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Enterpreneur & manager

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Difference between an Enterperneur and the Manager

Published in: Business, Technology
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Enterpreneur & manager

  1. 1. Entrepreneur : ◦ He is a person who establishes business unit and utilizes the other factors of production like land, labor and capital. Manager : A manager is the person responsible for planning & directing the work of a group of individuals, monitoring their work, and taking corrective action when necessary.
  2. 2. Difference Between Entrepreneur & Manager.
  3. 3. Entrepreneur Manager Self employed Salaried person
  4. 4. One Man Team
  5. 5.  As a Entrepreneur he sets the goal  As a manager he implies that goal
  6. 6.  An entrepreneur is the owner of the enterprise but a manager is just an employee in the enterprise of the entrepreneur.  The main motive of an entrepreneur is to start a venture by setting up an enterprise. But the main aim of a manager is to render services to an entrepreneur.
  7. 7.  An entrepreneur and a manager differ in their standing, an entrepreneur is the owner of the organization and he bears all the risk and uncertainties involved in running an organization  Where as a manager is an employee and does not accept any risk.
  8. 8.  An entrepreneur and a manager differ in their objectives. Entrepreneur’s objective is to innovate and create and he acts as a change agent  Where as a manager’s objective is to supervise and create routines. He implements the entrepreneur’s plans and ideas.
  9. 9. Decision-Making  The entrepreneur usually makes decisions, even those of critical importance for his business, on the basis of his own personal intuition and "gut feelings".  The professional manager makes decisions after collecting detailed information and reaching operative conclusions, while relying on experts both from within and outside the organization.
  10. 10.  An entrepreneur is not induced to involve in fraudulent behavior where as a manger does.  A manager may cheat by not working hard because his income is not tied up to the performance of the organization.
  11. 11.  Entrepreneur is required to have certain qualifications and qualities like high accomplishment motive, innovative thinking, forethought, risk-bearing ability etc. Conversely it’s necessary for a manager to be educated in the fields of management theories and practices.  An entrepreneur deals with faults and failures as a part of learning experience where as a manager make every effort to avoid mistakes and he postpones failure.
  12. 12. “An entrepreneur could be a manager but a manager cannot be an entrepreneur”. An entrepreneur is intensely dedicated to develop business through constant innovation. He may employ a manager in order to perform some of his functions such as setting objectives, policies, rules etc. A manager cannot replace an entrepreneur in spite of performing the allotted duties because a manager has to work as per the guidelines laid down by the entrepreneur.

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