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Entrepreneurship and Small Business Assignment Sample

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Entrepreneurship and Small Business Assignment Sample

Introduction

Entrepreneurship can be termed as the way to set the business with handling various risks like financial or it can be managerial. The different types of entrepreneurial ventures mainly has different level of ownership and they require to have some of the skills along with the characteristic for managing the growth of business (Burns, 2016). This report is going in focus on the skill and mind-set of people for setting up business with the level of experience and their performance in the past activities which can affect the business. At last, it covers the different environment which can foster or hinder the entrepreneurship.    

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Lo1: The range of ventures types in London

Types of Ventures and relate it to the typology of entrepreneurship

There are different entrepreneurial ventures are as follows:

  1. Scalable start up entrepreneurship: In this type so business, they start with innovative and new ideas and their main concentration is on offering innovative products from initial level. They believe that their opinions can make changes in the world and it include various investments from different venture capitals. However, these type of business looking for great mind for business and tend to create a scalable model for the business.
  2. Small business entrepreneurship- The small businesses are execute by the less number of employees and the owner itself for the practices. However, the main focus is on to get more and more clients by enhancing growth in the products and services. Along with this, the revenue is low as they are running their business with some family members as well as the partners (Schaper, and et.al.,2010). The ideas of small businesses are providing some innovative products for enhancing growth in the marketplace.
  3. Large company entrepreneurship- The large businesses have huge life cycle and they mainly concentrates on offering innovative products and services in order to manage sustainability in the business. However, there are many changes in the demand of customers day by day due to the competition and they are forced by legislation to develop new products for the new marketplace.
  4. Social entrepreneurship- The social entrepreneurs are mainly focused towards solving social problems by providing the products and services. They also create better world for the people and it can be profitable for the business.

Relationship with the typology- All of the entrepreneurial venture are highly connected with the typologies in some manner. In this, the scalable entrepreneurship can be connected with the lifestyle venture and the social business mainly linked with the growth of the enterprise. It will helps to gain success of the venture in marketplace. There are different types of typology that can be related to the entrepreneurship venture which are as follows:

Survival entrepreneurs- These are the people who mainly starts their business for earning money in order to manage the livelihood. For instance, the grocery shop, coffee shop etc. It is considered to be the basic necessity of the people (Bridge, and O'Neill, 2012). They do not want to earn much profit and not taking any risks. It is considered as a slow growth of the business in comparison with the scalable venture. 

Lifestyle ventures- These type of typology provides huge profit to the business and scalable entrepreneurs are highly linked with the enterprise as the goal is to develop some ideas with huge profits. It will help to make expansion in the business as well as diversification of the activities. This venture can manage a different image in the public.

Managed growth business- The business includes individual who earn huge revenue and the social entrepreneurs are mainly linked with the venture to do the social welfare activities (Scarborough, 2016). The aim is to provide wide range of benefits to the people by creating unique products and services to manage the growth of the business.  

            Thus, all of the entrepreneurial ventures are related to the typologies and it shows that there is requirement of different types of services to the wide range of diverse customers.

Similarities and dissimilarities between entrepreneurial ventures

Factors

Scalable business entrepreneurship

Small business entrepreneurship

Large company entrepreneurship

Social entrepreneurship

Aims

The aim of this business is to offer innovative and new products for a long period and to achieve the high level of profitability for the numbers of investors (Molotkova,and et.al.,2019).

These type of business might not have any structured goals as well as objects and they work on gaining less profit and growth.

The aim of this organization is to sustain in the marketplace by developing innovative products and services along with enhancing their marketing strategies.

The objective of this organization is to provide good quality of products and services to make a good image in the world.

Risks

In this, the risk level is high due to huge financial investment along with the pressure to earn an appropriate return for gaining sales volume.

There is low risk as well as high level of competition with the same size of the business.

There is low risk in large business as they are able to manage the sale of high volume because of brand value.

There is low risk in business as they are getting support from the government as well public because of their good cause.

Structure

It includes corporation or limited partnership.

There is no actual or proper structure and sometimes it runs with sole proprietorship.

The structure of large business is complex whether it can be public or private.

These organization mainly based on the trustee.

