BMT7073 Entrepreneurship Assignment Level 5

P1. Types of entrepreneurial venture.

            Private Entrepreneurship- this are those entrepreneurial ventures which are governed and control by a sole individual or it may be group of person. The main intention of private entrepreneurship is to maximise profit by earning more and more. The risk in the business is born by the person himself. The private entrepreneurship provide employment people.

            Public Entrepreneurship- this are those entrepreneurial undertakings which have entire control and management is in the hand of the government. The entire function and operation is controlled and governed by legal bodies of the country (Carter and Tamayo, 2017). The intention of the public enterprises is to provide employment to large amount of people. The profit earned by those enterprises are use for the betterment of the country. 

            Small entrepreneurship- this are those entrepreneurial ventures which start with the small investment. There is no huge amount of investment in small enterprises. The functional activities are also too small and it is at tiny scale of measurement. The workforce in the small businesses are also not so large. Example of small enterprises are general store, medical store, small travel agency etc.

            Social Entrepreneurship- this entrepreneurship are those whose main intention is to do welfare for the society, profit earning is not the main intention of social entrepreneurship. Social entrepreneurship is mainly developed by group of people. The profit generated by social entrepreneurship is utilized for welfare of the society not for the personal use. In UK there are so many social entrepreneurship's are operating, OSEP is one of the famous social entrepreneurship.

            Large entrepreneurship- this entrepreneurship are those which operate on the large scale and the investment of those businesses are also very large. In starting large enterprises there is huge amount needed. The infrastructure and asserts are also giant. In the operation of large enterprises there no one time fund needed but there is regular supply of the fund. Moreover,   The employees in large enterprises are in large quantity.

            Trading entrepreneurship- this entrepreneurship are those which only conduct a business of supply of the products and services. The main intentions of this enterprise are only to transfer the trade goods from one place to another (Dai, Ivanov and Cole, 2017).  They do not conduct any production activities. Mainly these business are belongs to transportation company which supply goods and services from one place to another.

P2. Similarities and differences between all the venture.

All these ventures are different from each others as all have different aims and objectives, different types of operational activities and distinctive functional strategies and plans. But Still there are some similarities in between all these ventures as the aim and objectives are somewhat similar, size and functional activities are also similar.

P3. Impact of micro and small business on the economy of UK.

Micro and small enterprises are the heart of the economy of United Kingdom. Company has great impact on the economy of the nation. These are contributing very large to the growth and development of the country.

There are different types of small enterprises-

 Economic ability- There are large number of small enterprises working in the United Kingdom. The work force in these small scale enterprises are also not so large it is limited. But small scale enterprises provide employment to large number of people as according to the statistical data which states that about 35% people are employees in small scale businesses (Acs, Szerb and Lloyd, 2017).

Small scale enterprises not only upgrade the capital of the country but it also contributes to GDP of the country. There are some data which aid in identifying the effect of small and micro businesses.

Small and micro enterprises is determined by-

Micro enterprise- the workers are less than 10 and the output is about £2.5 million.

Small enterprise- the workers are less than 50 and the output is about £12 million.  

Medium enterprise- the workers are less than 100 and the output is about £48 million.

 Total companies in UK are as follows-

The above table concluded that there are £5.8 million companies in UK, out of which £5.1 million are Small scale business which shows that the major part of the share of UK in the growth and development of the economy is imparted by Small scale enterprises. By this above table it is stated that small scale enterprises are very important for the development and growth of the economy of UK (Collins and et.al, 2017).

Total employment in UK are as follows-

The above table concluded that there are about £14 million people employed in UK about which £10 million people are employed in Small scale enterprises which shows that more than half of the people are employed in small scale business.

Gross Value Added in UK are as follows-

The above table concluded that there are about £1.7 million of GDP is furnished by UK about which £88 million us contributed by the small scale enterprises and about 40% of small industries are imparting to gross value added.

From all these above tables it can be determined that Small, medium and micro enterprises have outstanding impact on the economy of the United Kingdom. Moreover, the above circumstance also render all the statical data for the contribution of Small and Micro enterprise (Dees, 2017).

P4. Importance of small businesses and business starts-ups to the growth of the economy of UK.

The small and business starts-ups of the development and growth of the economy of United Kingdom. They play crucial role in upgrading and enhancing the economy of the nation.

