The advantageous factors of the cooperative type of organization are given below: -
1. Elimination of middlemen. The management of the consumer cooperative society directly purchases the finished goods from the manufacturer and producer. Producer cooperative society procures the raw material from the producer. Thus they try to free themselves from the grip of the middlemen and make the goods available to consumers at lower prices.
2. Saving in management expenses. Cooperative society enjoys some economies in the field of management due to voluntary services performed by the members themselves. Thus, it is possible to minimize the expenses of management and supervision.
3. Minimum stock. Society purchases the same goods which are actually demanded by its members. Thus there is need to have minimum stock at hand due to constant and regular demands.
4. Economy in distribution and production expenditure. Society is saved from any distribution and production expenses. It has got its regular customers; therefore society has not to face any trouble for marketing its goods. Thus is has not to incur any expenditure for publicity and advertisement, which is a big item in the budget of the capitalist producer.
5. Integration. Under this type of organization, complete integration between producers, wholesalers and retailers is always possible. This is thus a clear advantage over capitalist economy.
Public limited companies usually have a more diverse allocation of shares amongst a wide circle of shareholders. A retailers' cooperative is a ty pe of cooperative which employs economies of scale (the cost advantages that a business obtains due to expansion) on behalf of its retailer members.
what are the advantages of a business letter?
it is cooperative
There are number of advantages to attending business conferences. Some of the advantages include keeping up with industry changes and marketing a company's products.
A cooperative is a business or a firm. It belongs to the people / employees - they are therefore owners - and they therfore have an invested stake in the business. Members invest in shares in the business to provide working capital. All profits are set aside for operations and improvements, are returned to co-op members. _ Krishna Srinivasan, President, Frost & Sullivan
there are no disadvantages :)
National Cooperative Business Association was created in 1916.
i dont no what is the answer of consumer co-operatives advantages.
advantages: you can make much more money with two heads and then you can kill him off to double up. disadvantages: if you take to long to kill him he'll kill you first
What are the advantages and disadvantages to cooperative versus competitive strategies
Check
A cooperative
Housing cooperative Building cooperative Retailers' cooperative Utility cooperative Worker cooperative Business and employment co-operative Social cooperative Consumers' cooperative Agricultural cooperative Cooperative banking (credit unions and cooperative savings banks) Federal or secondary cooperatives
Public limited companies usually have a more diverse allocation of shares amongst a wide circle of shareholders. A retailers' cooperative is a ty pe of cooperative which employs economies of scale (the cost advantages that a business obtains due to expansion) on behalf of its retailer members.
What are the similiarities and differences between cooperative business and joint stock business
Yes, a consumer can purchase a vehicle on behalf of a cooperative as long as the cooperative agrees and provides authorization for the purchase. The consumer would need to follow the cooperative's guidelines and procedures for such purchases to ensure compliance with their policies.
Multi Purpose Cooperative combines two or more of the business activities of different types of cooperatives.