What is Cooperative?
‘Cooperative’ refers to a kind of business structure in which two or more parties work together to reach a common goal. There are various kinds of cooperatives found in the market like housing cooperatives, consumer cooperatives, etc.
However, when it comes to the corporate world, worker cooperatives are the most common form of ‘cooperative’ that one needs to understand. The term worker cooperatives refer to a group of companies run by the workers themselves instead of the traditional hierarchy of managers.
Worker cooperatives came into existence during the industrial revolution as a way to fight against the capitalists. However, once adequate norms came into place, worker cooperatives lowered in popularity comparatively.