Entrepreneurship & Small Business: Ventures and UK Economy Impact

This report provides a comprehensive analysis of entrepreneurial ventures and their relation to entrepreneurial typology, highlighting similarities and differences between various ventures. It assesses the impact of small and micro businesses on the UK economy, emphasizing their contribution to revenue, productivity, and employment opportunities. The report also underscores the importance of small businesses and start-ups in fostering the growth of the social economy through job creation, innovation, diversity, and local improvements. Furthermore, it delves into the characteristics, traits, and skills of successful entrepreneurs, contrasting them with managers, and explores how entrepreneurial personalities reflect motivation and mindset. The report concludes by examining how background and experiences can either hinder or foster entrepreneurship, providing a holistic view of the entrepreneurial landscape.

Entrepreneurship and
Small Business
Management

Table of Contents
INTRODUCTION...........................................................................................................................3
LO1 .................................................................................................................................................3
P1- entrepreneurial ventures and how they are related to entrepreneurial typology...................3
P2- similarities and differences between entrepreneurial ventures..............................................5
P3- impact of small and micro business on economy .................................................................7
P4- Importance of small business and start up of business to the growth of the social economy
......................................................................................................................................................8
P5- Characteristics traits and skills of a successful entrepreneur and differences in managers
and entrepreneur...........................................................................................................................9
P6- Aspect of entrepreneurial personality reflect entrepreneurial motivation and mindset .....10
P7- Ways Background and experiences can hider or foster to the entrepreneurship.................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Entrepreneur is the person who create a new business with bearing most of the risk in the
business, and they are only who enjoy most of the rewards from the business. A entrepreneur
always come up with the new idea that must be different from the other business or add some
value in Custer life.
This report will examine types of entrepreneurial ventures and it will also explain the
typology of entrepreneurship. This report will provide the differences and similarities between
the entrepreneurial ventures (Burns, 2016). It will interpret and asses the important data related
to the contribution of micro and small business impact on the UK economy. This report will also
explained the importance small business start-ups to growth the social economy and evaluate the
differences in the small, medium and large business who contribute to the economy. It will also
cover the mindset of the entrepreneurs by using the big five personality model. In the end of this
report will compare two entrepreneurs on the basis of their background and success story.
LO1
P1- entrepreneurial ventures and how they are related to entrepreneurial typology
A entrepreneur is an Person who starts and runs its own business with limited resources
but with the proper planning, and is accountable for all the risks and profits of their business
venture. The business idea usually comprehend from a new product or service rather than an
existing business model. While entrepreneurship is way of doing business where entrepreneur
search for the venture they want to start and find the investors who can invest on their business.
There are different kinds of entrepreneurial ventures that can be choose by entrepreneur
to start their business. Its necessary for the entrepreneur to find the ventures which is suitable for
their business ideas. Here are some entrepreneurial ventures (Scarborough, 2016).
Entrepreneurial Ventures
Any Established company
An established business or company is the one that has obtained reputation for their
particular product, process, service and platform.
Small size social venture
Small size social vestures are firm that work on the small level and helps people around
their local areas and it can be run by single or more than 10 people.

Large size social venture
Large size social firms are the NGOs who are working on the large scale and helping
people in whole country.
High growth
High growth firms are having huge investment and large market within the country or out
of the country.
Typologies of entrepreneurship
Survival ventures
Survival venture is similar to the informal sectors and this kind of business not registered
by the owner and they earn money to just survive. Examples of survival ventures are- small
grocery stores and mini departmental stores.
Managed growth ventures
Managed growth ventures are small business that have limited resources and limited
investment. They take growth in their business slow by their main motivate is to earn profits.
Aggressive ventures
Aggressive growth business large or multinational business who are having huge
reprocesses and sell their product on national or international level (Lambert, 2019)
(Burke and Cowling, 2020) Examples – TESCO, Hotel Marriott.
Lifestyle venture
Lifestyle ventures are sun by single person in which they earn limited money in their
business and they earn by showing their lifestyle through videos and entertaining others.
Examples- you tubers and influencers
Social entrepreneurship
Social entrepreneurship work toward the Society and helping people. They are non- profit
earning firms. Examples- NGO and charity firms etc.
Relation with typology
Different
entrepreneurial
ventures
Examples in those categories Sector

