Entrepreneurship & Small Business: Venture Types and Economic Impact

This report provides a detailed analysis of entrepreneurship and small business management, exploring various types of entrepreneurial ventures such as small business entrepreneurship, large-scale entrepreneurship, and social business entrepreneurship, and their interrelation to the typology of entrepreneurship. It highlights the differences and similarities between these ventures, focusing on aspects like innovation, competitive advantage, and social impact. The report also interprets relevant data and statistics to demonstrate the significant impact of micro and small businesses on the economy, particularly in job creation and financial interdependence. Furthermore, it discusses the characteristics, traits, and skills of successful entrepreneurs, differentiating them from other business managers, and examines how entrepreneurial personality reflects motivation and mindset. Finally, the report touches on how background and experience can either foster or hinder entrepreneurship, concluding with a summary of the key findings and their implications for economic development and societal welfare. Desklib offers access to similar reports and study tools for students.

Entrepreneurship and
Small Business
Management

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1. Several types of entrepreneurial ventures and how they interrelate to the typology of
entrepreneurship.....................................................................................................................3
P2. Differences and similarities between entrepreneurial ventures........................................5
TASK 2............................................................................................................................................7
P3. Interpret relevant data and statistics, how micro and small business impact on the
economy.................................................................................................................................7
P4. Significance of small businesses and business start-ups to the growth of social economy.
..............................................................................................................................................11
TASK 3..........................................................................................................................................13
P5. Characteristics traits and skills of successful entrepreneurs that differentiate them from
other business managers.......................................................................................................13
P6. How entrepreneurial personality reflect entrepreneurial motivation and mindset.........16
TASK 4..........................................................................................................................................18
P7. How background and experience can foster and hinder entrepreneurship.....................18
CONCLUSION..............................................................................................................................19
REFERENCES..............................................................................................................................20

INTRODUCTION
At current scenario entrepreneurship has become very important in order to develop
better economy. It is very essential for creating regional growth, industrial development and
employment generation which is mainly depends upon the entrepreneurial development.
Entrepreneurship refers to the process of different actions of an entrepreneur who is an individual
always search for something new to gain better opportunities in future. Whereas, small business
management refers to the different styles of management to get better outcomes appropriately.
Present assignment is based on entrepreneurship and small business management which will
focus on range of ventures types that could be considered as entrepreneurial. After this impact of
small business on the economy (Galloway, Kapasi and Sang, 2015). At last, key aspects of
entrepreneurial mind set and various environments that foster entrepreneurship will get covered.
TASK 1
P1. Several types of entrepreneurial ventures and how they interrelate to the typology of
entrepreneurship.
Enterprise: It is an enterprise which is most associated with the new type of ventures that
includes manufacturing, production and other operations which is performed by an organisation
in order to gain appropriate value of business.
Entrepreneurs: It is an individual who develop a new business and bearing huge risks
along with able to gain better rewards in an effective manner. It mainly includes innovator, a
source of goods and services, ideas, appropriate procedures as well as business.
Entrepreneurial venture: These are those type of ventures which is managed and owned
by the diverse entrepreneurs who mainly engaged within the business activities in order to
provide better quality of goods and services to customers in a perfect way. Online retail
consigner and Instagram consultant can be the best example of entrepreneurial ventures. This is
because these sorts of businesses mainly handled by one or two persons last, with the help of
managing their business in a proper way they can achieve their targeted goals in a success full
manner. There are different types of entrepreneurial ventures, those are listed below:
Ventures:
Small business
entrepreneurship
Large scale entrepreneurship Social business
entrepreneurship

