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The Impact Of Recession On Social Marketing Activities : An Analysis Of Non-Profit Organizations Performance In The Context Of A Fluctuating European Economy

  • Corina SERBAN


    (The Bucharest Academy of Economic Studies, Romania)

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    Economic decline in recent years has been strongly felt by European countries. Once with currency devaluation, the recession has caused rapid deterioration of incomes, and marked the collapse of financial markets. Furthermore, the difficulties encountered in industry and services have led to a dramatic decrease in investment and a sharp rise in unemployment. Severe effects of financial crisis were felt around the world, affecting both countries with strong economies as well as less developed countries. Nonprofit organizations have tried to maintain their positions, focusing on reducing losses and attract external funding. This paper aims to discuss a topical issue for the economic environment in Romania, examining the impact of recession on the nonprofit sector, from several perspectives. Thus, the article discusses the situation of social organizations in different regions of Europe and their relationship with the final consumer. The paper debates the problem of a changing European economy, examining the extent to which a country’s prosperity influences the development of local nonprofit organizations. Thus, the research highlights the differences between nonprofit organizations belonging to : Northern Central Europe, Southern Central Europe and Eurasia. Countries in these regions were analyzed as a group, considering an average level of prosperity for every category. The results capture the limited possibilities of development for nonprofit organizations in less developed European regions. Funding opportunities remain the main problem of nonprofit organizations. Therefore, the paper highlights the importance of resources management in social activities, and suggests future directions for action, both for nonprofit organizations and consumers.

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    Article provided by The Bucharest University of Economic Studies in its journal Journal of Doctoral Research in Economics.

    Volume (Year): 3 (2011)
    Issue (Month): 3 (September)
    Pages: 38-47

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    Handle: RePEc:aes:jdreco:v:3:y:2011:i:3:p:38-47
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