as defined by a
variety of Authors
High growth
High growth firms are having
huge investment and large
market within the country or
out of the country.
Non
Small size social
venture
Small size social vestures are
firm that work on the small
level and helps people around
their local areas and it can be
run by single or more than 10
people.
Private and public
Large size social
venture
Large size social firms are the
NGOs who are working on the
large scale and helping people
in whole country.
Private and public
P2- similarities and differences between entrepreneurial ventures
Every entrepreneurial ventures have some similarities and differences that makes them
different from each other. Here are 5 similarities between the ventures.
Funding from some venture capitalist or the investors
Ventures such as small business and lagers business and public sectors collect funds
thorough the investors who invest money on their business and investors get some share from
their profits (Nassif, Armando and Lopes, 2020). All this ventures work to earn profitability.
Creative ideas
Survival and lifestyle ventures are similar on the basis of creative ideas. Both the
ventures holders need creative idea to run their business.
Creating brand name
Small, private and large business started on the purpose of creating brand name. Every
small business want they can expand their business and creative their brand name and large
business want them to capture wholes market and create brand name.

Strong will entrepreneur
All the ventures come under it and to start business every entrepreneur need strong
willing and mostly for the social and small lifestyle entrepreneur where they need to spend times
from their won pocket to be successfully.
Consistent innovation
Small, large, lifestyle innovation need constant innovation in their business to be
successfully. They always try to attract people.
Difference between entrepreneurial ventures
Survival Life Style Managed
growth
Aggressive
growth
Annual
growth Rate
2.00% 8 % to 20 % 5 % to 10 10 % to 20
Managerial
focus
To reach sells
target
Lifestyle
improvement
Achieving
goals
Increase growth
Entrepreneur
orientation
Autonomy Innovativeness Risk taking Competitive
aggressiveness
Managerial
skills
Low Medium High High
Technology
Investment
5 to 10 k 10 k to 20k $1 million $10 million
Exit approach Easy exit Easy exit Hard to exit Hard to exit
Source of
finance
Family, bank Personal
savings,
donations,
family
Banks loan,
family
All the sources
including
investors

P3- impact of small and micro business on economy
Micro Business
Micro business business are generally defined as the small business in which employees
work around 9 or less than 9 employees. Some side hustles like wedding photography,
social media posting and driving for uber and Ola also an micro business (Kuzieva,
2020). Side hustles are an effective ad one of the easiest way to generate income for
entrepreneur.
Small business
Small business is defined as a privately owned corporation, partnership, or sole
proprietorship that has fewer employees and less annual revenue than a corporation or regular-
sized business. Most of the people start small business after getting third from the private jobs, so
they can create their own business and small business can helps people to earn more than any job
in the company (Burns, 2016). Personal benefit from the small business is that people can earn
their won money, and they will employees the people under them.
Small and Micro contribution to economy
Small and micro business enterprises and huge contribution to the UK economy because
it helps to create revenue around 47 percent and have key role in boosting productivity. At the
start of 2020 there were 5.94 million small businesses (with 0 to 49 workers), 99.3% of the total
business. SMEs account for 99.9% of the business population (6.0 million businesses). Not only
this but SME's also create employment opportunities within the UK and three foth of the
employees within the Uk is provided by the SME and employees is most important factories of
the every countries' economy. People always demand for the jobs and UK SME's are doing this
work for them. The total employment provided by the SME's to the UK economy was around
16.8 million while turnover was estimated at the 2.3 million
Uk government collect taxes from the small medium entreprices and it is used for the
development of the country. Basically, taxes are income of government which they use to
development of society an provide benefits to the citizen of their country for examples-
Development of schools , collages, Road etc.
State government has mostly benefits from the SME''s because it helps to provide
employment to the local people and states can increase their tax collection and provide benefits
to local people.