Number of Employees

It depends on the size as well as structure.

There are not more than 50 employees.

There are more than 1000 employees.

It is depend on the size of the business.

 

Investigate diverse range of entrepreneurial venture for understanding the entrepreneurship in public and corporate sector and examine Scope and development of entrepreneurial ventures

In Corporate Sector- The organisation run privately and they own their business individually. The business make marketing strategies to offer quality services for enhancing the level of profit. There are many scalable as well as large entrepreneurial venture are associated with the corporate sector for sustainable development (Bartik, and et.al.,2020).

In public sector- These organisation are directly or indirectly controlled by the government as their huge investment in public sector organisation and get strategic help from private sector organisation. These organisation serve in different fields and their goal is to offer quality products to the wide range of customers. Thus, the businesses not require to emphasise on the profitability and their aim is to welfare of public. 

Scope and Development of entrepreneurial ventures-The entrepreneurial ventures are similarly significant or each level of company. There is increase in the scope and development in each sector and there is decrease in the recession in the UK. However, the vision and objectives of various entrepreneurial ventures are different which can affect the scope if the organisation (Zandiatashbar, and Hamidi, 2018). Those organisation can sustain in market for a long period and generate profit if they meet the requirement of customers as per the innovative ideas. They are require to concentrate on the growth of getting investment and develop a plan for the products and services related to the trend and demand. They are essential to grow an actual organizational structure, which can improve communication with dissimilar department to route its consistent activities. The development of dissimilar entrepreneurial ventures is reliant on their superiority of products and services, how much they can encounter the request of the customers, valuing and maintainable strategies.

Lo2: Impact of small business on the economy

Illustration on how micro and small business impact on the economy

In all of the industries, there is high capture of micro and macro business and it has huge contribute towards the economy of a country. Over a time, there is increase in the number of micro and macro businesses which helps to generate huge revenue by offering various products and services to the customers. In a medium sized business, there are approximately 300 employees which are selected for some particular fields in the micro business (Birley, and Stockley, 2017). There is increase in the number of industries along with increase in the opportunities which can affect the people positively.

Figure 1: Comparison of SME's and large businesses in the UK

As per the above image, the small business are more in the various industries, which is nearly more than 4.5 million which are established in the UK. It is mostly 99% of all of the businesses in the UK. Further, this highly contributed towards the GDP by the small business. In the business, the 96% is micro business with 0-9 employees. Thus, the businesses provide many employment and enhancement in the level of turnover (Frigotto, and Valle, 2018).

Figure 2: Share of businesses in UK

As per the graph, the number of small and micro industries is considerable higher than medium as well as large industries in the UK. Small and micro businesses earn 33% of turnover and give an employability about 48% within the UK. The overall fact is there is increase in the number of business and it outcomes as the opportunity for young generation.

Figure 3: Micro and Small businesses in UK

In this, the micro and small businesses are mainly categorised as the innovator, non-innovator, exporter as well as non-exporter. The business generate revenue with the help of innovation and export products outside and get foreign currency by contribute towards the economy of UK.

            In UK, the small businesses are more than the large business and they capture huge market by contribute towards the economy. On the other side, the large business earn high profit by offering quality products through brand value.

Importance of small busies and business starts ups to the growth of social economy

There is a huge influence of small businesses in the various counties for managing the growth of the social economy. Sometimes, the start-up business came with new ideas of services, which can meet the needs of the people in comparison with others (Yusubova,  Andries, and Clarysse, 2019). Other than this, the capacity of small business to capture the market is very fast and they can handle to generate high revenue in a short period of time. The process includes that the businesses are required to give a huge amount of tax, which is helpful for the growth of the country. Further, the successful running of the business is based on the good quality of employees hired by the management that reduces unemployment in the UK. There are different start-ups which give high salaries to their employees because of the lack of capital and there are some fewer knowledge employees with a low salary which solve the problem of a decrease in unemployment. Further, many start-ups are related to diverse kinds of CSR actions connected to social, ecological and financial difficulties to improve brand value. In this process, those businesses deliver teaching to individuals in rural areas or persons with the deprived monetary background (Morris, and et.al., 2018). Thus, people can practice that teaching in upcoming to get effort that is also obliging in financial growth. Separately from this, there are many start-ups businesses are recognised in diverse industries in the UK that contribute towards the growth of the GDP in the economy.

