non profit start up costs
Back to Top

non profit start up costs

The fund said last year that it would grow 1.1% in 2017 and then increase its forecast to 2%. The plan, which is applied to the organization as a whole, is called a strategic plan for the organization to set up overall goals and to seek the organization's place in the environment. The plan for the details of how the overall goal is implemented is called the job plan. The strategic plan and the job plan are different in terms of time frame, in terms of scope and whether they include a set of organizational goals that are known. Strategic planning tends to include persistent intervals of time, usually five years or more, covering a wide range of areas and does not specify specific details. Furthermore, an important task of the strategic plan is to set goals; The job plan assumes that the goal already exists, but only provides a way to achieve the goal. Although an enterprise's internal trade fair eliminates or reduces some of the market transaction costs, it also brings with it the specific transaction costs of the enterprise. The main reason for this defect is also the incompleteness of information. Specifically, first, there are various contractual relationships among enterprises, including contractual relationship between enterprises and workers, contractual relationship between enterprises and managers, etc. The enterprise should supervise the work of the workers and products that it employs, as well as the managers and other personnel, and induces them to work hard for the enterprise. So, companies are signing contracts and spending on oversight and incentives. Secondly, on the one hand, corporate decision makers often need to obtain information from subordinates. On the other hand, the decision-making information of the upper level of the enterprise should be realized by passing it to the subordinate. The information transmission of these two different directions will be distorted by the increase of subordination of enterprise scale, resulting in the loss of enterprise efficiency. Once again, the subordinate of the enterprise often conceals or passes the wrong information to the superior for selfish motives, so that the superior can make decisions that benefit the subordinate. Or, the subordinate's decision to the superior only passes or executes the part that is advantageous to oneself. These will result in the loss of enterprise efficiency. Thus, the expansion of enterprises is limited. According to coase's theory, the scale of the enterprise should be expanded to this point, that is at this point to increase the cost of an internal exchange cost equals the cost through the market exchange cost and so on.