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Nonprofit and Business Sector Collaboration: Towards a New Strategic Approach

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Christian Ethics and Corporate Culture

Part of the book series: CSR, Sustainability, Ethics & Governance ((CSEG))

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Abstract

Over the last few years, the advent of Corporate Social Responsibility (CSR) has enhanced corporate social commitment and cooperation between corporations and nonprofit organisations (NPO). The development of partnerships with the nonprofit sector is an important strategic tool that enables corporations both to promote socially active attitudes and to contribute to social well-being, as well as to pursue business aims.

Through the analysis of Italian and international literature, the first part of this chapter highlights three different tendencies of thought with regard to the relationship between CSR and corporate social commitment: pure profit approach, multi-stakeholder approach and social orientation approach.

Secondly the chapter discusses the nonprofit-business alliances (NBAs) and classifies variables for understanding alliances’ characteristics through the analysis of Italian and international case histories.

Moreover it illustrates the evolution of different types of partnerships and defines the features of the so-called integrated NBAs. The chapter ends with two best practices: Foxy for UNICEF and Ikea for UNICEF. The case histories are examples of integrated alliance. This kind of partnership represents a successful strategy enabling the corporation to combine business goals with tangible support to social cause.

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Notes

  1. 1.

    This article is a revision of a paper presented at The Sixth International Conference on Catholic Social Thought and Management Education The Good Company: “Catholic Social Thought and Corporate Social Responsibility in Dialogue”, Pontifical University of St. Thomas (Angelicum) Rome, Italy—October 5–7, 2006.

  2. 2.

    One of the early empirical studies of this subject was conducted in 1966 by Johnson [14], aiming at inquiring into the relationship between corporate philanthropy and business size.

  3. 3.

    Mentioned in [15, p. 603].

  4. 4.

    Heath and Norman [16] and Sternberg [17] are also in favour of the pure profit orientation.

  5. 5.

    “A stakeholder is any group or individual who can affect or is affected by the achievement of a corporation’s purpose. Stakeholders include employees, customers, suppliers, stockholders, banks, environmentalists, government and other groups who can help or hurt the corporation” [18, p. 55].

  6. 6.

    For a further analysis see [19].

  7. 7.

    Carroll: “Philanthropy is icing on the cake—or on the pyramid, using our metaphor” [6, p. 42].

  8. 8.

    The analysis regards Italian and international partnerships carried out between 2002 and 2006 and collected in the following websites: http://www.rsinews.it, http://www.sodalitas.it, http://www.clubsocialis.it, http://www.orsadata.it (for Italian partnerships) and UNDP and the Private Sector, UNDP (2004), http://www.wbcsd.ch and http://www.unglobalcompact.org (for international partnerships).

  9. 9.

    Rondinelli and London [20] suggested a taxonomy based on the intensity of the relationship, whereas Elkington and Fennel [21] identified a range of possible relationships between corporations and nonprofit organisations based on activities and on the level of corporate involvement. Austin’s [22] classification focuses on how intense the cooperation is, measured against the cross-sector cooperation continuum, and includes three types of relationships: philanthropic stage, transactional stage and integrative stage.

  10. 10.

    For further analysis on cause-related marketing, see [11].

  11. 11.

    Source: http://www.greenpeace.it

  12. 12.

    The role of MSC is to identify through a certification programme well-run fisheries and to promote the consumption of MSC marked products.

  13. 13.

    In this connection Wymer and Samu [23] sustain that commitment (in terms of business resources and managerial involvement) is lower or higher in each type of partnership depending on the purpose of the agreement, and they classify partnerships as follows: corporate philanthropy, corporate foundation, licensing agreements, sponsorships, transaction-based promotions, joint issue promotion and joint ventures.

  14. 14.

    The information regarding the cases studied was collected during an interview to Annita Di Donato (responsible for corporate partnerships of UNICEF-Italy who personally conducted the aforesaid partnerships) as well as in the following websites: http://www.foxy.it, http://www.ikea.com and http://www.unicef.it.

  15. 15.

    Pigotta is a handmade fabric doll manufactured by UNICEF volunteers which was sold for 20 euros—a price equivalent to the cost of immunising and administering vitamin A to one child.

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Michelini, L. (2014). Nonprofit and Business Sector Collaboration: Towards a New Strategic Approach. In: Okonkwo, B. (eds) Christian Ethics and Corporate Culture. CSR, Sustainability, Ethics & Governance. Springer, Cham. https://doi.org/10.1007/978-3-319-00939-1_4

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