P4- Importance of small business and start up of business to the growth of the social economy
The social economy is mostly taken to be their sector of the mixed capitalist economies
distinct from the private and public sector. The social economy is supported on corporative, not
profitable and voluntary rather than paid activities carried out within communicate, across
national economies and internationally (Scarborough, 2016).
Small medium and entrepricess has huge role in the growth of social economy because
they contribute to the local development within the society and provide benefits to the people of
the country.
Creation of employment
SME's create huge employment for the local people and it useful for the people who are
not having skills. SME's provide jobs in which a person do not need high skills and some times
people can work within having any skill or eduction level. Unskilled people can earn their own
salary and they can spend to purchase the basic need of their life.
Innovations
Innovation mostly come from the SME's because all the business start-up up from small,
and they always come up with the new innovation that help to add value in the customer's life.
SME's work for the customers satisfaction and innovation can helps to satisfy the needs and
demand of the customers. Small business brings a great deal of innovation to any field. Small
businesses are normally in more direct contact with buyers and the local population. This means
they are more adjusted to what products and services would best serve the public good. With
fewer levels of hierarchy to wade through, small businesses are also generally more open to
trying out new ideas in a shorter time frame.
Leading way on diversity
In a small ad medium companies workplace employees can from the various places,
background and realign. This creates diversity within the workplace and people learn to with
each other (Lambert, 2019). They create new relationship and helps each other in the task, it
shows the business like SME's have huge contribution in the social, economy.
Local improvement
Small and medium size provide most of the benefits to the local people who are living
near by their firm. Small business provide job to these people, and they also pay taxes to the state
government which directly pass to the society people. Local areas get improvement and people

get better infrastructure in their local areas. Small business helps to keep the money local, that
means they are helping the local people and economy It also benefits the community as a whole.
Local businesses’ success means more local tax money, which helps improve schools and other
local services (Burke and Cowling, 2020). While money spent at larger, chain businesses rarely
stays in the community, small businesses keep a large percentage of their profits and turn those
back into other community endeavours.
P5- Characteristics traits and skills of a successful entrepreneur and differences in managers and
entrepreneur
Every successful entrepreneur have some some skills and characteristics traits that makes
them successful in their business. It is necessary for the new entrepreneur to identify those skills
and develop characteristics to become successful entrepreneur. Here are some skills and
characteristics of successful entrepreneurs -
Skills in entrepreneur
Communication skills
Communication skill is one of the most important skills that make a person successful
entrepreneur. Entrepreneur not only have to create new idea but it's their ability to communicate
their idea with their team and lead team to work for the idea and make it real. During the start of
their business entrepreneur have to convince and find the investors and without having effective
communication skills entrepreneur cannot convince them to spend money on their business.
Learning
A successful entrepreneur always learn from their mistakes they have done within the
business. They learn and develop strategies to overcome from the problems. They work harder in
their business so they can avoid same mistakes they did previously.
Characteristics of entrepreneur
Confidence
A entrepreneur who become successful in their business have one similar characteristic
and that is confidence. They are always confident with their idea and strategies because they
know what they are doing and how to make their business successful.
Never give up

As successfully entrepreneur never give up on their lose, they always stand up and put
their 100 percent effort to make their business successfully by the continues innovation in their
business.
Risk taker
Entrepreneur take risk in the business for the big wins in the life. A person cannot be
successful entrepreneur if they are not taking risk in their business and it is an characteristics of
the entrepreneur to take risk.
Difference between managers and entrepreneur
Managers and entrepreneurs are totally different from each other because managers an
employee who work under the firm and follow the order from the business owners. They work
on the basis on decided salary, and they have to report about firm performance to the owner of
the business.
On the other hand entrepreneur are the owner of the business who employees managers
who work under them. They give direction and order that managers and other employees who are
working under the company have to follow. They take the most of the benefits because it their
own business, and they are owner of the business.
P6- Aspect of entrepreneurial personality reflect entrepreneurial motivation and mindset
Each and every entrepreneur have different personality and way of doing work. Some of
them are aggressive in work, some of them just relax in their business and different differer
personality. Personality of an entrepreneur can be identified with the use of tool Big five
personality traits. A "big five" are broad categories of personality traits. While there is a
significant body of literature supporting this five-factor model of personality, researchers don't
always agree on the exact labels for each dimension.
Big give personality traits
Openness
Openness is an personality of an entrepreneur who are open with their idea and mind.
Entrepreneur whoa rev high with the openness trait tend to be more adventurous and creative in
their work and if they are low with this threat then mostly they struggle in the much more
traditional and may struggles with abstract thinking.
Conscientiousness

