Abstract
A micro analytical, interdisciplinary informed framework is presented to postulate why and how some cooperatives endure for long periods of time. This five-phase framework was developed through an extended research process employing inductive and deductive approaches. The paper concludes that cooperative longevity is associated with multiple factors, primarily among them, ability to adapt and ameliorate frictions and subgroup factions. This adaptability leads to multi “life cycles”. Cooperative multi life cycle regeneration is facilitated by a learned and embedded process called “cooperative genius”.
Highlights
We were fortunate that management and social scientists were advancing theories broadly described as new institutional economics and organizational economics that generated concepts allowing us to explore in greater detail the incentives and disincentives embedded in organizational forms
While cooperatives developed in similar institutional environments often adhere to similar principles, not all cooperatives exhibit constitutional similitude (For example, cooperative scholars suggest appropriate organizational design choice is a function of economic justification [14])
The framework described in this paper deconstructs an observed hypothetical life cycle of a single agricultural cooperative in an advanced agricultural country where agriculture is primarily dominated by family farms
Summary
Twenty-five years ago, during a period of intense mergers and acquisitions in the North American and European cooperative agribusiness sector, participants asked, “Why do some of our organizations live so long and some not?” Our team began to ponder this question and subsequent research resulted in the first outline of the framework included in this paper During this time, we were fortunate that management and social scientists were advancing theories broadly described as new institutional economics and organizational economics that generated concepts allowing us to explore in greater detail the incentives and disincentives embedded in organizational forms. The LCF extracted from the combined knowledge and responses of cooperative practitioners (managers, members, and board members) as to how frictions of an increasing heterogeneous membership might be viewed as an opportunity and a constraint in governing a patron owned and controlled entity encouraged future dialogue and research This learning process led to the emergence of new ideas, terms and concepts.
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