            Increase Employment- Small scale enterprise has outstanding function in increasing the employment in United Kingdom. As from above statical data, it was examined that more than half of the employment is created by Small and Micro enterprises which is about 62%.  Moreover, increasing in the globalization, many people execute their own start up which decreased ample sum of unemployment in the nation. Rate of employment is reduced by small and new starts-ups in much effective way (Ribeiro-Soriano, 2017). 

            Increase innovation- The good and services of the small business are extremely innovative which pull many people towards them. The new start up always come up with advanced and brand-new ideas. Furthermore, with increase in competition small enterprise focused on continuous innovations so that more and more products and services can be serve to people which lead to boost in the economy of the country as well addition in the purchasing power of consumers.

            Develop the standard of living- Small scale enterprises not only open their business in urban area, but they also open their business in rural areas which helps in improving and increasing the standard of people of the country. Small business always innovate new and advanced ideas which in turn improve the standard of living of the people (Dugguh,  2017).

            Contribution to national economy- With analysing the relevant statistical data from various sources, it was appreciated that small and micro enterprises along with new starts-ups undertaking contributes more than to the economy of United Kingdom. It was also identified that more than half of sharing in gross domestic product was acknowledged by small and new starts-ups enterprises. Therefore, it indicates that small and medium scale enterprise plays critical role in upgrading the economy of United Kingdom efficaciously and with efficiency.

            Maintaining effective relationship- Small enterprise and new starts-ups makes effective relationship with consumers, employer's, and from the public. It is very important to make significant and effective interaction with public to become a successful business man.

            Flexible in term of challenges and issues- Small enterprises and new starts-ups has small operation in which they are much more flexible to the changes and challenges in the organization. They accept all the challenges and make powerful decisions on the issues and troubles. Large enterprise are not accepted changes easily as because it is very hard for them to change, they are not flexible. 

            Low Expenses- The expenses and the cost of operation is not so high it is nominal, so the products and services render to them are also at nominal cost. The infrastructure, building, and tools and equipments are also at low cost. The small enterprise and starts-ups mostly adopt low cost leadership which attracted  many customers.

P5. Traits, Skills and Characteristics of successful entrepreneur.

There are so many entrepreneurs which are leading in United Kingdom. There are small number of people who get name or achieve heights. Peter Jones and Simon Cowell are the leading entrepreneurs in United Kingdom. There are the most successful entrepreneurs, as they start their business with small investment and now they are the billionaires of the country. The skills and characteristics makes a successful entrepreneur and achieve heights in society.

Skills, traits and Characteristics are as follows-

            Innovation- the invention and the advanced creativity and their thoughts makes them a successful entrepreneur as they are excellent. The ideas and innovations helps the society or community to alter and modify and increase the standard of living. The creative inventions and adorable ideas of Peter Jones and Simon Cowell are highly affected to the standard of living of the people (Bhachu, 2017).

            Persistent- To become a successful entrepreneur, a person should be persistent towards achieving the goals and objectives of organization. Peter Jones and Simon Cowell are the most consistence towards the achievement of their goals and objectives.

            Forecasting risk- To become a successful entrepreneur it is very important to evaluate and anticipate the future risk. They should no avoid the risk factor or get panic from the risk. Risk is the main elements in the business.  A successful entrepreneur makes his all his efforts to minimise the risk factor. Peter Jones and Simon Cowell are excellent risk taker as they didn't hesitate to invest their fund in the new opportunities.

            Passionate- A successful entrepreneur are who is passionate towards their work to achieve the goals and objectives.  A successful entrepreneur not only plans to achieve the present goals but they also make plans for achieving the future goals and objectives of the organization. Peter Jones and Simon Cowell both are more passionate towards their work which makes them a successful entrepreneur of the country.

            Motivation- Motivation is the heart and soul of every business. Without motivation, no one can achieve its goals and objectives. In each and every field there is need of motivation. By giving motivation to their employees and subordinated, the target of the business is easily achieved. Peter Jones and Simon Cowell have excellent skills of motivation. 

            Powerful management of wealth- A successful entrepreneur are those who have powerful management and monitor of wealth.  When there is new start-up opened, the fund and resources both are limited, so entrepreneur has to work as per the stock of money available in the business. A successful entrepreneur is very essential to plan the money for present and for future as well. It compulsory keeping complete handle on cash flows Peter Jones and Simon Cowell both have strong management of wealth.

P6. Reflection of aspects of entrepreneurial personalities on motivation.

