For-Profit:
Feedback is generated (and paid attention to) via the marketplace and
money purchases. If customers like your product, they give you their
feedback by buying your product. There are other forms of feedback (a la
Exit, Voice, and Loyalty), and other forms of building value (Brand
Awareness, Business Reputation).
Non-Profit:
Feedback is generated in the form of fund-raising (via donors and
grants), and indirectly through beneficiary feedback (how do people tell
you that they benefited from your services?).
Government as a special case: voting as feedback versus funding of
campaigns as feedback.
Note: Non-profits do not have a direct feedback mechanism for
beneficiaries. Non-profits may over invest in satisfying funding sources
compared with services to beneficiaries. What if a funding source was
set up where money is put into a general fund, then distributed to
non-profits based on the "dollar voting" of the potential beneficiary
population?
