Entrepreneurship & Small Business Management: Venture Strategies

This report provides a comprehensive analysis of entrepreneurship and small business management, covering various types of entrepreneurial ventures, their similarities and differences, and their connection to the typology of entrepreneurship. It examines the impact of micro and small businesses on the economy, highlighting their importance for social economic growth. Furthermore, the report delves into the traits, skills, and motivations of entrepreneurs, exploring how their background and experience influence their entrepreneurial journey. The analysis includes discussions on survival firms, lifestyle firms, social enterprises, and established companies, offering a detailed understanding of the scope, development, and growth of entrepreneurial ventures.

Entrepreneurship and
Small Business
Management

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Different types of entrepreneurial ventures and how they are connected with typology of
entrepreneurship.....................................................................................................................3
P2 Similarities and differences between entrepreneurial ventures.........................................7
M1: Differentrange of entrepreneurial ventures inorder to demonstrate an understanding of
entrepreneurship in both the public aswell as corporate sector..............................................9
D1: Scope, Development and growth of entrepreneurial ventures.........................................9
TASK 2..........................................................................................................................................10
P3 Relevant statistics and data for illustrating how micro and small business affects economy.
..............................................................................................................................................10
P4 Importance of small business and start-ups for growth of social economy....................11
M2: Difference which is made by small, medium and large businesses within the economy12
D2: These enterprises contribution at different levels like national, regional and local.....12
TASK 3..........................................................................................................................................13
P5 Traits and skills of entrepreneurs....................................................................................13
P6 How entrepreneurial aspects personality reflect motivation and mindset of entrepreneurs
..............................................................................................................................................15
M3: Different Lines of Argument Relating To Entrepreneurial Characteristics..................17
D3: Characteristics, Traits, Skills and Motivational Drivers of Successful Entrepreneurs..17
TASK 4..........................................................................................................................................18
P7 Effect of background and experience of entrepreneurs on fostering entrepreneurship...18
M4: Link Between Entrepreneurial Characteristics And The Influence Of Personal
Background And Experience To The Successful Entrepreneurs.........................................18
D4: Background And Experience Influences Entrepreneurs Positively And Negatively....19
Conclusion.....................................................................................................................................19
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INTRODUCTION
Entrepreneurship define as a process where a person known as entrepreneur develop a
business entity with an innovative idea and thought at the marketplace. Their main aim is to earn
profit by bearing all the risk associated with the organisation. In organisation various functions
are going to be performed which includes gathering resources to utilise them in order to produce
effective goods and services. It is the report which includes discussion about various kinds of
entrepreneurial venture as well as typology of entrepreneurship. Along with this, it includes
differences along with similarities among all these ventures & contains interpretation of required
data which affect the small and micro business organisation. It is the report which includes a
detail discussion of characteristic, skills and traits of a successful entrepreneur. At the end of this
report, required examples are going to be discussed that how background as well as experience
of a person might foster and hinder their overall performance.
TASK 1
P1 Different types of entrepreneurial ventures and how they are connected with typology of
entrepreneurship.
Entrepreneur is considered as an individual who have unique ideas or thoughts in order
to create a business entity so that they can produce unique food products which will satisfy the
requirements of customers. These are the individuals who have risk taking skills in order to make
profitability at the marketplace. Some of the different types of entrepreneurs are as follows:
 Serial entrepreneur: It is a type of entrepreneurs mainly focuses on creating new and
innovative ideas in order to establish a business entity at the competitive marketplace.
Entrepreneur is the one who manages their day to day operations by himself on a regular
basis.
 Intraprenuer: It refers to the staff members working within the company who is mainly
assigned with the task of creating innovative ideas and thoughts. They access all the
resources which is available for the organisation in order to develop a idea so that
business can be performed(Zahra and Wright, 2016).
Entrepreneurship is define as an act of developing and manufacturing products, method
of production, forms of organisation which are fully innovative and fresh. On the other hand,
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development or conversion of a new idea into a business entity by considering all the risk which
is associated with the business organisation.
