Entrepreneurship: Ventures, Traits, and Economic Assessment

This report provides a comprehensive analysis of entrepreneurial ventures, focusing on their diverse types, including small business, scalable, social, and female entrepreneurship. It assesses the similarities and differences between these ventures, highlighting their objectives, registration requirements, and contributions to the economy. The report delves into the impact of micro and small businesses on economic development, providing relevant data on employment, GDP contribution, and foreign direct investment. It further explores the traits and skills of successful entrepreneurs, examining their personalities and the potential barriers they may face. The report emphasizes the importance of these ventures in job creation, economic growth, and societal development, particularly within the UK context, using statistical data to support its findings.

ENTREPRENEURSHIP

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Carry out mini research to identify various entrepreneurial ventures...................................1
P2 Assess the similarities and difference between entrepreneurial ventures..............................2
TASK 2 ...........................................................................................................................................4
P3 Assess with relevant data hoe micro and small business affects economy ...........................4
P4 Impact of small business on development of economy........................................................6
TASK 3............................................................................................................................................7
P5 Identify traits and skills of two successful entrepreneur........................................................7
P6 Assess different aspects of entrepreneurial personality .......................................................9
TASK 4..........................................................................................................................................10
P7 Assess how background and experience of entrepreneur could be an barrier in success ...10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Entrepreneurship refers to the ability to start own business in order to gain financial
gains. It includes launching some product and services in market. This is most required activity
in today's environment. The main feature of this concept is that it promotes creativity and
innovation. Entrepreneur is the person who is responsible for starting new venture . It is very
challenging job as there are various risks involved in this scenario (Slavec and Drnovsek,
2012). This report is based on successful start ups that are inspiring other people to get involved
in process. It is to generate several opportunities in UK market. Different types of
entrepreneurial ventures will be discussed in this study. Along with that, impact such start ups on
development of an economy shall be covered . There will be an mini research in order to
determine traits and skills of famous entrepreneurs. This would help in identifying the aspects of
their personality. In this study, we will discuss several hurdles in the way to start new venture. It
is required that businessperson should actively deal with such issues.
TASK 1
P1 Carry out mini research to identify various entrepreneurial ventures
Entrepreneurship is the process of developing, introducing and operating new business in
the form of small venture. It is the ability to organize and manage the activities in order to earn
profits and reduce the chances of risks. This is very essential for development of an economy as
it creates job opportunities for other people. Entrepreneur is the person who carry outs all the
activities in these start ups. This individual should be able to make creative decision and
strategies for the development of business (Blackburn, Hart and Wainwright, 2013). They are the
one who generates the idea to offer some goods or services to fulfil the needs and wants of
consumers in effective manner. Entrepreneurial venture refers to the organisation in which these
innovative opportunities will take place. Different types of entities are as follows-
Small business entrepreneurship- These are small enterprises that are usually self
employed business. It includes sole proprietors who starts ventures in order to achieve financial
condition and to fulfil needs of family members. Examples of such persons are plumbers,
carpenters, grocery stores, consultants etc. Efforts in this type of business ventures are basically
related with survival in competitive market place. There is no such need to get registered as their
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operations are based on trust and faith with consumers. It is started with limited finance in order
to carry out single activity to earn profits.
Scalable entrepreneurship- Such ventures are started with an aim to bring some change
in economy. In this typology entrepreneur tries to attract financial investors who are interested in
investing their funds in such start ups. These are focussed towards hiring skilled and efficient
workforce who will give their best to attain goals and objectives of business.
Social entrepreneurship- Such type of ventures are focussed towards providing products
and services for fulfilling needs and wants of people. Main aim of such business is to develop
the economy by facilitating growth in society (Carsrud and Brännback, 2011). These start ups are
not very much focussed towards profit making. In this typology entrepreneurial attitude is related
with growth and welfare of society by raising standards of living of people. They performs
adequate activities to improve life style of individuals.
Female entrepreneurship- These start ups are run by female entrepreneurs. This is most
important concept for development of economy like UK. All the activities in this type of
enterprises are performed by women and it is focussed towards encouraging their empowerment.
These females applies their knowledge and innovation to develop new product or services in
market. It will improve the rate of working population of this country which ultimately leads to
development of society.
