I'll try to keep it simple.
Supervised Learning: In this technique of learning, we are given a data set and the system already knows the correct output of the data set. So here, our system learns by predicting a value of its own. Then, it does an accuracy check by using a cost function to check how close its prediction was to the actual output.
Unsupervised Learning: In this approach, we have little or no knowledge of what our result would be. So instead, we derive structure from the data where we don't know effect of variable.
We make structure by clustering the data based on relationship among the variable in data.
Here, we don't have a feedback based on our prediction.
