What is a cooperative economy? Go to the source of the cooperative

This article is from WeChat public account: Guanshitong Co. KnowYourFood (ID: foodthinkchina) , of: food society, title FIG. From: Visual China

</ iframe> 〇 The video is edited and edited by Mr. Chen Yihua’s lesson audio and presentation, and the text content is slightly adjusted. I. What is a cooperative? In 1995, the International Federation of Cooperatives (ICA) defined cooperatives as such: cooperatives are enterprises based on common ownership and democratic management, Voluntary associations that meet common economic, social, and cultural needs and aspirations. Although the credit union was first developed by the Germans, the British first established a consumer cooperative, and in 2016 applied the seven principles of the cooperative to the World Cultural Heritage. So it can be said that cooperatives are old enough to become a legacy. <img class =" lazyImg "_src =" https://img.huxiucdn.com/article/content/201911/26/201942734075.jpg?imageView2/2/w/1000/format/jpg / interlace / 1 / q / 85 "data-w =" 531 "data-h =" 381 "> Then let’s go to the UK to see the birthplace of cooperatives. Second, the originator of the cooperative: Rochdale Fair Pioneer Rochdale Fair Pioneer was founded on December 22, 1844, and will celebrate its 175th birthday in 2019. <img class = "lazyImg" _src = "https://img.huxiucdn.com/article/content/201911/26/201942321013.jpg?imageView2/2/w/ 1000 / format / jpg / interlace / 1 / q / 85 "data-w =" 236 "data-h =" 162 "width =" 317 "height =" 213 "style =" width: 317px; height: 213px; " > 〇 Rochdale Fair Pioneer was born on this road. In the United Kingdom in 1844, with the outbreak of the Industrial Revolution, people went to work in factories, and the huge wealth brought by industrial production went into the pockets of capitalists. Workers worked day and night, and their right-handed wages The left hand must be returned to the boss or capitalist to buy daily needs. A group of textile mill workers in the outskirts of Manchester, England found that they spent a lot of money but the quality of the food they bought was poor: small branches in black tea, small coal pieces in coffee, lime in flour, etc. And even two shortfalls. They ca n’t stand the poor quality food they bought at a high price. 28 textile workers decided to skip unscrupulous bosses and supply themselves with safe and clean food. So in this town of Rochdale where workers gathered, their The small food store was named “Rochdale Fair Pioneer Club”. Workers work together, but also share the operating profit of the store, adopting the method of one person, one vote to determine the business direction, to give everyone the maximum protection of rights and interests. Because everyone has their own heavy factory work, the small shop initially only opened two days a week and supplies several daily necessities of flour, oatmeal, sugar and butter. However, the store funded by workers was not abundant. It could only enter a small amount of goods at a time and could not compete with other private stores. In the first three years, it only absorbed a small number of members, and its operation was not optimistic. Members are both shareholders and consumers. Protection of product quality is a great advantage of Fair Pioneers. In addition, they are deeply affected by the inferior products of private stores. They also have capital operations and cooperative businesses. There is a lot of discussion and thinking. Rochdale’s organization and management principles have been formulated in the continuous exploration of the business process, and these principles also reflect their very different from other private stores. These principles later became the basis for other cooperatives to conduct business activities. <img class = "lazyImg" _src = "https://img.huxiucdn.com/article/content/201911/26/201942857670.jpg?imageView2/2/w/ 1000 / format / jpg / interlace / 1 / q / 85 "data-w =" 720 "data-h =" 471 "> 〇 The founding members of the Fairchild Society of Rochdale took this historic photo | Image credit: Manchester Library The first is the contribution of members, and Rochdale Pioneer Club operates only with its own funds. The second is democratic management. Representatives are selected by members. Important bills are discussed and decided by members. One person, one vote. No distinction is made between men and women and the number of shares subscribed; 3. The remaining amount is allocated according to the transaction amount; 4. The interest on the share amount is limited to 5% or less; 5. Political and religious neutrality; Sell goods at prices; 7. Promote education for members and their families. In accordance with these principles and concepts, Rochdale