Non-governmental Non-profit Organizations as an Alternative Tool in the Transforming Economy

• Main Authors: Macková, Marie, Dvořáková, Lilia
• Format: Conference Proceeding
• Language: English
• Subjects: 21st century; Civil society; Cooperation; Economic theory; Free markets; Market economies; Morality; NGOs; Nongovernmental organizations; Nonprofit organizations; Performance management; Public sector; Qualitative research; Volunteers
• ISSN: 2048-9021; 2048-903X

This paper presents the results of a research into the sector of non-profit organizations with a special focus on non-governmental non-profit organizations. The topicality of the existence and operation of non-governmental non-profit organizations in the transforming economies of Central Europe is based on their participation, service and compensation functions in the economic, social and environmental conditions of the market economy of the 21st century. In economic theory, there is no clear definition of the non-governmental non-profit sector - the generally used terms include public sector organization, non-profit organization, non-governmental organization and others. On the one hand, the voluntary basis for joining non-governmental non-profit organizations makes them like free market institutions, while, on the other hand, the aspect of communal benefit and the primary non-profit orientation draws them closer to the government. The aim of the research was to chart and identify the non-profit sector in the worldwide context and the areas in which non-profit organizations operate. Special attention was devoted to non-governmental non-profit organizations and to their role in the market economy. The specific features of a non-governmental non-profit organization, such as private ownership, public benefit, volunteerism, non-profit nature and self-governance, are aspects that help promote the plurality of opinions and offer alternative solutions to social and economic problems. Through their service, participation, protective, democratization, information and control functions, non-governmental non-profit organizations fulfill their mission aimed at meeting non-market needs and demands of individuals and demographics. Based on the analysis and evaluation of secondary data, the paper presents the legislative framework, structure, state and development of non-governmental non-profit organizations in the Czech Republic in the period of 1990-2016. The research results have confirmed that in the so-called moral sector, non-governmental non-profit organizations play a significant and indispensible role in the market conditions of the 21st century. Non-governmental non-profit organizations are also indicators of the development of civil society and initiators of social, value and economic changes, and represent the foundation for the development of the civil sector in the transforming economy of the Czech Republic.