Some things will always exist, but not fundamentally in the same equal way: this post outlines how the established sector of philanthropy is adjusting to our current economic and social system.
One among the aspects that the world of philanthropy has developed in the last couple of years is that of producing fresh enterprise systems for establishments. Described “philanthropic investment companies†by the likes of Pierre Omidyar from eBay, philanthropic funds often work in impact investing, which has equally the aim to provide resources for a cause or advancement which will be helpful and promising for civilization, and at the exact same time still generate a gain. If more financial establishments were to concentrate on constructive causes for their financial investments, and start thinking about the long term impacts of what their funds can attain, we would no doubt obtain a more sustainable and equal society quite easily.
If you have a look at the history of philanthropy in the world, you may acknowledge that the key subtle difference with charity is that while charity works on aiding men and women who are in adverse situations and conditions, the main aim of philanthropy is to prevent that these scenarios exist in the first place, therefore challenging the cause of the problem and not just its repercussions. For this reason, it is vital for institutions like David Li’s BEA to promote the growth of communities and of the civilization they belong to, supporting from within, rather than from external suppliers, so to be deeply conscious of all the internal subtleties of the specific situation.
We sometimes consider how has philanthropy changed the world, but it is sometimes worth observing how the world has changed philanthropy: in the current economic model that controls most of the markets internationally, some organisations choose to invest in an sector and after that use their revenue to offer the product of that field to those that cannot retrieve it easily, for example with regards to pharmaceuticals. Figures like Darren Walker of Ford Foundation have as their goal to address those circumstances which are not helped by our present economic system, making chances more fair and improving ease of access, so that the idea of equality for all can be a little bit more plausible on a large scale.
An approach that has been observed in philanthropic giving trends is that of applying a venture capital model in the business: by offering financial support at the very first early stages of a business, considering their potential and the effect they will have on the world, contributors put their literal trust in these foundations with an optimistic outlook on the future, and they will keep on being related to them throughout their development, assisting their progress and sometimes guiding the managerial factors. Compared to historical philanthropists, this hands-on strategy is likely to make companies more mindful about the wider context they operate in, and more encouraged to contribute to its improvement.