Question

List out the merits and demerits of co-operative societies.

Answer 1

A cooperative society is an autonomous group of persons or group of association who united voluntarily to meet their common economic and social needs, goals and aspirations through a jointly-owned and democratically-controlled enterprise.

Merits of a cooperative society are :-

1. Democratically controlled

2. Voluntary participation

3. Backed by social goals

4. Have government support.

Demerits of a cooperative society are :-

1. Less capital

2. Less managerial efficiency

3. Lacks coordination.