Entrepreneurship And Small Business Management Assessment Answer
Key Topics
ENTREPRENEURSHIP AND SMALL BUSINESS MANAGEMENT
Introduction
The success of any economy totally depends upon the abilities of its citizens. This is because, it is the citizens only who takes initiates or risk for doing different kind of work which are related with varied sectors. The money which they earned from the taken risk will provide ultimate benefit to the economy of country (Prusty, 2017). Hence, people who take risks are primarily known by the name of Entrepreneur.
This report is based on the case study of Hong Kong which is taking part in the “One Road and One Belt” initiative of China. It is basically as developmental initiative which will form network between different Eurasian countries. In the present report, brief introduction will be given about the concept such as Entrepreneurship. This study will also depict about the impact that small business have on nation’s economy. Furthermore, here information about different factors will also be given which foster and hinder entrepreneurship.
TASK 1
LO1 Illustrating different venture types that might be consider as an entrepreneurial
Entrepreneurship is the activity in which an individual take financial risks with a hope to earn high amount of profit. In other words, it can also be said that entrepreneurship is the process of taking the risk of setting new business for the purpose to earn profit. In the development of economy, entrepreneur plays very significant role. This is because, these people helps in resolving major issues of country such as poverty and unemployment etc. These all things lead to have positive impact on nation’s economy (?injarevi? and Veselinovi?, 2017).
Hence, with an aim to support respective concept several groups have been formed by Hong Kong government. These are as HK Women Professional and Entrepreneur professional Association and Hong Kong Web Start-Up Meet-Up etc. Further, recently it has joint its hand with the China development project named “One Road One Belt” which will open several business opportunities for new entrepreneurs. However, small medium enterprise is the type of venture which employs less than 250 employees and its turnover does not exceed from 50 million euro. For instance, it is examined that there are around 330,000 SMEs operates in Hong Kong. They constitute more than 98% of business establishment (Support to Small and Medium Enterprises, 2018).
Besides this, there are different options of entrepreneurship ventures identified which can be used by individuals who are planning to open business in “One Road and One Belt” plan.
• Small business entrepreneurship: It is the form of venture which is basically run by family member of the person who has started this business. For example, businesses like consultant, electricians and carpenter comes under this category. In the above mentioned project, individual can open the business of consultant wherein they can consult the company about different issues which could occur during construction.
• Large company entrepreneurship: They are also known as classic entrepreneur which convert innovative idea into reality (Vlasenko, 2017). In this regard, any individual who have some innovative concept in relation to road construction in “One Road and One Belt” can open new venture and present its idea in front of other people.
• Social entrepreneurship: They are the person who manufactures that product which tends to provide benefit to the member of society in whole.
These given form of entrepreneurship ventures are completely related with typology of the entrepreneur.
Figure 1 Typology of Entrepreneur
(Source: Cera and Furxhiu, 2017)
