Entrepreneurial Ventures and Economic Impact: A Study of Liverpool

Desklib provides past papers and solved assignments for students. This report analyzes entrepreneurship and small business impact.

Entrepreneurship and Small Business Management

Table of Contents
Introduction................................................................................................................................3
Task 1 ( LO1 and LO2)..............................................................................................................4
Task 2 ( LO3 and LO4)............................................................................................................10
Conclusion................................................................................................................................14
Reference List..........................................................................................................................15

Introduction
Entrepreneurial activities are important for the business organizations as it caters to building
of economic values by the art of human action. The economic value is created in the business
organization through the identification and adaption of new services and products sold by the
organization. The report will assess the elements Liverpool City Council that is in England.
This is a governing body, which comprises of 90 councillors and 30 wards. The report will
also assess the ways that could be adopted for initiation of better business policies for the
growth of the local council. Hence, it will require the use of the entrepreneurial activities in
order to initiate a better understanding of the policies and entrepreneurial activities in the
business organization. However, the chairperson committee will produce a better and
comprehensive understanding of the factors that are considered to be significant for the
growth of the public private entrepreneurial sectors. Therefore, with a better understanding of
the business operations, and statistics of the Liverpool council the report will provide an
elucidated understanding of the elements.

Task 1 (LO1 and LO2)
a) Critically examining the scope, development and growth of entrepreneurial ventures
(various kinds of businesses) in your borough. You can develop you answer by
considering various kinds of entrepreneurial ventures within the private and public
sector and examining their similarities and differences.
In accordance with the viewpoint of different economist and creative thinker, entrepreneur
ship can be defined as an activity where the person with ability of making proper career
choice take decision regarding it and take a huge risk in order to make a mark in the highly
congested competitive market. The entrepreneur thinks in a different manner and takes
rational decisions which might seem an act of instinct by the regular audience (Leutner et al.,
2014). The person with such capability needs to be more efficient than others and in some
cases it is seen that one individual with proper traits redefine an old process with his creative
thinking. These individuals are often confident and have the urge of becoming successful in a
challenging environment. This never give up attitude of a person makes him different from
the rest and the possibility of having a successful career magnifies.
On the other hand, another related thing is enterprise, which is a terminology that signifies a
successful entrepreneurial venture. In a business venture if the company or individual is
making profit then it is referred by the word enterprise. it is a process of signifying a
particular business venture by the rate of profit it is gaining.
The thought of new business and having new ideas in the performance ground is related to
the matter. In a proper sense it can be stated that a newly developed business venture cane be
termed as entrepreneurial venture and if earns profit then it is an enterprise (Covin and Wales,
2012).
Types of entrepreneurship
Corporate entrepreneurship
These ventures are taken by large organisation in the organisational environment. This gives
opportunity to have better kind of profit in a particular market.
Independent/ private entrepreneurship

In most of the micro organisations or in the sole trading organisations, this kind of
entrepreneurship is seen where the decision is taken by an individual. This has a better scope
because the possibility of having better kind of business rise in the organisational context is
higher than anything else (Brooks et al., 2014).
Public sector entrepreneurship
The government of the government connected organisations take these ventures. The main
motto of taking this new business venture is to provide a better kind of support to the public
and gain their trust. These are the mostly used entrepreneurships and the people get benefited
from it too.
Social entrepreneurship
The organisations that work for public betterment without the help of the state can be termed
as the social entrepreneurs. It is seen that the organisations make proficient contribution to
the management of the daily issues and introduce new ideas that are associated with proper
public betterment (Shane, 2012). The scope for these organisations is huge because they do
not have to think of the government rules to employ their thought.
Academic entrepreneurship
The people who are associated with the academic line make alterations in their approach
process in order to have better regencies to the solutions and find new products to make
proficient management in the daily life of the related people (Wright, 2014). The main scope
for these people is they can have better remedies in order to make proficient management in
the system as well.
The differences between serial entrepreneurs, intrapreneurs and owner managers
Owner manager Entrepreneurs Intrapreneurs
The owners are
the main person
who take the
decisions
regarding
organisational
development
Entrepreneurs are independent
to take any decisions in order to
have better kind of modification
in the existing business
(Schumpeter, 2017). They make
proficient amendments in the
business process to make
The intrepreneurs are dependent
on the organisation where they
are working and they have to
wait for the affirmation from the
authority’s side in order to have a
decision sanctioned.

