Facing the Music: How Seven Theater Companies Respond to Economic Challenges

The purpose of this study is to determine the programmatic and administrative impact faced by Philadelphia based 501 (c)(3) small-midsized theater companies with incomes of $1,000,000 or less in the current economic climate. In addition, to examine any changes in earned income and/or alternative business models as potential new sources of revenue. The methods of collecting data involved interviewing seven theater company arts managers by phone, reviewing tax filings from FY11-FY13, and reviewing strategic plans and Cultural Data Project reports when available. It was established that there is an overall lack of awareness in the Philadelphia nonprofit theater community regarding new business models, with many theaters still maintaining an emphasis on contributed income. This study suggests that these theaters, which represent a diverse population of organizations the same size, steer away from earned income focused techniques. Arts managers are seldom considering alternative revenue streams and place primary stress on development efforts.M.S., Arts Administration -- Drexel University, 201