Answer to Question #309113 in Marketing for Gyven

Question

Differentiate between and defining entrepreneurial and small business ventures using relevant examples

Answer 1

Entrepreneurial venture is the process of starting and running a business by taking a financial risk with the hope of earning a profit in the future. It is characterized by a long-term vision, high risk-taking, and innovation. Even though the success of the business is not guaranteed, the potential return from the business is enough to keep entrepreneurs going. Small business venture is a new business that is formed with a plan and expectation that financial gain will follow, it typically begins with a small amount of financial resources. Entrepreneurial and small business management share some characteristics particularly when the business is starting but the way it is managed over time differs in many aspects. Below are some differences between the two business venture;

Entrepreneurs often want to change and develop things. They are happy in creating energy as opposed to being comfortable with their current situation. On the other hand, small business owners are content as long as they are successful. They will rarely try to do more.

Entrepreneurs are known to invent and develop things. Their minds are technical as compared to small business owners who often do what entrepreneurs are doing already. On the contrary, entrepreneurs are proactive, small business owners are reactive.

Most entrepreneurs will start up a business because they are passionate about it. They will do what they love without thinking about the risks or even profits in the case that the business is successful. However, small businesses set up their businesses with the main motive of earning profits. That is why when the risks become too much, they will shut down the business to avoid losses.

Some examples of entrepreneurs include; Bill Gates, the founder of Microsoft, Steve Jobs, the co-founder of Apple computers, which produces Macs, iPods and iPhones, as well as Apple TV, Mark Zuckerberg, the founder of Facebook etc. Some small business ideas that can be started with small capital include; baking business, rice retailing business, online selling,food cart, detergent and soap business etc.