Ag. Marketing

1. CO-OPEARTIVE SOCIETY & MARKETING
A.S.M. Fazl ul Hoque
As s i s t ant Prof es s or
Dept . of Agri bus i nes s &
Market i ng.
Sher-e -Bangl a
Agri cul t ural Uni vers i t y.

2. MEANING OF CO-OPERATIVE SOCIETY
 Co-operative society is a union of
individuals who generally join
together on the basis of democracy
for the purpose of economic acts of
common interests.
 It’s Primary goal is to render service
to it’s members.

3. Scholars Definition
According to Sherlekar and Sherlekar,
“Co-operative society is f form of
business organization, the only system
of voluntary organization suitable for
people for poorer people”.
Sir Horace Plunkett said that,
“Co-operative is an association of
individuals to secure a common economic
goal by honest means”.

4. Features of Co-operative Society
 Open membership.
 Voluntary organization.
 State control.
 Sources of finance.
 Service motive.
 Distribution of surplus.

5. Features of Co-operative Society
(Continued.)
 Equality of voting rights.
 Elimination of middlemen.
 Government regulation & control.
 Self-help through mutual cooperation.
 Transferability of shares.
 Audit of accounts.

6. Objectives of Co-operative Society
 Creating services.
 Bringing economic welfare.
 Creating unity & Solidarity.
 Development of efficiency.
 Supply of goods at a fair price.

7. Objectives of Co-operative Society
 Development of living standard.
 Defense against corruption.
 Employment.
 Learning morality.

8. Types of Co-operative society
Co-operative society can be classified
From five different perspective. These
are:
1.Consumer’s co-operative societies.
2.Producer’s co-operative societies.
3.Marketing co-operative societies.
4.Housing co-operative societies
5. Farming Co-operative societies.

9. Types of Co-operative society
(cont’d)
1.Consumer’s co-operative societies:
 Availability of high quality consumer goods
at a cheap rate.
 Eliminating the middlemen by establishing a
direct link with the producers.
 Maintaining stability in the prices of
essential commodities.
 Avoiding black marketing and hoarding
practices.

10. Types of Co-operative society
(cont’d)
2.Producer’s co-operative societies:
 To stimulate higher production.
 To improve quality of products.
 To utilize idle manpower.
 To make full use of the available industrial skills of individuals.

11. Types of Co-operative society
(cont’d)
3.Marketing co-operative societies:
 To ensure a ready, steady and favorable market for the products of
different members.
 To provide services like assembling, grading, storing packing etc.
 To control the flow of supplies and thus influence prices.
 To undertake centralized selling of the produce contributed by
their members.

12. Types of Co-operative society
(cont’d)
4.Housing co-operative societies:
These societies are organized to provide residential accommodation to
their member, either on an ownership basis or at fair rents.
5. Farming Co-operative societies:
These societies are voluntary associations of small farmers, who join
hands with the objectives of achieving the economies of large scale
farming and agricultural output.

13. Principles of Co-operative Society
Principle is the guide of action. For achieving
the objectives of the society the following
principles should be followed:
1.Unity.
2.Co-opearation.
3.Honesty.
4.Trust & Confidence.
5.Democracy.

14. Principles of Co-operative Society
6. Equality.
7.Friendship.
8.Economy.
9.Peace and discipline.
10. Stability.
11.Sevice.
12. Voluntary association.
13.Distribution of surplus.

15. Advantages of Co-operative society
 Easy formation.
 Limited liability.
 Open membership.
 Democratic management.
 Perpetual succession.
 Service motive.

16. Advantages of Co-operative society
 Economic advantages.
 Removing disparity.
 Protection from monopoly business.
 Industrial development.
 Achieving self-dependence.

17. Disadvantages of Co-operative society
 Limited resource.
 Inefficient management.
 Lack of secrecy.
 Lack of savings by the members.
 Lack of competition.
 Limited consideration.
 Corruption.

18. Disadvantages of Co-operative society
 Complexity of formation.
 Lack of flexibility.
 Lack of education.
 Lack of expansion.
 Non-transferability of shares.

19. Functions of co-operative marketing
 1.Sale on commission basis
 2.purchase of members’ produce
 3.Advancement of credit
 4.Procurement & price support purchase
 5. Integrated system of co-operative marketing
 6.Other functions (assemble, grading, processing, export, distribution of
production inputs)