Entrepreneurship

and Small
Business
Management

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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Explicate types of entrepreneurial ventures and ways in which they associate to typology
of entrepreneurship.................................................................................................................3
P2 What are similarities and difference in between entrepreneurial ventures.......................4
TASK 2............................................................................................................................................7
P3 Interpretation of relevant data and statistics for illustrating ways in which micro and small
business influence economy...................................................................................................7
P4 Explicate small business and business start ups with respect to growth of the social
economy.................................................................................................................................8
TASK 3............................................................................................................................................9
P5 Determination of characteristic traits and skills of successful entrepreneurs...................9
P6 Assessment of aspects of entrepreneurial personality on mindset and motivation.........10
TASK 4..........................................................................................................................................10
P7 Examine different ways by which background and experience can foster entrepreneurship.
..............................................................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................13

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INTRODUCTION
Entrepreneurship refers to process of launching, designing and running of new business.
People who are responsible for setting up these businesses are known as entrepreneurs. It is a
capability for creating a business thereby taking a risk so that profit can be made (Ács, Autio and
Szerb, 2014). Small business are essential part for increasing economy of country, new ideas of
entrepreneurs are supported by government up to great extent. This report is based on
entrepreneurship and small business management. It comprises of different types of
entrepreneurial ventures, similarities and differences among them. Moreover, impact of micro
and small businesses on economy has been interpreted. Their importance, characteristic traits and
skills are identified. Apart from this, ways in which personality of entrepreneur impact mindset
of people is assessed and manner in which experience can prevent entrepreneurship is covered.

TASK 1
P1 Explicate types of entrepreneurial ventures and ways in which they associate to typology of
entrepreneurship.
Entrepreneurship is creative process in which new business is set up by making use of
effectual and innovative ideas. By making use of limited number of resources entrepreneur has to
make their business successful. They must take risk and should not remain confined by which
they can make their contribution in national as well as local economy. Types of entrepreneurial
ventures are mentioned below:
Small business entrepreneurship: UK has large number of small businesses. It has been
found that UK has high rate of evolution of small business entrepreneurs. These businesses are
run by small number employees, owners, family members or friends. Examples are small

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production houses or internet cafes (Blackburn, Hart and Wainwright, 2013) (Bosma and et. al.,
2012).
Scalable start-up entrepreneurship: In this entrepreneurs aims at creation of innovative
and qualitative services or products. In this entrepreneur have full confidence on their idea and
they believe that by this they will be able to gain high profits. For expanding their businesses
they need capital investment.
Large company entrepreneurship: These organisations have finite life cycle in which
focus is to furnish new products by which they can retain customers as well as stay within
market for longer time frame and remain competitive (Bridge and O'Neill, 2012).
Social entrepreneurship: Entrepreneur focus on creation of services and products for
enhancement of societal and population systems. Entrepreneur converts their idea into products
which will lead to progress within society.
Typologies of entrepreneurship ventures:
Topology refers to categorization and representation of things as per particular examples
with respect to their plan, style, form and structure. Different types of topologies are defined
below:
Survival Ventures: They are indulged in fulfilling basic necessities. These businesses are
not registered and they do not carry out their business activities within their office or premises.
They do not possess any kind of banking history and they make use of limited resources for
carrying out operations (Choi and Majumdar, 2014).
Lifestyle Ventures: They are formed to attain high level of productivity. They possess
fixed number of employees and they are mainly small business organisations. They do not
expand and are not capable of growth.
Managed Growth Ventures: Their aim is to achieve stable growth and expand
themselves within market. They are medium sized organisations which are in continuous
reinvestment mode.
Aggressive Growth Ventures: They make use of technology to attain innovative
potential. By utilisation of equity capital more exponential growth can be attained. By this they
will be able to take their business into global market.

