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Co-op Failure

Causes of Co-op Failure

A 1980 booklet entitled “Dashed Hopes, Broken Dreams,” contained case studies of several consumer cooperatives that had failed through the years. The common factors contributing to the downfall of those consumer co-ops two decades ago can still provide an important lesson for leaders organizing new value-added agricultural cooperatives.

Factors of Failure Among All Kinds of Co-ops:

Among newer co-ops, add these factors:

Among established co-ops, add these factors:

Steps to Developing a Co-op

These steps are summarized suggestions. We advised you to contact a co-op development specialist to assist with the steps outlined.