Definition
Cooperatives are forms of enterprise and organisation created by individuals who voluntarily come together to meet their common economic, social and cultural needs, and which are democratically governed and owned by their members.
Scope
Cooperatives can operate in various fields such as production, consumption, credit, housing, agriculture and services. These structures are collective forms of organisation based on the principle of “one member, one vote”, where members are both users and decision-makers. Cooperatives provide a structure in which ownership and management are shared among members.
Distinction
Cooperatives differ from capitalist firms and other organisational forms in the following ways:
Ownership is held by members rather than investors.
Decision-making processes are based on democratic principles.
They aim to meet members’ needs rather than maximise profit.
However, unlike worker control and worker self-management, cooperatives do not always imply that the means of production are entirely owned by workers; significant differences may exist between different types of cooperatives in this regard.
Historical example
The cooperative movement took on an institutional form in the 19th century, particularly with the Rochdale Pioneers in England. This experience played a decisive role in shaping the basic principles of modern cooperativism. Throughout the 20th century, different cooperative models developed in Europe, Latin America and other regions; today, cooperatives occupy an important place within both the social economy and the solidarity economy.
Evaluation
Cooperatives can be considered alternative forms of ownership and organisation within capitalist production relations. They carry significant potential in terms of democratic governance, collective ownership and solidarity. However, market conditions, competitive pressures and financing constraints are among the main factors limiting their functioning and sustainability.