Week 3 EOC: Making Money for Good

Companies that are for profit are for profit and are in the business of making money. According the businessdictionary.com, A business whose main goal is making money, is a "for profit organization", as opposed to a nonprofit organization which focuses on helping the community. A nonprofit is concerned with making as much money as necessary to keep the organization operating. Most organizations who considered themselves to be a businesses haveto make money, but there are a few that make money as well as contribute. I have found a few that make it a habit of giving to those in need. Nike has donated over 78 million to children, human rights, and international relief. In 2009 they donated over 5% of their income and continues with the practice of giving today.  Founder and chairman Philip H. Knight gave $105 million to Stanford University's Graduate School of Business. It is believed to be the largest gift ever given to a business school. STANFORD GRADUATE SCHOOL OF BUSINESS—NIKE Inc. http://www.gsb.stanford.edu/news/headlines/knight_gift.shtml

If a “for profit” company decides to be socially responsible and give to charity, it is considered commendable by the consumers. Will it enhance their future growth? It seems that it would make consumers take a closer look at an organization that gives back. It may be more attractive to purchase product from a company that is “for the people”. Charitable activities don’t drain corporate resources or cause any set backs, first of all these contributions are tax deductible. Target has given 5 percent of its income to support education, and social services. Target Corporation is consistently ranked as one of the most philanthropic companies in the country. It ranked #11 in Fortune Magazine's "Top 20 Most Admired Companies" for 2007, largely in part to the donation efforts of the company as a who. Target give on average over $3 million away every week in charitable donations, over $150 million per year. Sources: http://en.wikipedia.org/wiki/Target_Corporation

Wells Fargo contributed millions to nonprofits nationwide. A daily amount is given to nonprofits to support education, community development, human services, and the environment. The company donates a small percent of profits to charities, even though the contributions are small they are still giving back. Companies that are sensitive to consumer perceptions are more likely to give back. They need the support of the consumers and are willing to give also. Wells Fargo staff chose six nonprofit organizations in the Biloxi area to receive grants presented Tuesday as part of the Days of Giving program http://www.sunherald.com/2011/09/20/3446254/wells-fargo-makes-donations-to.html#ixzz1bGyiCrP3.

Michelle Brown 10/19/2011