Metaphor and simile are figures of speech that create comparisons. A metaphor directly states that one thing is another, like "her laughter is a gentle song," while a simile uses "like" or "as" to draw a comparison, such as "her eyes are like jewels sparkling in the sky." Both techniques make writing more vivid and interesting by presenting things in a new light. Examples from literature, such as Shakespeare's metaphor comparing the world to a stage, demonstrate how metaphors and similes enhance creative works.