Enterprise also known asundertaking the business operations with the main motive of
earning profit at the marketplace. Entrepreneur increase funds in order to invest it in various
activities so that they can produce positive outcome in an effective manner. Sole proprietorship
is one of the most effective example which is mainly established at small scale as well as the
management is controlled by the owner himself.
Entrepreneurial venture is an entity which mainly focuses on innovating and looking
for an opportunity with an objective in order to enhance the economic value as well as social
recognition. Some of its main types are as follows:
Survival firms: It includes all those business enterprises which mainly struggle to get business
stability at the marketplace by performing their business profitability and operations. Revenue in
this type of business operations are very limited sometimes very insufficient in order to fulfil the
objectives. It is very essential for them to work hard so that they can maintain in the competition.
It has been identified that, due to limited resources it is become difficult to attain pre defined
targets. Some of the most essential examples of this type of ventures includes bakeries,
electricians, grocery stores and many more(Petkovska, 2015)
.
 Lifestyle firms: It is define as the type of business enterprise where individuals get
various opportunity in order to conduct their functions and to earn a high profile
livelihood. It has been said that when a passion of individual is converted into a venture
is enclosed in this kind. In this type of business venture, owners wants to enjoy their life
by fulfilling their needs and wants in an effective manner. Example of such ventures are
gym, blogging and many more.
Social enterprise: These are the those type of entrepreneurs who help in production of goods &
services, which can help in solving various problems of society is facing. There are profit
motives or non profit motives depending upon the type of business. Major focus of these
entrepreneurs is that they are able to help in the development of social, environmental and
financial well being of all the people living in society. These are those entrepreneurs who
believe in resolving various problems of society. Examples of such type of entrepreneurs are the
people who open community shops etc(Ramadani and e. al., 2017)
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 .
Typology of entrepreneurship:
1. Established company: These are those business which are operating at large scale. There
are minimum of 500 people who are employed in such entrepreneurial ventures. The
major goal of such companies is to generate high amount of profits and also on earning
high amount of revenue. Such companies pay timely dividend to their shareholders so
that there is a goodwill established in the market. Such companies have a clarity in their
motive which is to maximize their revenue and productivity. Companies such as ZARA,
Tesco are examples of established companies who operate at the international level. They
deal in variety of segments such as food, clothing, grocery items, accessories, footwear
etc. they aim to earn higher amount of profits which can help them in paying high returns
to them so that their satisfaction level will also increase. Shareholders are very important
stakeholders for such companies.
2. Small size social venture: This is those type of ventures which are set up at a small scale
and they believe in providing products, services to solve small problems which a re faced
by people. Their main motive is to serve the society and fulfil social needs of people
living in the society. Funeral care is a example of such a venture which has a main
objective to take care various activities which are related to funeral. They mainly focus
on fulfilling the social needs besides earning profits.
3. Large size social venture: These enterprises are large in size and they are involved into
multiple activities at a particular point. They are also involved in to serving the society
but they mainly focus on serving and fulfilling the needs of large number of people at a
particular point of time. NHS is a organization which has a main objective of treating
people and providing them medications.
4. High growth firms: Any enterprise which is performing better than entities in the same
industryare referred to as high growth firms. Such firms are always interested in having
better performance as compared to other competitors. Such firms are focussing on
earning high amount of profits and they are having a leading position in the market.
Google is example of such a firm which is USbased software making company. They
have many subsidiaries which are working in the similar segment. Such company is
having high growth rate and also profit percentage is very high in such companies.
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5

P2 Similarities and differences between entrepreneurial ventures.
Types of
entrepreneurial
ventures
Dimensions Goals Roles &
Responsibilities
Illustration
Social The three factors in
which social
entrepreneurship
deals is people,
society and the
environment.
The main purpose of
social
entrepreneurship is to
deal with service and
product for the
improvement of these
three factors.
