Study On The Market Mechanism Of Nonprofit Organizations

With the continuous development of the non-profit organization (NPO), it plays an increasingly important role in promoting social harmony and solving the social problems, it has become the "Third Departments" besides the government and enterprises. However, the lack of funds, low efficiency, the loss of independence make non-profit organizations emerge the "voluntary failure" problem in solving the social problem. The survival and development of the NPO become the problem itself. To break the current bottleneck of the development, we need to carve out more sources of funds of non-profit organizations, need to introduce long-term mechanism of market competition, need to improve the service efficiency and quality of the NPO, introducing the market mechanism is a positive response to the "failure" of NPO.This paper use literature survey, empirical research and summarizes the research methods, to analyze the necessity of the introduction of market mechanism from the crisis and the way out of development of the NPO, to elaborate the feasibility of introducing market mechanism from idea, practice and the policy, to do a empirical research by analyzing the mercerization of J organization in Fuzhou. Finally, we draw three conclusions. Firstly, the introduction of market mechanisms in the NPO is an inevitable trend but should consider the problem of degree. Secondly, there are a variety of modes of introducing market mechanisms but it depends on the specific organization. Thirdly, there are risks that introducing market mechanisms to the NPO, but we can prevent and control those risks.In general, this article answers the three questions of introducing market mechanisms to the NPO——"why","how to do" and "need to pay attention to what" by the theoretical and practical analysis. This paper includes the necessity, feasibility, the concrete operation, risks and countermeasures to introduce the market mechanism into the NPO. This paper is aimed at solving the "voluntary failure" problem of NPO, and finally to explore a sustained, healthy and stable development pattern to promote the development of NPO.