Entrepreneurial Vision and Innovation

Task 1

What is an Entrepreneur?

Entrepreneurs are business operators and executors in any level of risk and think beyond ordinary businessmen. In other words, they do have future vision and think about current as well as future requirements with innovations in the market.

What is Entrepreneurship?

Entrepreneurship plays an important role in building up successful and potent ventures as per the needs of the current generation. These ventures from feeding the requirements of families to the small localities even contribute to the overall economy of the country (Burns and Dewhurst, 2016). From providing employment to many people to impacting the global platforms large ventures enable in running the country and providing for many sectors of a community. These small businesses contribute to the economy in their own ways and thereby needs to be handled by personalities capable of running the business.

Different types of Entrepreneurial ventures: describe each one below

Small Business Entrepreneurship:

These are small companies or even self-made businesses and generally do not make huge profits. These have been run in order to sustain the family needs with small target and short term strategies (Neumeyer and Santos, 2018). These may include grocery stores, consultants and so on,

High Tech Firms:

These are mainly firms concentrating on changing technological enhancement with innovations as well as change in the global marketplace conditions and changing opportunities (Kuratko and Morris, 2018). For example, Microsoft one such firm as well as firms like Cisco Systems are highly recognised with technical implications.

High Growth Firms:

These are firms having growing prospects in business along with anticipated records of financial procedures. In other words, such firms are initiated with sustainable procedures as well as company’s performances (del Carmen Triana et al. 2019). For example, this involves Tesla, Amazon as well as similar levels of firms having good scale of sales along with innovation.

Social Entrepreneurship:

Instead of aiming for profits, these ventures tend to look out after the customer needs on the social font. Their aims revolve around making the world a better place instead of making profits just (Burns and Dewhurst, 2016). These include certain pharmaceuticals which have been working in providing medications to the society for the needs instead of aiming for the profits only.

Start-up Entrepreneurship:

These have been hiring the best capitalists and their companies hire the best employees to change the world. After becoming substantially profitable they tend to increase their bases and thus require further funding from the venture capitalists (Paço et al. 2016). Online shopping sites could be included in this criterion.

Large Company Entrepreneurships:

These have been quite influential and have incorporated various innovations in their services with the upcoming requirements and offered new products with the needs of the customers (Kuratko and Morris, 2018). These companies work internationally and may partner with other companies or even buy them. Examples include Google and Apple.

Typology of entrepreneurships: Describe each one below in depth

Survival Firms: - hand to mouth fish monger

Survival firms are achieving success in the business different typologies need to be considered wisely and appropriately. This requires knowledge of the business transactions. As influenced from an online review, Economicsdiscussion.net, (2020) risk-taking entrepreneurs often play important roles in making the strategies and thereby influence the commerce transactions

Lifestyle Firms: - has at least 1 branch cost cutter, or a corner shop

Lifestyle ventures also provide independence and autonomy to its owner but here passion can be ignited to make good profits for further growth of the business (Burns and Dewhurst, 2016). These have been run by lifestyle entrepreneurs who prefer taking up risks based on their passions rather than only aiming for the profits that could be found in scalable ventures. Serial and corporate entrepreneurs form the part of large scale ventures that require huge growth and high profit in the markets.

Managed growth firms: Sainsbury’s, ASDA,

Managed growth firms are mainly dealing with good market competition among competitors in the existing market in term of profit margins (Burns and Dewhurst, 2016).The number of competitors and threats may vary according to the requirements of the products and the size of the business ventures but each faces difficulties due to the presence of their challengers in the market. Sainsbury or ASDA are retail firms belong to this growth firms.

Aggressive growth firms: Apple, Google, Facebook

These are growing with aggression along with profit margin ratio as well as high-level competition in the market (Paço et al. 2016). For example, Apple, Google and Face book is growing with good aggression and power in the market.

Public sector entrepreneurships: NHS, TFL,

Entrepreneurial ventures of public sector require enough flexibility and independence in order to pursue any projects without the interference from bureaucratic officers and other political heads (ISBE, 2020). These projects generally tend to be goal oriented and influenced by the various aspects of the corporate sectors. For example, NHS, TFL are such firms drawing attention towards public interest and services in the businesses.

