Commercial Applications
Answer
Non-profit making organisations are formed for various social, religious, educational, charitable, political and welfare purposes. They are of the following types:
Common Weal Organisations — These organisations are formed for the benefit of the society as a whole. Police service, fire service, and defence services are examples of common weal organisations.
Municipal Organisations — These organisations are formed for providing water, electricity, sanitation and other essential services to the public. Examples include municipal corporations and municipal councils in various cities.
Political Organisations — These organisations are formed for protecting and promoting the political interests of their members. Indian National Congress and Bharatiya Janata Party are examples of political organisations.
Mutual Benefit Organisations — These organisations are formed for the benefit of their members and the public. Clubs, trade unions, consumer associations, chambers of commerce are examples of mutual benefit organisations.
Charitable Organisations — These organisations are formed to provide financial and other facilities in kind to the poor and needy people. They run night shelters, organise blood donation camps, and help people during natural calamities. Examples include Missionaries of Charity and HelpAge India.
Religious Organisations — These organisations are formed for providing facilities for religious activities. Temples, masjids, gurudwaras and churches are examples of such organisations.
Health Organisations — These organisations are formed for providing medical facilities free of charge or at subsidised rates. Charitable hospitals, dispensaries and government hospitals are examples of these organisations.
Educational Organisations — These organisations are formed for providing educational facilities free of charge or at subsidised rates. IITs, IIMs, the Institute of Chartered Accountants of India, and universities are examples of such organisations.
Though objectives of profit and non-profit organisations are different, both require good management for effective functioning.