Entrepreneurship and Small Business Management Report: Key Insights

This report provides a comprehensive overview of entrepreneurship and small business management. It begins by defining entrepreneurship and exploring diverse venture types, including small business, scalable start-ups, large company entrepreneurship, and social entrepreneurship. The report then delves into the similarities and differences between various entrepreneurial ventures. It presents data and statistics to illustrate the economic impact of micro and small businesses, highlighting their contributions to job creation and innovation. The report also examines the role of small businesses and start-ups in the growth of the social economy. Furthermore, it identifies the characteristic traits and skills of successful entrepreneurs and explores aspects of entrepreneurial personality. Finally, the report discusses how background and experience can sometimes hinder entrepreneurial performance. The report concludes with a summary of key findings and a list of references.

Entrepreneurship and
Small Business
Management

Table of Contents
INTRODUCTION...........................................................................................................................................3
Task 1...........................................................................................................................................................3
P1 Explain diverse types of entrepreneurial ventures and manner in which they are associated to
typology of entrepreneurship............................................................................................................3
P2 Similarity and differences among between entrepreneurial ventures.........................................6
TASK 2 .........................................................................................................................................................8
P3 Interpretation of relevant data and statistics to exemplify how micro and small business create
impact on the economy.....................................................................................................................8
P4 Explain small business and business start-ups to growth of the social economy. .....................10
TASK 3........................................................................................................................................................11
P5 Characteristic traits and skills of successful entrepreneur..........................................................11
P6 Aspects entrepreneurial personality...........................................................................................13
TASK 4........................................................................................................................................................14
P7 Different types of ways by which background and experience can hamper the performance of
entrepreneur...................................................................................................................................14
CONCLUSION.............................................................................................................................................16
REFERENCES..............................................................................................................................................17

INTRODUCTION
Entrepreneurship is defined as an action of formulation of a business while scaling it to
attain profit. In simple words, it is the ability to generate or systematize a business along with
risks through which profits can be made (Aspects of Entrepreneurial personality. 2017). An
entrepreneur refers to a person who begins their business with limited number of resources as
well as funds. As small businesses are vital part of economy of any country, government
supports innovative and new ideas of entrepreneur on small scale in enhanced manner. This
report is conducted on, entrepreneurship and small business management; different types of
entrepreneurial ventures, resemblance and divergence between entrepreneurial ventures have
been discussed. Along with this, influence of micro and small business on economy and
characteristic traits of successful entrepreneur are included. Apart from this, various aspects on
entrepreneurial personality and ways in which background & experience can obstruct
entrepreneurship is discussed in this report.
Task 1
P1 Explain diverse types of entrepreneurial ventures and manner in which they are associated to
typology of entrepreneurship.
Entrepreneurship is one of the most imaginative processes for creation as well as
organization of business with unique innovative and efficient ideas. It is necessary for an
entrepreneur to acquire innovative as well as creativeness in ideas for starting new venture and
take it to great heights by attaining success. An entrepreneur builds their business with limited
resources at small level and takes it towards success. It is necessary for an entrepreneur to not to
restrict themselves within certain organization wall, but slightly they move towards risk taking
and makes their effective contribution in national as well as local economy. There are different
types of entrepreneurial ventures, they are mentioned below:
Type of entrepreneurial ventures Description
Small business entrepreneurship United Kingdom possesses large number of
small business ventures. It has been found that
UK has remarkable rate of growth within
development of small business entrepreneurs.

These types of businesses are either run by
small number of employees as well as owners.
These ventures can be run by friends as a
partner or family members. Some examples
associated with small scale entrepreneurship
are small scale production houses, internet café
consulting companies and auto mobile
retailers.
Scalable start-up entrepreneurship In such kind of entrepreneurial ventures,
entrepreneurs are more concerned about
creation of innovative as well as qualitative
services or products. In such kind of ventures,
entrepreneurs are more affirmative about their
ideas and believe that their idea will assist
them to alter the world. Small ventures require
venture capital and financial investment for
expansion of their business.
Large company entrepreneurship Organization within large company
entrepreneurship have fixed life cycle for
which they keep enhanced focus on their
various services as well as products for their
customers by which they can uphold within
market for longer period of time. As demands
of customers are altering, they generate
competition among other competition which
are present within market. It is necessary for an
organization to have innovative services and
products.
Social entrepreneurship Entrepreneur creates unique innovative

