Government vs Business: Difference and Comparison

A person can select many professions to make his/her career. But with some choices, there is a silent word of ‘responsibility’ in them.

Some of the professions are – doctors, soldiers, politicians, social workers, civil services, businessmen, and many others. With each profession, a person has to contribute some of its success directly or indirectly in making the country a better place to live.

For example – a doctor is responsible for improving health infrastructure, soldiers are responsible for safeguarding, a businessman is responsible for sharing their success through improving the economy, and politicians and social workers work for the welfare of society.

Key Takeaways

  1. Government and business are two different types of organizations.
  2. The government is a public organization responsible for providing services and maintaining law and order. At the same time, a business is a private organization responsible for producing goods and services for profit.
  3. Taxes fund government and operates with a focus on public welfare, while investments fund business and operates with a focus on generating profit.

Government vs Business

Governments are responsible for creating and enforcing laws and regulations that affect businesses and the economy. They collect taxes, provide goods and services to ensure fair competition. Businesses are responsible for creating wealth and economic growth by providing goods and services that meet the needs and wants of consumers.

Government vs Business

Government includes the representatives that are selected and elected through the democratic voting of the people. They are supposed to be working for a certain party or an individual party.

With their fellow mates, they form the majority government and thus work to improve society. As per their oath, these representatives must work with their utmost sincerity and dignity and shouldn’t indulge in any forge means of practice.

A business is an entity or organization whose priority is to trade, accompany more people under them, commerce, and make huge profits with the transactions.

It mainly builds or engages people in a certain field, and the profits and gains achieved are for a single individual or for the whole industry. They are mainly the organizations regulating the economy of a certain country directly or indirectly.

Comparison Table

Parameters of ComparisonGovernmentBusiness
DefinitionAn entity that works for the welfare of societyOrganization or firm working for their profit
Emphasize OnSociety’s welfareOrganization Profit
Schemes/OfferHundreds of thousands of schemeA few schemes or offers to be introduced
Income/Revenue Source Taxes or bondsSelling goods, raising stocks or funds, taking loans from the bank or market
DurationFor a limited periodIt depends on the owner
Rules and RegulationsWith everyone’s supportIt may be a single-person decision or a group
DecisionSlow processQuick process
Money ValueMajorly most of the funds are wasted or cornered for personal useThey have a record for every single penny spent

What is Government?

A Government is stated as an entity or an organization that the people of the country fairly elect. For choosing the government, fair elections have campaigned against all the candidates selected for the profile.

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And whosoever receives the majority they are said to be the winner. The main aim or focus of the elected members in any Government is to work for society’s betterment.

The elected Government introduces or launches hundreds or thousands of schemes and offers so that people can avail different benefits from them. But sometimes, such schemes and offers remain behind based on implementation.

The power of decision-making in a government is not in a single person’s hands. Still, they have to consider the opinion of everyone present or is a member of two houses of parliament, because of which the process of making any decision or law is slow.

Nevertheless, any government’s income or revenue source is mainly taxes or bonds. 

government

What is Business?

A business is a group or organization established by a single person or in a partnership. The aim focus of any business organization is to make a profit for itself.

Unlike the government sector, the business sector doesn’t emphasize on being working for society’s welfare. Perhaps, they only focus on the company’s profit.

The company’s business owners have to introduce a limited number of schemes or offers that attract the right audience or customers to purchase their goods or services. But these offers and schemes are meant for a limited period.

The decision power making in the organization is quite a fast process, and they are not to be always discussed with the members.

The income or revenue source for any business group is – selling goods, raising stocks or funds, and taking loans from the bank or market. Thus, they have a record of every penny spent.

business

Main Differences Between Government and Business

  1. A government is stated as an entity or an organization whose aim is to work for the welfare of society. In contrast, comparatively, on the other hand, a Business is stated as a group or organization that mainly works for their profit.
  2. The government mainly emphasizes society’s welfare while comparatively, on the other hand, Businesses mainly emphasize the profit of their self-organization.
  3. The Government has to introduce hundreds or thousands of schemes. It offers that benefit society while comparatively, on the other hand, any certain business has to introduce a few of the schemes and offers that attract the customer.
  4. The government’s primary revenue or money source is taxes or bonds, while comparatively, on the other hand, the income or revenue source for any business is through selling goods or products, taking loans, raising stocks or bonds, etc.
  5. A certain party working as Government is for a limited period of five years, that is, till the next elections, while comparatively, on the other hand, any business has no expiration date for their setup.
  6. For making any new rules and regulations Government must have to involve all the members of the party and opposition too while comparatively, on the other hand, making any certain new rules and regulations in a business is quite an easy process.
  7. The decision-making process by any Government is very slow, while comparatively, on the other hand, the decision-making process in business is fast.
  8. In Government, money is least valued as a huge amount is sanctioned for projects, but most of them are wasted or cornered under the table comparatively. On the other hand, in any business, money transactions are much valued. They have a record for each penny spent in their records.
Difference Between Government and Business

References

  1. https://aisel.aisnet.org/cais/vol26/iss1/14/
  2. https://journals.sagepub.com/doi/abs/10.1177/02750740022064623
  3. https://heinonline.org/HOL/LandingPage?handle=hein.journals/clqv56&div=8&id=&page=
  4. https://journals.sagepub.com/doi/abs/10.1177/0275074007309154
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Last Updated : 13 July, 2023

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7 thoughts on “Government vs Business: Difference and Comparison”

  1. The article does a great job of highlighting the significance of various professions in contributing towards making the country a better place to live.

    Reply
  2. This article does a good job at explaining the difference between government and business, and the importance of different professions. It is also well supported by the references.

    Reply
  3. I have always had a good idea of what government and business are, and their differences. This article puts it in a clear way which is easy to understand.

    Reply
  4. The content is well written and informative, discussing the differences between government and business in a way that is easily understood.

    Reply

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