 In addition to this, the start-up businesses essential to have a considerable effect in the various countries for sustaining the growth of social economies. The businesses mainly came up with new and innovative ideas for solving issues of the business. These businesses are considered as the backbone of the economy and play a huge role in order to fulfil the social as well as business demands. They provide quick services and considered as the easiest option for an individual for shopping. However, they give equal opportunity to both skills as well as unskilled people which helps to reduce the level of unemployment in the country. Thus, they give a perfect competition in the marketplace by giving daily necessity items to the people.    

Impact of small business on different level of economy

The small business owners within UK have difference impact on the economy of the country at varied levels. The small business have huge impact on the different level of the economy which increases or decreases their performance which can be beneficial for the country. It is essential to deal with the changes and perform according to the requirement of the business.

Local economy

In this, the small business are mainly tend to buy and sell the products and services with friends and neighbours. The business contribute to local economy by making growth as well as innovation in the community for the establishment of market. They mainly attract new talent and innovative ideas for putting changes in the business activities which creates some business functions to deal with the economy (Lebedev, Lin,  andPeng, 2020). They adopt changes easily and there are quick response to the situation which affect the customer oriented business with understanding the requirements of community.

Regional economy

At regional level, the small businesses mainly compete with the same type of business by offering good quality of products to meet the requirement of customers in an effective manner. The business is highly focusing on to hire employees with less salaries due to the shortage of finance and mainly employee people with low skills for reducing the unemployment.

National economy

In this, the business can expand the areas of country for enhancing the revenue through which they have to pay taxes and increase in the development of the country. The organisation mainly stretch out to the various locations in the country which increase their market share it lead them to enhance their revenue which is beneficial for the development and growth of the economy. However, it creates a valuable impact on the economy of the country which can changes according to the activities and performance of the businesses.

Lo3:  Assessment of key aspects of the entrepreneurial mindset

Traits and skills of successful entrepreneurs

In order to start up a business or run any sort of ongoing business it is important for that entrepreneurs to have some skills and traits which will help them in become a successful entrepreneur.  Below mentioned are some important skills and traits which an entrepreneur must possess.

Unyielding inspiration as well as enthusiasm:One of the most important skills and traits of a winning businessperson is being motivated for his own work along with that passion for the same. A person can’t attain a single think if he doesn’t possess a passion for the work and for attaining the end objectives. Motivation is also a trait which helps the person undertesting the zeal to work. Being motivated in the work will also assist in overcoming the problems to attain the objectives. And this is the reason a businessperson is enthusiastic as well as inspired in an entire fresh character. 

Figure 4:Resolute motivation and passion

Source: Internet

Self-discipline- Having the quality of self-discipline is also an important skills and characteristics of a success businessperson. If a businessperson is competent enough to attain the important jobs as a result, he will be capable to attain more success in mere future. Self-restraint fundamentally intends to ace the internal identity as well as internal feelings to create an awareness of others' expectations of taking care of business, which cultivates self-course.

Risk taking competency-Business is tied in with facing challenges. Business people can face more prominent challenges to make more noteworthy progress, yet not all daring individuals are fruitful business visionaries. An effective businessperson realizes when to face challenges and which dangers will be useful or destructive to the organization or himself.

Figure 5: Risk taking competency

Source: Internet

Innovative thinking -A fruitful businessperson is an innovative scholar with heaps of thoughts continually coursing through their brain. This radical capacity to think about a wide scope of ground-breaking thoughts causes a businessperson to start various kinds of business in an extraordinary, inventive manner.

Figure 6:Innovative thinking

Source: Internet

Dedication: Dedication is the most fundamental and basic nature of an effective businessperson on the grounds that even great business visionaries experience disappointments and obstacles. Be that as it may, with steadiness, an entrepreneur is ready to pick themselves back up and continue moving in the direction of objectives(Six, 2018).