services and products for betterment of societal
and population systems. An entrepreneur
transforms their ideas into services as well as
products which lead environment as well as
society towards progress and their betterment
(Blackburn, Hart and Wainwright, 2013).
Typologies of entrepreneurship ventures:
Typologies refer to classification or elucidation of things as per peculiar types like
categorization on the basis of plan, form, structure and style. There are four different types of
typologies which are mostly found within entrepreneurship:
Type of entrepreneurial topologies Description
Survival Ventures These ventures comprises of different activities
for their survival by fulfilling basic necessities.
These firms are not registered and so not carry
out their business functions within premises.
They carry out their operation with restricted
resource sand do not possess banking
relationship. They comprise of micro-ventures.
Lifestyle Ventures These ventures are created to attain high level
of productivity to accomplish income of an
entrepreneur. Business organization in such
types of ventures is not only subjected to
expansion as well as growth. They possessed
fixed number of employees for operating their
business activities within single premises.
Managed Growth Ventures Organizations within this sector are focused to

attain sustainable growth and expand their
functions in constant manner. They launch new
services and products by making use of
innovative ideas as well as hiring new staff.
They are in continuous reinvestment mode;
they are medium sized organizations.
Aggressive Growth Ventures They possess strong innovative potential and
are based on technology. Funds are generated
via equity capital and seek more exponential
growth. They aim at taking their ventures into
international market and are basically large
scale enterprises.
P2 Similarity and differences among between entrepreneurial ventures
There are various types of elements with which similarities and differentiation of a task
and an activity can be carried out effectively. There are various differences and similarities are
carried out for entrepreneurial ventures:
Types of enterprises Similarities Differences
Small vs. Large Business
enterprise
 Business enterprises
within macro and large
enterprises carry out
their operations by
rendering all probable
facilities to customers
by making sure their
definite requirements
and needs in a best
possible manner
(Bosma and et. al.,
 Suitable differentiation
in between small scale
and large business
enterprises can be
efficiently done by
identifying their
financial situations. For
example, organisations
of large scale conduct
their business
operations with large

2012).
 Small and large
business enterprises
accomplish their
everyday activities as
to offer best effectual
as well as qualitative
services and products
in order to attain their
targets and objectives
in defined manner.
ratio of funds to carry
out their everyday
functionalities of
business. While on the
other hand, entities
within small enterprises
perform their business
functioning with
inadequate source of
resources and capital.
 Enterprises within
small scale sector carry
out their operations at
local and national
marketplace while,
large scale enterprises
carry out their activities
at national and
international
marketplace.
Social vs. Scalable
Enterprise
 Business entities that
are scalable and social
enterprises conduct
their day-to-day
operations with an aim
to render welfare
services to individual
as well as society
(Bridge and O'Neill,
2012).
 Entities engage
 Social enterprises carry
out their operations in a
formative way to
render welfare services
to customers.
Entrepreneur of
scalable enterprises
execute their business
functions with an aim
to bring best useful and
innovative services to

themselves within the
process of creation of
broad range of new as
well as innovative
ideas to serve people
by furnishing them
with best advantageous
services as to make
their life more
comfortable.
their customers.
 Entrepreneurs within
scalable enterprise
carry out their everyday
activities while
acquiring large
customer base to boost
enterprise probability.
Lifestyle and survival
Entrepreneurial Venture
 These ventures conduct
their everyday
operations with a
motive to gain large
profits and sustainable
growth. Along with
this, these venture aims
to create high end
goodwill within a
market.
 In lifestyle venture
entrepreneurs executes
their functions
according to their
passion and interest.
They carry out their
business operations in
accordance to their
interest filed. For
example, fashion
bloggers. Whereas,
entrepreneurs of
survival venture carry
out their functions to
make sure long term
sustainability within
market.

TASK 2
P3 Interpretation of relevant data and statistics to exemplify how micro and small business create
impact on the economy
Micro and small organization are considered as elementary part of any economy of
country which assists them to enhance their presence within international market. As per the
reports published by UK government, it is analyzed that micro as well as small business
contributes more than 87 percent are to boost up economy of country. Within UK there are more
than 4.1 billion micro organizations that conduct their business operations and aid them in
growing economy. By evaluation of data available from past it has been identified that such kind
of organizations are rapidly increasing (Choi and Majumdar, 2014).
Illustration 1: UK SME Data, Stats & Charts
(Source: UK SME Data, Stats & Charts. 2019)
From the above data it has been analyzed that micro business enterprises contributes
approx 20% in the development of overall economic system in UK. On the other hand small
business enterprise is contributing almost 24% on the economy as well as large scale business is
contributing approximately 30% in the economy of UK.
Share of business in United Kingdom

