When are Nonprofits Entrepreneurial?

A topic not often discussed, but growing important with the rise of social entrepreneurship. In the latest Journal of Management Studies:

Relatively little is understood about factors triggering entrepreneurial behaviour within organizations not driven by profit motives. Governance plays an important role in non-profits, particularly boards of directors. Integrating resource-based theory and entrepreneurial orientation research, we examine the influence of non-profit boards as strategic resources shaping the organization’s entrepreneurial orientation and performance. In particular, we focus on the non-profit board’s underlying behavioural orientations, or the extent to which the board is strategic, activist, conservative, and cohesive. Findings from a cross-sectional survey on arts and culture organizations demonstrate that three of these behavioural orientations impact levels of entrepreneurship occurring within non-profits. Higher levels of entrepreneurship affect social performance, but not financial performance.