Skip to main content
SpringerLink
Log in

Entrepreneurship theories of the non-profit sector

  • Published:
VOLUNTAS: International Journal of Voluntary and Nonprofit Organizations Aims and scope Submit manuscript

Abstract

This article summarises the main results of entrepreneurship theories of the non-profit sector and discusses the impact they may have on theory development and on the real world non-profit sector. It is pointed out that the entrepreneurship approach advances our knowledge of the non-profit sector, especially by stressing the supply-side aspect and by focusing on the preferences individuals must have in order to engage in non-profit activities. There is empirical evidence consistent with entrepreneurship theories. Yet most observations do not exclusively support entrepreneurship theories but also provide evidence consistent with other economic theories of the non-profit sector. This illustrates that the various economic theories of the non-profit sector are more complements than substitutes. Furthermore, entrepreneurship theories indirectly help to improve the image non-profit organisations have in the real world; therefore they play a prominent role in teaching programmes which have been established to train non-profit managers.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Similar content being viewed by others

References

  • Anheier, H.K. (1993) Employment and earnings in the West German nonprofit sector, in A. Ben-Ner and B. Gui (eds)The Nonprofit Sector in the Mixed Economy, University of Michigan Press. Ann Arbor, Michigan.

    Google Scholar 

  • Badelt, C. (1990) Institutional choice and the nonprofit sector, in H.K. Anheier and W. Seibel (eds)The Third Sector: Comparative Studies of Nonprofit Organizations, de Gruyter, Berlin.

    Google Scholar 

  • Badelt, C. (1994) Soziale Dienste—eine ökonomische Herausforderung an den Wohlfahrtsstaat, in G. Chaloupek (ed.)Die Zukunft des Wohlfahrtsstaats, Orac Verlag, Vienna.

    Google Scholar 

  • Badelt, C. (ed.) (1997a)Handbuch der Nonprofit Organisation, Strukturen und Management, Schäffer/Poeschl, Stuttgart.

    Google Scholar 

  • Badelt, C. (1997b) Ausblick: Entwicklungsperspektiven des Nonprofit Sektors, inHandbuch der Nonprofit Organisation, Strukturen und Management, Schäffer/Poeschl, Stuttgart.

    Google Scholar 

  • Badelt, C. (1997c) Zwischen Marktversagen und Staatsversagen? Nonprofit Organisationen aus sozioökonomischer Sicht, inHandbuch der Nonprofit Organisation, Strukturen und Management Schäffer/Poeschl, Stuttgart.

    Google Scholar 

  • Badelt, C. and Weiss, P. (1990a) Specialization, product differentiation and ownership structure in personal social services: the case of nursery schools,KYKLOS, 43, 1, 69–89.

    Article  Google Scholar 

  • Badelt, C. and Weiss, P. (1990b) Nonprofit, for-profit and government organisations in social service provision: comparison of behavioural patterns for Austria,Voluntas, 1, 1, 77–96.

    Article  Google Scholar 

  • Ben-Ner, A. and Gui, B. (1993)The Nonprofit Sector in the Mixed Economy University of Michigan Press, Ann Arbor, Michigan.

    Google Scholar 

  • Ben-Ner, A. and Van Hoomissen, T. (1993) Noprofit organizations in the mixed economy: a demand and supply analysis, in A. Ben-Ner and B. Gui (eds)The Nonprofit Sector in the Mixed Economy, University of Michigan Press, Ann Arbor, Michigan,

    Google Scholar 

  • Ben-Ner, A., and Van Hoomissen, T. (1994) The governance of nonprofit organizations: law and public policy,Nonprofit Management and Leadership, 4, 4, 393–413.

    Article  Google Scholar 

  • Billis, D. (1993) What can nonprofits and businesses learn from each other?, in D. Hammack and D. Young (eds)Nonprofit Organizations in a Market Economy, Jossey Bass, San Francisco, California.

    Google Scholar 

  • Drucker, P.F. (1990)Managing the Nonprofit Organization, Harper, New York.

    Google Scholar 

  • Drucker, P.F. (1993)The Five Most Important Questions You Will Ask About Your Nonprofit Organization, Jossey Bass, San Francisco, California.

    Google Scholar 

  • Effinger, H. and Luthe, D. (1993)Sozialmärkte und Management, Universitäts-buchhandlung, Bremen.

    Google Scholar 

  • Evers, A. and Wintersberger, H. (1988)Shifts in the Welfare Mix, European Center for Social Welfare Training and Research, Vienna.

    Google Scholar 

  • Flösser, G., and Otto, H.U. (1992)Sozialmanagement oder Management des Sozialen?, Karin Böllert KT Verlag Bielefeld.

    Google Scholar 

  • Goll, E. (1991)Die freie Wohlfahrisplege als eigener Wirtschaftssektor, Nomos, Baden-Baden.

    Google Scholar 

  • Hansmann, H. (1980) The role of nonprofit enterprise, Yale Law Journal, 89, 5, 835–901.

    Article  Google Scholar 

  • Hansmann, H. (1987) Economic theories of nonprofit organizations, in W.W. Powell (ed.)The Nonprofit Sector: A Research Handbook, Yale University Press, New Haven, Connecticut.

    Google Scholar 

  • Holzmann, A., and Reischl, I. (1995) Atypische Arbeitsverhältnisse,Kurswechsel, 2, 56–65.

