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Key Differences

Know the Differences & Comparisons

Difference Between Businessman and Entrepreneur

businessman vs entrepreneurA businessman walks on the defined path, but an entrepreneur believes in making his own path, which becomes a guideline for other businessmen. Most of the people have a misconception that the terms businessman and entrepreneur, carry the same meaning, due to which they use them interchangeably.

A businessman is a person who runs the business, undertaking an unoriginal business idea.  On the contrary, an entrepreneur is someone who first initiates a product or business idea and thus the leader of that in the market.

In the long run, an entrepreneur becomes a businessman, but there is a difference. Even the terms will sound same for a layman, but there is a fine line amidst the two, in the sense that an entrepreneur is always a market leader whereas a businessman is a market player. In this article, we will help you learn the difference between businessman and entrepreneur.

Content: Businessman Vs Entrepreneur

  1. Comparison Chart
  2. Definition
  3. Key Differences
  4. Conclusion

Comparison Chart

Basis for ComparisonBusinessmanEntrepreneur
MeaningA businessman is someone who sets up a business with an existing idea offering products and services to the customers.An entrepreneur is a person who starts an enterprise with a new idea or concept, undertaking commercial activities.
Market PositionMarket PlayerMarket Leader
NatureCalculativeIntuitive
MarketCreates place in existing marketsCreates new market
Risk factorLessComparatively high
Methods applied for doing thingsConventionalUnconventional
ApproachHolisticAtomistic
OrientationProfitPeople
CompetitionVery highLow

Definition of Businessman

A person who is engaged in carrying out any activity, related to commercial and industrial purposes is known as Businessman. He sets up his business as a new entrant in the market as for the existing business. When it comes to originality of ideas, most of the businessmen go for a business which is highly in demand or which can make huge profits for them irrespective of uniqueness.

A businessman faces tough competition because there are hundreds of rivals already existing in the market undertaking the same business. Although the risk factor is low because he walks on a path that is already tested by the rivals so the chances of failure are relatively low.

The main objective of a businessman for conducting the economic activities is to generate revenue by employing the human, financial and intellectual resources. By virtue of this, customers are treated as the king of business by the businessman.

Definition of Entrepreneur

An entrepreneur is a person who conceives a unique idea or concept to start an enterprise and brings it into reality. He is the person who bears risks and uncertainties of the business. The venture established by the entrepreneur is known as Startup Company, which is formed for the very first time regarding the idea, innovation or business process.

He/She is the ones who lead the market always no matter how many competitors will come later, but their position will remain untouched.

In economics, the entrepreneur is considered as the most important factor of production, which assembles and mobilizes the other three factors of production i.e. land, labor and capital. In the long run, these entrepreneurs become a businessman.

Entrepreneurs are known for their creative approach. They introduce innovation and coordinate the resources. They offer such products and services which bring about a change in the world.

Some real life examples of such entrepreneurs are Bill Gates (founder of Microsoft), Mark Zuckerberg (co-founder of Facebook), Larry Page (co-founder of Google), Steve Jobs (co-founder of Apple) etc.

Key Differences Between Businessman and Entrepreneur

The following are the differences between businessman and entrepreneur

  1. A person who brings his unique idea to run a startup company is known as an entrepreneur. A businessman is a person who starts a business on an old concept or idea.
  2. A businessman makes his place in the market with his efforts and dedication, whereas an entrepreneur creates the market for his own business.
  3. The businessman is a market player while Entrepreneur is a market leader because he is the first to start such a kind of enterprise.
  4. The nature of a businessman is calculative, but an entrepreneur is intuitive.
  5. As the businessman follows the footsteps of other businessmen, the possibility of failure is very less which is just opposite in the case of the entrepreneur.
  6. A businessman uses traditional methods to run the business. Conversely, an entrepreneur applies unconventional methods for the same.
  7. A businessman is oriented towards profit, however, an entrepreneur is a people focused in essence, he gives more importance to its employees, customers, and the public.
  8. The businessman faces extreme competition because it is very difficult to gain a competitive position in an already existing market, which is not in the case of an entrepreneur.

Conclusion

A businessman is a businessman, but an entrepreneur is an entrepreneur, an organizer, a risk taker, a manager at the same time. The former focuses on competition, but the latter gives emphasis on coordination and cooperation of all the resources.

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Comments

  1. Luz S. Templonuevo says

    December 20, 2016 at 1:06 pm

    Thanks a lot. These are very useful to me personally for my work as Business Counselor. I greatly appreciate your sharing these quite informative/educational articles.

    More power and keep up the good work! Please keep on sharing what you know and what you have. May God bless you with more wisdom, knowledge, opportunities and in all areas
    of your lives.

    Reply
    • Surbhi S says

      December 22, 2016 at 9:35 am

      Thank you for all your blessings and appreciation. 🙂

      Reply
    • jikmat says

      February 11, 2021 at 7:27 pm

      Thanks……

      Reply
  2. Nkeiruka Prosper Kanu says

    March 7, 2017 at 7:23 pm

    This is educational, inspirational and great.

    More grace.

    Thank you very much and keep it up

    Reply
  3. KENNEDY E. says

    March 12, 2017 at 9:27 pm

    Very empowering and motivational

    Reply
  4. Aruj Budhraja says

    March 15, 2017 at 1:58 am

    Thank You Very Much for the amazing article!
    I am still figuring out to become an Entrepreneur or a Businessman.

