Entrepreneurship and Marketing Strategy
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Table of Contents
Introduction......................................................................................................................................3
Task 1: Exploring Varied Entrepreneurial Ventures.....................................................................4
Task 2: Narrating the Significance of Small Businesses..............................................................6
Task 3: Evaluation of Marketing Strategies.................................................................................8
Conclusion.....................................................................................................................................11
References......................................................................................................................................12
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Introduction
Entrepreneurial enterprise helps develop and sustain economic activities, thus helping the
economic growth of a country. Appreciation of different types of entrepreneurship (Aulet, 2013),
their financial implications, and the appropriate marketing practices are critical to business
development. Key insights on various types of entrepreneurship are also discussed in this report
since they have been found to play a crucial role in generating economic growth and
sustainability and securing competitive advantages within national and international markets.
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Task 1: Exploring Varied Entrepreneurial Ventures
There are several types of businesses, each sharing attributes, goals, and economic impacts.
Three distinct types are examined here: small business ventures, growth-oriented organisations,
and strategic social enterprises.
Small Businesses
Small businesses are independent enterprises with low sales, few employees, and a limited
market base, such as retail and business services (Oliver and English, 2012). Their primary focus
is maintaining a constant income stream for the owner rather than growing the business
exceedingly fast. Small businesses contribute to economic stability through employment
creation, particularly for youths, and encourage local economic activities, although they record
low levels of economic growth.
Scalable Startups
Compact innovation startups are new-generation innovative companies designed for growth and
disruptive capabilities, usually through leveraging technology. These startups aim to get more
venture capital to increase, often sponsoring their products in foreign markets (Nakano and
Purevdorj, 2013). From an economic perspective, they bring considerable income, and, as
newcomers to the industries they enter, they introduce innovations and superior solutions that
affect the reshaping of the sectors.
Social Entrepreneurship
Social entrepreneurship is operating a business to deliver social impact alongside financial
performance (Phillips et al., 2014). These enterprises deal with poverty, education, and health
challenges, amongst others, and operate purely to make a positive difference in society. Most are
affiliated with governments or non-profit organisations and thus develop community worth.
Fundamentally, the value proposition is not monetising but creating unrealised social value
through pure innovation.
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Comparison
Feature Small Businesses Scalable Startups Social
Entrepreneurship
Definition Privately owned local Ventures with high Businesses aiming to
businesses focused on growth potential, solve social or
steady revenue often tech-focused environmental issues
Examples Local restaurants, Uber, Airbnb TOMS Shoes,
retail shops Grameen Bank
Key Objectives Maintain stable Achieve rapid Create societal impact
revenue, serve local growth, disrupt alongside financial
communities markets sustainability
Economic Impact Job creation, High GDP Addressing social
community contribution through challenges, job
development innovation creation
Target Market Local or niche Global or large Vulnerable
markets markets communities, social
sectors
Growth Potential Moderate, limited by High, with potential Moderate to high,
local market scope for exponential based on the
growth scalability of social
impact
Societal Benefits Supports local Drives technological Solves pressing
economies, advancements, new societal issues,
community services improves quality of
engagement life
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Task 2: Narrating the Significance of Small Businesses
The Impact of Small Businesses on the Economy
Small businesses are among most economies' most significant and vital corporate entities. They
play a multiplier role in creating GDP, employment, and innovation (Welfens et al., 2012). They
underpin regional and national economies through support for economic diversification,
employment generation, and innovation.
Contribution to GDP
Small businesses have a remarkable percentage share in a country’s gross domestic product
(Nielsen, 2014). For example, small businesses alone account for nearly 44% of the gross
domestic product in the U.K. Cross-sectionally, SMEs account for 50 – 60% of the Gross
Domestic Product (GDP) in most world economies. It is attributed to their roles within local
economies and the supply of essential goods and services.
Job Creation
The number of small businesses that give directly and definitely to the community is
employment. Small businesses contribute nearly two-thirds of new net jobs annually in the U.K.,
with comparable ratios in other countries (Taghizadeh-Hesary et al., 2021). They usually source
most of the labour market eligibles, particularly in areas that involve retailing, wholesaling, and
other service delivery channels. Through employment, they also play a central role in eradicating
poverty and boosting the lives of the population around the regions.
Innovation
In the field of innovation, small businesses, since they are open to taking risks, always explore
and launch new concepts, flavours, and productions. Rh tries are used as incubators of early-
stage technologies that compel large firms to develop new ideas. Small enterprises play a crucial
role in the economy as they improve GDP, provide employment opportunities, and stabilise the
economy for the longer term.
