Comparison of leadership styles in non-profit and for-profit organizationsAbstractAcademic researchers have not deemed it important to attempt to complete studies based on leadership in non-profit organizations. One of the main problems that arises is that people tend to confuse the terms leadership and management. Leadership researchers also tend to associate leadership in nonprofit organizations with general leadership research. These two issues result in a minimal amount of research being done to support studies of leadership in nonprofit organizations. This lack of study on leadership in nonprofit versus for-profit can tend to make people believe that there are no differences between the two. This study will attempt to differentiate between the two based on definitions, characteristics, tax laws, funding sources, organizations structure, incentives, leadership styles, and human resources. This study will include semi-structured interviews by the CEO of Guadenzia, a for-profit organization in Baltimore City that provides counseling services for at-risk youth in Northwest Baltimore, and the Director of Northwest Baltimore Youth Services, Inc. , a nonprofit organization that also provides counseling services to at-risk youth in Northwest Baltimore. This information will then be examined for their similarities and differences. Problem Statement Although an unlimited amount of research has been conducted regarding leadership styles in for-profit organizations, there has been a lack of research conducted in the nonprofit sector regarding leadership. There have also been few research studies that address the differences in the management process between nonprofit organizations and for-profit organizations. Research Questions1. Is there really a difference in leadership styles between nonprofit and for-profit organizations?2. Is the management process different in a non-profit organization compared to a for-profit organization? Hypothesis1. When it comes to solving problems, nonprofit organizations are less concerned about the cost of a solution than for-profit organizations.2. In non-profit organizations there is a tendency to find the “best solution” compared to the “best solution in terms of costs” in the for-profit sector.3. It takes longer to solve a problem in a non-profit organization than in a for-profit organization. Statement of Limitations This research will not attempt to prove that one form of business is better than another, nor will it make any recommendations on which business to join or start.
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