Sustainability of Asian-American Nonprofit Organizations in U.S. Metropolitan Areas

Abstract

This article examines the factors for the sustainability of Asian-American nonprofits formed in major U.S. metropolitan areas by 2000. Consistent with studies on other nonprofits, the youngest and smallest among Asian-American organizations are the most vulnerable. The age effect is nonlinear and the marginal effect of an additional year of age on sustainability decreases at higher values of age. Chinese-American nonprofits or Asian-American social service nonprofits are more likely to remain active than other Asian ethnic or other functional types of organizations. More sustainable Asian-American nonprofits are better at managing their finances. A growing Asian-American population also provides these nonprofits with more sustaining power. This study contextualizes the importance of organization age and size as central determinants of nonprofit sustainability. It also demonstrates the relevance of race and ethnicity, organizational function, as well as management capacity for future research.