Challenges that small businesses face
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Small businesses face the following challenges: The availability of capital is one of the biggest
challenges because different owners often fail to get the necessary funds from conventional
sources. They also face increased competition from other even bigger firms, resulting in higher
operational costs than larger firms and having to deal with regulatory restraints (Blokdyk, 2019).
It was revealed that many small business ventures fail within the first five years.
Strategies to Overcome Challenges
Small businesses can consider alternatives like crowdfunding, government funding or micro-
financing. Using technology and selling products online can also keep operational costs low
while spreading the industry across the market (O’Rourke, Gale and Williamson, 2017). Support
can also come in resources, training, or infrastructure, whereby one smaller company can get
support from local governments or more giant corporations.
Figure 1: small businesses' contribution to the UK (UK Government, 2022).
The chart illustrates UK businesses from 2000 to 2022, and the growth rate of non-employed
companies is much higher than that of employing businesses. The total number of enterprises
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reached its highest level in 2020 and fell slightly, probably because of economic difficulties such
as COVID-19.
Task 3: Evaluation of Marketing Strategies
1. Unilever’s Marketing Strategy:
Unilever is one of the multinational consumer goods companies that exploited a multi-channel
marketing communication strategy empowering sustainability, innovation, and country-specific
branding. Coca-Cola has the “World without Waste” plan, while Unilever has the ‘Sustainable
Living Plan’ that incorporates sustainability as a marketing strategy to sell lifestyle-capable
products (Sharma, Kaur and Syan, 2021). This strategy forms part of the ethical consumption
pattern that has been expanding among many consumers. Indeed, Unilever manages diverse
digital marketing and advertising strategies and influencer engagements to capture various
customer groups.
Growth Rate
The following facts reveal the effectiveness of Unilever's marketing strategy, as reflected in its
growth. For instance, in 2020, Unilever's sales through the e-commerce platform increased by
61%, giving a green light to its digital marketing campaigns. Moreover, those like Dove and Ben
& Jerry’s have significantly boosted this growth through the consistency of solid brand messages
that align with the consumers’ value systems.
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Figure 2: Unilever Growth Income (2024).
2. Diageo’s Marketing Strategy:
Diageo, a leading global beverage company, explores branding strategy with more focus on
premium power and event marketing (Rinallo, 2019). Diageo uses sponsorships, events, and
celebrity endorsements to upgrade its brands, including those of Johnnie Walker and Guinness.
The company also leverages digital marketing and data analysis to understand customers and
ensure they are enticed appropriately.
Growth Rate
Marketing strategies have been essential to Diageo because the group has expanded to other parts
of the world. Net sales increased to 16% in 2021. In particular, premium brands had a significant
boost. The excellent message consistency and experiential marketing approaches have reinforced
Diageo’s global positioning in both mature and emerging markets and overall brand image.
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Figure 3: Diageo Growth Revenue (Valuespectrum 2020).
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Conclusion
Small enterprises are sources of employment and invention and contributors to an economy's
gross domestic product. However, they experience various challenges, such as low capital and
competition. Technology can surmount these challenges, consider other novel and appropriate
funding services, and develop strategic partnerships to assist small business players in their
functional and persevering way in competitor markets.
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References
Aulet, B. (2013) Disciplined entrepreneurship: 24 Steps to a Successful Startup. John Wiley &
Sons.
Blokdyk, G. (2019) Operational Costs A Complete Guide - 2019 edition. 5starcooks.
Nakano, M. and Purevdorj, B. (2013) Reliance on foreign markets: multinationality and
performance. Springer Science & Business Media.
Nielsen, A. (2014) Gross Domestic Product 43 Success Secrets - 43 Most asked questions on
Gross domestic product - What you need to know. Emereo Publishing.
Oliver, L. and English, J. (2012) The Small Business Book: A New Zealand guide for the 21st
century. Allen & Unwin.
O’Rourke, K.H., Gale, J. and Williamson, J.G. (2017) The spread of modern industry to the
periphery since 1871.
Phillips, W. et al. (2014) 'Social innovation and social entrepreneurship,' Group & Organization
Management, 40(3), pp. 428–461. [Link]
Rinaldo, D. (2019) Event marketing. EGEA spa.
Sharma, R.R., Kaur, T. and Syan, A.S. (2021) Sustainability marketing: New directions and
practices. Emerald Group Publishing.
Taghizadeh-Hesary, F. et al. (2021) Investment in startups and small business financing.
Welfens, P.J.J. et al. (2012) Technological competition, employment and innovation policies in
OECD countries. Springer Science & Business Media.
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