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Cooperatives

Appears in
Oxford Encyclopedia of Food and Drink in America

By Andrew F. Smith

Published 2004

  • About

Food cooperatives, or co-ops, have a long history of helping American consumers improve the quality of their lives. They are nontraditionally structured businesses that are owned, democratically controlled, and operated to serve the needs of the consumers who use them. Members invest limited capital in order to start or join the co-op. As members they share in the benefits or profits generated by the business. Co-ops differ from traditional corporations in that each shareholder has only one vote regardless of the number of shares owned. Although food co-ops in the United States differ widely in the philosophy, size, and services offered, they are generally socially and environmentally conscious organizations. More than 750 million people participate in cooperatives worldwide.

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