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P2 What are similarities and difference in between entrepreneurial ventures
By making use of diverse types of elements, similarities and differences of an activity and
task can be efficiently carried out (Chrisman and et. al., 2012). There are some certain
differences and similarities between entrepreneurial ventures:
Types of enterprises Similarities Differences
Small v/s Large Business  Business enterprises  Suitable isolation in
enterprise both small and large between large scale and
execute their functions small business
by contribution of all enterprises can be
possible reimbursement successfully carried out
to their consumers by by evaluation of their
making certain their financial conditions.
definite demand and Like, large scale
needs in a best efficient organisations control
way (Decker and et. al., their business with
2014). massive ratio of fund in
 Enterprises within order to efficiently
small and large carry out their
business enterprises everyday business
accomplish operations activities. While on the
to offer best valuable other hand, entities
and qualitative services within small enterprises
in order to accomplish execute their business
their targets and operation with
objectives in specified restricted source of
manner. resources and capital.
Social v/s Scalable  Business entities within  Social enterprises
Enterprise social and scalable perform their business
enterprises mainly operations with a
accomplish their usual influential aim to offer
business function with welfare services to

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 a purpose to put consumers (Drucker,
forward welfare 2014). On the other
services to society and hand, entrepreneur of
individual. scalable enterprises
 Entities employ perform their business
themselves in process functions with a
of creation of broad purpose to have
range of new and trenchant and
innovative ideas in innovative offerings for
order to supply people their probable
with enhanced customers.
beneficial services as to  Entrepreneurs in
make their life simpler scalable enterprises
(Fassin, Van Rossem carry out their daily
and Buelens, 2011). operations while
 Enterprises like social satisfying large number
and scalable execute of customers in order to
their business functions amplify profitability of
with a intention to raise enterprise. While on
their business within the other hand,
short interval of time entrepreneurs of social
period by contribution enterprises efficiently
of best effective achieve their business
services. operations as to solve
diverse types of issues
that are being faced by
individuals.
Lifestyle & survival Ventures like survival and In lifestyle venture
Entrepreneurial Venture Lifestyle manage their routine entrepreneurs run their
functions with an intention to business functions according
receive huge profit along with to their passion and interest.

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 sustainable growth. In addition They execute their business
to this, these ventures also process as per their area of
intend towards creation of interest (George and Bock,
elevated end goodwill within a 2011). Like fashion bloggers
marketplace. and travel bloggers. While,
entrepreneurs form survival
venture accomplish their
business operations to make
certain their long term
sustainability within market.

TASK 2
P3 Interpretation of relevant data and statistics for illustrating ways in which micro and small
business influence economy.
Micro and small businesses are very significant for a nation, as they offer sufficient
number of remuneration to them, and also play an enormous role in expansion of a nation (Islam
and et. al., 2011). United Kingdom is one of the largest and leading nations of the world, which
is healthy developed and an also supply enhanced a business environment, where any person
with some new idea can come up with it and perform their functions, thereby resulting in
conversion of idea into reality. This all has assisted UK to become a nation which uses to present
a good business environment for new start-ups or ventures. By this they can begin their business
and also can carry out their activities in very effectual manner, by which they can earn some
profitability and also can grow their business in local market. UK is a core of small and micro
businesses, and nearby 4.1 billion small and micro business firms used to carry out their
operations in such business environment. Also they use to create massive influence on economy
of nation which will aid them to grow with high speed (Aspects of Entrepreneurial personality,
2017). As they use to enormous amount of revenue for nation, which directly creates impact on
the GDP of nation. Graph shown below illustrates it very clearly that around that 87 percent of
entirety economy has been supplied by small and micro businesses which has caused significant
impact on their GDP by around 6.1 percent.

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 (Source: Impact of Economy on UK, 2018)
Along with this, there are abundant numbers of reimbursement which they use to render
with in society, which also creates an impact on the economic conditions of nation as well as
society. As this aids society of UK to get job prospects at very immense amount, by which they
can give their effort within job and earn some money for satisfying their daily basic needs. The
job opportunities which are provided by small and micro businesses are for minor sections of
society and are for untrained and unqualified persons within society (Kirzner, 2015). This all aid
nation to improvise there employment rate, by which enormous rate of economy can be
generated. Also, it will assist them in creation of enhancement to life style of people from minor
or inferior sections of society, so that they can raise their living standards and also accomplish
their daily needs.

