A cooperative is a business or organization where a group of people come together to work collectively for economic or social purposes. Cooperatives are typically established to meet the common needs of members, provide a specific service or product, or engage in joint economic activities. Each member contributes to the functioning of the cooperative and has the right to participate in decision-making processes.
Ownership by the members, service to the members, and governance by the members
Self-sufficiency, self-responsibility, democracy, equality, justice, and solidarity
WHAT DO COOPERATIVES DO?
Cooperatives exist in all countries and are estimated to serve more than 1 billion people worldwide. They operate in many different forms and across all sectors. Due to their ability to be established wherever needed, cooperatives are an effective tool in reducing poverty. Additionally, many cooperatives make significant contributions to access social and economic support systems, education, health care, insurance, credit, and other essential services. Cooperatives create added value for products and services that individuals, especially the poor, would find difficult to obtain on their own. This is made possible by the efficient use of resources owned by the members collectively. Cooperatives are also a significant player in the global economic landscape. Their trade volumes represent 3-10% of the gross domestic product of both developed and developing countries. According to the ICA Global 300 project, which compiles information from the world’s largest 300 cooperatives, the total turnover of cooperatives reached $1.6 trillion in 2008. The total turnover of just these 300 cooperatives is equivalent to the gross domestic product of the world’s 9th largest economy.
