How does the role of an entrepreneur differ from that of a manager?

The distinction between an entrepreneur and a manager is primarily centered around ownership and the foundational roles they play within a business context. An entrepreneur is someone who identifies a business opportunity, takes the initiative to develop a business idea, and invests time, resources, and effort to bring that idea to life. They are often the owners or founders of the business, which gives them a vested interest in its success and profitability.

In contrast, managers are appointed individuals who are responsible for overseeing the day-to-day operations of a business. They typically do not have ownership stakes in the company; instead, they are employed to implement the vision set by the entrepreneur, ensure that the operations run smoothly, and manage employees and resources effectively.

This ownership aspect is crucial in delineating the roles: entrepreneurs bear the risk of the business and enjoy the rewards if it succeeds, while managers focus on executing strategies to achieve the business's goals without the same level of financial risk or ownership. Thus, the statement that entrepreneurs own the business while managers typically do not accurately captures this fundamental difference in their roles.