Innovative Team Vision Development in Small, Entrepreneurial Settings

This academic analysis delves into key facets of entrepreneurship and business management, particularly concerning Small and Medium-Sized Enterprises (SMEs) within the United Kingdom. The document addresses the significant roles and challenges that SMEs encounter, emphasizing their economic contributions and potential growth opportunities. It explores the entrepreneurial personality structures through case studies like artisan entrepreneurs and examines human capital's mediating effects on SME expansion, focusing on motivational factors for starting businesses. Additionally, it investigates innovative strategies for developing team vision in small, entrepreneurial environments to boost innovation and performance. By providing a detailed examination of these topics, this analysis aims to furnish comprehensive insights into the dynamics of SMEs, contributing to broader understanding within business management studies.

Entrepreneurship and Small
Business Management

Table of Contents
Table of Contents.............................................................................................................................1
INTRODUCTION...........................................................................................................................2
Task 1...............................................................................................................................................2
P1 Different types of entrepreneurial ventures............................................................................2
P2. Similarities as well as differences between ventures of entrepreneurial...............................4
Task 2...............................................................................................................................................7
P3 Interpret and assess of data statics by stating how micro and small business impacts on
economy.......................................................................................................................................7
P4 Explanation of importance of small businesses and start ups to growth of social economy..9
Task 3.............................................................................................................................................10
P5 Determination of characteristics and traits of successful entrepreneurs..............................10
P6 How aspects of entrepreneurial personality reflect on motivation and mind set.................12
Task 4.............................................................................................................................................12
P7 Using relevant examples, how backgrounds and personality hinder and foster
entrepreneurship........................................................................................................................12
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15
1

INTRODUCTION
Entrepreneurship is basically a process of designing, developing, launching, managing and
running a new business or chain of businesses. A entrepreneur is a person who posses the ability
of seeing foresighted opportunity and gather the all required resources to take advantage of that
opportunity with bearing risk of failure and hoping for reward of success in form of higher
profits (Brush and et. al., 2019). The businesses environment is highly dynamic and full of risk
and challenges thus, most of the entrepreneur prefer to start their ventures as a small business.
This report is based on entrepreneurship and small business management in which different types
of venture and typology of entrepreneurship are included. Beside this impact of small business
on economy is also form a part of this assignment. Further, this report also consists
characteristics, traits and skills of successful entrepreneurs. At last, impact of background and
experiences of entrepreneur on success and failure of entrepreneurship is also included.
Task 1
P1 Different types of entrepreneurial ventures
In business market different types of ventures are working collectively who are running
their business by introducing plans and innovation in their business. This is important for
business concern to introduce new and products and services so profitability can be earn.
Entrepreneurship – According to Mfaume and Leonard (2004) Entrepreneurship is the
procedure which is connected with number of resources such as land, labour, capital, human
resources and others which are used to generate profits. The vision of entrepreneurial is to
discover the profitability and contribute in economy by offering different products and services.
In other words, entrepreneurship is the ability and activity to planning, organise, and
developing business enterprises in order to make profits. The main aim of ventures is to focus on
people need and provide that king of products so profitability can be generate effectively. For a
person is going to earn more profits in its business then it need to develop resources and new
technology that can help to run a business and increase profitability.
Entrepreneurs – It is defined as a people and individuals who has ability and wish to
plan, establish, administer and succeed in a start up venture by taking risk in order to run their
business continuously. This is also known as source of new ideas who bring new thoughts to run
organisation effectively. Types of entrepreneurship venture are as defined:
2

Types of different ventures
Large company Entrepreneurship – These are the organisations which are having large life
cycle and operates a high level with huge amount of resources and employees (Ferreira,
Fernandes and Kraus, 2019). The main of Large company entrepreneurialism is to expand their
business to maximize the amount of profit earned.
Scalable Start-up Entrepreneurship – These organisations are the innovation clusters
of an economy which are having the capability to change the world in a better way. Scalable start
up are managed and financed and by creative and innovative entrepreneurs and there main aim is
developing and creating new things which are better and more innovative than existing things.
Thus, for innovation an adequate amount of finances and knowledge is required.
Small Business Entrepreneurship- These organisations are mainly operates at small
level and have reach to limited geographical area thus, creates better opportunity of job for local
people. The requirement of finance for developing a small business is low and does not require
huge workforce or assets thus, provide better option of work for financially weaker section of
society (Gartner, 2019).
Social Entrepreneurship- These entrepreneurial ventures works for benefits of society
and aim at creating a equality at society through meeting and fulfilling basis needs of deprived
and vulnerable and minority section of society. The main of social entrepreneurship is not
earning profit while they makes efforts for creating a better and more healthy atmosphere.
Types of typology in context to corporate and public sector
Lifestyle typology – This means those entrepreneurs who look up to organisational profitability
by considering personal income, growth goals, etc. They are running their business in corporate
sector by introducing products and services according to customers wants. Large organisation
and scalable business are connected with this typology which helps to run a business effectively
(Walzer, Athiyaman and Hamm, 2007).
Growth firm – This means those entrepreneurs who mainly consider growth of a business which
is established at small level and looking to go forward. Such types of business always try to
increase their money by introducing new plans and activities in their business. This is related
public sector where small organisations is running their business at small level and bring ideas to
increase the livings of people (Dana, 1994 Young and et. Al., 2019).
3

