Difference Between Entrepreneur and Intrapreneur

The key difference between entrepreneur and intrapreneur is that an entrepreneur is a person who designs, launches, and manages a new business and that almost always starts as a small business, whereas an intrapreneur is an employee already working in a company.

Both entrepreneurs and intrapreneurs have to master adaptability, intelligence and leadership to be successful in their careers. Entrepreneurs are independent and have more freedom, while intrapreneurs are dependent on their respective companies and have less freedom. Sometimes people who start their career life as intrapreneurs later become successful entrepreneurs by starting their businesses.

CONTENTS

1. Overview and Key Difference
2. Who is an Entrepreneur
3. Who is an Intrapreneur
4. Entrepreneur vs Intrapreneur in Tabular Form
5. Summary – Entrepreneur vs Intrapreneur

Who is an Entrepreneur

An entrepreneur is a person who designs, launches, and manages a new business. The word ‘entrepreneur’ originated from the French word ‘entreprenerd’ formed by an economist named Jean-Baptiste Say, which means undertaker or adventurer. Entrepreneurs almost always start as a small business. In this way, they get the opportunity to enjoy almost all the rewards such as high profits, fame and growth opportunities, yet they will have to face all the risks that come with the development and continuation of the business as well. People who successfully create new ideas, services, and goods are also called innovators.

Entrepreneurs’ skills are essential to predict the needs of people in society and to bring their new ideas onto the market accordingly. Because of this, they are a major component of the economy of a country. The process of becoming an entrepreneur starts with a business plan. That is a document that explains in detail the methods of achieving the goals and objectives of the newly formed business. After creating this business plan, the entrepreneurs usually find financial resources, hire employees, and make a leadership team that helps them to run the business. During this process, they may find difficulties in finding the necessary financial and human resources. Entrepreneurs have a lot of freedom and responsibility since they run their own companies. They increase national wealth, create job opportunities and develop human civilization.

An entrepreneur is a person who,

• creates and initiates a new concept
• recognizes and makes use of opportunities
• manages resources successfully
• takes suitable actions
• faces risks and uncertainties confidently
• adds value to the products or services
• takes decisions to make the profits
• foresees the necessities of the customers

Some famous entrepreneurs we all know are Bill Gates, Jeff Bezos, Steve Jobs, Mark Zuckerberg, and Oprah Winfrey.

Who is am Intrapreneur?

An intrapreneur is a person who works on improving new ideas and products within the boundaries of the business that they already work at. The word ‘intrapreneur’ is a combination of the two words ‘internal’ (intra) and ‘entrepreneur’. It was invented by Gifford Pinchot III and Elizabeth S. Pinchot in 1978. An intrapreneur refers to any person in a company that provides his skills, vision and predictions for the benefit of the company. This helps them to form new ideas and apply them to achieve the company’s aims and objectives without facing any risks. Generally, an intrapreneur may be anyone, from an intern to the vice president of the company. There are occasions that companies allow intrapreneurs to take full control of various significant projects that are crucial for the development of the company. Sometimes those who begin their careers as intrapreneurs gradually become entrepreneurs when they decide to leave the company that they work and form their own business.

An intrapreneur,

• risks time or financial resources
• shares the reward of an intrapreneurial project between the corporation and the intrapreneur in an equal way.
• is given independence by the corporation to conduct various tasks
• sometimes, become the own “venture capitalist” within the corporation

Some Famous Intrapreneurs

• Ken Kutaragi, creator of PlayStation at Sony
• Paul Buchheit, the creator of Gmail
• Brothers Lars and Jens Eilstrup Rasmussen, creators of Google Maps

What is the Difference Between Entrepreneur and Intrapreneur?

An entrepreneur is a person who designs, launches, and manages a new business, while an intrapreneur is an employee of a company who works on improving new ideas and products within the boundaries of their work. The key difference between entrepreneur and intrapreneur is that an entrepreneur is a founder of a new business, whereas an intrapreneur is an employee already working in a company. Sometimes those who begin their careers as intrapreneurs gradually become entrepreneurs when they decide to leave the company that they work and form their own business.

The below infographic lists the differences between entrepreneur and intrapreneur in tabular form for side by side comparison.

Summary – Entrepreneur vs Intrapreneur

An entrepreneur is a person who plans, launches, and manages a new business, which almost always starts on a small scale. Entrepreneurs have the freedom to do almost anything for the upliftment of the business and to achieve its aims and objectives. They have to find financial and human resources on their own and face risks on their own but at the same time get the opportunity to enjoy all the rewards to themselves also. An intrapreneur is an employee. Intrapreneurs have less freedom in the company’s decision-making process. They are given the necessary resources, and the risks are comparatively low. The rewards gained because of the hard work of intrapreneurs are shared by them as well as the entrepreneurs. Thus, this is the summary of the difference between entrepreneur and intrapreneur.

Reference:

1. “Entrepreneurship.” Wikipedia, Wikimedia Foundation, 20 Aug. 2021.
2. “Intrapreneurship.” Wikipedia, Wikimedia Foundation, 13 Feb. 2021.