Entrepreneurial Ventures: Typology, Impact on UK Economy & Growth

This report provides an overview of entrepreneurship and small business management, focusing on different types of entrepreneurial ventures and the typology of entrepreneurship. It explores the similarities and differences between various ventures, highlighting the impact of micro and small b...Read More

Entrepreneurship and
small business
management

INTRODUCTION...............................................................................................................................2
TASK 1.................................................................................................................................................2
P1 Different type of entrepreneurial ventures and explain how they are related to typology of
entrepreneurship................................................................................................................................2
P2 Explore the similarities and differences between entrepreneurial ventures...................................3
TASK 2.................................................................................................................................................6
P3 Impact of micro and small businesses on the economy................................................................6
P4 Explain the importance of small business and business start-ups to growth of social economy. . .7
CONCLUSION....................................................................................................................................7
REFERENCES....................................................................................................................................8

INTRODUCTION
Entrepreneurship is related to phenomenon of setting up and managing new ventures
while making assumptions of each and every financial responsibility related to it. In addition
to this, small businesses are backbone of economy as they provide boost to economic
activities and have wide contribution in GDP (Belz and Binder, 2017). For better
understanding of entire concept respective report will be going to discuss different type of
entrepreneurial venture as well as typology of entrepreneurship. In addition to this,
similarities and difference between entrepreneurial ventures will elaborate. Moreover, there is
wide impact of micro and small business on economy as well as growth of social economy
that will understand in better manner through presentation.
TASK 1
P1 Different type of entrepreneurial ventures and explain how they are related to typology of
entrepreneurship
Entrepreneurial is business which developed for providing distinct type of products and
services to customers and can earn profitability. There are distinct type of entrepreneurial
ventures explanation of these are as follows :-
 Large business entrepreneurship – It is related to large or multinational organisation
which perform activities related to business within wide market area. Moreover, large
business entrepreneurship have large number of employees whose their full
capabilities for accomplishing desired goals and objectives. They invest more capital
for performing organisational practices in effective manner. Examples, Tesco, Marks
and Spencer and so on.
 Scalable start up entrepreneurship – It involves organisation which have more growth
in comparison of other companies in market area (Sebikari, 2019). Scalable
organisation do business activities for providing new and innovative services to
customers. Moreover, scalable start up entrepreneurship have vision and mission to
change through offering different creative products to customers.
 Social entrepreneurship – This type of organisation provides products and services for
social benefits. Moreover, social entrepreneurs are conducting business operations for
earning profitability but behind this motive of such organisation is to meet need of
society and citizens both. For instance, NHS, Oxfam and many more.

 Small business entrepreneurship – This kind of entrepreneur are explained as business
which performing organisational activities within small market and their motive
behind this is to provide products and services which result in earning basic amount
for their living. Although, small business involves hairstylist, consultancy, vegetable
sellers and many more.
Typology of entrepreneurship - This team is use for describing as classification of
entrepreneur within distinct part according to the growth, survival and lifestyle of firm.
Explanation of entrepreneurship typologies on the basis of entrepreneur venture are as
follows:-
 Growth firm – It is an organisation which perform activities for earning more profit
and gaining success (Oni, Agbobli and Iwu, 2019). Although, growth firm involves
business that have high growth rate in comparison of other companies in industry. Lifestyle enterprises - Business in this category perform organisational practices as
well as provide distinct opportunities behind this their motive is to increase revenue of
individuals. Lifestyle enterprises mainly focus on living standard of society or citizen.
 Survival firms – Motive of survival firms to earn only basic amount for their survival.
Moreover, these are generally small ventures which mainly focusing on enhancing
goodwill of company in market area for their long-term survival.
P2 Explore the similarities and differences between entrepreneurial ventures
There are numerous entrepreneurial ventures which have several similarities and
differences among them explanation of these are as follows :-
Similarities
Basis Large Business Scalability
enterprise
Social
Enterprise
Small business
Full filling
customers’ needs
Large business is
providing distinct
kind of products
as well as
services to
customers
accomplishing
need and wants in
This type of
organisation is
developing and
creating
innovative
products and
services which is
significance for
The rationale of
social venture is
to offer items or
directing
administrations
that will have
huge effect on
requirements and
This includes
small companies
which is located
nearby or offering
its products to
small market area.
This type of
organisation aims

better manner
(Fayolle, Verzat
and Wapshott,
2016).
full filling the
requirement of
customers.
needs of clients.
This kind of
association in
performing
business exercises
for upgrading
expectation for
everyday
comforts of client
by addressing
their
requirements.
at satisfying
customers
requirement by
offering high
quality products
and fast services
to customers.
Developing
strong brand
image
Large or
multinational
organisation is
conducting
different types of
activities and
practices in order
to develop strong
brand image.
This type of
business in
providing
different and
innovative
products to
customers with
the motive of
enhancing brand
image in market
area.
Social enterprise
are offering
services or
products in order
to enhance living
style of society
and its citizens.
For this, different
activities are
performed by
social business in
order to enhance
its brand image
and value in
society.
Small business
are providing
high quality
products and
focusing in
enhancing
relationship with
its potential
customers for
improving the
brand image in
market area
where it is
providing its
products.
Differences
Basis Large Business Scalability
enterprise
Social
Enterprise
Small business
Purpose The main purpose Scalability This company is Small business

