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Collective Entrepreneurship: An Emerging Phenomenon in Producer-Owned Organizations

Author

Listed:
  • Cook, Michael L.
  • Plunkett, Brad

Abstract

This paper introduces and defines the concept of collective entrepreneurship. A review of the defensive single-level rent-seeking objective of traditional agricultural cooperatives is introduced followed by an analysis of recent studies documenting a shift in the objective functions of producers jointly integrating toward more multiple-level rent-seeking entities. This process of shifting from market failure-ameliorating collective action mechanisms toward rent-seeking group action organizations is labeled collective entrepreneurship. The justification for introducing this concept is based on the Olsonian premise that rational, self-interested individuals will not act to achieve their common or group interests without coercion or selective incentives.

Suggested Citation

  • Cook, Michael L. & Plunkett, Brad, 2006. "Collective Entrepreneurship: An Emerging Phenomenon in Producer-Owned Organizations," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 38(02), August.
  • Handle: RePEc:ags:joaaec:43777
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    File URL: http://purl.umn.edu/43777
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    References listed on IDEAS

    as
    1. George Hendrikse & Jos Bijman, 2002. "Ownership Structure in Agrifood Chains: The Marketing Cooperative," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(1), pages 104-119.
    2. Nicolai J. Foss & Peter G. Klein, 2004. "Entrepreneurshoip and the Economic Theory of the Firm Any Gains from Trade?," DRUID Working Papers 04-12, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
    3. Fabio R. Chaddad & Michael L. Cook & Thomas Heckelei, 2005. "Testing for the Presence of Financial Constraints in US Agricultural Cooperatives: An Investment Behaviour Approach," Journal of Agricultural Economics, Wiley Blackwell, vol. 56(3), pages 385-397.
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    Citations

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    Cited by:

    1. Salazar Idana & Galve Górriz Carmen, 2011. "Determinants of the Differences in the Downstream Vertical Integration and Efficiency Implications in Agricultural Cooperatives," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 11(1), pages 1-26, February.
    2. repec:gam:jsusta:v:10:y:2018:i:3:p:652-:d:134062 is not listed on IDEAS
    3. Murray-Prior, Roy B., 0. "Are Farmers in the Transitional Economies Likely to Benefit from Forming Collaborative Marketing Groups?," BANWA Agribusiness and Management Issues, University of the Philippines Mindanao.
    4. Per Bylund, 2010. "Piracy, Inc.—on the bearing of the firm analogy to pirate organization," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 23(3), pages 299-305, September.
    5. Saïsset, L.A. & Couderc, J.P. & Bou Saba, M., 2011. "Cooperative performance measurement proposal (a test with the cooperfic© tool for wine cooperatives in Languedoc-Roussillon)," Working Papers MOISA 201104, UMR MOISA : Marchés, Organisations, Institutions et Stratégies d'Acteurs : CIHEAM-IAMM, CIRAD, INRA, Montpellier SupAgro - Montpellier, France.
    6. Bijman, Jos & Doorneweert, Bart, 2008. "Entrepreneurship, Collective Entrepreneurship and the Producer-Owned Firm," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 43960, European Association of Agricultural Economists.
    7. Cook, Michael L. & Burress, Molly J. & Iliopoulos, Constantine, 2008. "New Producer Strategies: The Emergence of Patron-Driven Entrepreneurship," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44397, European Association of Agricultural Economists.
    8. Liang, Q.X. & Hendrikse, G.W.J. & Huang, Z. & Xu, X., 2012. "Core and Common Members in Chinese Farmer Cooperatives," ERIM Report Series Research in Management ERS-2012-002-STR, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam.
    9. Grashuis, Jasper & Cook, Michael, 2016. "Governance and Performance in the U.S. Agri-Food Industry: A Comparative Study of Firms and Cooperatives," 2016 Annual Meeting, July 31-August 2, 2016, Boston, Massachusetts 235676, Agricultural and Applied Economics Association.
    10. Stephan J. Goetz & Sundar S. Shrestha, 2009. "Explaining Self-Employment Success and Failure: Wal-Mart Versus Starbucks, or Schumpeter Versus Putnam," Social Science Quarterly, Southwestern Social Science Association, vol. 90(1), pages 22-38.
    11. Borgen, Svein Ole & Aarset, Bernt, 2016. "Participatory Innovation: Lessons from breeding cooperatives," Agricultural Systems, Elsevier, vol. 145(C), pages 99-105.
    12. Mabuza, Majola Lawrence & Ortmann, Gerald F. & Wale, Edilegnaw Zegeye, 2012. "Collective action in commercial mushroom production: the role of social capital in the management of informal farmer groups in Swaziland," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126764, International Association of Agricultural Economists.
    13. Gabriel J. Power & Victoria Salin & John L. Park, 2012. "Strategic options associated with cooperative members' equity," Agricultural Finance Review, Emerald Group Publishing, vol. 72(1), pages 48-67, March.
    14. John E. Meador & David J. O’Brien & Michael L. Cook & Greg Grothe & LuAnn Werner & Daniel Diang’a & Rebecca M. Savoie, 2016. "Building Sustainable Smallholder Cooperatives in Emerging Market Economies: Findings from a Five-Year Project in Kenya," Sustainability, MDPI, Open Access Journal, vol. 8(7), pages 1-15, July.

    More about this item

    Keywords

    agricultural cooperatives; entrepreneurship; Agribusiness; Community/Rural/Urban Development; Labor and Human Capital; D23; D72; Q13;

    JEL classification:

    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness

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