Social enterprise: British Heart foundation

This kind of enterprise wishes to open and work for the sake of providing funding and health care support and assistance to the public especially the poor ones. For example, British Heart Foundation is one popular organisation working for the sake of public having no care in the nation and helping towards age old people as well.

How they relate to the Typology of entrepreneurships:

Note for students:

Please make sure you cover different type of ventures 3 Public sector ventures 3 corporate sector ventures Additionally, make sure you cover organisations that has profit motive (such as: Tesco, Apple, Facebook, Corner shop etc.) also organisations that has social motives (such as: NHS, funeral care etc).

Q2. Explore the similarities and differences between entrepreneurial ventures. P2 Similarities of the different ventures write about each one below

Strong Willed Entrepreneur:

A strong willed Entrepreneur stands for having strategic ways of thinking differently with respect of time, calculation as well as implementing it into the right place of execution. They all undertake business activities to make profits out of them and also each one of the ventures undergo threats of substitution from other competitors in the field (Burns and Dewhurst, 2016). Hence, it include needs of satisfying the consumer demands with best and efficient performances through high quality services and products.

Funding:

The fund investment in various ventures differs with respect to the size of the business conducted. For large companies, funding occurs through massive platforms and often involves international investors

Innovation:

Innovation occurs only due to good investments as well as critical thinking and perceptions. They hire the best venture capitalists and their partners become keen in working with these firms despite the risk of havoc setbacks in case of business and strategies failure. As stated by Myers and Campus, (2020) social entrepreneurs on the other hand focus on social needs of the people and thus they may be non-profit or hybrid in nature.

Creating a Brand Name:

Creating brand name appears in process and ways of thinking as well as applying things at the right place along with additional value to the business (Burns and Dewhurst, 2016). This can be enhanced with time and effort by an entrepreneur.

Sustain against Large Business:

Sustaining against large business is possible through innovation and improving quality of products (Myers and Campus, 2020). There can also be competitors and threats may vary according to the requirements of the products and the size of the business ventures but each faces difficulties due to the presence of their challengers in the market.

The Differences between the 4 entrepreneurial ventures: explain in your own words each one below

Q3.Interpret and assess relevant data and statistics to illustrate how micro and small businesses impact on the economy. - (P3)

Micro Business: Medium paragraph about this

A performing small or even a micro business has proved to be essential for the economy several times. In order to consider the contribution of such small sized businesses, the total turnover is measured. For example in the UK in 2018 the turnover accounted for £2.0 trillion, it was seen that such a significant amount was almost 52% of the combined turnover of the entire private sector (Merchant Savvy, 2020). Also, these ventures face political and bureaucratic interference and thus the public managers need to overcome these hurdles.

Small Business: Medium paragraph about this

Small scale business involves growth and scope in order to enhance and expand the entrepreneurial activities. This can be traced to the high rate of selling price of the products drawing huge profitable margin in the business. In congruence with Harvard Business Review, (2020) when the firm size becomes small, they could be easily manageable with greater efficiency leading to greater productivity. This could be in either the industrial or agricultural or service sector.

The basic objective in case of small and medium sized industries revolves around the increment in production along with promotion of financial investment. With the rise of unemployment along with development of new entrepreneurial talents and motivation more and more people have innovative ideas in enabling the potent growth of the ventures (entrepreneurhandbook-co-uk.cdn.ampproject.org, 2020). This venture help in meeting the growing demands of the public and thereby contributing in the country’s economy and thus promotes regional development. With enhanced local development the need for the products and the purchasing power raises thereby continuing further development of these ventures.

How micro and small businesses impact on the economy: Large Paragraph about this including statistics

As mentioned by Merchant Savvy. (2020) in recent times it is seen that 99% of the total running business is dominated by the small and medium businesses, in the UK. Moreover, these businesses have contributed to the economy through creating job opportunities, as seen in case of the UK; 16.3 million employees are dedicated to small businesses that are almost 60% of total private sector employees. Figures have proved that even in the uncertain situation regarding Brexit these businesses accelerated employment rate in the nation (FSB. 2020). The economic condition has been aided by small manufacturing hubs to the greatest extent. Further in the case of the U.S market the small businesses have assured expansion with new employments. In the recent past the employment ratio to the population accounted for 60% which was the highest as mentioned by the Labour statistics Bureau. The major section of the U.S economy has been driven by the small businesses, there are around 30 million small enterprises providing almost 60 million workers. Such businesses initiate the change at local levels which in turn reflects the nation's economy and eventually hit the international marketplace (Xu et al. 2020). They have been found to impact on tax collection, poverty levels, local revenue, that again aided the local government.