Explore and examination of different lines of argument relating to entrepreneurial characters

There is a typical contention among specialists with respect to if business visionaries areidealistic, and if confidence identifies with different attributes of business visionaries.Since a long time, specialists have found out extraordinary qualities of business visionaries – certainty, autonomy, being in charge, threat taking,imagination, these are few of the instances.A lot of other studies has additionally talked about idealism and its connection to other enterprising attributes, how stubbornness thinking impacts on project execution achievement and dynamic, and various degrees of unreal stubbornness prompting different outcomes in project expansion(Liang, 2019).

In real sense there always lies a connection among the business traits as well as the experience of a person. Many a time it has been seen that experience of few of the entrepreneurs has turn out to be aspect of hinderance in the business. In few of the instances it has been seen that experience person tries to control others and that create hinderance in the work. In the same manner idealistic person also sometimes become the main reason for business hinderance. Though both idealistic and having experience is a trait of an entrepreneurs but many a times it has been seen that they create problems for others. Usually who posses these kinds of traits are very stubborn and in the long run they fail tomanage their work and also don’t able to motivate other which creates a big argument(Sari, 2017).

The qualities of a businessperson have high similitudes with the attributes of the pioneer. Considering this process, businesspeople require to define objective for their organizations, manage the dangers as well as to attain those objectives. They have to manage various individuals, for example, workers, financial specialists, providers, merchants and more without any assistance.Alongside this, they require to design as well as apportion assets in addition to show way to the representatives to satisfy authoritativetargets.The business person additionally requires to have great administration expertise to deal with the association and manage any contentions successfullycreate arrangements to accomplish those objectives.

So, it can be understood from the above discussion that two of the trait of the entrepreneur are considered to be line of argumentrelated to the businessperson characters and that two characters need to used wisely so that they can maintain their image in the long run in front of their workers.

Analysis of the characteristic traits, skills as well as motivational drivers of successful entrepreneurs

The respondent business visionaries were spurred essentially by the passion to make something fresh, the passion for self-sufficiency, riches and budgetary autonomy, the accomplishment of individual goals and the affinity for activity. Below mentioned are few of the important traits, skills which as a motivational factor of a winning businessperson.

Figure 7: Characteristic traits, skills as well as motivational drivers of successful entrepreneurs

Source: Created

  1. Leadership skills-The first important traits and skills and motivational drivers of a successful entrepreneur is having an excellent leadership skill. Organizations that are attaining their objectives along with desires takes their place shows a result of having pioneers with the ability to manage the organizations by means of the various difficulties yet bring about on the opposite side having accomplished what they prepared out to carry(Ivan, 2010).
  2. Personal Development- In actual way, when a person starts running their own project, they in actually come to found out what they are built up of. The type of marketing which a person confronted on a daily basis assist them to turn out to be extra alert as an individual. Thus, when a person begins to toil for himself, they can identify their own development. Thus, focussing on own development work as a great driver of motivation for the new as well as experienced entrepreneurs(Lavinia, 2018).
  3. Sense of Command- Having a proper sense of command not only is a great entrepreneur skill on the other hand it also acts as a driver of motivation in the businessperson. An individual won’t be identified as a good entrepreneur unless he posses the quality of sense of control. Sense of control usually denotes controlling other which many a times look like someone is forcing other to complete the job. But a good entrepreneur will use it as a driver and will command their followers in a proper manner so that everybody can work with making a good team(Nadire, 2018).
  4. Esteem-Representatives with this driver require earnest acknowledgment and recognition. They hate all-inclusive statements they need acclaim for explicit achievements. Now acclaim in this context doesn’t mean public admiration they want admiration by getting new job role to prove themselves more(Kevin, 2017).

Lo4: Examination of the different environments that foster or hinder entrepreneurship

How experience hinders or foster entrepreneurship

A lot of causes might hamper or promote entrepreneurship. The development of weakening of business might de relied on few of the aspects like:

  • Family culture
  • Social Group
  • Ethnicity
  • Belief
  • Principle

A critical perspective that influences business venture is the encounters of the earlier work as well as the situations where a person develop their personality.

