corporate philanthropy

Examples of corporate philanthropy in the following topics:

• Types of Social Responsibility: Philanthropy

  • The roots of corporate philanthropy in the United States date back to the rise of industry in the 19th and early 20th century, when pioneering businessmen like Henry Ford and John D.
  • Today, corporate philanthropy can involve donating funds, goods, or services to another organization or cause.
  • While individual philanthropists use their own resources to change the world for the better according to their interests, corporate philanthropy directs organizational resources to support a worthy cause or address a societal need.
  • Since the early 2000's, corporations have sought to hold charities accountable for how they use donations.
  • In this way, these beneficiaries of philanthropy demonstrate both a responsible use of the funds they have received and evidence of their performance relative to their mission.

• Societal Role and Nonprofits

  • Corporations also use mission-driven marketing to promote the goals of the organization as outlined in its mission statement and to communicate the benefits of achieving those goals to its stakeholders.
  • Cause marketing differs from corporate giving, since corporate philanthropy typically involves a tax-deductible donation.
  • Domestic and international scandals including environmental disasters, financial crises and human rights violations have prompted global companies to integrate corporate social responsibility (CSR) into their business.

• Robber Barons and the Captains of Industry

  • This might have been through increased productivity, expansion of markets, providing more jobs, or acts of philanthropy.
  • Rockefeller revolutionized the petroleum industry and defined the structure of modern philanthropy.
  • With the fortune he made from the steel industry, he built Carnegie Hall; later he turned to philanthropy and interests in education, founding the Carnegie Corporation of New York, Carnegie Endowment for International Peace, Carnegie Institution of Washington, Carnegie Mellon University and the Carnegie Museums of Pittsburgh.
  • The corporate form of business enterprise allowed for potentially immense accumulations of capital to be under the control of a small number of managers; but in the 1870s and 1880s, the corporation was not yet established as the dominant legal form of operation.
  • Trustees were given corporate stock certificates of various companies; by combining numerous corporations into the trust, the trustees could effectively manage and control an entire industry.

• Carnegie and the Steel Industry

  • With the fortune he made from business he built Carnegie Hall, later he turned to philanthropy and interests in education, founding the Carnegie Corporation of New York, Carnegie Endowment for International Peace, Carnegie Institution of Washington, Carnegie Mellon University and the Carnegie Museums of Pittsburgh.
  • He reformed his enterprises into conventional joint stock corporations as preparation to this end.
  • He concluded negotiations on March 2, 1901, and formed the United States Steel Corporation.
  • It was the first corporation in the world with a market capitalization over $1 billion.
  • The holdings were incorporated in the United States Steel Corporation, a trust organized by Morgan, and Carnegie retired from business.

• Microeconomics

  • Typically, microeconomics considers the forces that shape the behavior of such economic elements as consumers, producers, buyers, sellers, individuals, sole proprietors, partners, corporations, not-for-profit organizations and industries.
  • Reciprocity, philanthropy, theft and eminent domain are processes that societies may use for the allocation of resources and goods.
  • Philanthropy is giving gifts with nothing expected in return.

• Allocative Mechanisms

  • Organizations, governments, corporations and other institutions may hold property rights.
  • There are a number of allocative mechanisms, these include; exchange, reciprocity, eminent domain, philanthropy, inheritance and theft.
  • The act of giving a gift with nothing expected in return is called philanthropy.

• Uses of the Financial Statement

  • For large corporations, these statements are often complex and may include an extensive set of notes to the financial statements and explanation of financial policies andmanagement discussion and analysis.
  • Philanthropies may use financial statements of a non-profit as a component in determining where to donate funds.

• Education and the Professions

  • He preached the "Gospel of Wealth," saying the rich had a moral duty to engage in large-scale philanthropy.
  • Rockefeller built Standard Oil into a national monopoly; then he retired from the oil business in 1897 and devoted the next 40 years of his life to giving away his fortune using systematic philanthropy, especially to upgrade education, medicine and race relations.
  • He brought the corporation from its infancy to maturity as the organization of choice for big business.

• The Gilded Age

  • The corporation became the dominant form of business organization, and a managerial revolution transformed business operations.
  • Their admirers argued that they were "captains of industry" who built the core America industrial economy and also the nonprofit sector through acts of philanthropy.
  • For instance, Andrew Carnegie donated more than 90 percent of his fortune and said that philanthropy was an upper-class duty—the "Gospel of Wealth."

• Rockefeller and the Oil Industry

  • Rockefeller revolutionized the petroleum industry and defined the structure of modern philanthropy.
  • The Federal Commissioner of Corporations studied Standard's operations from the period of 1904 to 1906 and concluded that its growth was due to unfair business practices.