To determine the personalities of the entrepreneur, the big five personality model or theory is used. This model will help us to identify the personality traits of Peter Jones and Simon Cowell. Th e model consists of five kinds of personalities that posses by an entrepreneur which makes them a successful entrepreneur. Professionals of human resource make use of this model to determine the personality of employer's (Pansiri and Yalala, 2017). The theory of five personality traits covers all the attribute of personalities.

The model is explained below-

            Extraversion- It determines the sociability, excitability, assertiveness and huge amount of emotions. These all factors affect the decisions of the entrepreneurs. Entrepreneur who posses high degree of extraversion tends to be more societal and by societal interaction they make their energy. Beside this entrepreneur who posses low degree of extraversion tends to make by themselves. It is very fruitful for the organization to interact with people. By interacting with people entrepreneur will get more and more creative and innovative ideas.  Peter Jones and Simon Cowell was extroverted and interact with many people to get creative and innovative ideas.

            Agreeableness- In these traits of personalities includes love, affection, kindness and other prosy behaviour. This helps to make interest in other people and awareness and care about others. It is very essential to have love and affection in the company as because without love and affection it not easy to do any work in the campus. In the company it is very important to develop the skills of talking and interacting with others in much polite manner. Peter Jones and Simon Cowell both are the very kind to their employees and their subordinated. They talk in more polite way to others in the company (Pisani and et.al,  2017). 

            Openness- Imagination and insight is included in these traits of personality. Entrepreneur who posses high level of openness tends to have broad range of interest and entrepreneur who have high in this personality are more creative and innovative as well as adventurous towards their work.  A successful entrepreneur is who posses high level of openness in their personality as it leads to success. In the world of globalization, every one is attracted towards the new and innovative technologies. Peter Jones and Simon Cowell possess high degree of openness.

            Conscientiousness- A successful entrepreneur is one who possess high level of ideas with effective motivation management and control and goal oriented behaviour.  This personality includes the type of entrepreneur who consumer more time in completing and accomplishing the significant project first. This entrepreneur always makes their agenda and after that they pay attention towards the prime work.

            Neuroticism- In this kind of personality includes by sadness, moodiness and emotional instability. Entrepreneur who have high grade of neuroticism posses to be more emotional and unstable. Low grade of neuroticism, there is more stability in emotions of the individual.  A successful entrepreneur it is very essential to acquire to negotiate the behaviours and emotions.  In the enterprise, emotion is not bad but high degree of emotion leads to failure of the organization. Stableness plays a critical role. Peter Jones and Simon Cowell both have low grade of  neuroticism in their personality. Both have power to control their emotions and over come the stress in most effective manner, in result they are leading in the world.

P7. Analysing the background and experience that hinder and foster entrepreneurship.

To become famous and successful entrepreneur is not an easy task. There arises lots of issues and troubles and difficulties when they are going to the path of success. They also face that time when nobody is with them they bear all the pains by themselves. The prosperity of the entrepreneur is not evaluated by their heights they achieve but they are evaluated by their failures. Peter Jones and Simon Cowell both face ample of troubles and difficulties in respect to their background. The qualities in their personality males them to overcome all the difficulties and troubles and they move forward efficiently.  They are passionate towards their goals. They are also very motivated towards their work (Welter and et.al, 2017). Any failure did not demotivated them. They also have effective way to fight and overcome all the risk and become the leader in United Kingdom.

Skills, attributes, qualities, parents support, education, positivity are all the factors  considered. The background of Peter Jones and Simon Cowell partially hinder and partially foster their growth and development. The positivity is that they get support from their parents to get achieve the objectives and goals of their company. The negative effect is from the society or community as they did not get support from the society. Sometimes they become nervous when society did not support them but both the entrepreneur overcome all the bad situations and make them good. They have positivity in their personality which makes them never give up their opinions and thoughts of changing or modifying their system of company. They get failure and failure but they did not wind up their business, they carry on by their excellent personality. Thus, it analysis that Peter Jones and Simon Cowell faced ample of issues and difficulties that embarrass their development and they handle them with efficiency and become famous and they handle them with effectively and efficaciously. They become famous in the world by their skills and traits. Their inventions are not beatable by anyone. They are listed in the top 10 entrepreneurs in United Kingdom (Amato and et.al, 2017). 

Conclusion

From the above report it is concluded that the small business have great impact on the economy of the United Kingdom. The different types of entrepreneurial ventures is also discussed in the report. The difference and similarities is also illustrated in the above report. Furthermore, the importance of small scale industries is also understood. The background and experience of Peter Jones and Simon Cowell is also studied in this a

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