Fair Pioneer was a comprehensive cooperative with more than 10,000 members, multiple branches and formats in 1880. It is also the predecessor of the British Cooperative Group which has developed to the present. . The first retail store in Rochdale was transformed into Rochdale Pioneer in 1931.museum. The success of Rochdale Pioneer Society has also led to the development of cooperatives in Britain and even some European countries, and it has also opened the prelude to the modern cooperative movement. <img class = "lazyImg" _src = "https://img.huxiucdn.com/article/content/201911/26/201942557284.jpg?imageView2/2/w/ 1000 / format / jpg / interlace / 1 / q / 85 "data-w =" 720 "data-h =" 480 "> 〇 The pioneers who displayed cooperatives in the Rochdale Museum were originally only designed to solve their daily necessities such as flour, sugar, and cereals, but they also designed for this The eight principles of cooperatives have been affected today. Three Principles of Cooperatives <img class = "lazyImg" _src = "https://img.huxiucdn.com/article/content/201911/26/201942549971.jpg?imageView2/2/w/ 1000 / format / jpg / interlace / 1 / q / 85 "data-w =" 584 "data-h =" 383 "> In 1966, the International Cooperation Alliance formulated the seven principles of cooperatives based on the Rochdale principle: 1. Volunteer and open membership system Cooperatives are organized by members voluntarily. Membership is open to everyone who can use it and is willing to take on membership obligations. There are no artificial restrictions or any social, political, racial or religious discrimination. 2. Democratic management of members Cooperatives are democratically managed by members, with one member, one vote system, equal voting rights, open and transparent operation and management, and emphasized that members not only participate in the opportunities for cooperatives to formulate operating policies, but alsoThere are opportunities for decision-making. 3. Economic participation of members Members need to contribute equity fairly, democratic management, and can distribute limited surpluses. Cooperatives do not emphasize the combination of funds and transactions. The purpose of the funds contributed by members is not to make money but to better operate the cooperative. If it is a consumer cooperative, it is necessary to meet the members ‘own consumption needs through the cooperative, and if it is a labor cooperative, it is necessary to use the cooperative to meet the members’ labor returns. 4. Autonomy and autonomy Cooperatives are autonomous, self-help organizations controlled by members. When signing agreements with other organizations, including the government, or obtaining funds from the outside, democratic management of members and the autonomy of cooperatives must be guaranteed. 5. Education, training and publicity Cooperatives provide educational and training opportunities for members, member representatives, managers and employees to help them effectively promote the development of cooperatives. It also includes external publicity to let more people and organizations understand the nature and benefits of cooperation. If a cooperative does not emphasize to members that they are a cooperative and what they are doing, and cannot continue to establish consensus and do education, it may gradually become an enterprise controlled by a few people. We must continue to educate internally and continuously publicize externally. Please everyone to know the cooperatives and join the cooperative economy. 6. Cooperation between cooperatives Cooperatives can serve their members and develop the cooperative movement most effectively through local, national, regional and international cooperation. Compared with mainstream market players, cooperatives are still a niche economy with fewer people’s understanding and participation. Therefore, this principle emphasizes that cooperatives should strengthen cooperation and join hands together to make the cooperative economy more powerful. 7. Caring for the community Cooperatives are seeking the greatest economic, social, or cultural benefits of members. In theory, a true cooperative will not do the same business activities in one area as the capital-controlled chain enterprises, and will make the money they earn. Absorbed into the hands of the headquarters or a small number of capitalists, and should be connected with the local community. Members’ lives and the industry of the cooperative should be able to give back to the community and prosper the local community. Each of these seven principles is an indispensable option for operating a cooperative. Interspersing all aspects of the business process is to add valueGuidelines for implementation. For example, when selecting