Beyond Resource Exchange: Externalities in a Nonprofit Theater and University Partnership

This article reports on a qualitative case study of the Harvard University and the American Repertory Theater (ART) partnership which used interviews with decision-makers to understand their perceptions of the partnership. Using a framework of social exchange theory one noteworthy data set result – that of unexpected gains from the partnership which cannot easily be classified as resources, is explored using the idea of externalities. It concludes that decision-makers perceive partnership externalities to include: mutual reputational benefit and donor development, audience development for ART, and arts integration and cross-departmental engagement for Harvard. The article adds to knowledge about arts-HEI partnership’s internal decision-makers’ understanding.