March 13, 2008 | Read Time: 1 minute
The movement in the nonprofit world to make charities more like businesses and create new markets for goods and services that benefit society has been nicknamed “philanthrocapitalism.” Michael Edwards, director of civil society and governance at the Ford Foundation, writes in his new book, Just Another Emperor? The Myths and Realities of Philanthrocapitalism, that the trend isn’t living up to its hype.
Mitch Nauffts, writing on PhilanTopic,, wonders if Mr. Edwards has “brought something new to the table, or is his argument the same old nonprofit wine in a new bottle?”
According to Mr. Nauffts, the book argues that:
-The buzz surrounding philanthrocapitalism have far outpaced its ability to offer results.
-The concentration of wealth and power among philanthrocapitalists isn’t good for democracy.
-Business thinking can damage charities.
-And “[p]hilanthrocapitalism is a symptom of a disordered and profoundly unequal world. It hasn’t yet demonstrated that it provides the cure.”
Mr. Edward’s book will be released in a week or so, according to Mr. Nauffts. Mr. Edwards says he has written the book “entirely in a personal capacity” and it is not reflective of his work with Ford.
What do you think? Are business tactics at odds with social change? Or has “philanthrocapitalism” delivered?
