Organizational Response to Changing Demands: Predicting Behavior in Donor Networks

The integration of resource dependence theory and a network perspective results in a parsimonious strategic response model for the organizational responses of exit, voice, loyalty, and adjustment. Four cases illustrate the model's application to nonprofit organizations by focusing on relations with a government aid agency that switched funding priorities. The model helps explain why networks of recipients of funding may change over time and predicts organizational responses to changing demands from resource providers.