Management Theory and Studies for Rural Business and Infrastructure Development, Volume 11

Cooperative principles and demands effective management

Danuta Mierzwa

Abstract

The globalisation of the markets has brought about concentration of
competitors, suppliers and clients of the cooperatives. That is why the agricultural
cooperatives were forced to adapt to new conditions. Since about 50 years Western
Europe has seen the occurence of big cooperative groups in partnership with
capital companies. They are operated by a bit different rules than those indicated
by the doctrines of the Rochdale pioneers. It is impossible to explain them using
the classical model of cooperative management. They are very often a cross
between the interests of a farmer – member of the cooperative as a user and a
farmer – shareholder (Gvillbuzo, 2000). The logic of common farming has been
transformed into the industrial-commercial and financial economy. The share put
into the cooperative by a farmer-member may coexist with shares purchased by the
farmer-shareholder. This leads to the existence of partnership with the capital
sector and specialisation of production.
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Management Theory and Studies for Rural Business and Infrastructure Development eISSN 2345-0355

This journal is published under the terms of the Creative Commons Attribution-Noncommercial 3.0 Unported License. Responsible editor: Dr Audrius Gargasas.