In 1986, Larry Harvey and a few friends gathered at it might not be an appropriate form to support global Baker Beach in San Francisco and set an eight-foot tall expansion and undertake philanthropic initiatives, wooden man on fire. This rebellious symbolic action, such as supporting the arts (Creedon, 2014). burning "The Man," became an annual tradition. More The partners decided to form a new nonprofit friends joined, and, in 1990, the event moved to a larger organization, the Burning Man Project (BMP), which space in Black Rock Desert, Nevada. By 2018, Burning would become the sole owner of the existing LIC Man attracted 70,000 people and had become a nine- (Burning Man, 2014). The individual partners received day event (Holson, 2018). Every year, "burners," as par- compensation for their past work, but they gave their ticipants are called, form a temporary community in the shares in the LLC to the new nonprofit, remaining desert, which has become known as Black Rock City. involved as members of the nonprofit board (Walske, Burning Man is dedicated to ten philosophical 2018). In 2016, various donors gave funds to acquire principles: radical inclusion, gifting, decommodifi- a permanent site for BMP, but the organization's revecation, radical self-reliance, radical self-expression, nues continued to be primarily from the sale of tickets communal effort, civic responsibility, leaving no trace, to the annual event, totaling almost $38 million that participation, and immediacy (Burning Man, 2019). Year (Walske, 2018). During the annual event, there are displays of art and What has become known as "Burner culture" has spontaneous entertainment, and people wear creative spread beyond Black Rock City, with independent but costumes, but it is more than a traditional festival. similar events now held in various countries (Walske, Individuals pay to attend, but no money is exchanged 2018). Over the years, the annual event in Nevada has during the event itself. Burners are expected to bring all of their own shelter, food, water, and power and, egalitarianism and anti-commercialization, Burning ​
also evolved. Despite its philosophical emphasis on all of their own shelter, food, water, and power and, egalitarianism and anti-commercialization, Burning consistent with the leave-no-trace ethic, to remove Man ticket prices in 2019 ranged as high as $1,400, everything and return the space to its natural state at and the event had come to be popular with celebrithe conclusion (Walske, 2018). ties and Silicon Valley billionaires, some of whom were In 1997, the Burning Man event had grown to setting up luxury camps and bringing their own chefs the point that it needed some type of legal structure and bodyguards (Warren, 2019). One site offered a in order to conduct business and manage risk. Harvey culinary and beverage program which focuses on raw in order to conduct business and manage risk. Harvey considered forming a nonprofit, but was reluctant to considered forming a nonprofit, but was reluctant to and cooked organic food," "yoga retreats," "medita- give up control to an independent board as the law tion and energy healing sessions," and "artists and DJs might require (Burning Man, n.d.). Instead, he and to align your heart pace with the beats of our sets" \begin{tabular}{l} five other partners formed a for-profit, limited liability \\ \hline \end{tabular} company (ILC), called Black Rock City, LLC. Those In 2019, Marian Goodell, BMP's chief execu- six individuals, including Harvey, were the owners. tive, announced new rules and reduced ticket prices, six individuals, including Harvey, were the owners. tive, announced new rules and reduced ticket prices, However, by 2011, the partners became concerned intended to achieve a more diverse community and that the LLC structure might become problematic in return Burning Man to its original values. Noting the the future. For one thing, it would permit the owners trend toward upscale campsites and commercializato pass along their interests to heirs, who might not tion of the event, she wrote, "Seriously, people, this share the values of Burning Man. They also thought really isnt Burning Man" (Holson, 2019). Questions Related to Case 2.3 1. In addition to retaining more control, what to latry Harvey and the other founders of other advantages of the limited liability Burning Man in 1997? company (LLC) form may have been attractive (Continued) 2. What advantages and disadvantages may have people thought that the event had evolved away 2011? think might have been the causes of that change? Did it have anything to do with Burning Man's 3. Larry Harvey thought that creating a nonprofit in 2011 would preserve Burning Man's original legal status or was it attributable to other things? culture and values better than continuing as a Would the shift still have occurred if it had been a limited liability company. Yet, by 2019 , some nonprofit from the start?