Most cooperatives follow the Rochdale Principles, named for a pioneering cooperative in Rochdale, England. What are these principles and how faithfully do modern cooperatives adhere to them?

The Rochdale Principles are a set of ideas created by the Rochdale Society of Equitable Pioneers in 1844. The Rochdale Pioneers are founders of the cooperative movement because of their promises to make organizational standards.  The Rochdale Principles are the basis for the cooperative principles used around the world to this day.

The seven principles are:

1. Voluntary and Open Membership: they should open and voluntary membership. The Rochdale Principles established anti-discrimination policies and a system of motivations and rewards.

2. Democratic Member Control: The Rochdale Principles injunction that cooperatives must have democratic member control. It gives members the equitable to take part in the decision making processes.

3. Member Economic Participation: Members equitably participate in the capital of their cooperative. That capital is neutral assets of the cooperative and members normally get the limited salary. Surplus economy (i.e. profits) are managed by the members to build the cooperative, support other organizations, or returned to the members.

4. Autonomy: The Rochdale Principles recommend that cooperatives must be autonomous and independent. If they go to partnerships with other organization it must be on terms that assure democratic control. For example, if a cooperative joins an economic partnership with another organization, that organization does not gain control over decision making, regardless of the amount they have considered. Decisions are always made by members.

5. Education, Training, and Information: Cooperatives must provide education and training to their members. Added that, cooperatives give information and education to the public about the nature of co-operation.

6. Cooperation among Cooperatives: Cooperatives are autonomous organizations, but they work together to communicate through cooperatives and to make a stronger cooperative movement.

7. Concern for the Community: Cooperatives should be responsible partners for their communities. Decisions must benefit the larger community. 

Why do these principles make business sense? First, a worker-owner is a continues worker, not a person who wants to ignore work.

The theory of cooperation, in general, helps the business’s bottom line.  In game theory, people in the most actually by cooperating co-ops. It creates a structure and a culture that get the cooperation going.

This is another example of how it is good and good for other people, and good for income, can all go together.

 This is how faithfully modern corporations adhere to them.