(Soininen et al.,
2015)
productive output.
Most of the cases
the owners take
decisions regarding
funding and they
get it from different
sources; some of
them are outsourced
too.
The entrepreneurs are the main
risk takers and they always
depend on their own capability
in order to generate the funds
required (Arora and Nandkumar,
2012).
In case of the intrepreneures the
fund is collected only after the
idea is sanctioned by the main
authority of the company where
he or she is working.
The risk is less if
the resources are
gathered from the
business partners.
The risk is always high for them
because they are the main
decision takers and if anything
goes wrong then they will face
the consequences (Breugst et al.,
2012).
The risk is taken by the company
and of the venture fails then the
company will face issues.
Table 1: differences between serial entrepreneurs, intrapreneurs and owner managers
(Source: Created by learner)
Different types of entrepreneurial ventures
Lifestyle ventures
Lifestyle ventures use a maintenance approach to manage and incorporate a workable
business model within their business. Additionally, these business ventures offer a stable
source of income to the owners for better financial support (Markantoni et al., 2014). These
types of ventures are not interested in expansion or meaningful growth. They always
concentrate upon reinvesting in order to maintain competitiveness in the market place.
Furthermore, these types of ventures are likely to use a single location as well as a specific
numbers of employees as these organizations typically have limited capacity.
Managed growth ventures
These types of business organizations are likely to seek for stable growth and in this process
they use an effective workable business model. These types of firms concentrate upon
improving their performance standard as well as increasing the market share through
respectively entering in the new market place, steadily expanding the location and facilities,

and launching new products occasionally (Morris et al., 2018). In order to develop a strong
regional as well as local brand, managed growth ventures are likely to invest continuously.
Social enterprise
Social enterprise is regarded as a firm, which applies a number of commercial strategies for
maximizing improvements in the social, financial and environmental well-being-it may
involve in maximizing social impact along with profits for the external stakeholders (Ridley-
Duff and Bull, 2015).
However, all the SMEs play the most vital role in generating funds for the economic growth
of the country as well as they contribute for the growth and enhancement of the global
economy. As per the consideration of the statistics, majority of the global economy is
contributed by the SMEs, especially by micro and small size business organizations. Micro
organization consists of maximum 0-9 people, where medium size business firm consists of
10-250 and large organizations can have more than 250 employees.
Social entrepreneurship is generally used for qualifying the exhaustive entrepreneurial
initiatives, which serve an environmental or social mission as well as that reinvest a huge
section of their surplus in the support of their own mission. People those are interested in
doing this kind of social entrepreneurship are called as social entrepreneurs. Since the social
entrepreneurs are looking for innovative remedies for meeting these new demands, social
entrepreneurship is often associated along with the social innovation. Social enterprises
manufacture products for the betterment and growth of the social economy and the
community as well.
b) Critically examining how small businesses have impacted on the economy making
reference to relevant data and statistics. You must try to illustrate the importance of
small businesses to economy and the growth of the social economy using the data and
statistics. This can be achieved by drawing comparison to medium and large businesses.
Generation of entrepreneurial ideas
Creativity and innovation plays an important role in the growth of an entrepreneur. In the
words of Kong ( 2018), the idea of creativity ensures the use of imagination that enables an
entrepreneur to produce better ideas for the growth of the business. The term innovation
implicates the integral process of transforming new ideas into effective use that leads to the
well being of a business. These entrepreneurial ideas generate from creative and talented
group of engineers that take the business organization to procure better understanding of the

