A friend and I did some shopping yesterday, including a stop at Ten Thousand Villages, which prominently announced underneath its name: “A Not For Profit Store.” This being my first time, I asked my friend, “So, then, what’s the point?” The apparent point is that the money they would make as a profit gets passed along to the people in various developing countries who make the products, so these suppliers make more money than they would otherwise.
Of course, a store with this mission could conduct itself by acting just like a for-profit business, only instead of distributing its profits to its owners passing that money back up the supply chain. However, one way the store makes more money than it otherwise might is that it is staffed by volunteers, and so it operates with lower labor costs. And, of course, the store is able to attract progressively-minded customers and get them to pay a greater markup than they otherwise might because it allows us to spend some of our–in the great scheme of things, let’s be honest, ridiculously undeserved–wealth buying unneeded material goods for others in a way that makes us feel like we are doing something positive for the world. My presumption is that this last source of profit is much greater than the first two for how much money the enterprise is ultimately able to give back to its suppliers in the developing world.
I bought a curio for a friend. The store also sells holiday cards, and I was tempted to buy one and write inside “I could have just given $20 in your name to charity, but instead I got you a $20 knick-knack that you don’t need in the hope that maybe $3 more of it gets back to the person who made it than otherwise would. And let’s face it: you prefer that I got you the knick-knack, and so would I. Sick, is what we are. Sick, bloated and spoiled.” Continue reading “a not for profit post”