Rural Supply and Marketing Cooperatives in China: Historical Development, Problems, and Reform
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The historical development and performance of rural supply and marketing
cooperatives (SMCs) in China are examined and linked to various reform
periods. SMCs suffered a loss of focus on members as well as member
control during several periods of reform and experienced declining financial
performance during the most recent reform period. A number of factors
related to this decline are presented, including ineffective reforms, lack of
accountability and transparency, limited focus on member needs, a negative
image for cooperatives, and poor understanding of contemporary
cooperative management and governance practices.