan from bank to recruit the employees for the company.
 Environmental protection – It is the best example of social business enterprise that they
protect the environment in the high level of extent. They use the resources that is not
harm the climate and nature of the society. It will attract more people to buy the products
and make a best customer base loyalty.
LO3
P5 Explain characteristic traits and skills of successful entrepreneurs and differentiate it from
managers
Simon Arora
Simon is one of the British billionaire businessman and he is the CEO of retail chain
“B&M” that is the fastest growing variety retailers and this stores attract many shoppers per
week. He is born on November 1969 at studied in Cambridge university.
Characteristics
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 Passion- It helps people to find motivation when they get demotivated and it will drive
forward. It is the fuel for successful entrepreneurship. Simon was very passionate about
their work and life style and this helps to become a British billionaire and CEO of B&M.
A manager is different from entrepreneur because they don't passionate about their
dreams as compare to an enterpriser (Mengel and Wouters, 2015).
 Money management skills and knowledge- To become a successful entrepreneur, a person
needs to basic money management knowledge and skills. Simon is the person who has
the perfect knowledge about the money management, and they properly understand how
money works to become a successful and sound business. Managers are different from
entrepreneur because they are not money management people and they don't have basic
knowledge of money.
Traits Risk tolerance- To become a successful entrepreneurial tycoon and grow their business
on next level than they take and adopts risk factor and finds opportunities in them. Simon
was not afraid to take risk they always accept risk and make it opportunity,. It helps in
earn more revenue in business. Manager do not tolerate the risk for the company because
they are the employees of an enterprise.
 Persuasiveness- In This trait Simon has the ability to convince other to invest, accept
products by clients, shareholders, customers etc. in this way they gain maximum revenue.
Managers don't have capability to convince other clients as compare to entrepreneur so
they are different from businessman (Galloway, Kapasi and Sang, 2015).
Skills
 Networking – Simon have the skills to create large and vast network and share ideas and
thoughts to their investors in a right way. This help him to cover large network. In this
managers are the employees of the enterpriser and they only follow the rules and order
that was given by entrepreneur.
Bobby Arora
Bobby was born in January 1972 and is one of the British Billionaire enterpriser. He is
the trading director of the retail chain B&M, where he founded orient sourcing services,
importing home appliances from Asia and supplying them to UK retail chains.
Characteristics
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 Flexibility- An entrepreneur needs to be very flexible and adopts the changes that was
needed by the environment. Bobby is flexible in taking the decisions and adopting the
changes that needs that helps in to earn more profits. It is different from managers
because they are not flexible in decision making as they are employees of the
organisation.
 Creativity- Bobby is the innovator of new and unique ideas that help him to become a
billionaire in UK. They think out of the box but managers does not think.
Traits Adventurous – Bobby always ready to take risk and change it into opportunities that help
in earn long term profits and sustainability. But managers are not adventurous because
they are not ready for taking major risk at the time of decisions making.
 Decisiveness- Bobby takes the decisions according to the task that help him to smooth
running of activities without getting afraid. But managers are different from entrepreneur
because managers are an employees of the venture.
Skills
 Communication- Bobby is an effective communicator of their thoughts and ideas that
was easily understood by other person or employees so they work effectively. Managers
are the working employees of an entrepreneur they only communicate their subordinates
not everyone else.
P6 Entrepreneurial personality reflect entrepreneurial motivation and mind set
Every part of entrepreneurial personality reflects motivations and mindset of a person. To
elaborate it this report explains the ocean model and business and growth mindset of the
entrepreneur.
Mindsets Business mindset- In this Bobby and Simon have the business mindset to open a
enterprise and become a billionaire in UK. In this their passion and flexible nature helps
to work efficiently and effectively and earns more profits.
 Growth mindset- This suggest the growth mindset of an individual. Bobby and Simon
both have growth mindset so they see vision to opens a enterprise and become a
successful entrepreneur (Ghio and et. al., 2015).
OCEAN Model
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 Openness- This type of people are very open minded , learn new things enjoy new
experiences. An individuals are high on this trait are more adventurous and innovative.
Bobby and Simon both are very open minded as they adopts changes according to the
environment. They both are curious about to know what was happened in the world. This
will became best entrepreneur in UK (Jones and et. al., 2018). This model helps in
motivating the person and their mind set to done well and become a successful
entrepreneur. Conscientiousness- This people are high level of thoughtfulness, goal impulse control.