Improvement in the
service and product
helps organisations
to build up
sustainable factor that
leads to growth of
people, society and
environment Walsh.
and Cunningham,
20160
(Welter. and et. al.,
2017)
.
Combination of these
three factors that is
people, society and
environment is the
main aim of social
entrepreneurship.
Some
examples a
Project, Jam
Restaurant et
Micro The main objective of
micro businesses is to
get maximum profit
in minimum
investment. Micro
businesses have small
number of workers so
the initial investment
of these businesses is
starting with a low
monetary fund.
The main aim of
micro ventures is to
generate high profit
from the established
industry.
The main problem of
small business is
location but they deal
in getting knowledge
related to the
particular industry.
Southern
Technologies
Metafile etc.
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Small business less
than 50 employees
Generation of
revenue and profit are
the two most
important factors to
deal with these types
of ventures.
Generation of high
profits and revenue as
compare to the
competitors is the
main aim of small
businesses.
The main role of
small businesses is to
be competitive in the
market. Quality of the
product is the main
factor that fight with
the competitors in the
present market. Thus,
good quality in
products leads to
higher productivity
and growth of the
small businesses.
Some of the
are Putney,
Lab etc.
Macro Facilitating Change is
the main aim of these
types of
entrepreneurship
ventures.
To be the market
leader or to increase
its market segment is
the main goal of
large-scale
entrepreneurship.
To understand the
strength and
weakness of the
related market is the
main function of large
scale
entrepreneurship.
Badger p
Stud er Grou
Table 1: Similarities and Dissimilarities of entrepreneurial ventures
M1: Differentrange of entrepreneurial ventures inorder to demonstrate an understanding of
entrepreneurship in both the public aswell as corporate sector.
There are different typesof entrepreneurial ventures whichmainly operates in the present
business condition& to categorize them on the basis of Public & Corporate Sector. Majoraim of
these organisations is to produce high quality products and services so that they can fulfil the
requirements of their customers and enhance their overall profitability(Vilcov and Dimitrescu,
2015)
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. It has been analysed that the division is done on thebasis of businessentrepreneurshipaswell as
socialentrepreneurship. In the context of businessentrepreneurshipmainaim is to increase the
profitability of owner and on the other hand socialentrepreneurship dealsin providing better
environment to generate more profitability(Storey, 2016)
.
D1: Scope, Development and growth of entrepreneurial ventures
In today’s world, entrepreneurial ventures are rapidly growing atthe marketplace with the
speed of light. It is very difficult to understand the level of growth, scope as well as
development. Reason behind this is that focus of individuals is changing on regular basis.
It has been concluded that development and growth of such business entity is increasing as
individuals start investing in such firms.
TASK 2
P3 Relevant statistics and data for illustrating how micro and small business affects economy.
Micro enterprises are small in size there are less than 50 people wh are employed in such
enterprises. Such business is having a very small scale and their investment, level of operations
are also on small scale. Micro enterprises are those which are having minimum 5 employees and
maximum 50 employees working in them. These businesses are those which are having 50 or
less than that number of employees(Rauch and Hulsink, 2015)
.
. Mostly entrepreneurs use this type of business to earn a living or both to earn high
amount of profits. SME’s are sharing a very large part in development of the country as a
whole as they help in bringing innovation & creativity in form of their ideas which they try
to bring in the company. Such enterprises also help a lot in improving the living standards
of the people of society. They try to bring positive changes in the lives of people by the
products or services in which they are dealing. For example, UK economy is facing a
decline because of BREXIT. This lead to crashing down of economy of UK because of
BREXIT. In such a situation it was micro and small medium enterprises which helped
them to face such a difficult situation. These enterprises play a very important part in
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sustaining the economy in difficult situations. Development of the economy is a major
contribution which is being done by such enterprises.
(Kassean and et. al., 2015).
