Regent College HND Business - Unit 9 Entrepreneurship Report on Brexit

This report, submitted for the HND Business program at Regent College, provides an in-depth analysis of entrepreneurship and its various facets. It begins by exploring different types of entrepreneurial ventures, including scalable, small business, large company, and social enterprises, highlighting their similarities and dissimilarities. The report then assesses the impact of small businesses on the UK economy, considering factors such as employment, contribution to GDP, and the potential effects of Brexit. Furthermore, it differentiates between the roles and characteristics of entrepreneurs and business managers, emphasizing personality, mindset, and motivational aspects. The report also examines the influence of background and experience on entrepreneurship. The document utilizes research findings, figures, and tables to support its claims, providing a comprehensive overview of the entrepreneurial landscape and its challenges, especially in the context of Brexit. The report is designed to fulfill the requirements of Unit 9: Entrepreneurship and Small Business Management.

UNIT 9
ENTREPRENEURSHIP
1

Executive Summary
In order to maintain effective objectives and effective business, a prerequisite entrepreneur plays
an important role in an enormous company or business. In addition to that, in order to gain
fruitful visionaries and end goals, the entrepreneurs need to be effective in terms of business
decisions and planning of strategies. On the other hand, in order to develop the business growth
and maintenance of business issues, proper administrative capabilities need to be appropriate. In
terms of business, different business possesses different numbers of employees and thus helps to
categories the business in different types. As businesses helps to balance the economic
development through contributing the shares in enhancing gross domestic products, thus the
government needs to concentrate on the small scaled businesses in order to develop the focal
point on the small scale and thus top gain economically developed. On the other hand, in order to
gain successful business, proper motivation and mindset of entrepreneur needs to be appropriate.
2

Table of Contents
INTRODUCTION ..........................................................................................................................4
TASK 1...........................................................................................................................................4
LO1................................................................................................................................................4
P1. Different types of entrepreneurial ventures .........................................................................4
P2. Entrepreneurial ventures similarities and dissimilarities .....................................................6
Task 2............................................................................................................................................9
LO2................................................................................................................................................9
P3. Economic influence through micro and small business ......................................................9
P4. Social economy growth through small business and business start-ups..........................13
Task 3..........................................................................................................................................15
LO3..............................................................................................................................................15
P5. Difference between entrepreneur characteristics and business managers ......................15
P6. Personality mindset and motivation aspects of entrepreneurs .........................................17
Task 4..........................................................................................................................................18
LO4..............................................................................................................................................18
P7. Background and experience influence on entrepreneurship ...............................................18
CONCLUSION.............................................................................................................................20
Reference list ..............................................................................................................................22
3

INTRODUCTION
Entrepreneurship is considered as the individual willing to make profit through
approaching the business, with taking potential risks of failure. In addition to that,
entrepreneurship is also referred as the innovative business of individuals which are connected
by an individual in the economic system. This discourse highlights different ventures of
entrepreneurs with reference to their similarities and differences. In addition to that, this course
study demonstrates the influence of business on economy and focuses on the economic growth
through the small business enterprises. On the other hand, this critique differentiates between the
roles of managers and entrepreneurs, in relation to business. Moreover, this discourse highlights
the influence of entrepreneurs, with reference to their personality and experience. Overall this
present report based on entrepreneur opportunity and growth in small scale sector. It will cover
the types of entrepreneurs. It will also explain the skills of successful entrepreneurs which
differentiate from the manager in the organisation.
TASK 1
LO1
P1. Different types of entrepreneurial ventures
Entrepreneurs started their own business in order to gain a profit with considering the risks of
business. In the view of Chaston (2017, p.16), entrepreneurs gain an advantage of having proper
establishment of start-up business through approaching the entrepreneurial business. Different
entrepreneurs have succeeded in managing a successful business at a global level such as, John
Cadbury of Cadbury Company, M&S of Michael Mark and Thomas Spencers, Jeff Bezos of
Amazon and many others. In the opinion of Barreto (2013, p.56), small business enterprises are
considered as the economic backbone of United Kingdom. In terms of business, the choice of
Brexit of UK might influence the economic capability of UK based on long-term future, with
spending the expenses and taxes on infrastructure development rather than paying to EU.
4

