In recent years many foundations (and community foundations in particular) have bemoaned the proliferation of nonprofits. "There are too many", "They are replicating services", "We do not need another nonprofit", etc. Calls for mergers and partnerships very much reflect these feelings.
A quick glance at any number of newspapers this week, particularly around the Haitian story, can probably challenge the assumption that proliferation is a bad thing. At least in the world of international aid (although likely in other areas too), innovative solutions to various types of challenges are being developed. The New York Times identified a few nonprofits that have been developing new approaches to addressing the delivery of health care and housing services -- workable methods that had not been developed by the long-standing nonprofits with similar missions.
As much as I firmly believe that there are many opportunities for partnerships, alliances and mergers, I am reminded that innovation often comes from newer and/or smaller groups. The donor sector must find a way to accommodate and support both for the betterment of society.