Prejudiced person embracing quiet VIP (3,4)
I believe the answer is:
big shot
'vip' is the definition.
(both can mean an important person)
'prejudiced person embracing quiet' is the wordplay.
'prejudiced person' becomes 'bigot' (I've seen this before).
'embracing' means one lot of letters goes inside another.
'quiet' becomes 'sh' ('sh' is used to tell someone to be quiet).
'bigot' placed around 'sh' is 'BIG SHOT'.
(Other definitions for big shot that I've seen before include "Informally, an important person - sounds loud" , "Colloquially a very important person - quite noisy" , "somebody" , "Important influential person" , "Head honcho?" .)