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Market and Institutional Factors in Corporate Contributions

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Nonprofit Sector and Volunteering Corporate Social Responsibility Reporting Corporate Social Responsibility and Sustainability

Abstract

Corporate gifts to nonprofit organizations are determined by both market and institutional factors. Among the leading market factors are a firm's pre-tax earnings, advertising and customer relations, and community and national reputation. Among the main institutional factors are a company's size, program professionalization, senior management commitment, local and national business attitudes toward giving, sectoral concentration, and company reorganization. The blend of factors in corporate giving suggests that appeals—whether from an outside group to a company or from a contributions manager to a chief executive—must be responsive to both market and institutional concerns.

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References

2007The Nonprofit sector: a research handbook 1982Research in Corporate Social Performance and Policy 1985The Inner Circle: Large Corporations and the Rise of Business Political Activity in the U.S. and U.K, by Michael Useem 1987Corporate Philanthropy: A Strategic Approach to the Bottom-Line 1983Mergers and Acquisitions.

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