Sector Information for Discussion
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For-Profit Sector |
Government |
Nonprofit Sector |
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Exists to make a profit. |
Exists to provide public goods and services that meet the needs or expectations of the majority such as the postal service and national defense. |
Exists to meet needs that for profit and government cannot or do not, and to represent the minority. Often the catalyst for social change.
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Provide goods or services related to demand and profit. |
They can regulate what the for-profit world does, for example, telephone service. |
They may provide goods and services related to need. |
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Payment is dependent on the choice to purchase the good or service.
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They have coercive power. They can tax you or make you purchase a license. |
They are concerned about client satisfaction. |
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Profit is distributed to the owners or share-holders of the business for their own private use.
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They may promise to provide services in order to win elections.
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Profit does not benefit any individuals connected with the organization. It is invested in furthering the mission of the organization. |