Case Number: 5-104-025, Year Published: 2004
HBS Number: KEL063
Strategic Collaboration, Nonprofit Management, Alliances, Mergers, Competitive Strategy
This case is about the merger of two Chicago-based nonprofits who share similar missions and clientele, but have different strategies and capital structure. They also operate in the highly competitive job training–temporary work field where organizational survival is at stake. Suburban Job Link is a fee-driven, largely commercial nonprofit and STRIVE/Chicago is a philanthropic-based nonprofit dependent upon grants and government for revenue. The case explores alternatives to merger, and proceeds from merger discussion to post-merger outcomes. Case can be used for discussion of strategic collaboration and alliances; how to get “more mission” through resource combinations; and how nonprofits compete in highly competitive industries.
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