Adapting an American Non-Profit Model to an International For-Profit Model: A Case Study of Clean the World Business Model in Hong Kong

Abstract

The non-profit sector in the United States had grown at a fast pace in the recent decades, partially as a result of the economic development and the influence of social and political factors. By pursuing mission rather other bottom line, nonprofit organizations faced fierce competition for government grants and private donations. Limited financial resources constrained their efforts to create social and environmental value. The emerging hybrid nonprofit business model offered a new approach for nonprofits to pursuing self-sustainable development both domestically and internationally. However, adapting a unique American nonprofit model into an international for-profit model could be challenging because of the creation of the for-profit organization in an international setting. Thus, the purpose of this case study was to show how an American hybrid nonprofit business model adapted its mission and operational approach to an Asian licensing for-profit business model. A comparative analysis was conducted on both nonprofit and for-profit operations of Clean the World operated respectively in the United States and Hong Kong, including expansion drivers in Hong Kong, differences and commonalities, advantages and disadvantages, and lessons learned thus far. This case study demonstrated that a CLEAN THE WORLD CASE STUDY 3 hybrid nonprofit could seek self-sustainable growth in a foreign country under certain circumstances.