 This type of
entrepreneurial
ventures is which
where business carried
out on small scale
through engagement of
the individual who has
been selected from the
local market (Burns,
2011). With the help of
this, best resources will
be produced in an
effective manner.
 Some of the small
businesses includes
grocery stores,
plumbers, carpenters
and many more.
 In addition to this,
entrepreneur is a
person who owns the
overall business and
staff members in order
to accomplish their
goals and objectives.
 With the assistance of
skilled and talented
employees, needs and
wants of customers will
be fulfilled in an
effective manner and
 This is the type of
business entity where
organisation use
advanced techniques in
order to produce high
quality goods and
services within limited
time frame.
 Size of such type of
business entity perform
their business
operations in order to
bring innovative ideas
for the development
and betterment of
future. Some of the
examples of such type
of enterprise are
Google, Facebook,
Yahoo and Adobe.
 Apart from this within
a large business
enterprise, ample
number of job
opportunities will be
developed which
increases the standard
of living.
 This is the type of
organisation who have
the capability to attain
 This is the type of
business entity offered
goods and services in
order to develop the
society in an effective
manner. They mainly
work for the
development of society
and individuals
(Bridge and Neill,
2012).
 Some of the instances
of this type of scale
includes Bill dray-ton,
Scott Harrison, Shiza
Shahid and many more.
According to this most
of the firms are using
social marketing
business models in
order to know about
customers taste and
preferences as well.
 In addition to this, with
the help of this they
can build effective
contact with large
number of individuals.
 For example: NGOs
are best way to provide
better facilitates to the

attain positive
advantages at the
marketplace.
goals and objectives of
the company at global
level.
 For instance: Google is
one of the biggest and
largest business
organisation who have
large number of
employees in order to
fulfil needs and wants
of customers in an
effective manner.
people in order to
enhance their living
standard.
P2. Differences and similarities between entrepreneurial ventures.
There are different types of entrepreneurial ventures into the marketplace. All they have
aim to become more successful by having huge profits and growth for the better development of
economy within country. Some of the similarities and differences are given below in context
with them:
Differences:
Small business enterprise Scale start up enterprise
In this sorts of enterprise thoughts and ideas
always stolen from the other person after that
start business with their own name and
identity.
According to this, business ideas always have
uniqueness like innovative strategies and
something new forever to gain competitive
advantages in a perfect way.
It is the type of business where number of
employees are around 50 where they work for
their own livelihood and not for the
betterment of the society.
This type of business work at the competitive
marketplace in order to develop the living
standards of individuals by bringing unique and
innovative products and services.
Purpose of this type of enterprise is to earn
huge profits for fulfilling overall demand and
The main aim of this entrepreneurship is to being
huge innovative techniques within society in

requirements of individual's family members
appropriately. For example: those types of
business who are operating their overall
systems and functions within the local level
then they are really needed to have so many
strategies and tools in order to make their
business attractive and valuable for people at
marketplace. In order to make huge profits
they always needed to have bette4r tools and
strategies in an effective manner.
order to develop new and effective products.
For example: If any start up comes into the
market with unique and new ideas then it can
influence large number of people within the
economy of UK. By satisfying several people
they can achieve their all over the task in order
to stay for long period of time within the
organisation. Along with they always have
innovative technologies so that they can easily
get potential customers and able to achieve huge
success in a peaceful manner.
Large scale enterprise Social enterprise
This type of enterprise always found with the
aim of earning huge profits in order to
develop huge sales and revenue within society
by giving large amount of funds. Along with
this, there are more than 250 employees who
are working in these sorts of organisation to
achieve organisational objectives and goals.
For example: It can be said that Google,
Facebook and so many large organisations
who are dealing their overall operations at
higher level they really needs to follow all
over the government rules and policies so that
they can meet their goals without facing any
kind of issues and problems in an appropriate
manner. Therefore, they have lots of people to
achieve same predetermined goals perfectly.
These type of enterprises always developed in
order to increase living standard of people
within society. On the other side these type of
enterprise do not have any motive to earn profit,
together with they always develop unique
strategies for societies so that they can give job
opportunities for numerous people effectively.
For example If NGO' s will provide more better
accommodations to their potential customers or
people so that they will become more successful
business entrepreneur and it also increase their
overall sales and revenue in an effective
manner. By having this type of scenario they
can also become world's largest firm in order to
give huge protective services to people and
remove negatives aspects from the world.

