Final answer:
A business plan is strategic, focusing on long-term goals, objectives, and overall direction of the business. An action plan is more tactical and operational, laying out specific tasks, timelines, responsibilities, and resources to achieve short-term objectives.
Step-by-step explanation:
The difference between a business plan and an action plan lies in their approach and level of detail. A business plan is strategic, focusing on long-term goals, objectives, and overall direction of the business. It outlines the company's mission, target market, competitive analysis, financial projections and marketing strategies. On the other hand, an action plan is more tactical and operational. It lays out the specific tasks, timelines, responsibilities, and resources required to achieve short-term objectives.
For example, a business plan for a new start-up may include sections on market analysis, product development, and funding strategies. It provides a holistic view of the business and its future prospects. An action plan, on the other hand, may focus on the immediate steps needed to launch the product, such as developing a website, conducting market research, and securing funding.