There are large numbers of small as well as large businesses within UK which helps
them to enhance their economy in suitable manner. These respective sectors provide approx.. 1.4
million employment opportunities for people of UK.
 Increase in Job Opportunities: These units play a vital role to grow economy and
generate more number of job opportunities to youths. As per published data by UK
government, it shows that small and micro level businesses provide around 2.50 million
growth opportunities for unemployed people. Along with this, females also get high
growth opportunities which comprises of around 50.01%.
 Adopting Innovation: Micro and small business provides innovative and new services
and products to captivate customers and serve them in enhanced way. Small business
units render high quality services; this will lead to stable economy as well as increase job
opportunities and enhance living standards of customers (Chrisman and et. al., 2012).
With respect to UK small and micro level business contributes in enhancement of their
economy as well as generates high revenue. Along with this 1.9 million jobs are generated by
these companies in UK which boost up their strength in effectual manner.
P4 Explain small business and business start-ups to growth of the social economy.
Exit of Britain from European Union is known as Brexit. According to referendum duly
signed by people decisions according to referendum 51.9% person individuals voted for Brexit.
In this both England and Wales have estimated amount of 53.4% to 52.9% voting ratio for
Brexit. While Northern Ireland and Scotland voted to stay in European Union. Since then a
process of negotiation is continued. This scenario has serious impact on country economy. As
that brings increase in rate of inflation. Thus in order to grow and a bring country economy
upward it becomes essential to implement formative idea of small business and start-ups within
country.
As this will help in increasing individual living standards and simultaneously help country
to grow their GDP. As large organization totally depend and extract their resources from small
business units. By increasing small business and start-ups government can grow their Nation
economy and individual income. It has been evaluated that small firms contributed up to 6.0 % in
GDP rate that automatically helps in strengthening country per capital income. Thus, it makes

important for government of UK to provide different types of benefit in the sector and aid new
entrepreneurs by providing financial benefits.
TASK 3
P5 Characteristic traits and skills of successful entrepreneur
Each and every person has different set of traits and skills which differentiate them from
others. It is important for an entrepreneur to make notifications in their skills according to time
which helps them to further make improvement in their capability and skills. In context with
current report there are different types of skills and characteristics that are hold by two different
successful entrepreneurs selected which is discussed below in brief:
Peter David Jones
Peter David Jones was born in the year 1966 and is a British entrepreneur. An Academy
was established by this entrepreneur where different types of skills are taught to young people.
Mentioned below there is a skill and characteristics of Peter Jones:
Characteristics of Peter Jones
 Innovative Thinking: Innovative thinking characteristics hold by entrepreneur as from
the recognition made from property, television, retail and mobile phones (Decker and et.
al., 2014). By having strong innovative thinking Jones realise that it is important for
young people to get the knowledge of entrepreneurship.
 Passionate: This is one of the best characteristic possess by entrepreneur that increases
success chance towards growth path. Selected entrepreneur holds professionalism in life
along with passionate. It can be further evaluated by effective observation of business
failures in many business and facing loss of 200,000 Euros. In addition with this, by
having positive characteristics passion Jones Joined Nixdorf.
Skills of Peter Jones
 Confident: Jones has formative level of confidence that further benefits in performing
objectives in defined manner. Entrepreneur is confident they have profession in media

industry. With the help of confidence Peter faces camera in a very confident manner on
daily basis.
 Time Management: Jones also holds strong time management skill with the help of
which they effectively performs each and every activity in a perfect time manner in a
given period of time. Further, entrepreneur also uses time to support young entrepreneur
with high knowledge (Drucker, 2014).
Simon Phillip
Entrepreneur mainly hailed from England, holds professionalism in talent judge,
manager, television producer etc.
Characteristic of Simon Cowell:
 Risk Tolerance: Cowell has high degree of risk tolerance ability that effectively allows
tolerating risk and gaining advantages from that. Entrepreneur makes effective day to day
decision in best possible manner by evaluating risk. This further helps in gaining success.
Skills of Simon Cowell
 Communication: Simon performs different types of activities and is a TV judge. With
the help of best effective communication skill, entrepreneur efficiently performs
objectives and numerous task in well-defined manner.
Difference between successful entrepreneurs and business managers:
Basis Successful Entrepreneurs Business Managers
Status An entrepreneur is the owner of the
company.
Business manager is the employees of
the company not the owner.
Aim Main aim is to start their own business
venture.
Major aim is to direct, organise,
manage and operate business
activities.
Motivation Motivation factor is to become Main motivation is to run the business