How difference between businessman and entrepreneur. From my view, A businessman is a person who runs the business. An entrepreneur is a person who creates or start his own business. Businessman takes a higher risk than an entrepreneur. If successful estimates as level ten, business is climbing on level five and entrepreneur is starting from zero. Businessman invest big money but entrepreneur invest more time. This picture below make it clearly understand how difference between both of them.
On the left side, a banana costs 1.5 dollars. The businessman sells it 2 dollars. So businessman gets profit from selling banana 0.5 dollar. On the right side, the entrepreneur develops banana to a new product such as banana juice and sell it 5 dollars. Entrepreneur uses the idea to make the product more valuable and sell it at a higher price. A businessman is a person who run the business that unoriginal idea with an old concept. An entrepreneur is a person who begin a unique idea to start a business. The businessman is a market player while the entrepreneur is a market leader. Because he is the first who create own market. In the long run, an entrepreneur can become a businessman. Even though many competitors will come later, but their position will no affect in any way. The venture establish by the entrepreneur is known as Startup Company. Moreover, in terms of venture entrepreneur might have less of the stage for venture lifecycle than a businessman. As starting from seed or development stage, when the bright idea was born and need to primary testing. The feedback is the important thing to measure how is your business worth before establish. After you have decided which business idea is worth pursuing. The start-up stage, the product or service will begin marketing and selling. Customers feedback and market demand are the tools for adjust the product or service to ensure profitability and customer’s expectations. The next stage is the growth stage, the business continuously generates income and improve the number of new customers. Business is able to operate at a net loss or maintain a healthy profit among all of the competition. Also, prepare business model and implement for expand venture for the mass market. Then expansion stage, where the business will expand and spread the new markets, the revenue and cash flow will rapidly grow. At the final stage of the business lifecycle, business is expanded successfully as the top of its industry. On maturity stage, Business can still be growing but not significant rate as before. It is time to make a decision to step back to expansion stage or think of strategy for exit business. The key factor for every stage of business life is a financial source. Because it helps defeat the challenges your face and understand where to stage your business currently on. Furthermore, it would forecast the coming challenges and to make a better decision.