Entrepreneurial Ventures: A Study of UK Small and Medium Enterprises

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ENTREPRENEURSHIP AND SMALL
BUSINESS MANAGEMENT
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Table of Contents
TABLE OF FIGURES...................................................................................................................3
INTRODUCTION.......................................................................................................................4
Task 1......................................................................................................................................5
Introduction........................................................................................................................5
Body....................................................................................................................................5
Entrepreneurial ventures.....................................................................................................5
Different entrepreneurial ventures impact on the country’s economy (local, social, global
etc.).....................................................................................................................................5
INVESTIGATING THE ENTREPRENEURSHIP VENTURE’S SIMILARITIES AND DIFFERENCES.......8
EVALUATING THE IMPACT OF THE LARGE, SMALL MEDIUM BUSINESS ON THE ECONOMIC
DEVELOPMENT BY USING STATISTICS AND DATA...............................................................11
EXAMINING THE GROWTH, DEVELOPMENT AND SCOPE OF THE ENTREPRENEURIAL
VENTURES IN PUBLIC AND CORPORATE SECTORS..............................................................13
EXAMPLES OF THE ENTREPRENEURS FROM THE CATEGORIES OF THE DIFFERENT TYPES OF
ENTREPRENEURSHIP VENTURES.........................................................................................14
TASK 2...................................................................................................................................15
ILLUSTRATING THE ENTREPRENEURIAL SCOPE WITH EXAMPLES OF GLOBAL, LOCAL AND
SOCIAL ENTREPRENEURS AND THEIR SIMILARITIES AND DIFFERENCES...............................18
EXPLANING HOW ENTREPRENEURS BEHAVIOUR AND BACKGROUND CAN FOSTRE
ENTREPRENEURSHIP..........................................................................................................20
ANALYSING THE SKILLS AND CHARACTERISTICS TRAITS OF DIFFERENT SUCCESSFUL
ENTREPRENEURS...............................................................................................................22
CONCLUSION.........................................................................................................................28
REFERENCES..........................................................................................................................29
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TABLE OF FIGURES
FIGURE 1: TYPES OF ENTREPRENEURSHIP VENTURES...................................................................6
FIGURE 2: SHOWING THE ECONOMIC CONTRIBUTION OF THE SMALL AND MEDIUM
ENTERPRISES TO THE ECONOMIC DEVELOPMENT.......................................................................11
FIGURE 3: UK’S ECONOMY BENEFITTED BY THE SMALL AND MEDIUM ENTERPRISES.................12
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INTRODUCTION
Entrepreneurship in today's world is the study of the dealing with the business problems in
innovative ways; the entrepreneurship can be termed as the study of bringing the new ideas
with innovation and creativity to compete for the world. Today, starting the business in this
type is very common; most of the startups in the UK are based on the concept of
entrepreneurship.
In this report, the focus will be on the management of the small and entrepreneurship
ventures. The different types of ventures will be discussed by defining their relationship with
their typology. The similarities and differences between the entrepreneurship ventures will
converse. The entrepreneurship model of business is growing in today's scenario, so to evaluate
and interpret the significant data for showing the impact of the small and entrepreneurial
business on the economy.
In the later section of the report, the importance of entrepreneurship to the small businesses
will be focused that how they are contributing the large proportion to the economy. At last, the
PowerPoint presentation will be prepared on the different entrepreneurial attitudes, features
and their abilities that how personal entrepreneurial backgrounds and tendency affect the
entrepreneurship business. The experiences and backgrounds of the entrepreneurs lead to
hinder the whole entrepreneurship.
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Task 1
Introduction
In this section of the report, the impact of the various types of entrepreneurship ventures will
be discussed with the explanation of the similarities and dissimilarities of the different
entrepreneurship styles on the economy. Various statistics and data will be used to show the
difference between the large, small and medium enterprises and how their sizes impact the
country’s economy. At last the report will discuss the scope and growth opportunities of the
entrepreneurship ventures in both the sectors. The various examples will be illustrated of each
type of entrepreneurial business to find the conclusion on this regard.
