What is the difference between social bookmarking and social networking?

Social Bookmarking is off-page activity to share or submit only website information or product information. In social media you can share everything as you want. like social news, your happiness, your videos, your pictures. etc.
 
Social bookmarking is an off-page SEO technique that could deliver some traffic to a website and increase awareness about it (although not much from my experience). Don't forget that a lot of social bookmarking services offer spam services. All in all, I'd stay away from it.

Social networking is the process of using social media platforms that could provide good backlinks, benefit your ranking and the traffic on your blog or website.
 
Social book marking: It is tagging a website and saving it for later. Instead of saving them to your web browser, you are saving them to the web. And, because your bookmarks are online, you can easily share them with friends.
Social networking and social media optimization are more or less similar and complimentary. Social networking is increasing your contacts through social networking sites thereby creating a chain of contacts through which you drive visitors to your site and promote your business.
 
Hi,

Social networking is all about interactions and an open dialogue with users. Social media helps you humanize a brand and build genuine relationships with your community. It shortens the distance from your audience, especially when you address them from personal accounts.

Social bookmarking websites are sites on which users share their web pages, videos, articles, blog posts, and images. It is a way for people to search, discover, collect and organize webpages of interest using virtual “bookmarks.”

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