Learners will distinguish between the nonprofit sector and the for-profit sector and identify common characteristics of each.

This lesson was adapted from the 3-5 grade Learning to Give unit Nonprofits in Our World and Community found at http://www.learningtogive.org/lessons/unit56/lesson1.html .

The learner will:

• define and give examples of nonprofit organizations.
• compare and contrast nonprofit and for-profit organizations.
• identify for-profit and nonprofit organizations in the community
• reflect on the role of nonprofits in the community, nation and world, and their impact on the quality of life.

Anticipatory Set:

Ask the learners to share what they know about the difference between for-profit and nonprofit organizations. Share with them the definition of for-profit and nonprofit organizations.

for-profit organization-(n) A term describing the Internal Revenue Service’s designation of an organization whose income is used for the benefit or private gain of stockholders, directors, or any other persons with an interest in the company; and is subject to all the tax laws for businesses and industries.

nonprofit organization- n) A term describing the Internal Revenue Service’s designation of an organization whose income is not used for the benefit or private gain of stockholders, directors, or any other persons with an interest in the company; separate tax treatment exists based on whether it is charitable or not.

Pair learners and give each team a set of 20 cards. See "For-Profit and Nonprofit Cards" (Attachment One). Each card will bear the name of a for-profit organization (10 cards) or the name of a nonprofit organization (10 cards). Instruct each team to sort the cards, using the Organization Sorter (Attachment Two), into one of the two categories (for-profit and nonprofit) as defined on the Sorter. Each learner will then record their team’s initial pairings and the rationale for their sort on the "Recording Form I " (Attachment Three).

• Each team will pair up with another team (four students) to discuss how they sorted their cards and through consensus, re-sort one set of cards using the Sorter (Attachment Two) if necessary. Each learner will then record their team’s ‘new results’ and ‘new rationale’ on Part Two of the Recording Form II (Attachment Four).
  
  
• Reconvening the whole group, place two columns on the display board with the headings For-Profit and Nonprofit.. Call on individual learners to come to the board with one of their organization cards, hand them a piece of tape, have them then place the card into one of the two categories, and explain the reasoning for the placement. After all the organizations have been placed in one of the two columns, ask if everyone agrees with how these organizations have been placed and attempt to reach whole group consensus. Teacher Note: Two of the cards are listed as web site URL’s. Ask the students if they know the difference between the designations ".com" for for-profit organizations and ".org" for nonprofit organizations? (This may be a teachable moment to explain ".gov" and ".edu" also.)
  
  
• The teacher will then lead a whole class discussion regarding the common themes and characteristics of each group by asking, "What do the elements in the nonprofit list have in common?" (Possible answers include: help people, voluntary, for public benefit, provide a service.)
  
  
• Continue the discussion by posing the following questions to the whole group: Do we need both for-profit and nonprofit organizations in a community? What are the benefits to the community of having for-profit organization and nonprofit organizations? How would the community, nation, world be different without organizations in these two categories?
  
  
• Using Attachment Four: Summary and Reflection ask the learners to identify and list some of the characteristics of the two groups, and write a brief essay in response to the question: How might the quality of life in our community, nation and the world be different if there were no nonprofit organizations? (Teacher Note: Learners should be encouraged to explore the Action Without Borders/Idealist.org web site, www.idealist.org, to gather additional information and insights. For instance, under "Advanced Search," "Organizations," students can click on "Area of Focus" to get some idea of the many different categories in which nonprofits work.)

 

 

• Action Without Borders/Idealist.org, , www.idealist.org
  
  
• Learning to Give, www.learningtogive.org