Investigating difficulties and failure in early-stage rural cooperatives through a social capital lens

In agricultural policy and programmes, cooperatives have been framed as organizational fix for addressing institutional voids and market imperfections in rural Africa. By way of guaranteeing scale, quality of produce, and professionalism, cooperatives are assumed to be capable to subvert current trading patterns and contribute to sustainable market access for small-scale farmers. However, such change logic does not hold up well with the circumstances of African farmers and traders. We argue that for understanding how a cooperative organizes sustainable market linkages, attention should be paid to its capacity to navigate within its specific context. This article traces the emergence and development of two cooperatives in distinct contexts, Uganda and Mali. We use a critical institutionalist approach, called bricolage, to show how in both cases farmers organize sustainable market access by blending novel arrangements with existing institutions embedded in social and economic relations. We suggest agricultural policy and programmes to shift attention to the ability of a cooperative to embed new institutions in socio-historical shaped local realities rather than requiring them to comply to an ideal-type organization.

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“…Many studies refer to dissolution of groups due to internal tensions or ceasing of subsidies from donors. (Berdegue, 2002;Kasabov, 2016). 2.…”

Section: Resultsmentioning

confidence: 99%

Navigating dynamic contexts: African cooperatives as institutional bricoleurs

Mangnus

Schoonhoven-Speijer

2020

International Journal of Agricultural Sustainability

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“…They combine private and public interests, with social, environmental and economic interests (Borzaga and Defourny, 2004;Florin and Schmidt, 2011) in one organizational proposition. Consequently, they manage a diverse range of social (e.g., social cohesion, community engagement, environmental protection) and business functions (e.g., efficiency, profitability), which can sometimes induce strategic conflicts (Battilana and Lee, 2014;Kasabov, 2016).…”

Section: Cooperatives and The New Normalmentioning

confidence: 99%

Packs, Troops and Herds: Prosocial Cooperatives and Innovation in the New Normal

Muñoz

Kimmitt

Dimov

2019

J Management Studies

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Prosocial organizations are emerging to tackle the effects of a New Normal. As they navigate its fragile and liquid institutional membranes, they prioritize cooperative forms of governance. These forms allow for collaboration and democratic decision‐making necessary for the development of innovative solutions in this new context. At the same time, the high coordination costs of cooperatives lead to significant market pressures. Therefore, understanding when and under what conditions these new cooperatives innovate and strive is important as it provides insight into whether and how these ventures can become a viable alternative in this changing landscape. Using configurational analyses of organizational enablers leading to innovation in 40 entrepreneurial cooperatives, we identify three approaches: Attentive Pack, Eclectic Troop, and Wandering Herd, showing that innovative outcomes can indeed emerge under traditional cooperative features emphasizing collectivism. However, the pursuit of higher novelty requires a shift to more individualistic, business‐as‐usual, approaches. The New Normal does indeed enhance entrepreneurial activity, but of a different kind comprising novel sets of antecedents and outcomes, which we show can easily become the new dominant form of venturing required in this new context.

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“…Social norms in cooperative organizations is about the key values and principle of the society which are held by members toward direction and goals to achieve their common needs. These are the main objectives of establishing cooperatives (Deng & Hendrikse, 2013;Kasabov, 2015;Liang et al, 2015). The absence of clear partnership goals and integrity of the cooperative principles among the board members, is the cause of governance failure (Kasabov, 2015).…”

Section: Social Normsmentioning

confidence: 99%

The Role of Social Network, Social Norms and Trust Towards Board Active Participation Behavior in Cooperative Governance

Kadir¹,

Idris²,

Omar³

2018

JBSEE

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Objective: The purpose of this paper is to determine the relationship between social factors i.e. : Social network, social norms and trust, and its relationship with board members active participation behavior (BAPB) in cooperative governance. Methodology: A questionnaire survey was administered to 500 board members from cooperatives throughout Peninsular Malaysia. The hypotheses path was tested by conducting coefficient regression analysis and Structural Equation Modeling (SEM) Results:. The research found a positive correlation between social network and social norms with BAPB. However, there is no relationship between trust and BAPB. Implications: This research presents a conceptually yet empirically supported framework to describe the role of social network, social norms and trust for an in-depth understanding on board processes. The study particularly looks into the importance of social factors and its impact towards BAPB, from the perspective of social capital development. This paper gives valuable reference to administrator of cooperative organization for a formulation of a comprehensive human capital strategic plan for cooperatives.

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Investigating difficulties and failure in early-stage rural cooperatives through a social capital lens

Cited by 24 publications

References 59 publications

Navigating dynamic contexts: African cooperatives as institutional bricoleurs

Navigating dynamic contexts: African cooperatives as institutional bricoleurs

Packs, Troops and Herds: Prosocial Cooperatives and Innovation in the New Normal

The Role of Social Network, Social Norms and Trust Towards Board Active Participation Behavior in Cooperative Governance

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