Bobby and Simon both set schedule, make plan according to the task so it will complete
on time. And they are very effective communicator that easily understood by every
clients, employees so they effectively and organised work. This model helps in motivates
and encourage them to think unique and creative this helps in making the best and
successful entrepreneur in the UK. Extraversion- In this every individual are very expressive like they show their ideas and
thoughts on others. Like Bobby and Simon they both are extraversion in nature as they
express their idea in a very effective way. This will help to longer sustainability of
business and their employees are also very comfortable. In this model entrepreneur are
very extrovert in nature that helps in motivating their employees so they very
productively and earns a higher profits. Agreeableness- In this person share their happiness and other emotions in front of others
and they avoid negative thoughts and attitudes. In this Bobby and Simon create
motivational culture in their business enterprise so they work very effectively and helps
in earning more profits.
 Neuroticism- In this person is more stable and balances in every situation. Bobby and
Simon both have stable in every situation this will also motivates employees to work
calm so they achieve the target in time. In this both entrepreneur control on their
emotions this helps in motivating and positively set the minds of them to de uniquely.
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LO4
P7 How background and experiences can hinder or foster entrepreneurship
Bobby and Simon both face some challenges and difficulties in their life but there
knowledge and traits help them to flourish and assists them to successful in UK. Their
background and life experiences help them both to become a successful entrepreneur (Saleem,
2017).
Simon Arora
He was born in November 1969 and completed his education from Cambridge university.
He started his career to worked as an analyst for McKinsey, Barclays and 3i. But after some time
they feel that they involve in their own business rather than do a job. So he joined his younger
brother business in 1995 of importing home appliances from Asian countries and sell them in
retail chains in UK, before buying B&M in 2004, which was then a struggling grocery chain that
was based on Blackpool. He is very creative and adventurous that directs him to become a
successful entrepreneur in the UK. To become a successful, his family play an important role to
become a British billionaire. He inspire from his father because they do a business but aft6er
sometime they get loss in their business and simon can encourage from that moment to open
their individual business so that he earns more and more cash.
Bobby Arora
He was born on January 1972 and completed his education from Cambridge university.
His father ran a cash and carry business in Manchester. Because of his father is an entrepreneur
he also thinks to build their own business name B&M that was bought in 2005. there are more
than 500 stores selling home wares and food to the users. Because of innovative thoughts and
passionate vision they become a successful entrepreneur in the UK (Irene, 2017). Bobby
establish their business after completing the education. His knowledge helps him to became a
successful entrepreneur in the world. Education plays an important role because without it, they
cannot do any activities in the business.
CONCLUSION
From the above report, it has been concluded that an entrepreneurship is an activity of
innovating new ideas and thoughts and present it from many peoples. It helps in increasing the
profits and revenue and growth of the business venture. Therefore, it describe different types of
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entrepreneurship with their typology with their roles and responsibility. In addition it describes
the competitive market like small and medium business and their contribution towards the
economy betterment. They provide employment and productivity of a business. Further it
describes the different traits, skills and characteristics to understand their behaviours and how
they success in their life. And at last evaluate their family background that directs them to get
over from problems and achieve the targets.
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REFERENCES
Books and journal
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Ghio, N. and et. al., 2015. The emergence of the knowledge spillover theory of
entrepreneurship. Small Business Economics. 44(1). pp.1-18.
Irene, B.N., 2017. Women entrepreneurship in South Africa: Understanding the role of
competencies in business success. The Southern African Journal of Entrepreneurship
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Järvi, T., 2015. Production of entrepreneurship in small business activities of students. Journal of
Small Business and Enterprise Development.
Jones, P. and et. al., 2018. Entrepreneurship in Africa, part 1: entrepreneurial dynamics in
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companies: antecedents and effects on company performance. International Journal of
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Millsteed, J., Redmond, J. and Walker, E.A., 2016. Small business ownership for occupational
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Naldi, L., Achtenhagen, L. and Davidsson, P., 2015. International Corporate Entrepreneurship
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Ratten, V., 2016. Female entrepreneurship and the role of customer knowledge development,
innovation outcome expectations and culture on intentions to start informal business
ventures. International Journal of Entrepreneurship and Small Business. 27(2-3).
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Ratten, V., Dana, L.P. and Ramadani, V., 2017. Internationalisation of family business groups in
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Saleem, M.A., 2017. The impact of socio-economic factors on small business
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Simatupang, T.M., Schwab, A. and Lantu, D., 2015. Introduction: building sustainable
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Volery, T. and Mazzarol, T., 2015. The evolution of the small business and entrepreneurship
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