ABSTRACT
Sector-bending refers to a wide variety of approaches, activities, and relationships that are blurring the distinctions between nonprofit and for-profit organizations, either because they are behaving more similarly, operating in the same realms, or both. For-profits are playing a greater role in arenas formerly dominated by nonprofit and public sector organizations, while nonprofits are entering the domains of business. At the sector level, the presence of for-profits can allow for a greater division of labor. If for-profits can generate even a minimal profit by serving clients who are willing and able to pay, then donor-supported nonprofits can concentrate on serving those who need philanthropic subsidies to cover the costs of serving them. The blurring of sector boundaries has been accompanied by an increased interest in finding systemic and sustainable solutions to social problems.
