Difference between Businessman and Entrepreneur

The two terms Businessman and Entrepreneur are used interchangeably but there exists major differences between both of them. A Businessman is someone who starts or operates a business with a business idea that already exists in the market whereas an Entrepreneur is an individual with an exclusive idea to initiate something new and to bring change into the world.

Entrepreneur vs Businessman

Who is a Businessman?

A Businessman is someone who starts or operates a business with a business idea that already exists. Businessmen carry out activities related to industrial and commercial purposes on an unoriginal idea. They generally decide to set up the business in an area of high demand or the field which earns maximum profits. The businessman faces tough competition as already many others have similar businesses in the market. However, there is no/less risk as the business concept is prevailing for ages, and it is tried and tested and has less chance of failure. Businessman treats their customers as king of the business and does the activities for the benefit of customers only by employing intellectual resources.

Key Takeaways from Businessman:

• Businessmen are market players as they enter the already established markets.
• Businessmen do not want to take risks or are willing to take less risk. They mainly focus on earning profits.
• Businessmen use traditional and tested approaches to operate the activities and play safely.

Who is an Entrepreneur?

An Entrepreneur is an individual with an exclusive idea to initiate something new and they have the enthusiasm of bringing a change in the world. An entrepreneur is a highly motivated and creative individual who is willing to take risks and face unpredictable situations arising in this dynamic world. Businesses that are initiated by entrepreneurs are known as Startups. Entrepreneurs have a creative approach, and they are majorly known for their creativity.

Key Takeaways from Entrepreneur:

• Entrepreneurs operate the activities using innovative methods.
• Entrepreneurs are market creators as they bring new and innovative ideas to the plate.
• Entrepreneurs are willing to take more risks as long as their idea will help them earn long-term profits.

Difference between Businessman and Entrepreneur

Basis	Businessman	Entrepreneur
Meaning	A businessman is an individual who establishes a business with an old idea.	An entrepreneur is an individual having a new and exclusive idea to establish something new.
Motive	A businessman’s motive is to earn profits.	An entrepreneur’s motive is to bring change to the world.
Nature	Businessmen are calculative in nature.	Entrepreneurs are innovative in nature.
Risk Factor	Businessmen do not want to take a risk or take low risk.	Entrepreneurs want to take more risks.
Goals	Businessmen focus on short-term profits.	Entrepreneurs focus on long-term profits.
Competition	Businessmen face high competition as there are already many other people doing the same business.	Entrepreneurs face low competition for the business since they enter a new market.
Position	Businessmen are market players.	Entrepreneurs are market creators.
Approach to Operate	Businessmen operate activities by using conventional methods.	Entrepreneurs operate activities using innovative methods.