Many people have a wrong idea about charities. A lecture “The Way We Think about Charity is Dead Wrong” was given by Dan Pallotta on TED.com in March 2013. In his lecture, he said that a lot of people do not think that charities can change the world, so many charities face massive discrimination. According to Pallotta, there are several primary ways that our current system discriminates against the nonprofit sector. The first way that our current system discriminates against the nonprofit sectors is poor compensation. In our society, the compensation for people who work in the nonprofit sector is lower than those who work in the for-profit sector. Pallotta says, “So in the for-profit, the more value you produce, the more money you can make. But we don’t like nonprofits to use money to incentivize people to produce more in social service”. Our society is not comfortable when individuals work for nonprofit sector and make money, but we do not care when others work for-profit sectors and make money. People
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Pallotta states, “So we tell the for-profit sector ‘Spend, spend, spend on advertising, until the last dollar no longer produces a penny of value.’ But we don’t like to see our donations spent on advertising in charity.” For-profit companies must spend money to raise money, but people do not want nonprofit charities to do that. For example, in the 1990s, Pallotta’s company created the long- distance AIDS Ride bicycle journeys, and a 60 mile-long breast cancer three days walk, and the participants raised a total of 581 million dollars. His company got many people to participate by putting ads in The New York Times, in The Boston Global, in prime time radio and TV advertising, but they were criticized for their spending. People wanted their money to go directly to AIDS research and breast cancer programs not to
Pallotta states, “So we tell the for-profit sector ‘Spend, spend, spend on advertising, until the last dollar no longer produces a penny of value.’ But we don’t like to see our donations spent on advertising in charity.” For-profit companies must spend money to raise money, but people do not want nonprofit charities to do that. For example, in the 1990s, Pallotta’s company created the long- distance AIDS Ride bicycle journeys, and a 60 mile-long breast cancer three days walk, and the participants raised a total of 581 million dollars. His company got many people to participate by putting ads in The New York Times, in The Boston Global, in prime time radio and TV advertising, but they were criticized for their spending. People wanted their money to go directly to AIDS research and breast cancer programs not to