In the case of the EU countries small businesses have displayed more dominance in smaller nations. For example in the case of Belgium it is seen that micro businesses account for 32% with less than ten workers and few other countries like Austria, Denmark have greater export shares.

Q4. Explain the importance of small businesses and business start-ups to the growth of the social economy. - (P4)

Social economy: Medium paragraph on this

Social economy or Small businesses can be considered as the backbone of almost every nation’s economy. Each small business is likely to help the community people. They are likely to generate employment in a state, more precisely in a particular city and in turn many job seekers are provided with the same. As opined by Kola, (2020) a new company initiates with self-employment and then creates work opportunities for others, so this has a socio-economic importance. Many individuals get to do a job and showcase their skills in different fields covering the electricians, plumbers, carpenters, marketers, writers, web developers, cleaners and many more. Such employment improves the quality of life and enhances the lifestyle of country people. Moreover, a start-up or a new business demands social media attention these days, this in turn enhances the social media platform usage.

Importance of small businesses and business start-ups to the growth of the social economy: - 2 medium paragraphs consider the role of small business organisations to the growth of the social economy. Include all the topics below

Small businesses and start-ups have been a very crucial unit for every nation’s economy. These business processes generate numerous benefits for the society, villages and cities. Such companies are likely to open new avenues as providers. A number of such small businesses operating worldwide are found to essentially impact the entire economic growth by influencing different levels starting from regional productivity to global standards (iQualify UK, 2020). It has been seen that the termination of small businesses impacts the banking services, market demands, tax collection of a particular region dominated by their activities. On the other hand a new entrant in a market brings several opportunities. As a small start-up grows people get employment and earn money. This in turn creates huge demand in the market which again ensures the economic growth in a city and later reflects the nation's economic situation. Moreover, such companies tend to buy multiple products for their start-up which somehow generates more demand and impacts the export import processes in the country (Malca et al. 2019). With increasing business processes such small companies attract outsiders by using networking, promotional advertising and increase the nation’s economic activities. From an US based census it was found that already in 2015 small businesses reached more than 30 million in numbers that accounted for 99% of entire business processes, and that left only 30,000 businesses considered as large ones. Such small industries were mostly dominated by scientific, technical and professional fields (Small Business – Chron.com. 2020). It was even evident that small businesses generated 70% of the total jobs with around 2 million vacancies. One million out of this employment was only created by micro businesses with less than 20 workers in each. Recently also the small and medium sized firms have been found to provide around 60 million job opportunities which is almost close to the large businesses. The payroll for such businesses has been in trillions which accounted for half of the total private sector payrolls.

In the case of the UK, from the data provided by the government it is clear that the number of small and medium sized businesses accounted for 99% of the total 5.9 million private businesses (Shehata et al. 2017). This has shown an impressive improvement in employment also. More than 35 thousands medium sized businesses along with 5.82 million small businesses have left a small segment of the business population for the large ones. The business turnover was recorded to be £1,268,485 million by the SMEs whereas it accounted for £1,981,968 million by the large businesses in the UK.

Task 2

Speaker notes: Q1 - Determine and analyse the characteristic traits, skills and motivational drivers of successful entrepreneurs that differentiate them from other business managers, supported by specific examples (P5).

Define entrepreneur mind-set

Entrepreneur mind-set plays an important role in building up of successful and potent ventures in business. It contributes to the overall economy of the country (Cotton, 2020). From providing employment to many people to impacting the global platforms large ventures enables in running the country and providing for many sectors of a community. Similarly with the increasing demand small and medium ventures have been useful for meeting the needs of local people. These small businesses contribute to the economy in their own ways and thereby needs to be handled by personalities capable of running the business.

