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THE DIFFERENCE BETWEEN AN ENTREPRENEUR AND A BUSINESS OWNER

Food processing companies in Nigeria

These two terms are often used interchangeably, and I suppose it doesn’t matter to most people because, as they say, “business is business.”

True, the entrepreneur and the business owner are both looking for the same thing: money!

To many, what matters most is that business be conducted, with a strong emphasis on profit maximization, right?

Nonetheless, it’s critical to comprehend the distinction before determining your spot in the corporate sector.

You’ll know the difference at the end of this essay; you’ll know where you now belong and whether to make a change or stay put.

WHAT IS THE DEFINITION OF AN ENTREPRENEUR?

“A person who organizes and maintains a firm or businesses, taking on more than average financial risks to do so,” according to the Oxford Dictionary.

WHAT DOES IT MEAN TO BE A BUSINESS OWNER?

Someone who owns and manages one or more enterprises is referred to as a “business owner.” He is the legal owner of the company.

The average business owner isn’t ready to go the extra mile to take profitable risks because he or she is content with the status quo.

WHAT IS THE DISTINCTION?

To make things easier to understand, we’ll break it down into three sections, as indicated below:

1. Innovation

A business owner usually manages and runs his company by following a tried- and-true business model that is simple to understand and implement.

An entrepreneur, on the other hand, comes up with novel ideas and developments that have not yet been tried and tested. These concepts and breakthroughs almost always result in a shift in the status quo.

When problem arises, the business owner tends to concentrate on the problem, but an entrepreneur tends to think more of solution and profit than the problem.

For example, Mr Kenny is a Businessman, while Mr. Benny is an entrepreneur, they meet a group of nursing mothers who complain about how stressful it is for them to do market runs with their newborn, since they have no support at home. The business owner would rather be engrossed with self-pity, whereas the entrepreneur would be brainstorming on profitable solution to the problem.

Be innovative and creative

2. Expansion

Some business owners are satisfied with their present earnings. Others would go a step further by focusing on marketing, hiring more people, and extending the company’s product and service offerings.

Business owners tend to follow a step by step expansion pattern. For example, a POS operator might decide to open another branch, about 200 meters away from the first one.

An Entrepreneur on the other hand, aims at explosive expansion, strives for explosive growth. The expansion is not usually a step by step progression, it’s more of a bang! Entrepreneurs expansion target state-wide, nationwide, and international.

A perfect example is Dangote, Otedola, Adenuga, etc. These great Nigerian entrepreneurs have their businesses expanded beyond the shores of the country.

3. Risk

Business owners take calculated risks, that is, a known risk, whose outcome is predictable. They do not jump with their both feet. Most times, if the risk does not go down well, they may never try similar or other business risks. In contrast, Entrepreneurs jump with both feet. In other words, they risk it all, even on unproven ideas. Most times, they fail in the risk taking but never fail to take another risk.

THE MOST IMPORTANT TAKEAWAY

  • An entrepreneur takes more risks and is not scared to take additional risks, even when things go wrong. Entrepreneurs have the ability to turn little sums of money into billions.

However, the business owner takes few chances and may not be able to do much with little resources.

  • Entrepreneurs see a valuable business opportunity in every difficulty, whereas a

business owner sees the situation for what it is: a problem.

  • Entrepreneurs are innovators, inventors, and creative, whereas business owners rely on existing ideas and developments.
  • You will never be able to live a normal life once you become an entrepreneur.

Your brain becomes treble hyperactive since every little time is money to you, and every problem is a potential money bag!

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