Topic > The Central England Co-op Analysis

The Central England Co-op is an innovative consumer co-operative business based in the UK. Consumer cooperatives are businesses that operate independently of the state, are a form of mutual aid and aim to provide services to consumers rather than profits. Founded in 2013, the Central England Co-op has seen tremendous growth since then and ended 2017 with almost two million members and almost ten thousand employees. The Central England Cooperative has a wide range of activities in its portfolio. Known more commonly for food shops, the Central England Co-op ranges from funeral directories, to travel branches and florists. The CEC is the second largest independent retail co-operative in the UK after The Co-Operative Group, founded in 1844. It recently reported a 6% increase in sales in its latest financial report. Voluntary and open membership cooperatives are open to all people who are willing and able to manage the terms and conditions of membership. When analyzing the use of this principle, it should be noted that membership requirements may in some ways be used to prevent some individuals from obtaining membership. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay. However, the Central England Cooperative is a co-operative that requires people to present a sum of £1 to gain membership. As expressed on their website, the cooperative is quite transparent in its membership requirements. It has an open membership policy whereby prospective members are offered the different ways they can join the organization. The first method is to join a card purchased from selected stores in the UK where an individual can directly start earning points. The card can then be used for the member to become a full member by registering their card at the organisation's headquarters. The second way is to use their helpline to sign up, and finally, they have a web page intended for member signup. With these accessible and easy membership channels, it is clear that the organization overall strongly emphasizes voluntary and open membership. Democratic member control The very core of democratic operations in any cooperative is the presence of board elections. Individuals running for different positions on the council offer different ideologies, meaning polls are expected to show what the majority thinks is right. As a co-operative, the CEC holds elections every three years and offers the opportunity for all members who have held at least £1 in the six months preceding the elections to vote for their desired leaders. Meetings held twice a year in different locations provide members with ample opportunities to participate. In these meetings, members are provided platforms to express their political needs to the council which is the executive body that analyzes them. Economic participation of members The economic contribution of members is quite crucial for the management of a cooperative because the more the financial affairs of the organization are involved, the more it grows. The CEC uses the dividend policy to ensure that members with the largest contribution in terms of points take a larger share. The member relations section of the dividend payout takes into account members' involvement in the different product offerings offered by the organization. When a member buys in one of the organization's stores, he earns points because.