The Scale of Mission-Embeddedness as a Nonprofit Revenue Classification Tool: Different Earned Revenue Types, Different Performance Effects

Jamie Levine Daniel; Mirae Kim

doi:10.1177/0095399716647152

The Scale of Mission-Embeddedness as a Nonprofit Revenue Classification Tool: Different Earned Revenue Types, Different Performance Effects

Jamie Levine Daniel, Mirae Kim

Wagner

Research output: Contribution to journal › Article › peer-review

Abstract

Nonprofits rely on earned revenue to remain sustainable. Prior studies have generally aggregated all earned revenue and evaluated its influence on financial sustainability. Our study takes a different approach, assessing the effects of three different types of earned revenue on an immediate program outcome. We use Cultural Data Project data from 2,000 arts and culture nonprofits from 2004-2012. We find that embedded and integrated earned revenue are linked to better program outcomes while external earned revenue is related to poorer program outcomes. Results depend on type (performing vs. visual arts) and funding structure (donative vs. commercial).

Original language	English (US)
Pages (from-to)	947-972
Number of pages	26
Journal	Administration and Society
Volume	50
Issue number	7
DOIs	https://doi.org/10.1177/0095399716647152
State	Published - Aug 1 2018

Keywords

earned revenue
nonprofit finance
performance
program outcomes

ASJC Scopus subject areas

Sociology and Political Science
Public Administration
Marketing

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10.1177/0095399716647152

Cite this

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title = "The Scale of Mission-Embeddedness as a Nonprofit Revenue Classification Tool: Different Earned Revenue Types, Different Performance Effects",

abstract = "Nonprofits rely on earned revenue to remain sustainable. Prior studies have generally aggregated all earned revenue and evaluated its influence on financial sustainability. Our study takes a different approach, assessing the effects of three different types of earned revenue on an immediate program outcome. We use Cultural Data Project data from 2,000 arts and culture nonprofits from 2004-2012. We find that embedded and integrated earned revenue are linked to better program outcomes while external earned revenue is related to poorer program outcomes. Results depend on type (performing vs. visual arts) and funding structure (donative vs. commercial).",

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AB - Nonprofits rely on earned revenue to remain sustainable. Prior studies have generally aggregated all earned revenue and evaluated its influence on financial sustainability. Our study takes a different approach, assessing the effects of three different types of earned revenue on an immediate program outcome. We use Cultural Data Project data from 2,000 arts and culture nonprofits from 2004-2012. We find that embedded and integrated earned revenue are linked to better program outcomes while external earned revenue is related to poorer program outcomes. Results depend on type (performing vs. visual arts) and funding structure (donative vs. commercial).

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The Scale of Mission-Embeddedness as a Nonprofit Revenue Classification Tool: Different Earned Revenue Types, Different Performance Effects

Abstract

Keywords

ASJC Scopus subject areas

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