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Objectives’ alignment between members and agricultural cooperatives

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  • Bareille, François
  • Bonnet-Beaugrand, Florence
  • Duvaleix-Treguer, Sabine
Abstract
Members’ commitment lessens when agricultural cooperatives grow larger. Their organization becomes more complex and their membership more heterogeneous, which threatens their sustainability and leads them to implement specific mechanisms for collective decisions. We explore how the alignment of objectives between a multi-purpose cooperative and its members influences member commitment. We estimate a multinomial probit model on a cross-section sample of 3,205 members from a large agricultural cooperative in France. We assess the determinants of member commitment through four factors: the offer of new agricultural practices, the availability of outlets and supplies to members, the farm distance to the cooperative headquarters and the farm governance. We show that the adoption of new agricultural practices has a small but significant effect. The availability of outlets and supplies has the strongest effect on the economic involvement of the farmers. Other determinants, such as farm governance or geographical distance to the cooperative headquarters, also reinforce member commitment.

Suggested Citation

  • Bareille, François & Bonnet-Beaugrand, Florence & Duvaleix-Treguer, Sabine, 2017. "Objectives’ alignment between members and agricultural cooperatives," Working Papers 257252, Institut National de la recherche Agronomique (INRA), Departement Sciences Sociales, Agriculture et Alimentation, Espace et Environnement (SAE2).
    • Handle: RePEc:ags:inrasl:257252
    DOI: 10.22004/ag.econ.257252
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    Cited by:

    1. Iliopoulos, Constantine & Valentinov, Vladislav, 2018. "Member heterogeneity in agricultural cooperatives: A systems-theoretic perspective," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 10(4), pages 1-22.
    2. Stanley Kojo Dary & Jasper Grashuis, 2021. "Characterization of farmer‐based cooperative societies in the upper west region of Ghana," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 92(4), pages 669-687, December.
    3. Ahmet Candemir & Sabine Duvaleix & Laure Latruffe, 2021. "Agricultural Cooperatives And Farm Sustainability – A Literature Review," Journal of Economic Surveys, Wiley Blackwell, vol. 35(4), pages 1118-1144, September.
    4. Sabine Duvaleix-Treguer, 2018. "Producer organisations in the meat sector," Post-Print hal-01923028, HAL.
    5. Constantine Iliopoulos & Vladislav Valentinov, 2018. "Member Heterogeneity in Agricultural Cooperatives: A Systems-Theoretic Perspective," Sustainability, MDPI, vol. 10(4), pages 1-22, April.

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    More about this item

    JEL classification:

    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness
    • C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions

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