Figure 1: Company Size in UK
(Source: Research Open Data Business, 2017)
Based on the business, the entrepreneurs are engaged in different ventures, such as:
Scalable
Scalable entrepreneurship is considered as the business, which is done on the famed and existing
products and services, in order to establish a large business based on long-term. Yavli and
Farfetch can be some examples of UK, which can be considered as the scalable business. In the
opinion of Bruton et al. (2015, p.20), in order to gain funds and investment expenses, the
scalable entrepreneurs seek to financial investors, in order to establish their business in a long
terms sight.
Small business
Small business entrepreneurship is considered as the local business or doing business at a local
area, in order to make a profit from the business. In the view of Autio et al. (2014, p.1102), small
business entrepreneurship aims to provide the services and products, in order to gain customer
satisfaction and high profit through distributing the products and services at local area. The
examples of small business entrepreneurship can be considered as the local shopkeepers in
streets. In addition to that, the investments and funds, in order to establish the small business are
gained from the local people, clubs, relatives or friends.
Large company
5

Large company entrepreneurship are considered as the establishment of business with a aim the
customers at a larger population at global level through using different channels and mediums of
business. In the opinion of Amit et al. (2015, p.296), the larger company entrepreneurship aims
to gain a high amount of revenue generation and high profit. Some examples of larger company
entrepreneurship can be Amazon, Tesco Plc, Cadbury and others in UK.
Social
Apart from the above business ventures, social business entrepreneurship is generally considered
as the non-profit organisation, which aims to deliver the services to the customers in order to
help them with social factors. As Dentine (2015, p.269) has commented that, social business
entrepreneurship can engage the social topology entrepreneurs. Examples of such social
entrepreneurship companies are Key Funds, CASA, Settle Hydro and others.
Please follow unite leader’s suggestion:
Entrepreneur is the person who start business individual or from group of persons.
These may be male and female. Enterprise venture start from the family funds or from
partnership. For that entrepreneur person are the person who takes all responsibilities on its
own and make them better and profitable. They need to require many resources and machines
to operate their business functions.
P2. Entrepreneurial ventures similarities and dissimilarities
Based on the entrepreneurship ventures, all the ventures possess both dissimilarities and
similarities in the procedure and process of business.
Similarities and dissimilarities of entrepreneurial ventures
Type of entrepreneurship Similarities Differences
Large Entrepreneurship
 Both the large
entrepreneurship and
small
entrepreneurship aims
to gain profit and
revenue through the
business.
 According to Kitching
(2015, p.140), the
products and services
of both the large
 The large business
entrepreneurships
have specific structure
and market
segmentation.
However, as Ridley
Bull (2015, p.28) has
stated that, small
business
entrepreneurship does
not possess at specific
6

Small Entrepreneurship
entrepreneurship and
small
entrepreneurship are
customer centric.
 Customer satisfaction
is the similar aspect
which is considered
by both of the
entrepreneurship
ventures.
departments in order
to serve the
customers.
 The customer target of
large business
enterprise is extended
from the local
customers to global
customers of different
places and
geographical areas.
However, the small
business
entrepreneurship has
their target customers
limited to the people
and individuals of
residential and local
area.
 The small business
entrepreneurship does
not need much skilled
and specified
employees. However,
a large business
entrepreneurship
recruit’s employee
with high skilled
individuals and
through a proper
hiring process.
7

Similarities and Dissimilarities of Serial Entrepreneurship & Social Entrepreneurship
Types of Entrepreneurship Similarities Dissimilarities
Serial Entrepreneurship &
Social Entrepreneurship
 Both the serial
entrepreneurs and
lifestyle entrepreneurs
applies the business
model and innovative
ideas based on the
choice and preferences
of customers.
 As Ojala (2015, p.831)
has stated that, in
order to gain
innovative and
business flow with the
trend, both the
entrepreneurs
implement, new ideas
and innovations, in
terms of products and
services.
 The products and
services of the serial
entrepreneurs and
lifestyle entrepreneurs
are customer centric
and are produced
based on the feedback
and preferences of
customers.
 The lifestyle
entrepreneurs follow a
particular model of
business in order to
avoid and minimize the
potential of risks in
their business.
However, on the other
hand, as Fayolle (2017,
p.62) has stated that,
serial entrepreneurs take
risk in their business
through approaching
new and innovative
ideas in their business.
 The chances of taking
risks in approaching the
business strategy and
model are high in the
serial entrepreneurship
rather than the social
entrepreneurship.
 The serial entrepreneurs
approach different
business models and
ideas in their business,
In order to experience
the services and
8

