Retailer-sponsored cooperative
Retailer-sponsored cooperatives are a type of cooperative that is owned and operated by retail businesses. These cooperatives are formed to help independent retailers pool their resources and work together to compete with larger, national chains.
One example of a retailer-sponsored cooperative is Ace Hardware. Ace Hardware is a cooperative of independently owned and operated hardware stores that work together to purchase inventory in bulk, allowing them to receive better pricing from suppliers. This cooperative model helps Ace Hardware stores compete with larger home improvement chains like Home Depot and Lowe’s.
Another example of a retailer-sponsored cooperative is Best Western. Best Western is a cooperative of independently owned and operated hotels that work together to market their properties under a single brand. This cooperative model helps Best Western hotels compete with larger hotel chains like Marriott and Hilton.
By forming retailer-sponsored cooperatives, independent retailers can benefit from the collective bargaining power of the group, as well as access to shared resources and marketing initiatives.
- Advantages of retailer-sponsored cooperatives:
- Increased purchasing power
- Shared marketing resources
- Support from other independent retailers
Overall, retailer-sponsored cooperatives provide a way for independent retailers to level the playing field and compete with larger, national chains in the retail industry.
For more information, you can visit the Wikipedia page on Retailer-sponsored cooperatives.