Open access | Editorial reviewed/Reprint article | Published online: Dec 2023 |
A ‘member-owned business’ approach to the classification of co-operatives mutuals.
Johnston Birchall
Journal of Co-operative Studies 55(1), 148-161
Orginally published in Journal of Co-operative Studies, 44(2), August 2011, 4-15
https://doi.org/10.61869/XOZF6454
How to cite this paper: Birchall, J. (2022). TA ‘member-owned business’ approach to the classification of co-operatives mutuals. Journal of Co-operative Studies, 55(1), 148-161. https://doi.org/10.61869/XOZF6454 (Original work published 2011).
Abstract
Co-operatives are defined according to co-operative principles and an identity statement endorsed by the International Co-operative Alliance (ICA). The article argues that this is too much taken for granted, and that more work needs to be done. It provides a brief history of the co-operative principles, showing how the ICA has codified and periodically revised them. It discusses several difficulties with this approach and suggests an alternative based on the concept of member-owned businesses. Three main stakeholders are identified and the different types of co-operative are put into a comprehensive classificatory system. Co-operatives are placed firmly in the category of ‘private sector’ rather than in categories that privilege the social over the economic. It suggests co-operative federations should adopt a member-ownership framework, extend a welcome to other types of member-owned business, and through this approach align their membership and business strategies.
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