Body
Entrepreneurial ventures
The entrepreneurship is the process that involves different stages such as the planning of the
new idea, processing, bringing innovation to the reality etc. The entrepreneurship starts with
the idea generation; it provides support to the individual’s new techniques (Barringer, 2015).
The main sense of the entrepreneurship is not just doing the business in some other way but it
is a manner to solve the problems of the world by bringing innovation and creativity with
business. Entrepreneurs are the persons who think in some different ways than normal
business people (Barringer, 2015).
Different entrepreneurial ventures impact on the country’s economy (local, social,
global etc.)
There are different types of entrepreneurial ventures that are discussed hereunder:
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FIGURE 1: TYPES OF ENTREPRENEURSHIP VENTURES
[Source: Burns, 2016]
Profit entrepreneurship venture: Profit entrepreneurship are those firms which work for the
profit maximization of the business by bringing innovation to solve the various problems of the
society and to serve the best quality of product and services to the industry.
Non-profit entrepreneurship venture: Nonprofit entrepreneurship is those startups that work
for the welfare of society (Burns, 2016). Their main motive is not the profit maximization but
they work for the benefits of others and through focusing on that they earn some profit for
organizations not for any individual and again they reinvest in that for humanity’s benefit.
Large scale entrepreneurship venture: Large scale entrepreneurship ventures are those
ventures which start with the long term goals and this entrepreneurship involve heavy
investment and expect the heavy returns from the enterprise (Morris et al., 2018). The funding
in these ventures usually comes from the venture capitalists or from the many other sources.
Service production entrepreneurship venture: The entrepreneurship ventures started for
providing service to the customers. These ventures may be small scale or large scale depending
on the need or funds available to start the new enterprise (Morris et al., 2018).
Local entrepreneurship venture: Local entrepreneurship ventures are those ventures which
start their entrepreneurship venture on the local level. The target customers of these types of
businesses are the local people (Burns, 2016).
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Provincial entrepreneurship venture: Provincial entrepreneurship is the venture which starts
within the boundaries of the state. These types of entrepreneurship usually focus on the needs
of the state level customers.
National entrepreneurship venture: National entrepreneurship starts within the boundaries of
the country (Acs et al., 2015).
International entrepreneurship venture: International entrepreneurship starts with the motive
to serve all over the world. They focus on the needs and demands of the customers
internationally (Schwens et al., 2018).
Co-operatives entrepreneurship venture: The co-operative entrepreneurship is the type of
venture in which more than one individual is involved. This can also be called the Joint-
Entrepreneurship.
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INVESTIGATING THE ENTREPRENEURSHIP VENTURE’S SIMILARITIES AND
DIFFERENCES
There are different types of entrepreneurship venture those share some similarities and
differences between them:
Differences between the entrepreneurship ventures:
Basis Large Company
Entrepreneurship
Lifestyle Ventures Social
Entrepreneurship
Ventures
Scope These types of
ventures have a good
scope with greater
measurability (Lerner
et al., 2018).
These ventures
usually have a small
scope.
They have more
scope (Chell et al.,
2016).
Market share The market share of
this type of venture is
substantial.
These ventures have
little market share
(Aggestam and
Wigren, 2016).
The market share for
the improvement is
realistic.
Risk The risk involved is
temperate.
They involve a small
risk.
There is a higher risk
involved.
Goal The goal of the
venture is to attain
huge profit and
emphases on
maintaining the
existing status.
The sustainable profit
earning is being
focused to fulfil the
daily requirements.
The goal of the
enterprise is the
welfare of society.
Employment
generation
The employment
generation possibility
is greater (Lerner et
al., 2018).
As these ventures
have the small
investment they
generate very low
employment
(Aggestam and
Wigren, 2016).
