WRITING 39C Lecture Notes - Lecture 2: Human Services, Making Money, Bake Sale

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7 Sep 2016
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Dan Pallotta’s TED Talk: Notes
The way people think about giving, charity and nonprofit sector, is hurting causes and the
goal of changing the world.
Philanthropy: market for love
The nonprofit sector is discriminated against in five areas:
Compensation: Businessweek studied compensation: the average compensation for a 38
year-old Stanford MBA was $400,000, while the average salary for a CEO of a $5
million-plus medical charity was $232,000, and for a hunger charity, $84,000.
Advertising and marketing: people do not want their donations spent on advertising,
straight to the needy
In 9 years, AIDS Ride bicycle journeys, and the 60 mile-long breast cancer three-day
walks raised $581 million, because of the “idea that people are weary of being asked to
do the least they can possibly do. People are yearning to measure the full distance of their
potential on behalf of the causes that they care about deeply. But they have to be asked.”
Discrimination: Taking risks in new ideas to generate revenue.
$1 million community fundraiser for the poor, if in the first year, it does not produce a
75% profit for the cause, then people’s characters are questioned. Nonprofits resist to try
any brave or big endeavors, because if the company fails, then their reputations will go
down too.
Time: people do not have patience for non-profit companies.
Profit: can't pay profits in a non profit sector, limited on growth, risk, and idea capital, no
stock market to fund
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