Factors Shaping Public Perceptions of Market-based Activities Undertaken by Canadian Nonprofits

Abstract

Charitable nonprofits are engaging at increasing rates in market-based activities. This study examined Canadian public perception of nonprofits’ market-based activities. Latent variables for trust, financial accountability, transparency, direct and general familiarity, understanding of nonprofit roles in service delivery and advocacy, and orientation towards market-based activities were created using a secondary dataset of nationally representative Canadians (n = 3853). Results show that positive perceptions of market-based activities of nonprofits are influenced by familiarity of nonprofits, accepting their advocacy role, and perceiving them as being accountable. Those with stronger views of nonprofits as providers of direct service had unfavorable perceptions of the nonprofit’s market-based activities. The findings have implications for nonprofit managers who engage in market-based activities and want to promote a positive orientation to these endeavors to engage consumers and investors.

Looking at the nonprofit accountability‐charitable donations relationship through the publicness lens

“…Despite the theoretical support for the connection between accountability criteria and charitable contributions, empirical research offers mixed findings about this relationship (Ashley & Faulk, 2010; Calabrese, 2011a; Coupet & Broussard, 2021). Studies report that the relationship between financial and nonfinancial accountability standards and charitable donations does not remain constant, but it varies across subsectors (Jacobs & Marudas, 2009) or depending on donors' familiarity with a nonprofit's services (Farwell et al, 2019; Turpin et al, 2021). These mixed findings call for further research on the relationship between a nonprofit's accountability criteria and the charitable contributions it receives, under different conditions.…”

On the Front Lines: Nonprofits in the Homeless-serving Sector During the COVID-19 Pandemic

“…Front-line service organizations have provided emergency food, crisis housing, health and wellbeing supports, and financial and employment assistance to low-income households, among other vital services (Deitrick et al, 2020). Not surprisingly, however, the pandemic has also placed new constraints and challenges on a sector already overburdened with a chronic lack of funding and high demand for services given the continued roll-back of the welfare state (Finchum-Mason, Husted, Gugerty, & Barnhart, 2020;Turpin, Shier, & Handy, 2021).…”