P2. Similarities as well as differences between ventures of entrepreneurial.
The difference between micro, small, large, scalable and social business organisation:
Basis Micro Small Large Scalable Social
Meaning Micro business
are formed at
very less area
and place from
where it can
sale its products
and services.
Small businesses
are established to
provide products
and services in
particular area
and place.
This is large size
business that is
started and continue
at various place or
different countries
by understanding
people demand and
wants.
This means
those business
entrepreneurs
hip which is
designed to
execute the
business
activities by
brining new
ideas on
continual
basis.
This type of entreprene
established to provide
and services to poor p
helps to increase the
people and run
effectively.
Key
roles
Micro business
are playing an
important role
by offering
product and
creating
employment for
local people.
This businesses
are playing a role
of creation of
employment,
income
generation and
living daily life.
Lager companies
are those business
who role is wider as
it creating of
employment,
offering variety of
products and
services,
contributing in tax
rates etc.
The role of
scalable
business to
meet with
customers
demand,
increasing
productivity
and running a
business
continuously
which attracts
customers to
get new
products and
services.
The role of
entrepreneurship is t
improve the people’s
poor and unable to ge
for filling their basic
health care services.
4

 K
e
y
f
e
a
t
u
r
e
s
 Started
at
definite
area or
locality.
 Less
amount
of
capital
and
resource
s to run
business
.
 No need
to add
more
employe
e means
can be
start
individu
ally.
 Aims to
complet
e their
basic
needs
and
wants.
 Small
businesse
s hire
local
people
for
providing
them
employm
ent.
 It
requires
limited
funds and
resources
to
carrying
on their
own
business.
 This
business
is started
and
operated
at small
level
where it
fill needs
of
people.
 It works in
larger scale
with definite
business
pattern and
technology.
 Managing
productivity
and
profitability
at larger
location and
different
nation.
 Achieve
growth and
innovation
in their
business
activities.
 This
bring
innova
tion
and
ideas
contin
uously
.
 Attract
s
invest
ors
from
differe
nt
nation.
Resear
ch and
develo
pment
progra
mme
be
regular
. Get
growth
and
busine
ss
expans
 This mainly f
people well bein
 Solution of
problems.
 With the help
entrepreneurship
feedback can be
 Improve the
people.
5

 ion.
Main
objective
The main
objective of
micro
business is
to spread
their
business in
a
economicall
y backward
areas.
To get and
stable profits,
mission
should drive
core values,
sustainable
growth and
living life.
 To increase
the brand
image and
profitability.
 To spread
the
business.
 Better
customer
services and
excellent
goods.
To meet
with
market
demands.
To attracts
customers
by
offering
them
products
and
services.
 To think ab
and get them
products so
good and
increase thei
 To work in
and mainta
benefits.
The similarities between all entrepreneurship are as described as below:
 Micro, small, large, scalable and social entrepreneurship are mainly started to run
business by using their innovative ideas.
 They focus on growth and development of their existing business.
 All are needed resources, capital, human resource and others to run their business.
Mainly focus on needs and wants of people that helps to get ideas what need to bring to satisfy
customers (El Shoubaki, Laguir and den Besten, 2019).
 Risk is handled and controlled by management of organisation who bring new ideas and
take risk to run their activities.
 Employment chances are provided by all ventures who provides job opportunities
according to requirement of human resource.
6

Task 2
P3 Interpret and assess of data statics by stating how micro and small business impacts on
economy
Small business plays an important role in growth and effective development of economy of a
nation through providing better job opportunity and also improve overall GDP and growth
rate of economy. Following statistical data is showing importance and impact of small and
micro business on economy of United Kingdom.
Illustration 1: Percentage of employment, turnover and businesses in different sector of
UK,2016)
(Source 1 : Percentage of employment, turnover and businesses in different sector of UK,2016)
From the graph shown above it can be interpreted that small organisation plays a significant
or crucial role in economy of UK as 99.3% of all private sector business is hold by small
business and SME account for around 99.9% which shows the importance of small and
micro business. In terms of employment generation small business contributing for around
48% of total employment in private sector and together Small and Medium Enterprises
accounts for around 60% of total employment which is more than half all job generated in
economy of UK. In numerical terms small business is providing employment to around 15.7
millions of individuals of UK. The annual turnover of small businesses in UK in 2016 is
7

