Entrepreneurial Philanthropy Meet with Non-Profits - In Search for Alignment

Jos Rath

doi:10.11648/j.ijebo.20150304.11

Abstract

Entrepreneurial philanthropy is becoming more significant in the domain of social change, yet an understanding of how non-profit organisations respond to the phenomenon, and vice versa, has received minimal academic research outside the United States. However, charitable giving with a venture bent may be an uncomfortable realm and can impose a culture shock for non-profits. Also the organisational processes of non-profits can be equally as uncomfortable for entrepreneurs, which may cause potential frictions. The paper seeks theoretical considerations to determine a framework that describes the alignment paradigm, in the situation entrepreneurial philanthropy will meet up with non-profit organisations. The primary focus is to select valid domains where compelling choices for both are foreseen, along with the qualifying variables to guide the meeting process effectively. The paper proposes a conceptual approach of alignment that may offer observations for enhancing the concept of entrepreneurial philanthropy.

Highlights

In civil society, non-profit organisations currently face a number of challenges, including governments retracting financially from a large number of areas
At the same time a new generation of philanthropreneurs1 want to respond to societal problems, and seem able to make a contribution to improve the civil society by investing in non-profits, by using their capital, expertise and network assets [1]
The current paper explores what theoretical frame works may be used to develop an alignment between a non-profit organisation and philanthropreneur, to address societal problems, and describes the two partners within their natural habitus

Summary

Introduction

Non-profit organisations currently face a number of challenges, including governments retracting financially from a large number of areas. Non-profit organisations want to respond to these shifting powers in civil society, but do not always feel familiar with these alternative forms of financing. This unfamiliarity may lead to a Tower of Babel speech confusion when they meet with one another, which may result in nonprofit organisations having to seek alternate sources of. The bias in decisions non-profit organisations make regarding entrepreneurial philanthropy due to their organisational models to provide effective responses, and the business values of philanthropreneurs, are unexplored areas requiring further research

Shifting Powers in Civil Society

Characteristics of Non-profit Organizations

Characteristics of Entrepreneurial Philanthropy

When Two Different Worlds Meet

Exploring Alignment

Conclusion and Discussion