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Why Oxfam's Business Model is so successful?

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Oxfam’s Company Overview


Oxfam is an international confederation of charitable organizations focused on the alleviation of global poverty. Oxfam was founded at 17 Broad Street in Oxford, Oxfordshire, in 1942 as the Oxford Committee for Famine Relief by a group of Quakers, social activists, and Oxford academics; this is now Oxfam Great Britain, still based in Oxford. It was one of several local committees formed in support of the National Famine Relief Committee. Their mission was to persuade the British government to allow food relief through the Allied blockade for the starving citizens of occupied Greece. The first overseas Oxfam was founded in Canada in 1963. The organization changed its name to its telegraph address, OXFAM, in 1965.

https://www.oxfam.org/

Country: England

Foundations date: 1942

Type: Nonprofit

Sector: Financials

Categories: Non-profit


Oxfam’s Customer Needs


Social impact: Self-transcendence

Life changing: provides hope, motivation, affiliation/belonging, self-actualization

Emotional: reduces anxiety, rewards me, provides access

Functional: integrates, connects, reduces risk


Oxfam’s Related Competitors



Oxfam’s Business Operations


Affiliation:

Commissions are used in the affiliate revenue model example. Essentially, you resell goods from other merchants or businesses on your website or in your physical store. You are then compensated for referring new consumers to the company offering the goods or services. Affiliates often use a pay-per-sale or pay-per-display model. As a result, the business can access a more diversified prospective client base without extra active sales or marketing efforts. Affiliate marketing is a popular internet business strategy with significant potential for growth. When a client purchases via a referral link, the affiliate gets a portion of the transaction's cost.

Blended value:

Blended value is a relatively new conceptual framework in which non-profit organizations, companies, and investments are assessed on their capacity to create a combination of financial, social, and environmental value. Businesses that use mixed value business models actively enhance their social impact while maintaining economic efficiency. A fair-trade coffee cooperative, for example, generates social value via guaranteed minimum prices given to coffee growers and direct investments in community development.

Social stakeholder:

Social responsibility will only be accurate if many managers embrace moral leadership rather than immoral leadership, organizational management, and business ethics that engage morals and values in corporate governance. In a nutshell, it addresses the concept of who or what really matters.

Donation-based:

Crowdfunding for charity purposes is a collaborative effort by people to aid charitable projects. Civic crowdfunding is a kind of charity crowdfunding in which money is collected to improve public life and space.

Target the poor:

The product or service provided here is aimed towards the bottom of the pyramid rather than the top. The target of the flawed business model is a financially feasible strategy that helps low-income communities by integrating them in the value chain of a firm on the demand side as customers and consumers and the supply side as producers, entrepreneurs, or workers in a sustainable manner. While the business earns a little profit on each product sold, it profits from the increased sales volume often associated with a large client base.

Nonprofit organization:

The nonprofit world rarely engages in equally clear and succinct conversations about an organization’s long-term funding strategy. It works on funds and provides services to the user free of cost. That is because the different types of funding that fuel nonprofits have never been clearly defined. A nonprofit organization is often dedicated to furthering a particular social cause or advocating for a particular point of view. In economic terms, a nonprofit organization uses its surplus revenues to further achieve its purpose or mission, rather than distributing its surplus income to the organization's shareholders (or equivalents) as profit or dividends.

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