The term intrapreneurship was first coined in the 1980s. Though the term has existed in the business world for decades now, there still seems to be a bit of confusion regarding the meaning of the term. Many of you may assume both an entrepreneur and an intrapreneur have the same responsibilities. This may be true to a certain extent as they tend to share some similarities. But on the large, both entrepreneur and intrapreneur are different from each other.
The Difference Between An Entrepreneur And An Intrapreneur
Both the positions may share some similarities with each other but then at the same time they are also different from each other.
By entrepreneur we mean, an individual who sets up his own business. It is his idea or concept that he/she shapes into a business whereas an intrapreneur is an individual, who is an employee of a particular organization who is in charge of making important decisions related to innovations in services and products, processes, etc.
An entrepreneur is independent when it comes to operations. He doesn’t have to follow orders from others. He is the boss of the company, and the company is run based on his orders. On the other hand, an intrapreneur is dependent on the entrepreneur of the company. He has to follow the orders of his boss. Also, he is expected to work under defined rules and regulations as set by the entrepreneur himself.
The core objective of an entrepreneur is to innovate something new. He aims to come up with something new which has a socio-economic value. But the task of an intrapreneur is to boost the market and the competitive strength of the company.
An entrepreneur is known to raise funds for his business. He is the one who manages the capital requirement of his business whereas an intrapreneur doesn’t have to be bothered by the capital requirements of the company. He is a salaried employee who works according to his boss.
It’s the entrepreneur who has to bear the complete risk involved in his business. The business is owned by him and therefore, taking the risk for his business is his responsibility. On the other hand, an intrapreneur doesn’t have to bear such risks. Rather he is known to risk others money.