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1

Cooperative Development in

EuropeAthens, 6th March 2015

Klaus Niederländer – Director

k.niederlander@coopseurope.coop

Wha

t is a

Coo

pera

tive

&

Role o

f Coo

pera

tives

Eur

ope

Busine

ss E

nviro

nmen

t

for C

oope

rativ

es in

Eur

ope

Key C

halle

nges

& Opp

ortu

nities

The co

oper

ative

land

scap

e

in Eur

ope

What

is a

Cooper

ativ

e &

Role o

f Cooper

ativ

es E

urope

Busine

ss E

nviro

nmen

t

for C

oope

rativ

es in

Eur

ope

Key C

halle

nges

& Opp

ortu

nities

The co

oper

ative

land

scap

e

in Eur

ope

“ An autonomous association of persons united voluntarily to meet their common economic, social,

and cultural needs and aspirations through a jointly-owned and democratically-controlled enterprise”

Cooperative Alliance (ICA)

Cooperative enterprises build a better world

What is a Cooperative?

History of Cooperatives

• In XIX century, cooperatives emerged within the working class

• Cooperatives were created as a tool to fight monopolies

• Cooperatives were part of a broader social movement with political aims of transforming society

• Worldwide, some 800 million people are members of cooperatives, and it is estimated that cooperatives employ 100 million people.

Cooperative Characteristics

Seven cooperative principles:

1. Voluntary and open membership

2. Democratic member control

3. Member economic participation

4. Autonomy and independence

5. Education, training and formation

6. Cooperation among cooperatives

7. Concern for community

7

Self-Help via Joint Ownership

Self-Control via Democratic Governance

Autonomy through Self-Regulation

Empowerment of Citizens

The Cooperative Way of Doing Business

Cooperatives-Putting People First

Types of Cooperatives

Producer Cooperatives Worker Cooperatives

Consumer Cooperatives Credit Unions

Types of Cooperatives

Retail or Purchasing Coops Social Cooperatives

Cooperatives Vs. Corporations

Different model of ownership

11

Since 2006 – the European cross-sector representative organisation for cooperative enterprises – recognized by the EU Institutions

Role of Cooperatives Europe

12

12

The European Region of theInternational Cooperative Alliance

7 European Cooperative

Sector Organisations:

• Agriculture: Cogeca• Banking: EACB• Consumer & Retail: Euro Coop• Housing: Cecodhas• Industry & Services: Cecop• Pharmacy: EUSP• Renewables: RESCoop

70 Members from33 European Countries

• National Apex Organisations• National Sector Organisations• Cooperative Enterprises

The Voice of Cooperatives in Europe

13

Representing and defending the interests of our cooperative members in Europe

Promoting the cooperative enterprise model in Europe

Fostering the exchange and the collaboration between cooperative members in Europe

Cooperatives Europe - What We Do

Provide information, knowledge and network opportunities to our members via

Advocacy

– for the plurality of business models

Communication

– raise awareness about cooperatives

Programming

– promote cooperation 14

Cooperatives Europe - Objectives

Promotion of the cooperative business modelCooperative manifesto – Roadmap – #coopsupporter

Youth & Innovation

Renewable Energy

European and International development

15

Cooperatives Europe - Activities

Cooperative Roadmap

Education & Entrepreneurship

Business support services

Financing of Cooperatives

Wha

t is C

oope

rativ

e &

Role o

f Coo

pera

tives

Eur

ope

Busine

ss E

nviro

nmen

t

For

Coo

pera

tives

in E

urop

e

Key C

halle

nges

& Opp

ortu

nities

The co

operat

ive

landsc

ape

in E

urope

160,000 co-operatives with for example:

40.000 agricultural cooperatives 4,000 cooperative banks with 65,000 outlets 50.000 industry & service cooperatives Representing between 2-10% of national GDP

in most European countries

5,4 million direct jobs

More than 100 million members

18

COOPERATIVES IN EUROPE

Facts & Figures

COOPERATIVES IN EUROPE

Members per Inhabitants

COOPERATIVES IN EUROPE

Agriculture

© source: General Confederation of Agricultural Cooperatives in the European Union

Banking

© source: European Association of Co-operative Banks

COOPERATIVES IN EUROPE

Pharmacies

© source: EuroSocialPharma - UEPS

COOPERATIVES IN EUROPE

Consumer &Retail

© source: the Co-operative

COOPERATIVES IN EUROPE

Industry &Services

COOPERATIVES IN EUROPE

Housing

© source: CECODHAS

COOPERATIVES IN EUROPE

Renewable Energy

© source: the Co-operative

COOPERATIVES IN EUROPE

Wha

t is C

oope

rativ

e &

Role o

f Coo

pera

tives

Eur

ope

Busines

s Envi

ronm

ent

for C

ooperat

ives

in E

urope

Key C

halle

nges

& Opp

ortu

nities

The co

oper

ative

land

scap

e

in Eur

ope

International Year of Cooperatives in 2012 - Review of cooperative legislation in a number of

European countries – UK, France, etc.- Highlighting cooperative specificities

Importance of Modern Cooperative Law- Recognition of cooperative model & principles- Level-playing field with other business forms- General Law plus specific sectorial elements

Existence of European Cooperative Statute- Possibility to use for inter-EU trade

Review & Consolidation COOPERATIVE LEGALFRAMEWORK

Specificities in different European countries

- Cooperative Development Fund in Italy with mandatory net profit contributions from all cooperatives

- Independent cooperative auditing system in a number of countries (e.g. Germany, Poland)

- Emergence of new cooperative sectors like health, education, energy (e.g UK, Belgium, Netherlands)

Business Environment NATIONAL COOPERATIVESPECIFICITIES

Wha

t is C

oope

rativ

e &

Role o

f Coo

pera

tives

Eur

ope

Busine

ss E

nviro

nmen

t

for C

oope

rativ

es in

Eur

ope

Key C

halle

nges

& Opportu

nities

The co

oper

ative

land

scap

e

in Eur

ope

Crisis affected all enterprises

Cooperative resilience?- ILO study- Reports from EU sector organisations

Members are key assets of cooperatives

COOPERATIVE BUSINESS MODEL

We are stuck

Opportunity for cooperatives?

COOPERATIVE BUSINESS MODEL

Advantages:

- People-centred business model

- Capacity to react and to anticipate

- Sustainable and qualitative development via optimisation and not only short-term profit maximisation

Link to the society

Locally anchored

COOPERATIVE BUSINESS MODEL

Long-term vision

34

Opportunities in Energy: Crowdfunded windmill

35

Rediscovering local value – Crowdsourcing local products

36

Direct Commerce: From the sea to the customer/member

37

Bees: the original cooperators!

38

Strengthening local communities throughCommunity shops

Thank you

Klaus Niederländer

k.niederlander@coopseurope.coop

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