Similarities:
Entrepreneurial ventures always have similarities as they have same motto to improve
overall condition of society accordingly (Rauch and Hulsink, 2015). Some of the similarities are
mentioned below: The major similarities between small, large, social and scalable enterprises are, they all
gives their contribution 100% in order to improve welfare and development of the society
by providing huge job opportunities for people in an effective manner. All these sorts of ventures usually wants to give accomplish overall needs and demand of
societies, so that they can stay in the marketplace for long period of time. Their main motive is to enhance the standard of living and for this they develop various
job opportunities for the individuals available at the marketplace. This will assist in
enhancing the economic system of the country as they provide job opportunities to the
people. It refers to the type of business ventures wants to increase their profit but before
maximisation of living standard of people in an appropriate manner. With the assistance
of such type of business ventures, economy of a country increased which as a result raises
the living standards of individuals. As entrepreneurial ventures have same vision and mission in order to make organisation
effective, with the help of this entrepreneurs can fulfil their society's and people demand
in a accurate way. By giving 100% contribution entrepreneurial ventures always able to make unique
policies and strategies in order to satisfy people demand and needs in an appropriate
manner.
TASK 2
P3. Interpret relevant data and statistics, how micro and small business impact on the economy.
Within the competitive scenario of business industries, small and micro businesses plays
very important role within the UK economy in order to develop numerous job opportunities for
people (George and Bock, 2011). With the help of this they can bring innovative and financial
interdependences towards organisations. The entire contribution of businesses are mentioned
below in detail:

Small business: Small businesses are the privately owned businesses and corporations
which have fewer employees and low annual revenue than its regular business. It is a concept of
self-employment, entrepreneurship and start-ups. These are the businesses which varies
according to country and size and the number of employees are less than 500 employees.
According to this, it consist 50 personnel along with annual income of £5 million. Therefore, the
few investment leads in order to increase their market share and size in not much large area with
sufficient resources. Some of the most essential type of small business organisations consist of
grocery stores, plumbers, carpenters and so on. They mainly work with their own capital and
sometimes borrow funds from their family members and friends.
Micro businesses: These are the companies with annual low annual sales and assets and
not more that five employees in which it include owner also. The common micro business
environment include catering, photography, computer services and many more. These are the
enterprises who depends on the various sectors of the country. It has been said that micro
business enterprise have capital which does not exceed ten lakh rupees in order to perform their
business functions.
On the basis of above graph it has been shown that, small business is giving their
contribution around 99.3% as compare with large and medium organisations. Furthermore, it has

been analysed that small business developing 48% employment job opportunities whereas, large
companies are contributing 40% along with this, medium firms are giving 12%. At last, large
business has huge turnover rate that is 53% as compare to medium and small organisation that
has 33% as well as 14% appropriately (Kuratko, 2016).
From the above representative graph it has been analysed that, small and micro
businesses both gives huve contribution within the exapnasion of UK economy. With the help of
giving this type of contribution they can improve overall situation of economy and able to
provide huge job opportunities to people who are really interested and seeking job opportunities.
As small business contributes 23.4% so that economy can grow up in a easiest way able to
achieve their goals. Whereas, micro enterprises giving their 18.9% to economy which maximises
overall busienss job opportunities for candidates and make them valuable. By having this type of
contribution UK economy is able to grow and easily achieve their goals in an stipulated manner.
Characteristics of various businesses:
Sole proprietorship: These type of firms are always governed, controlled and monitored
through single person by bearing all the risks and profit also developed by them.

Partnership: This is the form of busienss with a contribution of one or more firms who
joint together in order to achieve common goals and purpose within the particualr time period.
Apart drom this they also share overall roles and responsibilities in the equal proportion form of
business.
Contribution of small and micro businesses
The small and micro businesses plays an important role in the business and its
environment and also helps in developing the economy of nation by using their creative mind
and advanced technology. As these factors helps in the operational activities of business and
helps in achieving the sustainability and profitability of business environment. It is said that
SMEs are considered as the backbone of the economic system of a country as in term of
generation of employment, increase in trading policies, sustainable growth, development of
entrepreneurial skills and many more. Generally the business entities are established on small
scale.
The important role of small and micro organisations is that they provide employment
opportunity and contribute in the national development of country. As it impacts the economy of
UK which brings more relevant and appropriate information about the statists and its related
information. With this purpose, it helps in demonstrating the small and micro businesses in order
to acquire and develop the more private sector and increases the number of employment for its
nation. It has also been analysed that with the help of small and micro business organisation help
in developing ample number of job opportunities at the market area which leads towards the
enhancement of standard of living of individuals.
Moreover, micro and small businesses does not show much interest in hiring skilled
workforce as they recruit less educated employees and they are more likely to provide training
and development to their employees because they think that they should guide their employees
according to their requirement and need to job position. This increases the engagement of
employees in the organisation and unskilled labour contribute their best in achieving the
economic growth of the business environment. Along with this, there are some people who are
highly skilled and knowledgeable which assist in developing high quality products and services
and help them in order to earn good amount of money so that they can easily spend their
livelihood.