products and customer
choice. On the other
hand, in the view of
Schaper (2016, p.47),
lifestyle entrepreneurs
approaches the single
and existing model of
business.
Task 2
LO2
P3. Economic influence through micro and small business
As there are different types of business and entrepreneurships, thus, different business types
possess different business size and other features. In the view of Kitching et al. (2015, p.134),
based on different features of business, it is considered in three main categories of small,
medium and large business enterprises. All the business has different numbers of employees,
which helps to categorize the business in small, medium and large business. In the opinion of
Bagwell (2015, p.341), a medium business consists less than 250 employees with 50m turnover,
small businesses consist > 50 employees with 10m turnover.
9

Figure 2: Business contribution in UK economy
(Source: Source: gov.uk, 2016)
Further, the business is widely distributed in the following three categories, based on the UK
standard:
Sole Proprietorship
In order to gain high revenue and profit, a single owner of the business runs the business.
However, on the other hand, as Storey (2016, p.59) has commented that, the proprietor might
hire other individuals in order to establish and run the business in a successful manner.
Private
The numbers of employees and staffs of the private business owners limit from the owner of
business to the concerned investors.
Partnership business
Two or more than two individuals run a business of partnership, with having different shares and
thus, gain a high amount of profit and revenue, with delivering the products and services to the
customers.
10

Figure 3: UK SME employment, share and turnover
(Source: BARCLAYS, 2016)
As small business is considered as the backbone of United Kingdom’s economy, thus the choice
of Brexit might influence the economic factors of UK. In the view of Wilson et al. (2014, p.6),
Brexit might influence the EU immigration policy in terms of UK, which might influence the
immigration of low skilled labor of European Union to enter in UK territory, in relation to the
job sector. Thus, as the maximum of economic development is based on the small-scale business,
it might hinder the availability of low skilled and waged laborers in the small businesses.
11

Figure 4: After effect of Brexit on GDP growth
(Source: Business Insider, 2016)
In addition to that, as Zacca et al. (2015, p.19), has commented that, implication of Brexit policy
in United Kingdom can help them to gain overall single market, where the UK can develop their
business at global level and with the non- EU countries. However, in order to do so, UK needs to
have proper skilled labor and employees. On the other hand, according to Epifanova et al. (2015,
p.140), United Kingdom needs not to give the expenses of tax and tariffs to EU in order to do
market, which can be spent to develop the economic condition and business growth of UK.
Brexit policy implementation in UK on the other hand can help their local and small business to
boost up, with gaining of competitive advantage and lower cost of import.
12

Figure 5: Estimated Impact of Brexit on UK GDP
(Source: Woodford, 2016)
In the view of Goss (2015, p.19), application of lower import cost can help to gain real incomes
to the small business of UK and thus to gain high profit and revenue, which ultimately can help
to enhance the economic development.
P4. Social economy growth through small business and business start-ups
In order to minimize the risk of business failure, an entrepreneur needs to have proper orientation
of market and customers. According to DeTienne et al. (2015, p.264), as the small business
contribute to the economy of United Kingdom, thus, Brexit policy might influence the economic
development of UK indifferent manner.
13

