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Introduction
Entrepreneurship and Small Business management need various skills to be learned. Entrepreneurship generates new ideas and turns this new ideas into a business organization. Entrepreneurship creates new business organizations and plays a vital role in the economy of a country. The entrepreneur brings innovative and creative product products to the market. Their organization can be large or small. But every kind of organization contributes to the economy of a country (Burns and Kippenberger, 2016). Entrepreneurship is increasing in the UK. Every year almost 20 million job opportunities are created by small to large organizations in the UK. They also contribute 78% of GDP to the economy of the UK. This assignment will be discussed on the various kind of entrepreneurial ventures, their contribution to the economy, and the impact of the small, large, and medium organizations in the economy.
Unit 9 Entrepreneurship and Small Business Management
PART A- Presentation
Introduction
Entrepreneur venture refers to the kind of organization that focuses on the innovative and creative idea and turn this idea into a business venture (Ubani, 2021). Entrepreneur venture like to take the risk and deal with an unknown challenge. Entrepreneur venture looks forward to the growth of the business and gains market share.
Different types of an entrepreneurial venture and different types of entrepreneurship
Entrepreneurs create different types of organizations based on their creative and innovative idea. It also depends on the capital size, resource availability for creating an entrepreneurial venture. The details are given below.
Small Business Entrepreneurship
Entrepreneur creates this type of business venture with limited capital and limited resources. They don’t tend to turn their business organization turns into a large one. They don’t seek outside business investors. The Entrepreneur invests capital in the business and manages their business on their own. They get the full profit from the business and bear the full loss also. Liberis, Uinsure, MyHRToolkit, etc. are an example of small business entrepreneurship in the UK.
Scalable Startup
This type of business venture relying on a fully new business idea. The entrepreneur generates a creative and innovative idea from scratch and turns this idea into a business venture (Sahlman, 2019). Most of the time this kind of entrepreneurship looks for outside investors and various types of resources. This entrepreneurship wants to grow in the market and try to get the market share. Example: Hassle.com, Sendmybag.com, Bizzby.
Large Company
Generally, this type of venture establishes by a known large company. The company can launch a new business section in their organization with a new business idea. The company provides necessary resources to the business section for launching the business idea successfully. Tesco, Unilever, Glaxo Smith Kline create this type of business section in their organization.
Social Entrepreneurship
This type of business venture set up the entrepreneur for social wellbeing. Their main target is solving a problem for society through their products (Jähnke, 2017). They don’t seek profit by selling their products rather than they want to turn the world into a better place. Beam, Cracked It is a social entrepreneurship venture in the UK.
Similarities and differences between the different types of the entrepreneurial venture
Similarities between the different types of the entrepreneurial venture
points | Small Business Entrepreneurship | Scalable Startup | Large Company | Social Entrepreneurship |
Products | Earn profit by selling products. | Earn profit by selling fully new creative products. | Produced a wide range of product brands and sell them. | Provide products by fulfilling social needs. |
Ownership | Single entrepreneurs run this venture. | Single or multiple entrepreneurs run this business venture. | The shareholders are the owners of these business ventures. | A single person or an organization is the owner of this kind of business venture. |
Contribution | This business venture contributes to GDP by a small amount. | This business venture also contributes to business ventures. | This business venture generates a huge amount of GDP and job opportunities. | This business venture contributes to social responsibility. |
Differences between the different types of the entrepreneurial venture
point | Small Business Entrepreneurship | Scalable Startup | Large Company | Social Entrepreneurship |
Objectives | This type of organization may not have a specific goal. | This type of organization generates a new kind of idea. | This type of organization wants to gain market share as much as possible. | The main focus of this kind of organization is social wellbeing. |
Risk | This business carries a very low size risk. | Here the risk is very high because the product is fully new and the investment is very high. | In here the risk is medium. Because large companies have the financial ability. | Here the risk is low because they get financial support from the donator and government. |
Legal structure | It mainly follows the sole proprietorship business structure (Burns and Dewhurst, 2016). | It establishes corporations and limited partnerships. | It needs to deal with a very complex structure. It may be a private or public organization. | It established its organization based on the trustee. |
The scope, development, and growth of different entrepreneurial ventures
Scope
Organization objectives vary by venture by the venture. Different kind of ventures selects a different kind of objectives. For this reason, it also affects the scope. Entrepreneurial ventures generate new ideas. Then they turn this idea into business ventures. So, they can earn profit and gain sustainability in the market. Example: Small, large, medium, social business venture.
Development
The entrepreneurial ventures need or develop their business ideas and policy. They need to focus on the investment and develop their products according to the demands and needs of the customers. Example: Organizations are now maintaining the online pages, websites for interacting with the customer directly. Because people are spending a lot of time online.
Growth
The growth of entrepreneurial ventures is based on the quality of the products. The organization can attract a huge number of customers by providing quality products and gain satisfaction from the customers (Teune, 2019). So, it can increase the profitability of the organization and grow the organization. Example: The Unilever company expanding their business all over the world. The rowing rate of the business is very high.
Investigate the scope, development, and growth of different entrepreneurial ventures in both the public and corporate sector
Public sector
The government manages this kind of organization. They invest a large amount of money in this organization and provide a quality product to the customers. this type of organization doesn’t focus on profitability (Bean and Hussey, 2018). In this sector the organization focus on social wellbeing. Example: Water, electricity, Power, Public administration organization.
Corporate sector
In this sector, an individual or public company run their business. They prepare a marketing strategy and deliver a quality product to the customers. Their main target is gaining profit from the market and sustain in the business. Small business entrepreneurship, scalable entrepreneurship set up their organization in this sector. Example: Facebook, Unilever, Proctor & Gamble, very kind of private and sole proprietorship business venture.
Unit 9 Entrepreneurship and Small Business Management
PART B- Report Section 1
Interpreting the data collected, assess the impact of micro and small businesses on the economy
Micro Business
Microbusiness is a small size of business. In this business there very few employments. Generally, it has less than 10 employees. It invests with a small amount of capital and very limited resources. The micro-business venture generally operates its business in the local area. Example: lawn and landscaping companies, street vendors, carpenters
Small business
A small business refers to the sole proprietorship, partnership, or privately owned corporation. This type of business can manage by the owners (Perman and Scouller, 2017). This type of organization has less than 100 employees. The owner can get full profit or profit can be divided between the partners or shareholders. Example: manufacturing and mining, wholesales, retail, and service.
Impact of Microbusiness on the economy
The differences kind of impact of the micro-business on the economy of the UK and Canada is given below.
