IB Trading & Prop Trading

I've heard the work done by traders at both investment banks (GS, MS, JPM) and most prop shops (JSC, Citadel Securities, Optiver) loosely referred to as market-making. Instead of taking large directional bets, the firms provide liquidity to the market and profit off the spread.

I'm curious, then, how specifically the work between the two differs? Why do investment banks also have salespeople and structures, and how do they fit into this idea of market-making? Sorry if this is a dumb question, just trying to figure out more about the industry!

 

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