Date of Graduation

5-2018

Document Type

Thesis

Degree Name

Bachelor of Science in Business Administration

Degree Level

Undergraduate

Department

Finance

Advisor/Mentor

Shipman, Jonathan

Committee Member/Reader

Jensen, Molly

Committee Member/Second Reader

Jensen, Molly

Abstract

The media plays an active role in forming external stakeholders’ perception of business matters. When it comes to nonprofit business, the media is a source of information that, in theory, works to bridge the gap between external stakeholders’ unfamiliarity with nonprofit regulation and what is actually required of the nonprofit sector. This concept is especially present regarding the topic of nonprofit CEO compensation. The goal of this paper is to discuss how media addresses nonprofit CEO compensation and to determine whether or not the media fairly portrays the entire story by assessing current data along with trends in historical data, namely of two organizations, the American Red Cross and Goodwill Industries, Inc. This study will enter into the discussion of nonprofit CEO compensation and discuss the nature of nonprofits, the requirements of nonprofit CEO compensation, and CEO compensation as it is portrayed by the media and therefore likely perceived by society. The purpose of the analysis is to determine whether nonprofits actually compensate their CEOs as the media suggests. With this information, external stakeholders will be better equipped to answer the above questions themselves

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