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Abstract

This study concerns cooperative principles for agricultural cooperatives in Western economies. Cooperatives are to support the economic interests of their members. Cooperative principles make it possible to align members’ conflicting individual interests, thus supporting the membership’s collective interests. “Traditional cooperative principles” have historically resulted in lower average processing costs. However, in recent decades, many cooperatives have found that these principles do not provide access to adequate financial capital and qualified leaderships. Thus, some cooperatives now follow “proportional principles,” implying proportionality between members’ patronage and benefits, governance, and financing. Furthermore, “contemporary principles” allow external equity capital and professional management.

Published in

Contributions to Management Science
2025, pages: 101-113
Title: Managing Networks in the Digital Economy : Alliances, Cooperatives, Franchise Chains, Platforms and Digitalization
Publisher: Springer

SLU Authors

UKÄ Subject classification

Agricultural Economics and Management and Rural development

Publication identifier

  • DOI: https://doi.org/10.1007/978-3-031-81233-0_6
  • ISBN: 978-3-031-81232-3
  • eISBN: 978-3-031-81233-0

Permanent link to this page (URI)

https://res.slu.se/id/publ/141919