P2 Assess the similarities and difference between entrepreneurial ventures
There are certain similarities and differences between various entrepreneurial ventures.
All these entities consist different sets of aims and objectives on the basis of nature of their
business (Chittithaworn and et. al., 2011). Some are focussed towards profit making and few
emphasises on social welfare.
Difference between small and scalable entrepreneurial ventures-
Basis Small business
entrepreneurship
Scalable entrepreneurship
Nature Such ventures are established
at small scale by single person
to fulfil needs of consumers in
order to attain financial gains.
These start ups are set up at
quite large scale and it is
operated by various
individuals.
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Objectives Main objectives of these firms
is to fulfil basis family needs.
There aim is to hire skilled and
capable workforce in order to
achieve success.
Registration It is not necessary for these
entities to get registered.
Registration is required in case
of such ventures then only it
can start its business.
Contribution to economy This type of start ups
contributes to development of
very small segment of society.
Their contribution is more as it
generates employment
opportunities for people which
is an important aspect for
development of economy.
Similarities - Apart from these differences there are certain similarities that are given below-
Basis Small and Scalable entrepreneurship
Survival It is main motive of both the ventures to work for their survival
in competitive market place. They are focussed on providing
unique and creative products and services to consumers in
order to maintain profitability.
Investment opportunities Entrepreneurs of both the ventures seeks for appropriate
investors to spend some capital in their business so that
expansion could be done.
Difference between social and female entrepreneurship-
Basis Social Female
Nature These ventures are formed for
the purpose of development of
society.
Such firms are set up by
female entrepreneurs to carry
out certain business activity.
Objectives Their main motive is to
develop lifestyle of people by
Essential objective in this type
of ventures is to encourage
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raising their lifestyles. women empowerment in an
economy.
Profit making Such ventures are not basically
focussed towards profit
making.
There could be any situation
as many firms run by women
emphasises on profit making
and sometimes it is in the
form of NGO.
Employment creation In this scenario job are offered
to people to provide them
better livelihood.
Such entities mostly provides
work to female candidates.
Similarities-
 When such ventures are established it facilitates development of some segment of the
society. Female entrepreneurship firms encourages development of women that helps in
maintaining balance in an country. Social entities works for the betterment of society by
raising standards of living of people.
 Entrepreneurs of both ventures emphasises on identifying special needs and wants of
consumers in order to provide them with appropriate products and services.
TASK 2
P3 Assess with relevant data how micro and small business affects economy
In today's competitive world , it is very important for all the economies to develop in
effective manner. Micro and small business enterprises plays an significant role in growth of
country. These firms contributes a lot to revenues of government as they carry outs several type
of operations. In UK, these ventures are developing at fast rate (Bridge and O'Neill, 2012). There
are several essential factors of economy such as GDP, employment rate, import and export etc.
Such micro and small business contributes positively to these aspects.
In the year of 2016, approx 6.4 million micro and small business firms are running
successfully in UK. Amongst these ventures around 98% small scale entities are actively
contributing to development and growth of this nation. Such firms has facilitated the GDP by
performing several activities related with manufacturing of goods. Employment is most
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important part of life as it provides money for livelihood. These small ventures are generating
huge work opportunities for large segment of society. Currently, it is providing approx 33 % of
jobs in this country.
Micro business- These are very small firms that works at small scale. There are basically
10-15 members in this type of ventures. Their turnover does not exceeds $2 million. It covers
business that are run by sole proprietors such as mechanic, carpenter, grocery shopkeeper etc.
Small business- These firms are quite larger in size as compare to micro business. There
are less than 50 employees in such ventures. Their turnover is less than $10 million. It consists
partnership firms and other private owners (Chrisman and et. al., 2012). They provides their
goods and services to large segment of consumers.
Medium- It is larger than small scale industries. There are up to 250 members in such
ventures annual turnover is less than 50 million. There contribution is comparatively high ton
development of economy.
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Illustration 1: Graph of employment rate
Source: Comparison of employment 2017. [Online]. Available through
:<https://www.gov.uk/government/publications/budget-2016-documents/budget-2016>.

From the above given statistics, it could be seen that UK is providing more employment
opportunities as compare to other countries like Japan, France, Italy etc. This is due to large
number of micro, small and medium enterprises operating in this economy.