Figure 6: EU tariffs on different sectors
(Source: Woodford, 2016)
As with the exit of Britain from EU will help to save the external tax and tariffs, which have to
pay to the EU, in order to free trade, thus, it might increase the tax and tariffs in the United
Kingdom territory. As Grant (2016, p.94) has commented that, increase in the service taxes and
tariffs in United Kingdom will ultimately increase the public expenditures and thus might
influence the real incomes of the enterprises and small business entrepreneurs.
On the other hand, the restriction on the trade will also be imposed if the Brexit policy will be
effective in United Kingdom, which will restrict the entrepreneurs to do trade in the European
Union countries and thus might influence the employee immigration. However, as Wilson et al.
(2014, p.4) has commented that, Brexit might influence the UK economy in the early stages;
however, it will enhance the economic development of United Kingdom at long-terms basis.
Startup and small business difference
Start-Up Business Small Business
 Start-up Business is considered as the
new launched business by the
entrepreneurs.
 In the view of Grimes et al. (2013,
p.462), start-up business develops
growth on a slow basis.
 Start-up business might approach the
customers of local areas ort as well as
customers from other different
regions.
 Start-up business might implement
online appearances.
 Start-up business is scalable.
 Small businesses are considered as the
low output business however old
ventures are.
 The economic development of small
business is generally stable.
 The small business aims to meet the
customer demands of local people and
up to a limited area.
 Small business generally might have
online appearances or might not have.
 Small business is not generally
scalable.
Significance of small scaled business
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In the opinion of Amit et al. (2015, p.300), small scaled business helps to provide an opportunity
of employment to the individuals, which helps to gain economic development in the per capita
income and thus ultimately helps to gain economic development of United Kingdom. On the
other hand, small and start-up business, both helps to gain development in the rural area, with
recruiting the individuals as employees in the business.
In addition to that, as Autio et al. (2014, p.1109) has stated that, approach of small scaled
business helps to payments and development in expert systems. As small-scale industries can
help to provide export services of products and services at high rate, thus, it can help to enhance
the BOP balance of United Kingdom. Thus, small scaled business helps to gain overall
development of United Kingdom, with enhancing the economy of individuals and different areas.
Task 3
LO3
P5. Difference between entrepreneur characteristics and business managers
Despite of similar kind of roles and responsibilities of business manager and entrepreneurs, both
the job roles possess dissimilarity in different contexts. In the opinion of Barreto (2013, p.28),
the major difference which is seen in between the job roles and responsibilities of an
entrepreneur and a business manager is the proprietorship. In terms of proprietorship, the
business managers are recruited by the owners of business, in order to manage the overall
business key areas. However, on the other hand, entrepreneurs are the key person, who owns a
particular business and thus runs the business in order to gain profit.
Factors Entrepreneurs Managers
Motivational source Entrepreneurs are generally
motivated by seeing the
success of other business in
different venture of business.
Managers on the other hand
are motivated through
enhancing and accumulating
power in the business
organisation.
Job Focus Entrepreneurs focus on the
implementation of new
innovation and idea in the
business organisation.
Job focus of managers is
centralized on the
management of overall
management of business
15

operations.
Status Entrepreneurs are considered
as the owners of the business
a thus can consider changes
and decision without
consulting other employees.
Business managers are
considered as the employees
of organisation or business,
which is owned by a
entrepreneur. In the opinion
of Chaston (2017, p.67), the
decisions proposed by the
managers are consulted with
the entrepreneurs.
Rewards and appreciation Entrepreneurs, in terms of
rewards expect high sales and
revenue generation through
the business, which can help
to gain profit at large amount.
In terms of business managers
the expectation as reward is
appreciation from the senior
authorities and increment of
salary and designation.
Decision making The decisions of
entrepreneurs are taken from
institution in order to expect
the effectiveness of the
decisions.
The decision making in case
of the business managers are
calculative and are consulted
and cooperated with engaging
different key persons,
including entrepreneur of the
business.
Risk Orientation Entrepreneurs, in terms of
risk orientation, takes risks
with implementing new and
innovative ideas in the
business decisions, which
might influence the business
Business managers, in context
of the risk orientation take
business decisions in a
calculative manner, in order
to avoid and minimize the
potential risks of the
16

