Standby: the backup
For outages — hospitals, data centers, commercial buildings with utility service. Runs occasionally, must start fast and carry full load immediately. Never run a standby set as primary power: no overload allowance and ~200 hrs/year design life means prime duty destroys it. Most used sets on the market are standby — low hours, clean, and exactly right for backup.
Prime: the workhorse
For off-grid sites, construction, oil & gas, events — anywhere the generator is the utility. Unlimited hours at varying load, with a 10% overload allowance one hour in twelve. Prime sets are built heavier (cooling, bearings, alternator) and priced accordingly. If your application runs daily, you need prime — a standby set will not survive it.
Continuous: the baseload
Constant load, 24/7 — cogeneration, peak shaving, remote facilities. No overload, ever: the rating assumes the machine never gets a break from full load. The most conservative rating — and the one that commands the most respect from buyers who know, because a continuous-rated set at its rating will run for decades.