Entrepreneurship can be broadly divided in to small business, medium business, large business and social business. Business is the common term used for the multiple types of businesses. The source of money is the important part in the business. Large scale businesses run on venture capital whereas small scale businesses run on the business loans. Let me discuss in detail about these types of businesses and the reason behind these business ideas.
Small scale Business
The small businesses in US are 5 to 7 million and they dominate 99.7 percent of the business. These companies employ 50 percent of the employees. The passion towards business and the responsibility to feed the family with less qualification interests the people to start small scale businesses. Grocery stores, hair dressers, consultants, travel agents, internet companies, carpenters, plumbers, and electricians are some of the small scale businesses.
The scalable business model is the repeatable business model which attracts the venture capitalists. The Google and the Facebook help for the online businesses and it is also named as the scalable businesses. The software solution is the best example for the scalable business where the model shows that the revenue will increase. Scalable business models are the models which are working well in generating the revenue.
To achieve more sales in the business starting the online presence and opening many locations increases the revenue. The best examples of these types of businesses are star bucks, Dunkin donuts and coffee shops. They focus their business towards quality, online presence and multiple locations. The reach is the factor which improves the sales in multiple locations. Online business and franchisee business are the fashion of the latest business world which is bringing in huge revenue to the startup businesses.
Social businesses are service oriented business and not profit oriented business. The social awareness is the goal of the business and they do not care about the market share in the business. These types of businesses can be profit oriented, non-profit or hybrid businesses.
The large size business stands for long period of time in the competitive market. They believe in the research and introduction of new products. Branded companies sustain in the market for long period with sales and innovation. To capture the market the research and the innovation is the important things.
Many entrepreneurs run the business not only for the money but for the love towards work. The freedom of thought and the hard-work makes the business people as the number one people. The culture and the concrete system make the company as a big company. Business brings in social changes through the products and solves the unemployment problems.