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Agricultural and Rural Cooperative Viability: A Management Strategy Based on Cooperative Principles and Values

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  • Novkovic, Sonja
  • Power, Natasha

Abstract

We examine some characteristics of agricultural and rural cooperatives and their management challenges, in order to illustrate possible applications of Jim Collin’s management concept, catalytic mechanisms, in the cooperative context. Agricultural cooperatives are experiencing complex governance issues, particularly in light of increased heterogeneity of member interests, and increased market and regulatory pressures. Member commitment is often recognized to be a necessary ingredient in the cooperative success, and while primary agricultural cooperatives are built on that commitment, new generation cooperatives need not be. In this article we argue that some of the governance issues may be alleviated by the application of creating catalytic mechanisms, a process that builds cohesion, preserves cooperative identity, and is based on cooperative principles and values. We illustrate this technique with examples of successful agricultural and rural cooperatives that already use such mechanisms in their management strategies.

Suggested Citation

  • Novkovic, Sonja & Power, Natasha, 2005. "Agricultural and Rural Cooperative Viability: A Management Strategy Based on Cooperative Principles and Values," Journal of Rural Cooperation, Hebrew University, Center for Agricultural Economic Research, vol. 33(1), pages 1-12.
    • Handle: RePEc:ags:jlorco:59695
    DOI: 10.22004/ag.econ.59695
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    Cited by:

    1. Ourania Tremma & Achilleas Kontogeorgos & Philippos Karipidis & Fotios Chatzitheodoridis, 2021. "Mapping the Market Segments for the Consumers of Greek Cooperative Food Products," Sustainability, MDPI, vol. 13(7), pages 1-20, March.
    2. Salavou, Helen E. & Sergaki, Panagiota, 2013. "Generic Business Strategies in Greece: Private Food Firms versus Agricultural Cooperatives," Journal of Rural Cooperation, Hebrew University, Center for Agricultural Economic Research, vol. 41(1), pages 1-17.
    3. Nikulin, Alexander (Никулин, Александр) & Sobolev, Alexander (Соболев, Александр) & Trotsuk, Irina (Троцук, Ирина) & Kurakin, Alexander (Куракин, Александр), 2017. "Russian Agricultural Cooperatives: Regional Features, Economic Behavior, Management and Development Models [Российские Сельскохозяйственные Кооперативы: Региональные Особенности, Экономическое Пове," Working Papers 061714, Russian Presidential Academy of National Economy and Public Administration.
    4. Achilleas KONTOGEORGOS & Fotios CHATZITHEODORIDIS & Efstratios LOIZOU, 2016. "Adaptation strategies for the Greek agricultural cooperatives during the economic crisis," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 62(1), pages 26-34.

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    Keywords

    Agribusiness;

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