They usually have
more employment
generation (Chell et
al., 2016).
Skills and Technology The higher technology
and greater skills are
being used to
perform the day to
day operations.
The individual’s skills
and technology used
are restricted.
For the benefit of
society, advanced
skills and technology
are being used.
Economic
Contribution
The contribution to
the economy is
superior (Lerner et al.,
2018).
They do not
contribute much to
economic growth
(Aggestam and
They contribute large
Proportion to society
(Chell et al., 2016).
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Wigren, 2016).
Similarities between the different entrepreneurship ventures:
Innovation and creativity in ventures:
The entrepreneurship venture's key factors are innovation and creativity. All the
entrepreneurship ventures start on this basis that helps them to fight with the market forces.
Market understanding:
To attar the new venture, it is important for all the entrepreneurship ventures to understand
the needs and demand of the new market and customers to serve according to their
expectations (Roundy et al., 2017).
Risk involved:
Another main factor or similarity of the entrepreneurship business is the risk involved in those
ventures. No venture can start without having any risk in that business. The risk is the main
factor that motivates entrepreneurs to work hard and achieve their predefined goals and
objectives (Hoogendoorn et al., 2017).
Growth introduction:
Almost all the ventures are ready to accept change that will help their enterprise to grow and
develop. All types of entrepreneurial ventures have many opportunities to grow and develop in
the market. The new and advanced technologies and skills are being used to bring changes for
the better performance of the enterprise.
Customer satisfaction:
Most of the entrepreneurial ventures aim at providing the best quality goods and services to
satisfy their customers. The customer satisfaction is the need for almost all the
entrepreneurship ventures (Roundy et al., 2017). The social, lifestyle and growth types of
entrepreneurial ventures provide services in an operational manner to the customers.
Exposed to change:
The various entrepreneurship ventures are ready to accept the changes that come in their way.
Through accepting changes they try to bring advancement in their business so that they can
fight with the intense competition in the market. Thus the change they accept helps the
enterprise to motivate themselves for the improvement to achieve success.
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These are the various similarities and differences of the different entrepreneurial ventures that
help them to move forward toward success.
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EVALUATING THE IMPACT OF THE LARGE, SMALL MEDIUM BUSINESS ON THE
ECONOMIC DEVELOPMENT BY USING STATISTICS AND DATA
The UK's economy is highly influenced by the contribution of the Micro and Small businesses.
The micro and small business in the UK is increasing and they are contributing the large portion
to the economy. These businesses have usually less than 250 employees and they do not need
higher investment but are providing more returns (Glover et al., 2017).
As shown in the figure below that the small and medium enterprises have funded largely to
economic development:
FIGURE 2: SHOWING THE ECONOMIC CONTRIBUTION OF THE SMALL AND MEDIUM
ENTERPRISES TO THE ECONOMIC DEVELOPMENT
[Source: Glover et al., 2017]
The figure clearly shows the contribution of the SME’s to the UK’s economy that the different
sectors have benefited from them. The largest contribution is to the Personal and social service
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activities that are 83% and the other contributors to the other sectors are also significant
(Burns, 2016).
The SME's are also responsible for generating a large number of employment chances.
FIGURE 3: UK’S ECONOMY BENEFITTED BY THE SMALL AND MEDIUM ENTERPRISES.
[Source: Rhodes, 2015]
It is shown in the figure that 70.5% of the small businesses in the UK are contributing to
economic development. These contributions help the economy to grow at a faster rate. The
advantage of having more small and medium enterprises is that they do not need large
investment but they aim to return the higher amount (Rhodes, 2015). The contribution by the
medium enterprises is 19.8% and the large enterprises are providing only 9.7%. The small
enterprises also help in minimizing the inflation rate and thus help in improving the GDP of the
country. Hence this is clearly understood that the medium and small enterprises are
contributing the large proportions for the growth and development of the UK’s economy
(Rhodes, 2015).
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