BTEC HND in Business Unit 9 Entrepreneurship Task 2 Report Analysis

This report, created for a BTEC HND in Business unit on Entrepreneurship and Small Business Management, analyzes the impact of micro and small businesses on the UK economy, providing statistical data on employment, turnover, and the number of businesses. It explores the significance of small businesses and start-ups in fostering social and economic growth, including the role of innovation and job creation. The report delves into the characteristics, traits, and skills of successful entrepreneurs, contrasting them with those of traditional business managers, and examines how entrepreneurial personalities reflect motivation and mindset, using examples like Richard Branson and Jean Paul Getty. It also assesses traits like openness, conscientiousness, extraversion, agreeableness, and neuroticism in relation to entrepreneurial success.

ENTREPRENEURSHIP AND
SMALL BUSINESS
MANAGEMENT
TASK 2

INTRODUCTION
The term entrepreneurship can be termed out as capacity and willingness to develop formulate,
organize and manage a business along with risk in order to make profit. It is process of designing,
launching and running the new business. Thus, to earn profitability the main aim of entrepreneurs
is to satisfy the customer by providing better quality of commodities. It is the act of creating the
business or businesses while building and scaling it to generate the large amount of profitability.
In the other words, it can be defined as transforming the world with help of solving the big
problems.

P3 INTERPRET AND ASSESS RELEVANT DATA AND
STATISTICS TO ILLUSTRATE HOW MICRO AND SMALL
BUSINESS IMPACT ON ECONOMY.

CONTINUE.
1. In above graph employment, number of business and turnover of SME's are given in UK industry.
2. Graphs shows there are 99.3% small size business are working in industry, where medium
enterprises has 0.6% share in market and big company's number remain limited to 0.1% only.
3. Total sale of SME's are 33%, for medium-sized it is 14% and big start up enjoying 53% of total
revenue of industry.
4. Employment opportunity given by small firm are 48%, which can consider as significant
contribution. Medium size creates only 12% jobs, and large size render 40% in total jobs.

CONTINUE.
1. Small size business contribute a large share in employment generation, which clearly shown in
graph, 48% (in whole UK economy) of employment is given by small enterprises.
Employment is one the key element economy.
2. There are approximate 25-27 million small enterprises which contributes 80% in private job.
Small size business create sense of financial independence among people, which encourage
investment in self employment opportunities.
3. Like an individual have enough capacity to earn but do not have employment, in such case
people can use their own money to get money inflow and SME directly render job to people.

CONTINUE.
1. Micro enterprise are aimed to bring innovation, these new idea and technology bring
improvement in society.
2. Like a small size SME's develop new road engineer machine, by its own effort. And, this
innovation will help in big infrastructure development project and road making.
3. Apart from these many economic actives are generated because of these business, which
multiply the employment too. Like an organisation need logistic, finance, insurance,
consultation services, in such case people working in these sectors also get more money
inflow, when they give service to company.

CONTINUE
1. SME's has 33% turnover in UK economy, where large size enterprise rendering 44% of
turnover, though small company's gives comparatively lower turnover than large size. But, as
absolute contribution, 33% can be considered as significance share.
2. Higher turnover further help in growth and expansion. Apart from it when, customer give
priority to local business, they indirectly help government to develop economy at national
level. For instance when buyer by from local small business, this will increase the sale and
revenue of firm.

P4 DESCRIPTION ON THE IMPORTANCE OF SMALL
BUSINESS AND BUSINESS START UPS TO GROWTH OF
SOCIAL ECONOMY.
1. Small medium-sized enterprise plays crucial role in the economy. Thus, small enterprise has
been facing an uncertain future from the time of referendum decision to leave Europe.
2. The major contribution of small businesses to local economies by bringing growth and
innovation to the community where it is established. It is also very assistive to stimulate to
economic growth with help of providing the employment opportunities to the people. Hence, it
can be true to said that UK's small business are key to economic growth.

CONTINUE.
1. The Thurrock is one of the unitary authority area and it is the part of the London. There are
also number of the enterprise and this are also contributing maximum economic growth. This
area offers flexible ‘easy-in, easy-out’ tenancy terms for professional office space and under
this Business provides a unique local environment in order to start-up businesses to Grow.
2. For example- The New Delhi Indian Grey is restaurant that is located in Thurrock they have
also with minim amount of capital. This has earned a lot of amounts of the profitability by
providing the better employment opportunities to employees. Thus, this area of UK has
contributed maximum to GDP.

CONTINUE.
1. After the issue of Brexit, it has been noticed that there was 0.5% of decline in growth rate of
GDP. This things have affected the larger entrepreneurial venture as compared to the micro
enterprise. It is the thing that has negative impact on the economy of the UK. In order to
access the impact of the Brexit on small level enterprise the government is taking various
initiative steps in order to take survey from UK SME’s.
2. This also has affected the economic development within the country. Small businesses playing
crucial role in economy as this ventures are enhancing the competition of emerging sectors and
this kind of enterprise are crucial for economic growth and having high innovation capacity.

CONTINUE.
1. The small business enterprise leads to have job creation and economic growth that aids to
guaranteeing social stability. Furthermore, small medium enterprise also works as to stimulate
entrepreneurship and innovation and these are very crucial for boosting competitiveness and
employment.
2. It is putting the impact on the economy at the huge level.
3. The medium sized organisation nimble because it is very easy to adapt the changing
marketplace conditions and product innovation in the fastest mode.

P5 DETERMINE THE CHARACTERISTICS TRAITS AND
SKILLS OF SUCCESSFUL ENTREPRENEUR AND IT
DIFFERENTIATES FROM OTHER BUSINESS
MANAGERS
1. An entrepreneur is a person, who put extra ordinary effort to establish and run the business.
These excel practice help them to cross the traditional way to perform the business and enjoy the
reward. When, it comes to successful people in today era, Richard Branson and Philip Green
does not need any introduction.
2. Richard is founder of virgin group. He took huge risk as virgin diversifies its business to more
than 10 industries. According to Branson, there are so many situational influence which
motivates a person to cross the thin line between concentration and remarkable personalities.
Richard asserted, risk is not only challenge a person, even they are essential for personal growth.