What is the NGO ? Discuss Its Type , Role And Legal Status ? Explain Various Methods in Which NGO Operates

>> November 28, 2009

Contents are covered under Business Environment of MBA Ist Semester 

Meaning of NGO 

NGO means non - government organisation. Any organisation who is doing non profit activity is called NGO . The aim to make NGO is to do social activities . These organisations do not involve in commercial activities . The source of fund may be private or govt. NGO collects fund through donation . Now , NGO are also known as private voluntary organisation . 

It is estimated that 40000 NGO are working internationally and more than 1 million NGO are only in India . Main objectives for making NGO are to reduce poverty , increase employment and support to poor children.

Student Welfare Council (NGO ) is sending Cheque for Children affected from Tsunami

( Members from left - Dr. Mathura Das Savtantra, Prof. Vinod Kumar, Krishan Kumar and many more.....)

Types of NGO 

On the basis of Acronyms


INGO means international non govt. organisation . For example UNO and ILO are INGO.


BINGO means business oriented international NGO . CARE , RED Cross and Green peace are BINGO


ENGO means environmental NGO


GONGO  means govt. operated NGO .


QUANGO means quasi autonomous NGO

For example ISO


TANGO means Technical assistance NGO


CSO means civil society organisation.

Types of NGO on the basis of World bank's classification

1. Operational

Operational NGO is that type of NGO which are created for development projects .

2. Advocacy

Advocacy NGO is that type of NGO which are created for awareness projects .


USAID is created as private voluntary organisation in US .

Legal Status

NGO  has legal status under following laws

  1. Any charitable society registered under society registration act 1860
  2. Trust 
  3. Any ltd company formed under company law 1956 of India 
Methods in which NGO operates 

There are following methods to operate NGO

  1. Lobbying
  2. Other Social welfare projects like project for providing food , drinking water , and poverty alleviation.
Role of NGO in Consumer awarness 

NGO plays a very important role in the consumer awareness . Consumer is the person who buys the products of the company. It is his right to choose the right product at right price . Many NGO are created for providing awareness to consumer with the help of print media , seminars and work shops with this consumers knows what are the points with a business man to cheat  the consumers . He can give low quality products. These NGO are also helpful to give remedies to helpless consumers . Large nos. of advocates and legal experts work voluntarily in NGO . So , consumer can get help or advice from these members .

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