Source: Impact on small businesses, 2017
From the above mentioned statistical data there are some interpretationswhich can be
made to interpret and understand the basic contribution of SMEs in economy of UK-:
It is observed that micro business is doing a contribution of about 20% in total to the economy of
UK. On the other hand it is also seen thatthe overall contribution done by thesmall business isjust
23.4% which is a large part of the economy. (Petkovska, 2015).
P4 Importance of small business and start-ups for growth of social economy
Social economy isdefined as a mixed economy whichconsist of the features of public as
well as private sectors. Itis a type of business entity mainly based on voluntary and non profit
activities with the aim of assisting both international and nationalboundaries. It isdefined as a
type of business entity which manufacture goods as well as services with the aim of satisfying
individuals needs(Ramadani and e. al., 2017)
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. Such type of business organization highlycontributes to the economic system of UK withthe
assistance of which government produce enough amount of funds in order to use them in a
positive manner. Someofthe essential elements are going to be explainedas follows:-
Employmentgeneration:According to a source it has been released by the government of UK
thatfrom last few years there is a huge increment in the employment opportunities within the
country. Entrepreneur settheir business entity in sucha form thatthey can use all the limited
resources in an effective manner. Withthe assistance of these entrepreneurs, jobs are created on a
large number of basis within different sectors.
Innovation: In the present scenario, small as well as start ups business need to struggle in order
to survive at the competitive marketplace. Theseare the individuals who invest there time as well
as efforts in order to produce innovative products and services so that they can generate more
profitability. With the help of fresh and new innovations, organizationwill be able to maintain
their sustainability at the competitive marketplace which cannot be easily beaten by anyone.
Meeting social purposes: Every andevery society within business environment have theirown
requirements and demands which need to be fulfilled by the entrepreneurs by producing goods
and services in an effective manner. It has also been identified that small &start ups are
established to fulfil the demands of local communities presentat the society. Apartfrom this, it
has also been discussed that such type of business have a motive which is beyond profitability.
M2: Difference which is made by small, medium and large businesses within the economy
Ithas been clearly identified that role which is performed by medium, small aswellas
large businesses organisationshave positive impact on the economic system of United Kingdom.
After Brexit, small & medium business enterprises increasetheir economic level. They arethe one
who come to support UK when there is ample number of large scale industries came to an end.
These are the entities which plays very essential role as they highly contributes in the
enhancement of GDP, generating largenumber of employment opportunities. In context of large
scale businesses, these are the industriesgenerate huge income through FDI(Petkovska, 2015).
D2: These enterprises contribution at different levels like national, regional and local.
There are three different levels of an enterprise which includes local, regional as well as local
levels. In case of local level, micro & small business entities provide ample number of
opportunities to their local individual as well as motivate them to establish their business entities
in order to earn more profitability. In the context of regional level, Medium scale enterprises
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performtheir activities toenhance the growth rate in economic system. Their main focus is to
develop the infrastructure of a specific region. At last in case of national level, business entity
give their full efforts in order to develop economical, social and environment of a
country(Kassean. and et. al., 2015).
TASK 3
P5 Traits and skills of entrepreneurs
The
key traits & skills which is observed in Oprah Winfrey and Richard Branson are:
Oprah Winfrey Richard Branson,
Traits
 Innovation: Ideas and
thoughts implemented by
Oprah Winfrey were very
creative and are fresh
which is not imaged by
anyone at the market.
 Feedback Approach: In case
of Oprah Winfrey, it has
been analysed that they
take feedback and
response in positive
manner.
 Innovation: One of the most
common attributes
between both the
entrepreneurs are
innovativeness. Products and
services offered by these
pioneers are very innovative
and extraordinary.
Skills
 Motivator: Oprah Winfrey is
one of the most
successful entrepreneur
and motivates their staff
members to perform
their task in best and
possible manner.
 Focused: Richard Branson, is an
entrepreneur who is very
focused and encouraged and
try to create and innovate
new things.
 Mindfulness: Richard Branson,
effectively handle all the
criticism in such a manner
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