There are several areas in which micro and small enterprises are contributing. These are
as follows-
Employment- SME is contributing a lot to improve the employment rate of UK. Number
of these ventures are rapidly growing due to which employment creation is also increasing in this
country (Slavec and Drnovsek, 2012). When people are employed then they easily fulfil their
basic needs in effective manner,. This also improves their living standards.
Foreign direct employment- When economic condition of an nation is positive then it
becomes easy to attract foreign investors. These type of firms are key focus of various investors
who seeks for such business to invest their funds in order to earn profits.
Societal development- These firms are contributing a lot to develop the backward areas
of UK. As they are getting work opportunities. Along with that skills and knowledge of people is
also increasing through various training and development programs conducted by these firms.
P4 Impact of small business on development of economy
Small business enterprise are those entrepreneurial ventures that operates at small scale.
These firms are focussed towards introducing innovative products and services in market place.
Such elements helps in improving standards of living of society (Rasmussen, 2011). Apart from
this, such ventures works hard to earn best possible outcomes from their operational activities.
Such business entities plays an important role by contributing to development of country in
several ways. There is huge positive impact of such firms in growth of nation. Some of the major
benefits these ventures are providing are as follows-
Employment creation- Such business firms involves so many activities that are to be
done manually. For this purpose, they seeks for skilled and capable workforce. This creates lot of
employment opportunities to the people of UK. When citizens are employed then it helps in their
social welfare. Apart from this, this also increases national income of country. This ultimately
leads to growth of economic conditions.
Exports- Such small and medium enterprises are involved in so manufacturing of so
many products and services. This reduces requirement of importing such goods from outside
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countries. Along with that this large scale of production in domestic market place increases
export rate of this nation as several foreign countries are importing goods from UK.
Community development- There are various activities in such ventures that facilitates
growth of particular community (Meyer, 2011). They contributes some proportion of their
revenues to build educational and health sector of this country. This ensures integrated and
sustainable growth of economy.
Raises standards of living- Working of such business firms includes providing job
opportunities to people. It also emphasises on producing good quality products and services to
society. Such components are very beneficial in raising standards of living of people as they are
employed and also consuming standard products.
Skill development- These small scale industries requires skilled and efficient manpower
to carry out its business in effective manner. There is limited capital in such ventures so it is
required that workforce will achieve best possible outcomes in given resources. For this purpose,
they are providing training and development to people. It is contributing a lot to skill
development in this economy.
Regional development- When such industries are set up then it also contributes to
development of that areas where their industry is situated. It facilitates in developing facilities
like electricity, internet connectivity, infrastructural development etc.
TASK 3
P5 Identify traits and skills of two successful entrepreneur
There are various factors that are required to be accomplished if an person wants to
become an entrepreneur. When a person starts their own venture then there number of challenges
they have to face to attain success (Kuratko, 2016). They should be able to actively handle all
these issues in effective manner. There are several traits and skills that are required to become an
successful entrepreneur. Steve Job and Mark Zuckerberg are two successful business persons.
Both these famous personalities have started business at very small scale but later that they
achieved huge success because of their hard work special traits. They have faced all these
challenges in effective manner by applying their knowledge and skills. Due to these abilities they
have become so successful that now there is no need to introduce these two motivational
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personalities. They are inspiration for various people who wants to start their own ventures. Main
characteristics and traits of these two entrepreneurs are as follows-
Creative- First and foremost characteristic required to become an entrepreneur is ability
to generate innovative ideas and thoughts (Kiss, Danis and Cavusgil, 2012). It is important that,
they should bring new business ideas in market with unique products and services.
Risk taker- This is very important that one should be able to deal with all the risks that
are common to arise when a person starts new business. There are several factors related with
business environment that creates problems entrepreneur as they are not very much aware about
these issues. They should be able to make effective strategies to overcome these risks.
Optimistic- Entrepreneur should be able to accept all the aspects in positive manner.
They are required to stay optimistic in each and every situation whether is in favour of business
or not. Fear and negative thoughts should be kept aside if an person wants to become successful
entrepreneur.
Confidence- Another important trait is related with confidence level of person. To
become an entrepreneur it is required that the person should be confident about whatever they
are doing ion the course of business. There should not be any kind of confusion while taking any
decision related with business.