  1. Public culture: business might be influenced on the occasion that the country doesn't offer assisting environments for the businesspeople to be commended and involved.
  2. Kind of schooling: the arrangement of instruction pervasive in a country has a significant job to do in penetrating worth’s of a businessperson amongst the individuals. This ends up being simple for the people for the comprehension of advantages and hugeness of business(Roxana, 2018).
  3. Characteristic attributes: individuals must have certain qualities and styles with an intention to turn out to be an effective business visionary. Inspiration might be given to the individuals who has the inclination to confront troublesome circumstances and are not apprehensive from that.
  4. Financial Situation: business venture might be supported if the country is proficient in offering open capital, foundation, crude materials and work required all together to begin a fresh venture.

Various appreciation as well as threats to begin another undertaking in demoralizing or persuading an individual to turn into a business visionary are accessible.In order to start up a new business, project gives generation the business give modifications to the community. It has been also seen that most of the businessperson are adaptable in endeavouring as per their choices. On the other hand, the businessperson confronts an unstable low of money being the most notified hindrancefor attaining profits for the company(Nareatha, 2013).

However, from the above-mentioned points few of the points also helps in fostering the entrepreneurship. Like a good family cultures plays a very pivotal role in shaping the future of an entrepreneurship. A good family background helps in making a better person and also helps in making a person understand of respecting other person which shows the quality of a good leader(Yadollah, 2005). So, overall if the person is getting correct support from the correct person that only will help in deciding whether the experience is hindering or fostering the entrepreneurship.

Link between entrepreneurial characteristic

In reality, there always lies a relationship among the entrepreneurial traits as well as background of any person. Many a times it has been seen that the experience of few people has turn out to be the major aspect of hinderances in both the instances it has been seen that two different people and their different background has created hinderance for achieving the goals. Yet having a good entrepreneur skillsand traits will help them in overcoming this hinderance and they will able to conquer their obstacles and finally they will win in every phase of life. In order to explain this part more deeply we are two fictious person as Elizabeth and Tom to better understand the situation. The family background of Elizabeth was in a deprived situation where she had to lend fund as well as used credit card for settingup hew new venture, However, Tom doesn’t have a single location to start his businessand this  is the reason he started his cell phone store exterior to the trainplatform. From this it can be understood that these are obstacles of life for both Elizabeth and Tom. Yet they have effectively regained from the hindrance as well as pushed themselves from the situation to become successful in life(Aidin, 2014).

So, it can be understood from the above given example that having a good entrepreneurial characteristic not only helps in overcoming from the hinderances but also helps in making them stronger to face the upcoming challenges in the business. In addition to this the connection between entrepreneurial characteristics also helps the other person to identify the best entrepreneurs out from the different option which provides them opportunity to learn and earn more in the long(Ludmila, 2017).

How experience influence entrepreneurs both positively and negatively

The upbringing along with experience both provides an impact over entrepreneurship in constructive as well as unconstructive manner. As suggested by lot of authors there are several ventures which can’t be grow for a long time because of unproductive group   as well as with lack of inspiration to maintain the development. The past work background of disappointment might provide an impact over the business in a negative manner(Don, 2001). Experience matters a lot in shaping the future of the entrepreneurs. On the other hand, if the person is having good experience in his previous work then he will be easily able to set up his new venture and that will provide a positive impact over the business too.

On the other hand, background also provides both positive and negative impact over the entrepreneurs. As suggested by Kuratko if a person has possessed an influential monetary background as well as get assistance then they will easily accept the danger of setting up of a new entrepreneurship as well as it will function smoothly.  On the other hand, if the same person don’t have influential monetary background and don’t get any outside assistance the same person will fail to set up and operate his new business(Ferran, 2016).

So, basically it can be understood from the above-mentioned points that whether the experience is good or bad that will finally help in deciding the impact over entrepreneurship.

Conclusion

So, it can be concluded from the above examined report that almost every company in any financial sector be it an MNC or any small start ups they can sustain with good entrepreneurship skills.  It has been also identified from the study that any kind of small ventures offers huge profits for any countries’ betterment and in their financial system. This sort of companies helps in enhancing the entire of the national as well as international financial system. The small business also helps in increasing the job occasions in any financial system as well as also assist the individuals to augment the stay of living in a better manner. This immense business opportunity encourages more financial development of the nation.

References

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