Abstract
Co-operatives are seen as communities working collectively to achieve common goals. One of their main principles is that of being concerned about the communities in which they operate. They can leverage this to create more effective networking opportunities amongst their membership. This study explores how SMEs can benefit from networking by being members of a co-operative. The research used a qualitative case study analysis of three co-operatives in Western Australia. We interviewed nine executives/managers and 18 SME members. Members and executives agree that the co-operative provided networking opportunities for members to talk, share information and knowledge through the social/community events. SMEs members can see each other as communities towards a common objective rather than competitors. This enabled networking to be more purposeful in building long lasting relationships whilst simultaneously being collective owners of the co-operative. Co-operatives, apart from economic pursuits, can facilitate networking events to enable SME members to engage in communications with each other to enhance the power in the relationships realised through networking. In this manner social capital is developed.
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