Professionalization and Cost Efficiency of Fundraising in Charitable Organizations: The Case of Charitable Foundations in China

Na NI*, Qiu CHEN, Shujun DING, Zhenyu WU

*Corresponding author for this work

Research output: Journal PublicationsJournal Article (refereed)peer-review

20 Citations (Scopus)

Abstract

This study examines the effects of professionalization on the cost efficiency of fundraising organizations in a unique research context, Chinese charitable foundations. Two important professionalization measures, professionalized human resource management and accounting practices, are adopted. Using data from audited annual reports from 2005 to 2009, we find that professionalization in general enables foundations to increase their fundraising cost efficiencies. However, further analysis indicates that this positive effect only occurs in private but not in public foundations. Furthermore, the positive effect of professionalization is more significant when raising unrestricted funds than when raising restricted funds from donors.

Original languageEnglish
Pages (from-to)773-797
Number of pages25
JournalVoluntas
Volume28
Issue number2
Early online date18 Aug 2016
DOIs
Publication statusPublished - Apr 2017
Externally publishedYes

Bibliographical note

Funding Information:
Na Ni was supported by the National Nature Science Foundation of the People’s Republic of China [Projects #71602121]. Shujun Ding was supported by the RDP program of the University of Ottawa, the SMRF program of the Telfer School of Management, and the CPA-Canada Accounting and Governance Research Centre.

Publisher Copyright:
© 2016, International Society for Third-Sector Research and The Johns Hopkins University.

Keywords

  • Charitable foundations
  • China
  • Cost efficiencies
  • Professionalization

Fingerprint

Dive into the research topics of 'Professionalization and Cost Efficiency of Fundraising in Charitable Organizations: The Case of Charitable Foundations in China'. Together they form a unique fingerprint.

Cite this