2 answers

How is being an entrepreneur different from being a business manager?

Asked Redwood City, California

2 answers

Rohit’s Answer

Updated Bengaluru, Karnataka, India

The job of an entrepreneur is to predict a future structure of production (marginal cost) VS the future marginal utility (sales price) of a product for a specific need and to invest ressources in order to fulfill this need in a profitable way VS the inherent risk due to the uncertainty caused by the possibility of the prediction being incorrect.

The job of the manager is to allocate those ressources in the most efficient way possible to achieve those goals.

Put differently : The entrepreneur sets the vision and the manager gets you there.

Adam’s Answer

Updated Portland, Oregon

Hi Janet,

The key difference is that an entrepreneur is generally the owner of a business - a creator, and is someone who has an idea, sees it through, and starts a business!

A business manager is someone who help make decisions which are in the best interest of their business, their teams, and/or their employees.

Almost all entrepreneurs are business managers (if you start a business, it is in your best interest to make sure it's successful), but not all business managers are entrepreneurs.

Entrepreneurs are their own bosses, while managers are bosses, but usually have a boss themselves.

Adam recommends the following next steps:

  • Research becoming an entrepreneur - there are some excellent online resources like entrepreneur.com
  • Research becoming a business manager (bonus: look into how businesses are structured and see where you might enjoy yourself most - most companies have many teams: Sales, Support, Engineering, Design, IT, etc.)