upstream and downstream suppliers and partners, cooperatives should take precedence over ordinary enterprises; there is also feedback to the region. A true cooperative society contributes to the prosperity of local communities. Strict adherence to each principle can be called a true cooperative organization. Organizational form of cooperatives 1. Type of cooperatives A simple way to determine the type of cooperative is to look at the noun phrases in front of the cooperative. If it is a labor cooperative, it means that the workers working in it are members and owners of the cooperative. If it is a community cooperative, members are people who live in the community. If it’s a consumer cooperative, it’s a cooperative made up of consumers. Cooperatives provide these consumers with the products and services they need. The situation in Taiwan, China is somewhat different from that in the United Kingdom. The laws of the China-Taiwan Cooperatives stipulate that they must be traded within the cooperative relationship of the cooperatives. For example, if you have the opportunity to travel to Taiwan, you think that the contents of the Taiwanese Housewife Alliance are very good. It is not possible to buy it back, because only members can participate in the purchase. <img class = "lazyImg" _src = "https://img.huxiucdn.com/article/content/201911/26/201942154212.jpg?imageView2/2/w/ 1000 / format / jpg / interlace / 1 / q / 85 "data-w =" 412 "data-h =" 520 "> 〇 The cooperative movement has also been introduced to China very early. Cooperative-related laws formulated during the Republic of China continue to this day in Taiwan, China. 2. Operation mode of cooperatives: Whether an organization is actually operating in the form of a cooperative depends on their work distribution. From the investment, operation, purchase and other aspects, members must participate in it. Consumer cooperation can easily become: the members have paid no shares and no longer have any participation. Take consumer cooperatives as an example: the first is to see if members have participated in activities inside; the second is to see if they have invested; the third is whether they often spend inside. Regardless of whether the number of cooperatives is increasing or their consumption power is getting stronger, these three are absolutely there, and labor cooperatives have similar principles. Britain law requires at least three people to form a cooperative, seven in Taiwan and five in China. So different legal norms will also affect the development of cooperatives. In the interview, I met a three-person labor cooperative whose job is to shoot documentaries. If seven people are required by law to set up a cooperative, then for a small start-up cooperative, the operating and administrative costs of the seven will be Much taller than three people. A decree seems simple, but its impact cannot be underestimated. <img class = "lazyImg" _src = "https://img.huxiucdn.com/article/content/201911/26/201942993266.jpg?imageView2/2/w/ 1000 / format / jpg / interlace / 1 / q / 85 "data-w =" 960 "data-h =" 353 "> 〇 Source: China Taiwan Housewife Union Consumer Cooperative Website 3. Is the cooperative profitable? General companies are pursuing for-profit organizations. Non-profit organizations include foundations or associations, and a cooperative can be said to be a non-profit enterprise. Taiwan’s regulations put cooperatives and non-profit organizations together. People may think that a cooperative is a non-profit organization, but this is actually not the case. A cooperative is a democratically managed business entity. It must maintain good operations, so it is definitely not a non-profit organization. In Taiwan, the law stipulates that cooperatives are required to withdraw more than 5% of their balances each year as public welfare funds, and cooperatives can decide which areas of public welfare they choose to do. <img class = "lazyImg" _src = "https://img.huxiucdn.com/article/content/201911/26/201942316720.jpg?imageView2/2/w/1000 / format / jpg / interlace / 1 / q / 85 "data-w =" 492 "data-h =" 393 "> 5. Why choose a cooperative? Obviously, for more than 100 years since the birth of the cooperative, it has not become the mainstream of global economic and social organization. But things have changed over the past decade. In the global financial crisis of 2008, the economies of many countries have suffered different degrees of damage, and European countries such as Spain, Portugal, and Italy are still not completely out of the shadow of the financial crisis. When capitalism develops to the extreme, all resources tend to be big capitals, but what else can be left after the big capitals have withdrawn? After the financial crisis, the situation