Most NFPs do not have shareholders in the traditional sense, and they exist to fulfil the objectives set out in legislation or the founding documents. However managers in nfps should recognise that there are still implicit wishes of donors and resource providers, eg government, charitable donors. NFPs are not above the "shareholder vs stakeholder" debate.
Sometimes there are issues finding quantifiable measures in NFPs. Sometimes the approach is cost-benefit analysis (when making decisions), other times efficiency and effectiveness (where the decision has already been made and your job is to implement).
Resources - the opportunity cost of the provision of public services etc. should be recognised.
The market - the justification that a market makes more efficient allocation of resources is sometimes used to support the reduction in the public supply of services.
Does privatisation of a NFP alter its purpose? Would a requirement to act more like a business enable the delivery of purpose more effectively?
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