Hi,
Although under the hood, both boils down to
Java code,which will get executed whenever somebody requests it to.
But from users points of view, both are meant for two distinct purposes. If you have lots of java logic and less presentation, use Servlets. In contrary, if you have lots of presentation but less java logic, use jsps. Note that is the basic funda behind these two technologies. However there have been lots of improvement the way Industry is using these two technologies.
In MVC(2) terms, Servlets are used only as controller. Not even for business logic. All and only presentation logic should be there in the Jsps.
Hope this helps.