    Reply
  5. Mirzahakeem says

    March 15, 2017 at 3:57 pm

    Thank you for this goldmine of information. I could use some of these information for my career presentation.

    Reply
  6. hoyhouy says

    March 17, 2017 at 1:45 pm

    very clear definition, thanks for sharing.

    Reply
  7. Maribel Ballon says

    April 10, 2017 at 8:11 pm

    Great read ! This article is such a big help !

    Reply
  8. hawkins says

    May 4, 2017 at 3:46 pm

    great explanation

    Reply
    • Surbhi S says

      May 4, 2017 at 3:51 pm

      Millions of thanks to all the readers of the page, for liking and sharing your valuable opinions with us, keep reading. 🙂

      Reply
  9. Sunil Kumar says

    June 27, 2017 at 3:13 pm

    It is great information

    Reply
  10. Usama says

    September 20, 2017 at 5:11 pm

    Is Mark zuckerburk co founder of Facebook????

    Reply
    • Surbhi S says

      September 20, 2017 at 5:13 pm

      Yes

      Reply
  11. Samuel Ayankoso says

    January 8, 2018 at 3:20 am

    Thanks for providing an in-depth information to explain the two subjects

    Reply
  12. Aafan Siddique says

    March 26, 2018 at 12:11 am

    Wow, great man. It’s awesome post ever I seen.

    Reply
  13. Thivanka says

    June 30, 2018 at 2:48 pm

    Thank you very much for the valuable information. Keep your Good Work

    Reply
  14. Rana says

    July 29, 2018 at 11:30 pm

    Great information’s ! thanks for sharing with us .

    Reply
  15. OLLO PAULINUS says

    October 5, 2018 at 1:50 am

    A very rich and clear explanations about these two key words

    Reply
  16. Ola Balogun says

    December 8, 2018 at 12:08 pm

    It’s my first time to ever know there was a difference between the two. I feel schooled now properly and realise there are many things that I do not know. Thank you for making this possible. Much appreciated

    Reply
  17. Bunny Balintong says

    January 18, 2019 at 8:00 am

    wow! now i know! i can share this in my radio prog. thank you and more power!

    Reply
  18. samuel says

    January 26, 2019 at 4:52 pm

    wao, nice explanation

    Reply
  19. Kenneth Choo says

    March 22, 2019 at 8:03 am

    This article just nailed it. It helps in defining and it is very clear. It will help me in my biz coaching too. Thanks a lot 🙏🏻

    Reply
  20. Ayanda says

    July 22, 2019 at 3:13 pm

    Thank you so much for the info, bless u for this.

    Reply
  21. Chi Naomi says

    November 18, 2019 at 5:24 pm

    Thank you so much for the article. It was of great help

    Reply
    • Arafa salum says

      June 12, 2020 at 3:53 pm

      Thanks for explanation! Arafa from 🇹🇿🇹🇿🇹🇿🇹🇿

      Reply
  22. R.K. gUpta says

    April 5, 2020 at 10:34 am

    Thanku so very much for detail article, it really help us to understand..

    Reply
  23. Abdulkhazal says

    December 7, 2020 at 4:18 pm

    Thank for your support to help me to understand

    Reply
  24. Coster Katwishi says

    May 10, 2021 at 8:45 pm

    Thank you this is very useful.

    Reply
  25. Michael Azarris says

    June 4, 2021 at 7:37 pm

    Nicely done 😊👍❤️

    Reply
  26. BIKO says

    June 9, 2021 at 12:45 pm

    Nice explaination

    Reply
  27. Hanna Tamang says

    June 15, 2021 at 12:44 pm

    Thanks, super helpful

    Reply
  28. Sankey bansal says

    July 31, 2021 at 9:56 am

    Wow. Superb. What an original article 👌👌

    Reply
  29. Jay says

    September 20, 2021 at 11:13 pm

    Thank you very much for this information which is very helpful to me, so keep it up for growth.

    Reply
  30. Hollamyde says

    April 20, 2022 at 3:42 pm

    Big thanks to you, you really cleared the air.

    Reply
  31. tayyab says

    May 21, 2022 at 4:34 pm

    Thanks for information

    Reply
  32. Daisy says

    June 9, 2022 at 2:58 am

    Wow.
    Extremely informative and helpful. I want to take this time to thank you for providing us with this opportunity and making it easier to understand business and it’s variants .

    Reply
  33. Rev Augustine says

    September 15, 2022 at 5:51 pm

    GREAT EXPOSITION ON THE CONCEPTS OF ENTREPRENEUR AND BUSINESSMAN,

    I’M CURRENTLY A STUDENT IN AN ENTREPRENEURERSHIP CLASSES AND IT HAS BEEN HELPFUL, MOST GRATEFUL FOR INSIGHTS

    WHAT ARE YOUR THOUGHTS ON ENTREPRENEURERSHIP AS A PROFESSION?
    GOD BLESS YOU, SHALOM 🙏

    Reply
  34. Petter Jackson says

    November 28, 2022 at 11:21 am

    Fantastic site. Plenty of useful information here. I’m sending it to a few friends and also sharing it on Facebook. And certainly, thanks for this information!

    Reply
  35. Adiele says

    August 1, 2023 at 2:23 am

    This article has really expanded my knowledge to understand clearly the difference between a businessman and entrepreneur.

    Reply

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