P4 Explicate small business and business start ups with respect to growth of the social economy.
Small and micro businesses use to play a significant role with in expansion of nation in
all social as well as economical aspects. As they facilitate them to attract sufficient number of
customers en route for their products and services which are being offered by them, so that they
(minor sections of society) can benefit from those products and services at very little cost. This
all will assist organisations to generate large amount of revenue and also aid them in achieve
enormous probability in terms of profitability (Kiss, Danis and Cavusgil, 2012). Also, it will
direct them towards growth, development and expansion of their business at market place,
thereby contributing to development of nation's economy. Along with this, it will aid them to
attract different currencies of their as well as of different nations by serving tourists and

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providing enhanced career options for individuals. These all will lead to increment in economy
of the nation, which they can use for expansion and development of nation. Along with this, an
extra advantage which they render for social economy is massive employment rate. Small and
micro business has opted to hire employees to complete their goals at low wages, by which their
cost of production will remain small. For this, they are used to hire employees from weaker or
inferior sections of society who will easily agree to work and also these people are uneducated
and do not possess lots of knowledge. Also this assists them to make work force whose cost is
very low and also have skills to work in effectual manner (Kuratko, 2016). This all facilitate
people who are uneducated and are from lower section of society to earn their basic living
requirements and improve their standards of living by earn some thing. By this they will be able
to attain money for satisfying their daily basic needs. Also, earning money will assist them to
make some relevant enhancement in their living standards and also give some reimbursement
towards their life style. This all will assist these type of employees to get opportunities by which
they can come become equal section of society to contribute to well being of nation.

TASK 3
P5 Determination of characteristic traits and skills of successful entrepreneurs.
Every individual possess various traits and skills which makes them different from each
other. It is necessary for an entrepreneur to remain up to date with time so that they can enhance
their skills and capabilities (Ács, Autio and Szerb, 2014). Some traits of entrepreneur comprises
of capabilities, adaptability, confidence, knowledge, etc. With respect to this, skills and
characteristics of entrepreneurs is mentioned below:
Peter David Jones
He is British entrepreneur who has created there own academy in which young people are
taught skills of entrepreneurship. Attributes and skills have been mentioned below:
Characteristic of Peter Jones:
Passionate: It is one of the best attribute which is possessed by an individual. It assist
them to increase probability of success in effectual manner. Peter Jones is very passionate about
their profession, this can be understood by number of times they have taken risk due to which
there was loss of around 200,000 euros.

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 Innovative Thinking: Entrepreneurs possess this characteristic it can be in any field either
property, retail, gadgets or anything. By this entrepreneur can realise their skills and Peter Jones
has started teaching this aspect to young people (Blackburn, Hart and Wainwright, 2013).
Skills of Peter Jones:
Time management: For carrying out business it is necessary to have this skill as it will
assist in accomplishment of goals within appropriate time frame. Peter Jones make sure that they
manage their work as given time and utilise extra time by teaching young entrepreneurs.
Confident: It assists entrepreneur to make their business prosperous. High level of
confidence assist in accomplishment of tasks in trenchant way thereby leads entrepreneur to
attain their objectives and goals.

P6 Assessment of aspects of entrepreneurial personality on mindset and motivation.

Each individual has their own characteristics which make them different from others and
allows them to push themselves by which they can attain their targets as well as goals. To have
their own personality individual must acknowledge their skills.
Openness: People who are open to learn, gain experience up to high extent. By this they
will be able to possess insightful, imaginative and wide range of interests. This will lead to high
sales which in turn enhance productivity (Bosma and et. al., 2012).
Conscientiousness: For carrying out business operations in appropriate manner,
entrepreneur needs to be completely aware about what they are about to do and how it can be
carried out so that success can be attained. For this they also need to have conscious mind and
must be adaptable to changing environment.
Extraversion: Individuals possess traits such as excitability, talkativeness and sociability.
Individuals possess broad level of introversion towards people surrounding them but people who
have lower level of extraversion signify that they are reserved and are not open.