Furthermore, it also helps in increasing the productivity of workers as they guide and
provide knowledge them in order to gain fruitful for the company. This increases the
performance and productivity of employees and automatically tends to increases the income of
nation. It also develops the rate of foreign exchange rate and currency by attracting outside
customers towards it. In UK, the number of employees who are involved in small and micro
businesses are approximately 250 employees. These businesses helps in development of
borough, helps in earning money and improve their living standard.
P4. Significance of small businesses and business start-ups to the growth of social economy.
Social economy: It is mainly refers to the rich diversity of various organisations like
mutuals, associations, foundations and so on. On the basis of these sorts aspects different firms
and people can share their overall values and features with another people at workplace as well
as marketplace. Therefore these sorts of enterprises have several sizes of organisations in which
leaders operate all over the economies sectors in a perfect way. Along with this there are 4 pillars
of social economy, those are following as under:
Mutual: It refers to the mutual funds which is generally managed and invest by the
investors in order to keep all type of fund in a safe zone. So those sorts of investors can be retail
and institutional within the nature. For example: fees structure, unit of investment trusts and so
on.
Foundations: It is the form engineering and refers to the appropriate structure elements
which are interconnected with ground, transfer loads from the all over structure to the ground.
Therefore, foundations are generally considered as the shallow or deep in an effective manner.
For example: Community trust, lilly endowment and so on.
Associations: It refers to those term in which organisation of people always have unique
purpose and aim by having a formal structure in an effective manner. Along with this,
associations have goods connections and combination with different people in a proper way. For
examples: image, ideas, feeling which are interrelated with another people.
Charities: These are known as non profit organisations which generally try to achieve
primary objectives and social well being. On the other side, the definition of charities always
varies from countries to some unique reasons of the country. For example: public interest,
educational, religious and so on.

Social economy is one of the best combination of mutual and association forms of
business that is very helpful to achieve desired goals and objectives within the specific time
frame. Moreover, start-ups and small businesses plays very significant role within UK economy
as they are helpful to cope up with Brexit challenges as well as threat in order to change into the
environment (Down, 2010). According to Brexit, it obligates huge difficulties across the firm as
it enhance competition level towards firms which directly influence firms productivity and
decision making. Apart from this, Brexit is beneficial into the UK for start ups and small
business organisation as it helps to develop job opportunities for employees with the help of
using higher tools and technologies in a proper way. Herein, small business are those type of
business which all are operated and governed by an individual in order to accomplish needs and
wants during start-ups evoke ventures in order to formulates procedure and novel policies for
achieving huge growth and success. There are some significant points in relation with firms,
those are mentioned below:
Adopts innovation: It is one of the best aim of overall start ups and small businesses in
order to gain innovative technologies and novel ideas in order stay for long period of time within
marketplace. Furthermore, advancement of techniques is very helpful to attain large number of
people among their brand (Zahra and Wright, 2016). For instance, large scale firms and
businesses always found different ways to gain huge amount of function within business firm.
Opportunities to local residents: Start-up and small businesses have opportunities for
local people and have good economic growth which is associated with the large organisations.
Herein, in order to achieve appropriate targeted goals, firms always hire skilled and talented
aspirants so that they can impose various innovative things to develop better solutions in order to
achieve dynamic business environment.
Importance of start-ups on growth of social economy with examples:
Start-ups always helpful in order to enhance overall economy activity levels within the
nation which is very essential in order to expansion of economy by giving better job
opportunities for peoples who are interest in this. Along with this it is also very helpful to
improve overall technologies from the work within the particular nations in order to develop
better ways for future to increase overall growth of economy in a proper way. For example: If A
launch their their business at marketplace which is good for people then it will helps them to