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Market and Institutional Factors in Corporate Contributions

Michael Useem
California Management Review
Vol. 30, No. 2 (Winter 1988), pp. 77-88
DOI: 10.2307/41166548
Stable URL: http://www.jstor.org/stable/41166548
Page Count: 12
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Market and Institutional Factors in Corporate Contributions
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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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