TASK 4
P7 Examine different ways by which background and experience can foster entrepreneurship.
Entrepreneurship refers to process of development, intuition, organisation, management
and execution of successful venture. It is the willingness and capacity of individual to initiate and
formulate innovative ideas by which they can carry out their operations smoothly (Bridge and
O'Neill, 2012). Entrepreneur is also called innovator who have knowledge of different aspects

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through which they can have innovative ideas. Each entrepreneur possess different qualities like
openness, passion, creativity, risk taking and there are many more. The abilities of entrepreneur
are dependent on different factors, they are mentioned below:
Education: It is an important factor for an individual as idea can be generated by that. It
will assist to take into account different factors and analyse their impact. Entrepreneurs have
developed their mind by working at younger age (Choi and Majumdar, 2014). To understand this
take an example of Simon Cowell, they have learned music from their family. Their father was
property developer and mother was ballet performer.
Family background: It has great influence on minds on entrepreneurs. An individual
who has been brought up within challenging environment knows how to react in specific
situation and ways for handling it. Like Simon Cowell has gone through various hardships in
their life but this all lead them to grow as an individual.
Social Networks: It assists in development of experience along with good relations with
others for the rationale of gaining knowledge. The social network plays an imperative function
within life of an entrepreneur (Chrisman and et. al., 2012). Skills are improved by individuals by
making contacts with other people and by acquisition of more experiences by taking into
consideration the manner in which ideas of social networking are carried out. In case of Simon
Cowell, established relations in the social networking assist in creating impact on different
people.
Thus, it can be said that family background education and with social networks plays a
significant function which manipulates the way of carrying out innovative ideas as well as helps
them to become the successful entrepreneurs.

CONCLUSION
From the above report, it can be concluded that entrepreneurship is related with
presumptuous of risk which is involved with the unique and innovative idea that can transform
entire world. This present report is interrelated to concept of entrepreneurship in comprehensive
manner which contribute in the direction of economic development and growth in effectual
manner. Business venture is categorized into diverse types such as small, micro, medium and
large sector enterprises which assist to confine to a large share of market and further leads
towards economic growth in trenchant way. Therefore, it is vital for entrepreneurs to have
appropriate skills, knowledge and must have appropriate qualities with respect to confidence and

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decision making skills by which business activities are carried out in valuable manner.
Moreover, to achieve best possible ending history, background and past experiences will
facilitate entrepreneurs to enclose their business ideas consequently.

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REFERENCES
Books and Journals
Ács, Z. J., Autio, E. and Szerb, L., 2014. National systems of entrepreneurship: Measurement
issues and policy implications. Research Policy. 43(3). pp.476-494.
Blackburn, R. A., Hart, M. and Wainwright, T., 2013. Small business performance: business,
strategy and owner-manager characteristics. Journal of small business and enterprise
development. 20(1). pp.8-27.
Bosma, N. and et. al., 2012. Entrepreneurship and role models. Journal of Economic Psychology.
33(2). pp.410-424.
Bridge, S. and O'Neill, K., 2012. Understanding enterprise: entrepreneurship and small
business. Palgrave Macmillan.
Choi, N. and Majumdar, S., 2014. Social entrepreneurship as an essentially contested concept:
Opening a new avenue for systematic future research. Journal of business venturing.
29(3). pp.363-376.
Chrisman, J. J. and et. al., 2012. Family involvement, family influence, and family‐centered non ‐
economic goals in small firms. Entrepreneurship theory and practice. 36(2). pp.267-
293.
Decker, R. and et. al., 2014. The role of entrepreneurship in US job creation and economic
dynamism. Journal of Economic Perspectives. 28(3). pp.3-24.
Drucker, P., 2014. Innovation and entrepreneurship. Routledge.
Fassin, Y., Van Rossem, A. and Buelens, M., 2011. Small-business owner-managers’ perceptions
of business ethics and CSR-related concepts. Journal of Business ethics. 98(3). pp.425-
453.
George, G. and Bock, A. J., 2011. The business model in practice and its implications for
entrepreneurship research. Entrepreneurship theory and practice. 35(1). pp.83-111.

Islam and et. al., 2011. Effect of entrepreneur and firm characteristics on the business success of
small and medium enterprises (SMEs) in Bangladesh. International Journal of Business
and Management. 6(3). p.289.
Kirzner, I. M., 2015. Competition and entrepreneurship. University of Chicago press.
Kiss, A. N., Danis, W. M. and Cavusgil, S. T., 2012. International entrepreneurship research in
emerging economies: A critical review and research agenda. Journal of Business
Venturing. 27(2). pp.266-290.
Kuratko, D. F., 2016. Entrepreneurship: Theory, process, and practice. Cengage Learning.

Online
Aspects of Entrepreneurial personality. 2017. [Online]. Available through:
<http://smallbusiness.chron.com/important-small-businesses-local-economies-
5251.html>.

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