business. Therefore, the entrepreneur is required to maintain their economic growth through
the better understanding of the business environment.
The entrepreneurs are allotted with a number of sources that help them to generate best
business ideas for the company. The entrepreneurs invest their business understanding to
cater to the deliverance of tasks that are important for the business. The business ideas are
generated through extensive exploration of interests and market research. This has an impact
on the growth of the business ideas and profits that are important for the company.
Travelling is also an important area that generates ideas in the minds of the entrepreneurs.
These entrepreneurs are invested with the idea of undertaking potential risks that are
prevalent in the growth of a new start-up or a business organization.
The entrepreneurs are invested with the idea of protecting their interest of their new products
and services that are launched in the market. There are effective methods that are used to
protect the rights of the company. These intellectual property rights are exercised to cater to
the growth of the business. The term intellectual property right implicates the growth of a
business. These intellectual property rights are maintained by the business entrepreneurs to
prevent the stealing of copyright and patent status. Hence, the economists make the use of
trademarks copyrights and patents to protect the property of the business.
Therefore, the small business organizations protect their companies by the initiation of the
policies that are in operation in the company. The entrepreneurs make the use of these skills
to influence the growth of the company.
Importance and Role of Small firms
The small firms contribute a significant amount to the growth of the economy of the UK. The
small businesses are innovative and creative in nature. They are integrated with the role of
providing employment opportunities the companies on a wider scale (Goodman, 2016). The
small business start-ups have a impact on the local regional and national level in the economy
of the UK. They are accountable for the provision of lucrative gains in the growth of the
business. Therefore, at the national level, the small and medium sized firms are able to
provide more GDP that is important for the growth of the business. The business conditions
that are acquired by the company encompasses of 99% business in the area of their expertise.
At the regional level, the companies are integrated with the idea of contributing a maximum
of 67% GDP for the growth of the business at the regional level. Hence, at the local level, the
companies are able to attract better customers for the growth of the business.
The size of a small firm comprises of a maximum of 250 employees working for the welfare
of the company. This has an impact on the growth of the business. The companies at the

small and medium sized level are subjected to a high rate of profit. However, the companies
are subjected to a high rate of growth important for the company. These small firms are
innovative in nature and are able to cater to the growth of the business. They follow the ideas
of sustainability to cater to the development of the company. The companies are sustainable
in nature and are expected to make use of strategies by providing employment to a number of
customers in the industry. Innovation is at its peak in the growth of the small business
companies. The firms contribute 6% in the growth of the GDP and have an impact on the
profit of the business.
International aspects of entrepreneurship
The international differences also have an influence on the growth of the business. The
companies are affected by international differences (Storey, 2016). This further regenerates
the growth of the company to procure better profits in the investment of business ideas. There
are the growths of the cultural differences that influence the growth of the company to
procure better results for the business. Hence, these cultural differences can be met by the
incorporation of effective results for the business. The entrepreneurs should be aware of the
various factors that can drive the company to produce better and effective results. Hence, on
an international scale, the companies are also affected by the politics that are in operation
overseas. This influences the growth of the business to produce better effective results. The
companies work for generation of employment opportunities and profit.

Task 2 (LO3 and LO4)
Introduction
The characteristics and traits of an entrepreneur have an impact on the business organizations.
A successful business is a product of significant entrepreneurial output that has an impact on
the growth and efficiency of a business. Therefore, the presentation will provide an
understanding of the traits that drive an entrepreneur to attain success. It will provide a
critical analysis of the factors that have a negative and positive influence on the growth of the
company. Entrepreneurship can be fostered by taking into consideration certain challenges
that make up the business. Skills are an important asset for the growth of a successful
entrepreneur.
Analysing the characteristic traits, skills and motivational drivers of successful
entrepreneurs providing examples of well-known British entrepreneurs
Entrepreneurial characteristics and mindset
The acquisition of skills plays an important role in the growth of entrepreneurial activities in
a business organization. Therefore, an entrepreneur should be creative and unique in its
approach of handling a business organization. According to extensive research, there are
famous British entrepreneurs such as Simon Cowell, and James Dyson have made it to the
zenith o success. Simon Cowell is a celebrated entertainment manager, critic business man
and entrepreneur (Normile, 2016). Cowell was able to survive in the competitive market with
his humour and sarcasm. On the other hand, James Dyson is another celebrated entrepreneur
known for his invention and industrial designs. Therefore, there are motivational drivers that
serve the purpose of the entrepreneur such as creativity and grit to take risks. Dyson is a well-
known brand name that survived in the competitive market.
There are various arguments in relation to entrepreneurs are born or made? Class economists
believe that skills are shaped in the entrepreneurs and most of them adapt with the business
conditions. However, some are of the opinion that entrepreneurship is encouraged by the
genes of an individual. There have been extensive debates such as nature versus nurture. This
argues that 50% of entrepreneurs imbibe qualities through genetics.
Skills set of the entrepreneur
The entrepreneurial skills are classed under different types that differentiate them from other
business organizations. These skills are resiliency, management of employees, long-term

