What are nonprofit organizations?
Ok,so I am in math and many times I feel so uncomfortable when people around me talk about business and I have no idea what is going on.
Is there anyone who can explain to me what the nonprofit organizations are?
I understand that they are orgs that do not take profit for themselves,but...what are they for? Like what kind of organizations? What are the advantages and/or disadvantages from being in nonprofit than profit organizations? How do managers and employees benefit from being in np orgs? What are the challenges they face? Do they exist only in North America and rich countries?
If somebody can explain this to me in such language that I can understand, I would really appreciate it,since when I look it up on google- I literally feel lost in time and space because I have no base in anything about business or anything related to it.
Thank you in advance,
- rajagopalan aLv 59 years agoFavorite Answer
Business organizations' intention is to earn profits. They buy and sell goods or render service for a price. There are other organizations with social objectives, working for the welfare of the society. There intention is not making money. They are called non-profit organizations. Educational Institutions, Sports clubs, Music Academy, organizations to serve the poor and the like. The surplus earned by them will not be for enjoyment and will be utilised for the purpose for which the organizations exist. Ofcourse employees of the organizations will be paid for the work they do.