The problems faced by cooperatives in funding their investments with the scant contributions of their partners can be systematically solved by creating the assumptions for collaboration between labour and capital. The approach of the Mondragón group of cooperatives in Spain ??? a success story to which cooperatives from other countries look for inspiration ??? provides evidence that the odds can be beaten at group level, by putting in place organisational measures purposely devised to protect external providers of funds through the assignment of co-decision powers. The effect of these measures is to apportion powers among different factors of production through a system enabling capital owners to safeguard their interests.
The Role of Institutions in the Financing of Cooperative Firms / Cuomo, Gaetano. - In: REVIEW OF CONTEMPORARY BUSINESS RESEARCH. - ISSN 2333-6412. - 3:3 & 4(2014), pp. 37-49. [10.15640/rcbr.v3n3-4a3]
The Role of Institutions in the Financing of Cooperative Firms
CUOMO, GAETANO
2014
Abstract
The problems faced by cooperatives in funding their investments with the scant contributions of their partners can be systematically solved by creating the assumptions for collaboration between labour and capital. The approach of the Mondragón group of cooperatives in Spain ??? a success story to which cooperatives from other countries look for inspiration ??? provides evidence that the odds can be beaten at group level, by putting in place organisational measures purposely devised to protect external providers of funds through the assignment of co-decision powers. The effect of these measures is to apportion powers among different factors of production through a system enabling capital owners to safeguard their interests.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
