Anonymous

How Will You Define For-Profit And For-Not-Profit Organizations?

2 Answers

Hassan Raza Profile
Hassan Raza answered
For-Profit Organizations:

A for-profit organization is an organization that exists primarily to make money for its owners. For-profit organizations range from yogurt stands owned by one person to global corporations owned by thousands of shareholders. Even when they do not actually make a profit, businesses still remain for-profit organizations because their goal is to be profitable. In 1991, General Motors lost nearly 3 billion dollars on more than 100 billion dollars in worldwide sales, but the auto¬maker is a for-profit organization because it seeks to make money.

Not-for-Profit Organizations:

In contrast, a not-for-profit organization focuses primarily on social, cultural, or political goals rather than on making profits. Examples of not-for-profit organizations include labor unions, zoos, religious institutions, and charities. Even though not-for-profit organizations often sell goods and services and collect money from a variety of donors, profit is not their objective. Money is a means to an end for these groups, and the end is meeting constituent's needs. However, this does not imply that the line between for-profit and not-for-profit organizations is absolutely clear. Some not-for-profit companies aggressively compete with for-profit organizations; for example, the American Automobile Association competes with for-profit auto clubs offered by Mobil Oil and others.
Anonymous Profile
Anonymous answered
Dear friend ;
non profit organisation are those who's aim is no earning profit like ,hospitals, government institution's universities, all those organisation which are under supervision of government and providing facilities to youths or public service, ,for example, you are business student study in university government university provide you educational services adding you few amount ,their aim is not earning profit from you because you are in nonprofit element after graduate you earn money then we would be count you as a profit element where you work like multinational firm they are earning profit and you are in profit organisation both you and organisation are enjoying owen businesses.

Profit organisations are Private limited companies and some are also government expect hospitals and university ,colleges.
Your well wisher
WA-NI SAJAD MBA
MALAYISA

Answer Question

Anonymous