Co-operatives and local development

The co-operatives have for a long time present themselves as an answer for local community needs, especially in low density areas and underdeveloped regions, representing an inclusive organizational model local implemented and governed by the members to fulfill their needs. Local development and the co-operative models inherent relationship evidence how important is to promote the co-operative organization as a direct instrument for the regional devolvement not only social but also in an economic and financial point of view. This paper aims to analyse the specific contributes of the co-operative model to the local development, through a literature review followed by the characterization of four case studies representatives of the relationship between co-operatives and local development. By doing so intents to analyse how does the co-operative legal and ideological guidelines conduct to a more inclusive and sustainable society and what should thereby be the role of co-operative movement in regional development as well as with all involved local stakeholders. Through four Portuguese co-operatives case studies was possible to identify the framing of each co-operative in their own local community. It was also possible to identify the perception of their members of themselves as owners as well as the others around them as direct or indirect beneficiaries, understanding that their different organization model of work represents a mean for the paradigm change to an open democratic space to serve the community which subsequently positively reflects on the local development. It was possible to conclude that these organizations are ideological and legal oriented for their member needs as are for the community’s needs. They are perceived by their members first as an individual response and secondly as an integrated instrument for local development. Although and the spite of a global effort for developing the co-operative movement, it persists several resistances in understanding and promoting it by the regional offices and communities. This research pretends not only to demonstrate the pre-existing positive relationship between the two but also delimitated some possible paths to introduce a methodology to measure their real impact on local development.