Leadership skill- This is most important skill required to be a entrepreneur. It is related
with the ability to influence others. A person can accomplish goals and objectives of business if
they will be able to motivate the workforce to improve performance so as to attain desired goals
in appropriate manner.
Problem solving skills - Problems are very common at work place. Entrepreneur should
be able to provide effective solutions to such issues.
Communication skills- This refers to ability to interact with others. It includes
communication style and inter personal skills of person. Entrepreneur can become successful, if
they will be able to communicate effectively with employees and other stakeholders (Hlady‐
Rispal and Jouison‐Laffitte, 2014). This plays major role in maintaining healthy and positive
relations with them which is essential for smooth functioning of business.
Therefore, these are few skills and features that makes successful entrepreneurs. Some
are inbuilt traits whereas few of these are to be learned through experience or training. Such
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traits helps the entrepreneur in reducing the barriers that are coming in way to successful
business venture .
P6 Assess different aspects of entrepreneurial personality
Personality is most important part of behaviour of an entrepreneur. It determines ability
to carry out all the activities in effective manner. There are several aspects related with
entrepreneurial personality that affects mindset of others by creating motivation. Following are
some components in this scenario-
Agreeableness- This is most important aspect of entrepreneurial personality. This
includes creation of positive behaviour in organisation. Entrepreneurs believes in motivating
employees to work in proper coordination and harmony so as to maintain healthy relations at
work place (Fayolle, 2013). This includes changing mindsets of employees and they start
functioning in groups and teams.
Extraversion- An entrepreneur is the person who is extrovert and outspoken. They are
able to share their views and thoughts without getting hesitated. This aspect of their personality
helps in motivating workforce to achieve business goals in effective manner. Open mind of these
persons promotes proper communication at work place and staff members are free to share their
ideas and thoughts.
Conscientiousness- This aspect of entrepreneurial personality is related with orientation
of an person towards desired objectives. They should be focussed and oriented to goals and aims
in effective manner. If they themselves will be motivated then they can easily inspire others to
achieve objectives of business in adequate time.
Stability in emotions- An individual is required to mentally and emotionally stable to
become a entrepreneur. They should bring calmness and positivity in behaviour in every type of
situation. This will assist in changing mindset of other people to work effectively in hard times in
order to overcome those problems.
Openness to experience- An entrepreneur should be open enough to experience new
situations. It is essential that they will accept all dynamic environment properly. Innovation is
very important for success of an venture and it could be done by adopting changes in processes
and activities (Drucker, 2014). There behaviour towards change motivates others to accept the
changing environment in effective manner.
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Therefore, these are few aspects of entrepreneurial personality that motivates mindset of
others in order to maintain success of business venture.
TASK 4
P7 Assess how background and experience of entrepreneur could be an barrier in success
Entrepreneurship is an challenging process as it includes various risk factors. It is not
easy for entrepreneur to achieve success as they have to face several issues. There are several
factors related with outside business environment that could affect journey to success. Apart
from this, background and experience of entrepreneurs also creates hurdles in this process.
Personal background of an individual always affects their mindset and behaviour. It
includes several environments such as family, school and external society with which they
belongs. Whatever they see in family and schools remains with them in whole life. There skills
and knowledges builds in these places. Entrepreneurial thinking is an major result of their family
values, qualification and culture. This sometimes restricts their creativity as they does not want
to go beyond their personal background. There are various aspects that a person learns in schools
and colleges. These elements are confidence, punctuality, hard work, regularity etc. All such
factors are very important to be followed by entrepreneur (Desai 2013). But, if they have not
learned these aspects then it will create hurdles for that person to achieve success.
Steve job and Mark Zuckerberg are two famous entrepreneurs. Both these persons does
not belonged to wealthy families as they are from poor background. Due to these aspects they
had value of money. This made them able to work efficiently in limited resources. They were
able to work in every type of circumstances as their background had huge impact on their
thinking and mindset.
Experience of an person is another hinder in growth and success of entrepreneurship. It
is related with past circumstances of the person that they have faced. If they have faced any loss
of money in their past then it will create certain fear in their mind. They will not feel confident
making any investment as they have fear to lost their fund again. Another case is related with
failure. If they have faced non achievement in past then they will always be scared before
starting any new business. This is because these person consists lack of confidence in starting
something new. Along with that, they will not take get involved in risky activities.
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