Know the types of entrepreneurial ventures

Introduction

Entrepreneurship is the process of managing a new business for profits. Entrepreneurship is very important for the social welfare and it innovates new product and service constantly. It can contribute greatly in a country’s economy. Four types of entrepreneurial ventures such as small business, scalable start-up, large company and social entrepreneurship are considered to be most described forms of entrepreneurial ventures. This article presents different types of entrepreneurial ventures.

Explanation of different Types of entrepreneurial ventures

Small Business Entrepreneurship

One of the most important types of entrepreneurial ventures is small business entrepreneurship. The owner starts small business with small capital and limited sources. Small business can be of many types such as: carpenters, plumbers, electronics, grocery stores, internet commerce storefronts etcetera (Mohawk, 2018). Such small businesses are called entrepreneurship in the sense that they are established to made profits through the process of designing, planning and implementing a business. Entrepreneurs fund their business by collecting money from family, friends and small loan.

The greatest limitation of such small business is shortage of capital. They can expand their business by raising capital with having partners who will invest and risks will be also divided between the owner and partners. In UK the amount of small company is 5.7 percent and it proves that small business has great scope to be successful (Financial Times, 2017). Small business is one of the most significant forms of business entrepreneurship because they add value in the existing system and can add employment opportunities.

Scalable Start-Up Entrepreneurship

Another important type of entrepreneurial venture is scalable start-up. The scalable start-up entrepreneurship is that business which detect scalable and repeatable business model which can bring high profit and make company successful. The business can increase profitability without high incremental cost. The dominating feature of such entrepreneurship is innovative idea that has huge business potential and that can include the stakeholders throughout the world. For example, Mark Zuckerberg has created Facebook for whole world and the major cost was software development. Now whole world use Facebook unlimited and it does not need additional costs for the entrepreneur. The price of service or product does not increases but sales increases day by day which is a great opportunity for entrepreneurs. Such scalable businesses are significant sources of entrepreneurship in the sense that they are meant to make profits and were founded through specific planning and organization.

You may also be interested in:
Why Nokia Failed
Marketing strategies of Uber
Differences among entrepreneurial ventures
Impact of small businesses on the UK economy
Importance of small businesses for social economy
Traits and skills of successful entrepreneurs
How background foster or hinder entrepreneurship

Large Company Entrepreneurship

One of the most important types of entrepreneurial ventures is large company entrepreneurship. The large company entrepreneurship grows with satisfying innovation, creating new service and products and it has finite life series. These business organizations are established by existing prominent businesses. They already have the capability, they trace the new opportunity and initiate big project to set up the business. This companies cope with the changes in customer’s demand, technologies and produce new products and services for their customers.

Social Entrepreneurship

Finally, social entrepreneurship is another important type of entrepreneurial venture. Social entrepreneurs play an important role for social well-being because their products and services solve social demand and difficulties. The aim of social entrepreneurs is also to gain profit or make place in market through engaging the social entities and through making the world a better place to live in. These business can be non-profitable, profitable also can be hybrid. This type of entrepreneurship should be expanded for social betterment. Such social enterprises can also be treated as entrepreneurship in the sense that they are created through a specific process, planning and with an aim to make profits. Grameen Bank established by Mohammad Yunus is an excellent example of a social entrepreneurship.