Scribd
Upload
2K views2 pages

The Primary Objective of Every Cooperative Is To Help Improve The Quality of Life of Its Members. Toward This End, The Cooperative Shall Aim To

The objectives of cooperatives enumerated in Republic Act No. 9520, Article 7 are to: 1) improve members' quality of life by increasing income and purchasing power through economies of scale and risk-sharing; 2) provide optimal social and economic benefits to members; and 3) teach efficient cooperative practices and new business/management ideas while allowing lower income groups to increase their ownership of national wealth by cooperating with other organizations.

Uploaded by

Rosemarie Cruz
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
2K views2 pages

The Primary Objective of Every Cooperative Is To Help Improve The Quality of Life of Its Members. Toward This End, The Cooperative Shall Aim To

The objectives of cooperatives enumerated in Republic Act No. 9520, Article 7 are to: 1) improve members' quality of life by increasing income and purchasing power through economies of scale and risk-sharing; 2) provide optimal social and economic benefits to members; and 3) teach efficient cooperative practices and new business/management ideas while allowing lower income groups to increase their ownership of national wealth by cooperating with other organizations.

Uploaded by

Rosemarie Cruz
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 2

Discuss each objectives of cooperative as enumerated in Republic Act No. 9520, Article 7.

The primary objective of every cooperative is to help improve the quality of life of its members.
Toward this end, the cooperative shall aim to:

 Provide goods and services to its members to enable them to attain increased income,
savings, investments, productivity, and purchasing power, and promote among themselves
equitable distribution of net surplus through maximum utilization of economies of scale, cost-
sharing and risk-sharing;

Like a small farmer, they are not able to command the price and they can’t even choose the price.
However, with the help of a cooperative they can give their product to the cooperative and the
cooperative would do the business for them. If the quantity of product is large, sometimes they can
command the price because there is a cooperative who are helping them.

Example: An Agricultural Cooperative that was formed by farmers to promote a product that was
formed in their locality. The farmers who propagate or grow certain products and they sell it when there
was a trade fair. All farmers who created the cooperative have a same purpose to advance their interest
as well as the profit was dividing among themselves because some small farmers cannot compete in a
big market. All the farmers can bring their products in some area and the customers could buy it
because there is a cooperative who are helping or representing them.

 Provide optimum social and economic benefits to its members

The social and economic benefits comes from the government, the government are mandated to
support cooperatives by providing them what is necessary for their operation. Cooperative is based on
the philosophy of mutual help. They aren’t just about uplifting the members economically, but also
morally and socially.

Example: Maginhawa Cooperative is formed in order to sell the product of a certain group in a locality,
the group wants to make a chip made of banana. The government is mandated to help them since the
cooperative has no money, the government must give machineries or equipment for the cooperative to
enable them to operate.

 Teach them efficient ways of doing things in a cooperative manner

The cooperative that was formed must also teach its members on how to do the ways accordingly by
training or seminars that would enhance their skills. Also, the members will form a cooperative and let
the government to do the rest for the cooperative. But the cooperative must have to sound on or tell
the government that cooperative exists and you need their help. Also, if the cooperative was credited by
the government, then the support necessary will be given to the cooperative.

Example: An agricultural cooperative which is formed by farmers must teach them on how to produce
or come up with a good produce of their product by training them, teaching how to make fertilizer out
of decomposting. The cooperative teaches it members that will make their job easily and the
government conducts seminar on them. Moreover, to encourage the farmers, the government is
mandated to give them seeds, farm inputs such as fertilizers and farm implements such as machineries,
and sometimes lands where to put the seeds that the government give.
 Propagate cooperative practices and new ideas in business and management

A member of a cooperative continuing education is being provided by the government to each member.
Some of the members doesn’t like to attend the meeting and training because in their mind they knew
everything but in fact, once they are given an opportunity to attend such kind of training they have to
attend because it will enhance their skills, it will sharpen the knowledge they already have or increase
their knowledge which they have to be open-minded because it has a lot of benefits.

Example: The government is offering a training and seminars to farmers to enhance their knowledge on
the best way or method on tilling the land and come up with a good produce. The farmers grab it
because it will surely help them because of the changes nowadays and it will sure enhance their
cooperative skills and knowledge.

 Allow the lower income and less privileged groups to increase their ownership in the wealth
of the nation

The government provide for the cooperative, if the cooperative have no land, machineries, or
equipment for their operation then the government will give it to them. Which cooperatives have been
most successful in the distribution of natural resources, provision of legal assistance to residents in low
income communities, and distribution of utilities in rural areas underserved by big corporations.

Example: The Agrarian Reform Program is founded on the right of farmers and regular farmworkers,
who are landless, to own directly or collectively the lands they till or, in the case of other farm workers,
to receive a just share of the fruits thereof which if you are occupying the land for a long period of time
then the government will give you that land.

 Cooperate with the government, other cooperatives and people-oriented organizations to


further the attainment of any of the foregoing objectives.

Any class of cooperative must be constantly cooperate with other agencies including the government to
hold the lifetime of the cooperative because there is a time that the cooperative is decline or not able to
sustain. The sustainability of the cooperative must be continuous because it doesn’t have capitalization
and the capitalization comes from its members. So the member shall patronize or support the
cooperative to begin with.

Example: A credit cooperative that was created to give credit or to lend money to the public. But the
requirement for this cooperative for a person to be a member that they must be the borrower. Where
they give their money to the cooperative, but to be able to sustain the membership they have to loan
money to the cooperative. The interest that will have to each member will be the capitalization of the
cooperative

Honor Pledge for Assignment 


" I affirm that I shall not give or receive any unauthorized help on this assignment and that all
work shall be my own."

You might also like