The best feature in this treat is the entrepreneur who have this kind of personality can
include the high level of the thoughtfulness, goal directed and good impulse control
Highly conscientious people tend to be organized and mindful of details. They plan ahead, think
about how their behavior affects others, and are mindful of deadlines
Extraversion
Extroversion and the extroversion is the characterized by the talkativeness, excitability
and high amount of emotional expressiveness within the personality of the Entrepreneur. People
are having this kind of personality become the social entrepreneurs, and they look for the welfare
of the society.
Agreeableness
This kind of dimensional include attribute in entrepreneur like kindness, trust and
affection and other social behaviour. This kind of entrepreneur easily create attachment with
anyone and they can able to create better relationship with the other for exemplars- relationship
with employees investors etc.
Neuroticism
The neuroticism is a trait characteristic by the sadness, moodiness the and this also an
characteristic of and successfully entrepreneur.
P7- Ways Background and experiences can hider or foster to the entrepreneurship
The personal background and the experiences of an persona can be highly effective for an
firm and it can poster or the hider to business the entrepreneurship. The personal background
consist of family support, financial background, middle class family etc. here is examples and
difference between the two famous entrepreneurs of the UK.
Richard Branson Laurence Graff
Richard is an most famous entrepreneur from
the UK, who is an founder of Virgin group. He
came from the small and poor family
background and later he become top
entrepreneur in UK and right now Virgin group
control companies around 400 in number.
Richard open his first venture when he was just
16 year old, Richard start with the mail order
Laurence Graff is another best examples of the
successful entrepreneur if the UK who left his
school and start business in age of 15. Graff
came from the rich background so he takes
helps of family and start small business. He
soon went into the partnership with the
Jewellers, Schneider and repairing a rings and
creating small pieces of jewellery in a small

record business known as Virgin Records and
after 2 years change the name from Virgin
record to Virgin Megastore. Virgin brand grow
rapidly during the 80c and after getting the
success he open another company Virgin
Airlines and with that many other business
expanded by Richard and make him successful
entrepreneur in the UK.
shop. He used to work independently and used
to sell jewellery designs all over the England. I
Till the end of 1960 he was able to expand
their business and open two jewellery shops.
After that he founded Graff Diamonds business
and in year 1966 he got chance to enter in
international Award competition where he won
and become famous from their. Right now net
worth of the Graff is around £6.78 billion .
CONCLUSION
As per the report has been Examined types of entrepreneurial ventures and it also has
been explained the typology of entrepreneurship. This report has been provided the differences
and similarities between the entrepreneurial ventures . It has been interpreted and asses the
important data related to the contribution of micro and small business impact on the UK
economy. This report also has been explained the importance small business start-ups to growth
the social economy and evaluate the differences in the small, medium and large business who
contribute to the economy. Report has been covered the mindset of the entrepreneurs by using
the big five personality model. In the end of this report will compare two entrepreneurs on the
basis of their background and success story of Richard Branson and Laurence Graff.

REFERENCES
Books and journals

Burns, P., 2016. Entrepreneurship and small business. Palgrave Macmillan Limited.
Scarborough, N. M., 2016. Essentials of entrepreneurship and small business management.
Pearson.
Lambert, T. E., 2019. Monopoly capital and entrepreneurship: whither small
business?. Cambridge Journal of Economics. 43(6). pp.1577-1595.
Burke, A. and Cowling, M., 2020. The role of freelancers in entrepreneurship and small
business. Small Business Economics. 55(2). pp.389-392.
Nassif, V., Armando, E. and Lopes La Falce, J., 2020. Entrepreneurship and Small Business in
the Context of Post Covid-19: Is there Light at the End of the Tunnel?. Nassif, V.,
Armando, E, & La Falce, JL (2020). Entrepreneurship and Small Business in the
Context of Post Covid-19: Is there Light at the End of the Tunnel.
Kuzieva, N., 2020. Kuzieva NR Ways of improving the tax mechanism for small businesses and
entrepreneurship in the Republic of Uzbekistan. Архив научных исследований, (24).
Gale, W. G., Gelfond, H. and Krupkin, A., 2016. Entrepreneurship and Small Business Under a
Value-Added Tax. Brookings Institution, Washington, DC.
Lechner, C. and Pervaiz, A., 2017. Entrepreneurial Strategy: A contingency review and outlook
for future research in SAGE Handbook for Entrepreneurship and Small Business.
SAGE.
Kuzmina, I., 2017. Entrepreneurship and small business development in Latvia. In Small Firms
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153-163). Routledge.
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