of large
companies in to
develop and
growth its
business
operation in large
market area
(Murphy, Tocher
and Burch, 2019).
This type of
companies is
focusing on
increase revenues
and profits.
enterprise
purpose is to
develop and
create high
quality products
and services
which is different
and unique.
not performing
organisational
activities to earn
profit but its
purpose is to
enhance living
style or standards
of individuals.
purpose is to earn
basic living that is
sufficient for
survival or
livelihood of
owner and its
family.
Scale This type of
organisation has
large scale for
operating and
conducting
business
activities.
This type of
companies is
offering its
innovative and
creative products
to niche market
area.
Social companies
are operating in
local market area
and focusing of
resolving issues
of society or
citizens.
Small scale
business have less
market area in
comparison of
large scale and
they offering
product and
services to lower
scale market.
TASK 2
P3 Impact of micro and small businesses on the economy
It has been evaluated that small and micro business plays important role in UK
economy. Organisation within respective sectors acts like backbone of nation as they
contribute in employment generation and GDP growth of country (Zin and Ibrahim, 2020).
As per the report evaluation of Department of business, innovation and skills ha been
identified that small and micro segment contributing approx. 15.6 million jobs opportunities
which not enhance per capita income growth but also enhance living standards of people in

effective manner (The Role of Start-ups and Small Businesses in Today’s Economy. 2018).
Moreover, its has been identified that, small and micro scale business have major
contribution in growth and innovation of UK which enhance nation economic sustainability
in international market. Along with this, it has been determined that micro and small level
business have their major contribution in United Kingdom employment i.e., approximately
99.9% of overall UK business that are classified as SMEs. Whereas, on the other hand
medium size business have up-to 0.6% that constitutes about 50-259 workers.
Alongside this, on the off chance that it is found regarding SME turnover by area in
United Kingdom business it has been assessed that development industry is having most
noteworthy proportion of critical degree of commitment in UK organizations (17.68%).
Moreover, retail associations in little scope business workers proximately 18.4% private area
representatives and adequately delivers up to 33.7% of all United Kingdom ventures
turnover.

P4 Explain the importance of small business and business start-ups to growth of social
economy
Start-up business both are important element of UK economic growth because they
are generating maximum number of employment opportunities that automatically results in
enhancing living standard of people. Below mentioned are some aspects in that small and
start-ups business play important role explanation are as follows:-
 Job creation - has been determined that there are several type of fundus trees which
are conducting their business operations in small business and start-ups (Doern,
2016). All these are providing large number of employment opportunities to
individual which result in development of economy as well as automatically and
hence social economic growth also in effective manner.
 Improve living standards - true offering effective amount of employment
opportunities by small and start-ups business result in improving living standard of
individual. As it has been determined that UK have 99.9% business operating as small
and medium scale Enterprises which result in generating 50% of country turnover.
This highly result in increasing living standard of people by increasing per capita
income level of country.
CONCLUSION
After going through entire discussion it has been summarised that entrepreneurship is
most important for economy of a nation. This is concerned with set-up of entrepreneurial
ventures through entrepreneurs for the purpose of gains while assuming liabilities. Along
with this, there are several entrepreneurial ventures that are similar as well as different from
one other on the basis of numerous factors. Although, micro and small business have major
impact on economy in its growth and development.

REFERENCES
Books and Journal
Belz, F. M. and Binder, J. K., 2017. Sustainable entrepreneurship: A convergent process
model. Business Strategy and the Environment. 26(1). pp.1-17.
Doern, R., 2016. Entrepreneurship and crisis management: The experiences of small
businesses during the London 2011 riots. International Small Business Journal. 34(3).
pp.276-302.
Fayolle, A., Verzat, C. and Wapshott, R., 2016. In quest of legitimacy: The theoretical and
methodological foundations of entrepreneurship education research. International
Small Business Journal. 34(7). pp.895-904.
Sebikari, K. V., 2019. Entrepreneurial performance and small business enterprises in
Uganda. International Journal of Social Sciences Management and Entrepreneurship
(IJSSME), 3(1).
Oni, O., Agbobli, E. K. and Iwu, C. G., 2019. Entrepreneurial Orientation and Performance of
Small Business in Vryburg Region North West Province South Africa. Journal of
Reviews on Global Economics, 8, pp.63-71.
Murphy, G., Tocher, N. and Burch, T., 2019. Small business owner persistence: Do personal
characteristics matter?. Journal of Small Business Strategy, 29(1), pp.99-114.
Zin, M. L. M. and Ibrahim, H., 2020. The Influence of Entrepreneurial Supports on Business
Performance among Rural Entrepreneurs. Annals of Contemporary Developments in
Management & HR (ACDMHR), Print ISSN, pp.2632-7686.
Online
The Role of Start-ups and Small Businesses in Today’s Economy. 2018. [Online]. Available
Through:<https://www.market-inspector.co.uk/blog/2017/05/facts-about-small-
medium-businesses-in-the-uk >.