Provide an analysis of different characteristics of successful Entrepreneurs that make them standout (Give examples in the process)

Collaborative and Morality: Without being able to possess interactive and cooperative qualities, it becomes quite impossible for leaders to manage the entire team. In order to understand the needs of each member as well as the project goals, opinions and emotions of everyone included in the groups need to be attended (Morris et al. 2018). This enables smoother accomplishment of the task through abiding the true ethics and morals of the work culture.

Diversified and passionate: A successful entrepreneur ignites full passion of goals not only in him but also in his team (Morris et al. 2018). He needs to be diversified as well in order to consider various aspects of the business so prevent it from failures and setbacks.

Difference between characteristics of successful Entrepreneurs and Managers

Q2 (a) Assess how aspects of the entrepreneurial personality reflect entrepreneurial motivation and mind-set (P6).

Entrepreneurial personality

Entrepreneurial personality defined as a certain risk-oriented protocols to incorporation of innovation that have established ventures worth billions in the current days. The main skills flaunted by each one have been curiosity and enthusiasm that made them unstoppable along with hard work and perseverance

The motivational drivers of successful entrepreneurs

Discipline and confidence:

When an entrepreneur displays discipline to meet the deadline and confidence to boost the motivational level in order to go extra far it becomes easier for other members to equally follow this instinct. With great discipline and confidence, achieving targets automatically becomes easier for the ventures due to increased efficiency and accuracy

How aspects of the entrepreneurial personality reflect entrepreneurial motivation and mind-set

Competitiveness increases the hunger for performing better than others and other companies in the market. It includes innovation in the products and services. As stated by Voxeu.org, (2020) with innovation comes creativity and when the participants of the ventures implement creativity in their tasks, the outcome often becomes outstanding causing the business to flourish more.

Push and pull factors of Entrepreneurial motivation

The push factors can be defined as external factors as well as internal factors that are affecting emotions directly whereas; pull factors are mostly driven consistent pressures from all aspects, like situational crisis like unemployment, unwanted family pressures as well as other motivational aspects like an opportunity that gives scope of recovery.

(b) Explore and examine different lines of argument relating to entrepreneurial characteristics (M3).

Nature or Nurture (Are Entrepreneurs Born or Made)

They are born naturally and adapted to the challenges of the business circumstances that take place. At the same time, born entrepreneurs takes challenges that are not decided from the beginning. For being a successful entrepreneur, being disciplined plays an important factor but often it causes rigidity in the working pattern. At the same time, creativity causes innovation and newness in the services making it differentiate in the market. On the contrary it states that this creativity if not studied well could also impose threat by crashing down in the market (Voxeu.org, 2020). Therefore, guided creativity should always be incorporated to make it fail proof.

-Effects of previous experience

Previous experience influences on thinking styles of an entrepreneur that often encourages and inspires to move ahead despite of several challenges. Therefore incorporation of flexibility should not be overlooked for free functioning and creativity of the members in the team (Core.ac.uk, 2020).

What they value

Creativity causes innovation and newness in the services making it differentiate in the market that they value most. For example, Taking into consideration some of the biggest entrepreneurs of UK including David and Simon Reuben for property investment, Philip Green for retails, Laurence Graff in diamonds, James Dyson for vacuum cleaners with cyclonic separation, Richard Branson the CEO of Virgin Groups and many others have shown some characteristics in common (Cotton, 2020).

How can background or experience Hinder or Foster Entrepreneurship (P7) –

You must discuss 2 examples of entrepreneurs

Both the experiences and background of an individual have been found to foster entrepreneurship. Amit Gudka and Hayden Wood who worked in energy companies and felt the need of cheap and environment friendly lights that made them invent Bulb (Young Guns by Startups.co.uk, 2020). Ivanka Trumph is a successful woman entrepreneur, with a strong entrepreneurship skills and background (Mitra, 2019). The overall mentioned facts can also be supported by the trends that show small and medium sized businesses have generated huge employment along with contribution to economic development.

M4 Analyse the link between entrepreneurial characteristics and the influence of personal background and experience to specific successful entrepreneurs.

Entrepreneurs are likely to develop various essential skills like efficient learning, risk management, strong resolving power and so on. Such knowledge developed by them facilitates the business to reach sustainable success. More skilled children have proven to be great entrepreneurs. Education makes an individual more open-minded, creative, thoughtful, brave and flexible, and all of these characteristics eventually can aid the process of a new venture (Mitra, 2019).

