ABSTRACT
Philanthropic giving has attracted many theorists, but research on fundraising has been less tied to theory. This chapter discusses the role of theory in fundraising practice and examines several theories that have been used to explain aspects of fundraising. Systems theory provides a fundamental theoretical base for understanding fundraising. An organization that isolates itself from its environment can be considered a “closed system.” Individuals who raise funds for an organization function as boundary spanners, linking the organization with important resources in the external environment. Resource dependence theory explains why fundraising occurs and suggests some common organizational dynamics. Gift theory recognizes that giving gifts is a universal aspect of social human behavior, and, further, that receiving a gift generally prompts a social obligation to reciprocate in some manner.