in the UK is also very optimistic. The capital turnover of SMEs is not good enough, so that they have closed down. These small and medium-sized enterprises usually also serve small and medium-sized cities or communities, so when the financial turmoil occurs, people can only find ways to help themselves. In this context, many new cooperatives have been established in the UK. So, we came to the UK again in 2016, and we are very curious about what these cooperatives formed at the time turned into, and how they operated? But after our interview, we found another interesting thing: labor cooperatives account for a very large proportion. This is actually a response to the times. When young graduates enter the workplace, they are often treated unfairly wherever they are, such as lower salaries, and being entangled with all sorts of unfounded chores. , Even design freelancers will encounter contempt. We encountered one of the smallest cooperatives at the time, a two-artist cooperative that assisted young people to set up labor cooperatives. During the interview, they said that the reason why they did not set up a cooperative with their own industry was because they felt that the young people now can only keep climbing up the ladder of life, why ca n’t they walk sideways? They believe that labor cooperatives can allow young people to get back their right to employment and dignity, because in cooperatives they are completely flat, there is no class and no fairness. I asked the same question to the agencies I interviewed at the time: Why did you choose to set up a cooperative? The answer is almost exactly the same: if we don’t set up a cooperative, are there other options? That’s true. For example, if a retail store serves the community, if it is privately run, the owner or shareholder can easily decide whether to stay or stay. The residents of the community may have to spend more time and journey to purchase daily because they lose a community store. Needed. But for the residents of the community, cooperatives may be a better choice, because cooperatives accept everyone as members, and all members can also be its owners, and decide what products and services it will provide, and It’s going to stay. The departure of any one person does not affect the continued operation of the cooperative. 六、 Conclusion Cooperatives are now a global movement. The first Saturday of July every year is International Cooperative Day, and each year has a corresponding theme. I hope to use this to call on people to pay attention to some social problems and use cooperative methods to solve these social problems. Logos and themes of recent International Cooperative Days: <img class = "lazyImg" _src = "https://img.huxiucdn.com/article/content/201911/26/201942930210.jpg?imageView2/2/w/ 1000 / format / jpg / interlace / 1 / q / 85 "data-w =" 321 "data-h =" 341 "> The theme of 2017: “Cooperatives do not fall behind” <img class = "lazyImg" _src = "https://img.huxiucdn.com/article/content/201911/26/201942724046.jpg?imageView2/2/w/ 1000 / format / jpg / interlace / 1 / q / 85 "data-w =" 345 "data-h =" 249 "> The theme for 2018: “Cooperate for a sustainable social partnership” <img class = "lazyImg" _src = "https://img.huxiucdn.com/article/content/201911/26/201942552000.jpg? imageView2 / 2 / w / 1000 / format / jpg / interlace / 1 / q / 85" data-w = "1080" data-h = "684" width = "318" height = "220" style = "width: 318px; height: 220px;"> The theme for 2019: “Cooperatives promote decent work” This is how the United Nations explains their decent work as the theme of Cooperative Day 2019: <blockquote> According to a recent estimate, more than 279 million people are employed by or rely on cooperatives around the world for their main source of income, accounting for nearly 10% of the total workforce. In addition, other studies have confirmed that compared to employment in other industries, cooperatives work: 1. More sustainable over time; 2. Smaller income differences between high and low-paying jobs; 3 . More evenly distributed between rural and urban areas. </ blockquote> Author introduction: Chen Yihua, a writer who lives in southern Taiwan. In the spring of 2016, through mass fundraising and sponsorship from 80 friends, he interviewed 29 cooperatives and institutions in the UK. In February 2017, these stories were assembled into “Wow! It turned out that this is also a cooperative: The British COOP Inspection Report was published. Image: taken by author except for description This article is from WeChat public account: <a href = "https://mp.weixin.qq.com/s/hhq37j8y2dvemCOFkvprmQ" target = "_ blank" rel = "nofollow" style = " text-decoration: none; "> Guanshitong Co. 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