Entrepreneurship and Small Business: UK Economic Impact Analysis

This assignment delves into the impact of micro and small businesses on the UK economy. It begins by examining the increasing numbers of micro and small businesses from 2000 to 2019, highlighting their growth. The paper then explores the importance of these businesses to the social economy, emphasizing their contributions to local economies, employment, and innovation. The assignment further differentiates between small, medium, and large businesses, using data and statistics to illustrate their distinct impacts on the UK economy, including their significant contribution to employment and overall turnover. Finally, the assignment discusses the impact of small and medium-sized enterprises (SMEs) at local, regional, national, and international levels, acknowledging their crucial role in the economy and their potential for international expansion. The assignment is supported by references to academic literature, providing a comprehensive overview of the subject.

Online assessment –
Entrepreneurship and
Small Business

Contents
Q1. How micro and small businesses impact on the UK economy.................................................3
Q2. Importance of small businesses and small business start-ups to the growth of the social
economy...........................................................................................................................................3
Q3. Differences small, medium and large businesses make to the economy applying relevant data
and statistics.....................................................................................................................................3
Q4. Impact on different levels of the economy (local, regional, national) and in an international
context..............................................................................................................................................3
References........................................................................................................................................4

Q1. How micro and small businesses impact on the UK economy
Considering the information given in the table of estimated number of businesses within United
kingdom's private sector that has started from 2000 – 2019, it is being interpreted that
approximately micro businesses launched in the year of 2012 approximately to 914 and in the
year of 2015 thesenumberi reached at 1069 and in 2019 it can be said thatthese numbers reached
at 1155. On the other hand,small business has launched there business from the starting numbers
like 163 and in 2015 these numbers reached at 204 and in the year of 2019 the small businesses
launched by entrepreneurs approximately in the numbers of 211.
Q2. Importance of small businesses and small business start-ups to the growth
of the social economy
Cooperative associations foundations sharing common values and features. Small businesses has
major contribution towards the local economy in terms of bringing growth and innovation for the
development of business for stock small businesses also helpful in order to stimulate economic
growth by offering employment opportunity to people that are not employable by large
corporations. Along with this small business is the backbone of economy and also a significant
part of community which start by helping people and gain profit(Burns, 2016). Small businesses
are important as it leads to transform the economy and also impact the economic growth and
these enterprises tends to attract talent in order to develop new products and execute prominent
solutions for their existing ideas.
Q3. Differences small, medium and large businesses make to the economy
applying relevant data and statistics
Over the years, it has been analysed to that small businesses has accounted approximately 99.3%
of all private sector businesses which was specifically started from 2016 and on the other hand it
has been analysed that 99.9% was small or medium sized business organisations therefore it can
easily be said that these organisations that are coming under small and medium level sized
organisations impacted positively on overall economic conditions of United Kingdom
(Hosseininia and Ramezani, 2016). The other hand, if it is talked about the employment rate then
SMEs has given approximately 60% of employment which was generated by private sector of
United Kingdom. Can also be said that the combined annual turnover which was generated by

small and medium sized organisations or enterprises was 1.8 trillion pounds and which can be
considered or computed as 47% of overall private-sector turnover. Away with this, it has been
analysed that there has been an increase of approximately 97000 organisations from 2015 which
can be considered as 2.0 million more than in 2000.
Q4. Impact on different levels of the economy (local, regional, national) and in
an international context
Different levels of economy like local, regional and national it has been analysed to that small
business organisations and middle level companies has impacted in different ways over IEA
economic conditions which has also affected businesses of large business organisations that are
performing their operations at international level (Sozuer, Altuntas and Semercioz, 2017). In the
year of 2016 there were approximately 1.3 million employing businesses and 4.2 million non
employing business is were opened that can be considered as crucial impact organisations that
were looking forward to expand their business at international level.

References
Books and journals
Burns, P., 2016. Entrepreneurship and small business. Palgrave Macmillan Limited.
Sozuer, A., Altuntas, G. and Semercioz, F., 2017. International entrepreneurship of small firms
and their export market performance. European Journal of International
Management, 11(3), pp.365-382.
Hosseininia, G. and Ramezani, A., 2016. Factors influencing sustainable entrepreneurship in
small and medium-sized enterprises in Iran: A case study of food
industry. Sustainability, 8(10), p.1010.
(Burns, 2016) (Sozuer, Altuntas and Semercioz, 2017) (Hosseininia and Ramezani, 2016)