Essay Plan1 Definition of Small Business There are various definitions of small business given by different times and areas. One of the first definitions was provided by the Bolton Report (1971), which indicated that a small business should meet three criteria: independent (not part of a larger enterprise); managed in a personalized way (simple management structure); relatively small market share (the firm is a "taker" of price rather than a "maker" of price). There are also quantitative definitions of small business in terms of measuring assets, turnover, profitability and employment in different sectors and countries (Bolton, 1971).2 What is small entrepreneurial business Across Europe, great attention has been given to small business and the contribution that small entrepreneurial businesses can make to the transformation of the economy (EiM, 1994). The concept of entrepreneurship is often considered with the creation of new businesses and the management of small businesses, and with the terms owner-manager and self-employment ( Gibb, 1996 ). While Kirby (2003) argued that entrepreneurship is much broader than the concepts mentioned above. Not all owner-managers can be considered entrepreneurs, nor are all small businesses entrepreneurial (Carland et al., 1984). Carland also argued that small entrepreneurial businesses aim for profitability and growth and that the business is considered innovative.3 Strategy, Management and Growth in Entrepreneurial SME Businesses According to Deakins and Freel (1998), the literature on entrepreneurial processes has attempted dichotomies into two approaches, which come from the nature of entrepreneurs and their role in the economy...... at the center of the paper ......and in the evolution of industry”, Econometrics.Keasey, K .and Watson, R. (1993), Small Business Management: Ownership, Finance and Performance, Blackwell.Kirby, D.A. (2003), Entrepreneurship. Maidenhead: McGraw-Hill.Shaw, E. (1997), “The real networks of small businesses”, in Deakins, D., Jennings, P. and Mason, C, (eds), Small Firms: Entrepreneurship in the Nineties, Paul Chapman Publishing, London.National Academy of Engineering, 1995, Risk & Innovation, Washington DC: National Academy Press.Penrose, E. (1971/1952), “Biological analogies in the theory of the firm”, The Growth of Firms , Middle East Oil and Other Essays, first published in American Economic Review, vol. 42 No. 5.Stevenson, H. and Gumpert, D. (1985), "The Heart of Entrepreneurship", Harvard Business Review.Szarka, J. (1990), "Networking and Small Business", International Small Business Journal.