approximately £1.8 trillion which accounts for 33% of total revenue (UK SME Data, Stats &
Charts. 2017).
Illustration 2: Statistical data about businesses entrepreneurship of UK, 2018
(Source: Statistical data about businesses entrepreneurship of UK, 2018)
This table is showing statistical data about different business entrepreneurship of private
sector which are operating in UK . this table is providing information about number of business
operating in various locations and areas of UK. Allocation or proportion of number of employees
engaged in medium, small and large enterprises is also provided. Thus, from this table it can be
concluded that small and micro enterprises are playing a crucial role in development and growth
of economy of UK (Essential Facts You Should Know about SMEs in the UK. 2019).
P4 Explanation of importance of small businesses and start ups to growth of social economy
Small business and start-ups are businesses are run by individuals which improves the
growth and development of a country. Social economy is refers as set of business and economic
8

activities which are carried out in private sphere and institution. In business environment small
business are playing important role as they generate employment opportunity, generating income
and contributing in taxation policies. Social economics is considered as branch of economics that
mainly focuses on relationship between economics and social behaviour that contributes in
economy and improve business profitability. The importance of small and start ups are as
defined:
Employment for local workers – Start ups and small businesses are run at small level or
local level with the help of workers who are residing in same locality. These businesses
contributes in growth of local economy by brining innovation and new technology in their
business practices which helps to increase organisational productivity. In local community
people understand needs and wants of people and provide them products and services
accordingly which helps to improve the social economy. Mo0reover they focuses on continuous
growth and development of small start up and small companies by running business activities
and generating income (Linton and Klinton, 2019).
Contribution to local authorities – Products and services are provided by different
business organisation which gives chances to earn money and funds. Small and start ups business
are contributing to the local authorities for example, when people buy something then they pays
money for this which is used to growth of local community. Small businesses pays taxation in
relation to buying, selling which contributes in local government. This amount is used to
providing social services and infrastructure developing facilities those impacts positively.
Providing employment opportunity – Start-ups and small business contributes in
economic by providing employment opportunity to local people. For instance, start up companies
are employing less than 10 and small are providing employment more than 10 but less than50
people which helps to fill the needs of people. In other words, small business re important who
providing jobs o unemployment which increases their spending power and running their business
effectively (Rico and Cabrer-Borrás, 2019).
Task 3
P5 Determination of characteristics and traits of successful entrepreneurs
Entrepreneurs are those people who have special knowledge and skills to run and
continue their business. They are different from others because other do not ready to take risk
9