growth. organisation.
P6. Personality mindset and motivation aspects of entrepreneurs
In terms of motivation of the entrepreneurs, different factors and aspects might influence the
motivational factors of entrepreneurs. On the other hand, Bagwell (2015, p.332) has commented
that, personality of entrepreneurs are the major factors which helps the entrepreneurs to motivate.
In order to gain positive motivation, entrepreneurs might approach the model of Big five
dimensions. In the view of Schaper (2016, p.85), approach of proper motivation personality in
the entrepreneurship can help the entrepreneurs to gain effective achievements in the business
projects and business objectives.
The big five dimensions, which can help to gain business efficiency are:
Openness
Openness mindset of the entrepreneurs can help them to gain efficiency and effectiveness in the
business projects and areas, with gaining of proper novelty, interest level and imagination power.
In the opinion of Goss (2016, p.24), openness traits of entrepreneurs can help them to put
effectiveness in their business with proper creation of vision, reflection and creativeness, in a
critical manner.
Agreeableness
Agreeableness traits, consider the nature and mindset of helpfulness and cooperative and
collaborative behavior of the entrepreneurs. However, on the other hand, in terms of the
agreeableness, the entrepreneurs should not agree in all the decisions of employees. On the other
hand, as Wilson et al. (2014, p.7) has commented that, agreeableness can help to solve the
problems of organisation and thus minimizes the chances of gauge.
Extraversion
Extraversion trait of the entrepreneurs can help them to socialise thus communicate with the
other individuals in both external and internal environment of the organisation. In the opinion of
Bruton et al. (2015, p.12), extraversion trait and mindset of the entrepreneurs can help them to
communicate with the employees of the organisation and thus to gain effective relationships and
trust building.
Conscientiousness
17

Conscientiousness traits of an entrepreneur can help them to be concerned about their
organisational goals and objectives. In the opinion of DeTienne et al. (2015, p.261), such traits of
conscientiousness help the entrepreneurs to gain effectiveness in the business works and
procedures with reference to gain of successful business and punctuality.
Neuroticism
Neuroticism traits in a entrepreneur is considered as the traits and psychological behavior, such
as nervousness, vulnerability, anxiety and other such tensions. As Barreto (2013, p.87) has
commented that, the entrepreneurs need to have less neuroticism mindset and traits, in order to
gain effective power and business progress. More neuroticism traits might suppress the
entrepreneurs, by their employees in terms of decision making and other business functions.
Task 4
LO4
P7. Background and experience influence on entrepreneurship
Entrepreneur is the person who start new business idea and approaches to enhance the
business growth. Entrepreneur is the motivator and effective leader to take its business into
opportunity level. Individuals implement its own innovative idea and start their business. As
Chaston (2017, p.13) has commented that, the experiences of an individual can help them to
shape the future through in terms of business, through resolving the issue in order to minimise
such risks in future. Thus, past experiences of an entrepreneur can help them to understand the
situations in a better manner and thus can help them to implement proper business decisions, by
analysing the past experiences.
In terms of entrepreneurs, several cases have evidenced to gain success through the past
experiences at a global level. He case of Amazon in the past year of 2013 have been alleged for
the worse working condition of the employees at the warehouse. However, with such past
experiences, the entrepreneur of Amazon helped to develop proper strategy and development in
the working conditions of Amazon and now has positive brand image and strong revenue
generation.
18

Figure 7: Customer Satisfaction level of Amazon in the year 2017
(Source: Amazon Corporate Information, 2017)
Such experience of Amazon with negative reviews helped the entrepreneur of Amazon to
understand the situation, which have damaged their brand reputation and thus slowed down their
growth.
19

Figure 8: Amazon Corporate Information
(Source: Created by Learner)
However, with understanding the situation and analysing the experience, the entrepreneur
approached proper innovative ideas and thus helped Amazon to gain high revenue and growth in
the marketplace with gaining strong and positive brand image.
CONCLUSION
From the above report it can be concluded that business has number of employees with
several skills and knowledge. Thus, it is categorized in different business categories, based on
the numbers of employees. The entrepreneurs need to understand the market in a proper manner
in order to gain the customer needs and demands, which can help them to implement proper
strategies and solutions. On the other hand, it was discussed that as small business helps to
develop the economic condition of a nation, thus, implementation of Brexit needs to be
developed with considering all the factors, as Brexit can influence the small scaled business in a
negative manner. Besides, it also covered the order to establish and run a successful business,
the entrepreneurs need to have proper skills and strong mindset, in relation to the traits of
entrepreneurs. In addition to that, as application of Brexit in United Kingdom will influence the
20

immigration policy of EU, thus, the entrepreneurs needs to have proper trait dimensions, which
can help to develop the business and thus top the economic backbone of UK.
21

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