    Google Scholar 

  • Horak, C., Matul, C. and Scheuch, F. (1997) Ziele und Strategien von NPOs, in C. Badelt (ed.)Handbuch der Nonprofit Organisation, Strukturen und Management, Schäffer/Poeschl, Stuttgart.

    Google Scholar 

  • James, E. (1987) The nonprofit sector in comparative perspective, in W.W. Powell (ed.)The Nonprofit Sector: A Research Handbook, Yale University Press, New Haven, Connecticut.

    Google Scholar 

  • James, E. (ed.) (1989)The Nonprofit Sector in International Perspective Oxford University Press, New York.

    Google Scholar 

  • James, E. (1993) Why do different countries choose a different public-private mix of educational services?,Journal of Human Resources, 28, 3, 571–92.

    Article  Google Scholar 

  • James, E. and Rose-Ackerman, S. (1986)The Nonprofit Enterprise in Market Economies, Harwood Academic Publishers, London.

    Google Scholar 

  • Kendall, J. and Knapp, M. (1996)The Voluntary Sector in the UK Manchester University Press, Manchester.

    Google Scholar 

  • Knapp, M. (1989) Inter-sectoral differences in cost-effectiveness: residential child care in England and Wales, in E. James (ed.)The Nonprofit Sector in International Perspective, Oxford University Press, New York.

    Google Scholar 

  • OECD (1993)Employment Outlook 1994, Organisation for Economic Cooperation and Development, Paris.

    Google Scholar 

  • Preston, A.E. (1989) The nonprofit worker in a for-profit world,Journal of Labor Economics, 7, 438–63.

    Article  Google Scholar 

  • Preston, A. (1993) The market for human resources, comparing professional carrer paths in the public, private, and nonprofit sectors, in D. Hammack and D. Young (eds)Nonprofit Organizations in a Market Economy, Jossey Bass, San Francisco, California.

    Google Scholar 

  • Rinderer, C. (1989)Finanzwissenschaftliche Aspekte von Religionsgemeinschaften, Nomos, Baden-Baden.

    Google Scholar 

  • Rose-Ackerman, S. (1996) Altruism, nonprofits, and economic theory,Journal of Economic Literature, 34, 2, 701–28.

    Google Scholar 

  • Scheuch, F. (1997) Gemeinnützigkeit oder Gewinnstreben? NPOs aus betriebswirtschaftlicher Sicht, in C. Badelt (ed.)Handbuch der Nonprofit Organisation, Strukturen und Management, Schäffer/Poeschl, Stuttgart.

    Google Scholar 

  • Schumpeter, J.A. (1934)The Theory of Economic Development, Third Printing 1963, Oxford University Press, New York.

    Google Scholar 

  • Schwarz, P. (1991)Management in Nonprofit Organisationen, Haupt Verlag, Bern.

    Google Scholar 

  • Seibel, W. (1992)Funktioneller Dilettantismus, Nomos, Baden-Baden.

    Google Scholar 

  • Seibel, W. and Anheier, H.K. (1990) Sociological and political science approaches to the third sector, in H.K. Anheier and W. Seibel (eds)The Third Sector: Comparative Studies of Nonprofit Organizations, de Gruyter, Berlin.

    Google Scholar 

  • Steinberg, R. and Young, D.R. (1995)Economics for Nonprofit Managers, The Foundation Center, New York.

    Google Scholar 

  • Weisbrod, B.A. (1983) Nonprofit and proprietary sector behavior: wage differentials among lawyersJournal of Labor Economics, 1, 3, 246–63.

    Article  Google Scholar 

  • Weisbrod, B.A. (1988)The Nonprofit Economy, Harvard University Press, Cambridge, Massachusetts.

    Google Scholar 

  • Young, D.R. (1980) Entrepreneurship and the behavior of nonprofit organizations: elements of a theory, PONPO Working Paper 4, Yale University, New Haven, Connecticut.

    Google Scholar 

  • Young, D.R. (1983)If Not For Profit, For What?, DC Heath, Lexington, Massachusetts.

    Google Scholar 

  • Young, D.R. (1985)Casebook of Management for Nonprofit Organizations, Haworth Press, New York.

    Google Scholar 

  • Young, D.R. (1996) Enterpreneurship theories of the nonprofit sector: a response to Christoph Badelt, Paper prepared for theVoluntas Symposium, Yale University, November 1995 (mimeo).

  • Young, D.R. (1997) Nonprofit entrepreneurship,International Encyclopaedia of Public Administration, forthcoming.

Download references

Author information

Authors and Affiliations

  1. Vienna University of Economics and Business Administration, Vienna, Austria

    Christoph Badelt (Professor of Economics and Social Policy)

Authors
  1. Christoph Badelt
    View author publications

    You can also search for this author in PubMed Google Scholar

Additional information

The author gratefully acknowledges the comments of the participants of theVoluntas Symposium at Yale University, especially the comments made by Estelle James, James Ferris and Dennis Young.

Rights and permissions

Reprints and permissions

About this article

Cite this article

Badelt, C. Entrepreneurship theories of the non-profit sector. Voluntas 8, 162–178 (1997). https://doi.org/10.1007/BF02354193

Download citation

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/BF02354193

Keywords

Search

Navigation