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Revenue Diversification in Different Institutional Environments: Financing and Governing the Swedish Art Promotion Movement, 1947–2017

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Managing Hybrid Organizations
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Abstract

One conclusion in this chapter about the People’s Movements for Art Promotion (Folkrörelsernas Konstfrämjande, FKF), a non-profit organization with many ties to the Swedish popular movements (folkrörelser) and the social democratic state, is that the historical-economic-political context determined when employing a business logic to generate resources became a problem. Using a business logic was not a problem per se but becoming dependent upon it was. FKF was in need of supplementary sources of income in the form of government grants and membership fees, a diversification strategy that worked excellently during the years 1947–1975—coinciding with the success of Fordist capitalism and of intensified social democratic welfare reforms—but ceased to function when society became marketized during the post-Fordist era 1975–2015. Another conclusion is that FKF was de-hybridized due to pressure from the environment in the late twentieth century.

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Notes

  1. 1.

    Unless otherwise stated, all empirical examples in this chapter are taken from Gustavsson (2017). The study focuses on the National Association for Art Promotion [Konstfrämjandets riksförbund], not the regional districts, today 12 in number located throughout Sweden, from Skåne in the south to Västerbotten in the north.

  2. 2.

    In Sweden there are two main types of associations: firstly, economic associations defined by the purpose to (1) promote the financial interests of members by (2) economic activity and secondly, non-profit associations, which are defined negatively, by failing to meet one or both of the two requirements of an economic association. The fact that FKF has always been able to be defined as a non-profit association despite pursuing economic activity (they meet the second requirement) is because their purpose is to promote members’ cultural—not financial—interests (they do not meet the first requirement). Income derived from business activities has therefore also been exempt from income taxation. Cf. Mallmén (2002: 16, 56–61) and Chap. 15 in this book.

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Correspondence to Martin Gustavsson .

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Gustavsson, M. (2019). Revenue Diversification in Different Institutional Environments: Financing and Governing the Swedish Art Promotion Movement, 1947–2017. In: Alexius, S., Furusten, S. (eds) Managing Hybrid Organizations. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-95486-8_14

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