Q4 Critically evaluate how background and experience influences entrepreneurs, both positively and negatively, by comparing and contrasting examples (D4).

As mentioned earlier experiences can be good or bad and this has been found to influence the work of entrepreneurs to a considerable extent. Similarly an individual’s background also has both positive and negative impacts on the entrepreneur characteristics (Chebo and Kute, 2018). Success substantially depends on the educational background of an individual; a good amount of knowledge always fosters entrepreneurship.

Provide examples of 3 successful Entrepreneurs. Your example should include:

-Local Entrepreneur: For example, Tania Boler, one of the successful entrepreneurs of the UK, founded Elvie as a training device as she experienced a lack of technological support for women during pregnancy. Furthermore, a commendable cultural background determines a person’s values, attitude and behaviour, passion towards a new venture (Chebo and Kute, 2018).

-International Entrepreneur: Individuals with more experience possess great confidence to perform any job. While bitter experiences are likely to hinder the same. Amit Gudka and Hayden Wood are successful one inventing Bulb.

-Social Entrepreneur: Jazzmine Raine is a social entrepreneur have launched NGO for the purpose of social development as well as innovation some parts of the countries. For example, Canada was her first target, then moving on to Ghana and then India (Ryerson University. 2020).

Your explanation should state factors that made them become Entrepreneurs and what made them successful.

Factors made them successful entrepreneurs are mostly driven by their nature and background as well as having challenges and risks in lives. In order to develop a successful example in the competitive market a strong support from the family essentially helps an individual with strong ideas and better objectives (Chebo and Kute, 2018). In case of Tania, she was from a cultural background and talent in technical aspects. In addition to this country’s economy and also personal capabilities to finance a venture dominate the thoughts of the potential entrepreneurs. On the other hand poor financial condition, obstructed economy and insufficient knowledge are likely to hinder entrepreneurship. It has been seen in many cases that lack of financial and mental support, poor skills due to educational flaws have always hampered the confidence of the entrepreneurs (Cotton, 2020). Brandson often used to face certain troubles however, due to his charismatic nature and skills; he was able to overcome challenges so far. Other than these, Jazz mine was a passionate traveller as well as responsible for community development from her own (Ryerson University. 2020). Things did not happen so easily, however, it was her immense patience and confidence passion that has driven her back to her goal.

References

Burns, P. and Dewhurst, J. eds., 2016. Small business and entrepreneurship. Macmillan International Higher Education.

Chebo, A.K. and Kute, I.M., 2018. Uncovering the unseen passion: a fire to foster ambition toward innovation. World Journal of Entrepreneurship, Management and Sustainable Development.

del Carmen Triana, M., Richard, O.C. and Su, W., 2019. Gender diversity in senior management, strategic change, and firm performance: Examining the mediating nature of strategic change in high tech firms. Research Policy, 48(7), pp.1681-1693.

DeSantola, A. and Gulati, R., 2017. Scaling: Organizing and growth in entrepreneurial ventures. Academy of Management Annals, 11(2), pp.640-668.

Kuratko, D.F. and Morris, M.H., 2018. Corporate entrepreneurship: A critical challenge for educators and researchers. Entrepreneurship Education and Pedagogy, 1(1), pp.42-60.

Malca, O., Peña-Vinces, J. and Acedo, F.J., 2019. Export promotion programmes as export performance catalysts for SMEs: Insights from an emerging economy. Small Business Economics, pp.1-21.

Morris, M.H., Neumeyer, X., Jang, Y. and Kuratko, D.F., 2018. Distinguishing types of entrepreneurial ventures: An identity‐based perspective. Journal of Small Business Management, 56(3), pp.453-474.

Neumeyer, X. and Santos, S.C., 2018. Sustainable business models, venture typologies, and entrepreneurial ecosystems: A social network perspective. Journal of Cleaner Production, 172, pp.4565-4579.

Paço, A., Ferreira, J. and Raposo, M., 2016. Development of entrepreneurship education programmes for HEI students: The lean start-up approach. Journal of Entrepreneurship Education, 19(2), p.39.

Shehata, N., Salhin, A. and El-Helaly, M., 2017. Board diversity and firm performance: evidence from the UK SMEs. Applied Economics, 49(48), pp.4817-4832.