Topic > Consumer Cooperatives Outlook Overview

I chose this topic to learn more about the challenges consumer cooperatives are facing that act as a barrier to growth. This research will provide me with a clear insight into evaluating the prospects of consumer cooperative societies. Furthermore, the topic of cooperative is a very new concept for me, which makes researching it more interesting. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get Original Essay Cooperatives are considered to be economic associations, which play an important role in the socio-monetary growth of people and the public as a whole. It is a method of business establishment, which aims to provide valuable facilities to the public at minimum price and not for profit. Consumer cooperatives tend to play an important role in protecting buyers from brokers' commissions and in providing buyers with superior quality items in preferred quantities and at rational rates. Research shows that governments have taken several measures in relation to the formation of consumer cooperatives, with the aim of regulating the variation of prices in the market, establishing advertising relationships, monopoly protection and provision of products and services at reasonable rates with the maximum buyer satisfaction. In my research I have highlighted some of the challenges faced by consumer cooperatives in various countries. Most of the research so far has been conducted on the country of Malaysia. Now let's talk about the challenges. The cooperative stores they operate are mostly small to medium sized with moderately lower purchasing power. Looking at the scenario, the consumer cooperative does not benefit from the rate discount obtained from bulk purchasing of goods. Relatively, the offer prices of consumer cooperatives are generally higher than those advertised by large operators such as supermarkets. It has been seen in the past that the failure of cooperatives is due to lack of knowledge about cooperatives and training in financial understanding. Segregation plays a vital role in building the business network to compete in the competitive market in which cooperatives reside. Capital strength and marketing creativity have shown the impact on the loyalty of cooperative members. The uneven flow of transactions between the cooperative and private or corporate sectors is also a critical factor. Since there is a lot of dependence on external parties, this causes a significant outflow of money which makes it difficult to generate wealth. The difficulty of cooperating with rising costs makes it difficult to pay a good salary to attract qualified and qualified employees. In the context, employees do not stay long, which increases the company's turnover. All the issues related to corporate governance, the inefficiencies of administrative planning and the lack of market studies, create big errors mainly related to choosing the right location of the building. set up sales points. Based on the research, many consumer cooperatives in Malaysia had less competitive, experienced and skilled workers operating in a cooperative retail store. The strategy of diversifying business income has also led to the loss of focus on the business and the consequent inability to fulfill the initial purpose of its establishment. In order to promote better shopping and repeat purchases from customers and members, some cooperatives have started implementing the credit lending system. Eventually, many customers and members began to rely on cooperatives to make purchases. This system has proven effective.