administrative investment and focus (Van, 2015). The ability to manage the growth of the
business and the input of creative ideas boost the growth of the business.
These skills differentiate from other managers as the entrepreneurs are invested with the role
of administrating and providing different duties to the employees. Whereas the entrepreneurs
provide better growth opportunities and are risk takers. The British entrepreneur Richard
Branson is an English business magnate and the founder of Virgin group who engineered his
skills from a young age and is an example of a talented entrepreneur. Therefore, these are the
entrepreneurs are capable of producing better and effective growth of the business
organization.
Personal entrepreneurial tendency
The family upbringing and the personal situational context acts as an indicator in the growth
of the business. There are cultural differences and family upbringing that drive an
entrepreneur to shape up or ship out (Gonzalez, 2016). The family upbringing of Branson is
an incredible example of the growth of the business. Hence, situational contexts in the case of
Branson who started as an entrepreneur also have an impact on the business. Therefore, these
situational contexts were resolved through the creativity and skills that are portrayed by the
individual. Therefore, an entrepreneur faces conflicts that have an influence on the growth of
the business. There situational factors are very accountable for the growth of the business
organization. These elements are required for comprehending areas that influences them to
produce better results for the growth of the business organizations. Hence, with the
understanding of these areas the entrepreneur is capable of producing better effective growth
of the business.
Critically evaluating how their background and experience has influenced them both
positively and negatively using examples.
Factors that influence the decision to start a business
The entrepreneurs are influenced by the background experiences that have an impact on the
growth of the business. There are positive and negative elements that are intertwined with the
growth of the business. There are elements such as educational factors that influences the
growth of the business. The business is set up by the initiation of the educational, cultural
and personal circumstances (Laudon, 2016). This circumstance has an impact on the growth
of the entrepreneurial mindset. Economic circumstances also play an important role in the
growth of the business to produce better and effective results. These are the elements that as
an impact on the growth of the business. However, in order to procure an understanding of
these elements, national culture also hits a major point.

Therefore, in the case of Richard Branson, the companies were able to produce better results,
as he was in control of 40 companies. Therefore, in order to sustain an understanding of these
factors, the companies are able to set a business to procure better gains for the growth of the
company. However, with the entrepreneurs are subjected to harsh lifestyles from a young age
and cannot cater to their personal development. There are critical areas such as many
economists were college dropouts during the course of their employment. Hence, these
elements have an impact and influence the growth of the business. These decisions are taken
by entrepreneurs such as Branson to cater to the growth company. However, these are the
main reasons for the growth of start-ups in a business context.
The risks and rewards of business start-up
A class of economists are of the opinion that there are rewards and risks that are intertwined
in the successful growth of the start-ups. As per the opinion of Crick (2018), there are risks
and rewards in the process of business. These rewards range from a promising business start-
up that has an influence on the employees working for the growth of the company. The
integration of creativity and talent are important for the growth of the business. The potential
risks that are derived from starting a business deals with the satisfaction of the employees in
the company. With the integration of risks there are rewards that an employee acquires with
the growth of the business to acquire better effective results.
However, as contradicted by Teberga (2018), there are risks associated with the growth of
new technology to cater to the demands of the industry. The entrepreneurs invest on their
mindset to procure a better understanding of their employees. These entrepreneurs are
embedded with the idea of boosting their business. The entry of new firms can also decrease
the fame of the business startup. The acceptance of new ideas has an impact on the growth of
the business and caters to the understanding of individuals in the industry (Ranchordás,
2016).
Therefore, these are the potential risks and rewards that are initiated by the company to
procure a better understanding of the industry. The entrepreneurs invest their ideas in the
growth of the company to produce an understanding of the market and prevalent conditions.
Therefore, the entrepreneurs are invested with creative mindset for the procurement of
employees and integration of a new mindset (Burns, 2016).
Conclusion
The presentation highlighted the important skills that had an impact on the growth of a
successful business. Therefore, the Liverpool City Council has taken into consideration the
elements that are important for the growth of an entrepreneurial mindset. Therefore, the