and accept challenge whereas entrepreneurs does. Tom Mercer and Elizabeth Gooch are
successful entrepreneurs whose characteristics and skills are as defined:
Tom Mercer
Characteristics:
Disciplined – This entrepreneurs make their business disciplined and achievable by
hindering and distracting o their goals. They mainly focuses on strategies and tactics to
accomplish their objectives. Tom Mercer is different entrepreneur from all as it is disciplined
enough to take further actions every day towards achieving goals.
Self-starter – People who knows that if people are demanding something different then
they should start it themselves which helps to run and establish a business effectively. Tom is
self starter person who knows that people are demanding healthy and diet food so he decide to
start from themselves (Hensel and Visser, 2019).
Skills
Communication skills – This skills is important in every stage as there people have
communicated to know the needs and wants of people then introduce products and services
according. Tom Mercer is possessed from communication skills where it crisp and communicate
with students and health consciousness people which helped to start a new business of MOMA
by attracting number of customers.
Selling skills – A person is consider as more successful when he is able to sale his all
products and services to customers and attracting them. Tom Mercer able capable in this skills as
he get to know needs and wants of people then started to open their own organisation by
providing healthy and junk free foods (Mohamad and Chin, 2019).
.
Elizabeth Gooch
Characteristics
Passion – To work and complete any task passion is important trait which should have in
successful entrepreneurs and running their business effectively. Such type of entrepreneurs
genuinely love to their work and ready to work more hours willing that make different from
others. Elizabeth Good was passionate about their work and after failing in many challenges she
never lose hope where as other entrepreneurs accept their unsuccess and not passion.
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Creativity – Elizabeth is creativity person who always think about to create something
new and become successful. Gooch is able to make the connection between unrelated event and
situation which helps to accomplish the targets (Roberts, Murray and Kim, 2019).
.
Skills :
Efficiency – This is needed for entrepreneurs which is used to complete the every task in
effective manner. Elizabeth is high performing entrepreneur who come to solve the problems by
getting innovative ideas which helps to improve the organisational productivity and profitability
by introducing new system which is beneficial for all.
Time management skills – It has defined that every planning and activities should be
done on timely basis which helps to run a business. Elizabeth Gooch was full of time
management skills where it has innovated and introduced skills to bring software for managing
the work and connecting people which improve organisational productivity.
P6 How aspects of entrepreneurial personality reflect on motivation and mind set
The personality traits of both entrepreneurs are reflecting on motivation and mind set by
using ocean model that is defined as:
Openness – This involves curiosity, aesthetics, values, fantasy and actions which is used
to comes up with new ideas and run business effectively (Baier-Fuentes and et. Al., 2019).
Conscientiousness – This involves self-discipline, achievement striving, competence,
dutifulness etc. uses to complete the particular task in effective time period.
Extraversion – When a person have gregariousness, energetic, assertiveness, positive
emotion and warmth personality which uses to make a right business decision.
Agreeableness – This is other personality that involves trust, straightforwardness,
compliance, modesty and altruism that helps to bring new ideas by considering kind and forgive
nature at the time of running a business.
Neurotics – This is negative personality that should not have in a person which can
hinder the entrepreneurship. This involves anxiety, angry hostility, self-consciousness,
depression and impulsiveness which increases problems.
Tom Mercer is full of extraversion and Elizabeth is full of Conscientiousness
characteristics which reflected on their mind set to start their own business and get success
(Hoyte, 2019).
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Task 4
P7 Using relevant examples, how backgrounds and personality hinder and foster
entrepreneurship
The personality and background of a person is playing vital role as sometime it support to
people to establish and run their business effectively. Tom Mercer and Elizabeth Gooch are two
successful entrepreneurs who started their business by getting support of background and
education such as:
Elizabeth Gooch
Back ground – Elizabeth was born on 27 June 1757 in Edwinstowe. Her father has died,
she received a substantial heritage, where she was financially independent. She has lived her life
as an actress with a theatre company in Portmouth. She is the founder of EG solution which is a
small company selling operation management software that helps client to generate improvement
in operational performance and efficiency.
Experience – The experience of Elizabeth involves she started to work for HSBC bank
and left this after 12 months for consultancy work that can help large size organisation to use
human resources in better way. After 8 year, she has decided to start its own business by opening
EG solution that is consulting organisation which was started from £1,000 borrowed amount
from family and friends and a credit card.
Hinder and foster entrepreneurship- the background of such person has foster
entrepreneurship[ as she has ability to accept the challenges. She suffered a heavy losses
£700,000 and £800,000 losses in 2006 and 2007 but did not lose hope which impacted good
helped to become successful entrepreneur.
Tom Mercer
Back ground – This was born on 10th November 1964, who is the co-founder of MOMA foods,
which is London based breakfast food centre. This person mainly focuses needs and wants of
people as they are demanding hygienic and organic food according to time (Redondo and
Camarero, 2019).
Experience – This person has frustrated with lack of breakfast quality on the market
where a ideas has clicked on his mind to provide healthy and better quality of food to which will
help to keep healthy and safe people. Then he started MOMA that is genuine grass roots start up
which was firstly started at South London that was growing continuously.
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Foster and hinderance of entrepreneurship- Tom has faced problems while running a
business but having communication and networking skills helped to operate and grow its
business continuously which helped to be a good entrepreneurs.
CONCLUSION
From the above report it can be concluded that entrepreneurship is the activity which is used
to introduce new ideas and thoughts to run a business. Different organisation such as micro,
small, start ups, scalable and social entreprises are running by bring innovation and using
financial resources properly. Micro businesses have contributed in economy by creating
employment chances and paying tax amounts. Ocean model is used to become successful as it
helps to identify own personality and plans accordingly which continues and run business
effectively. Characteristics and traits are different term which should have in person to continue
their business activities.
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Online
Essential Facts You Should Know about SMEs in the UK. 2019. [Online]. Available Through:
<https://www.market-inspector.co.uk/blog/2017/05/facts-about-small-medium-
businesses-in-the-uk>
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Harirchi, 2019) (Abu Amuna, 2019 ) (Walzer, Athiyaman and Hamm, 2007) (Dana, 1994 Young
and et. Al., 2019) (El Shoubaki, Laguir and den Besten, 2019) (Konon and Kritikos, 2019)
(Chung, Lee and Shin, 2019) (Sabbaghi, 2019) (Linton and Klinton, 2019) ( Rico and Cabrer-
Borrás, 2019) (Hensel and Visser, 2019) (Mohamad and Chin, 2019) (Roberts, Murray and Kim,
2019) (Hoyte, 2019) (Baier-Fuentes and et. Al., 2019) (Redondo and Camarero, 2019)
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