Cooperativas

Introduction

There are many types of business models, such as for profit, non profit, or social enterprises.  But a new business model that has shown successful was born in the Country of Argentina. The economic crisis, though most definitely a huge catastrophe, led to pressure being placed on the Argentine business industries.  Under such pressures, such as a diamond, a new business model emerged. Workers seized control, and what is now known as a co-op or in Argentina, Cooperativa, emerged.

Cooperativas

How did Cooperativas come to be?  For one, “Occupy, Resist, Produce” as this was the movements motto as it began.  After the economic crisis, many business owners abandoned their businesses, leaving behind unused factories.  The then unemployed took control of the factories and kept the businesses running. One perfect example of such a business is Portenitos, a cooperativa in La Boca, Argentina that makes delicious chocolate and dulce de leche treats. An employee described the positives by stating that everyone has an equally accountability and desire for the businesses success, as everyone is a partial shareholder.

A study by the University of Buenos Aires reported that as of 2013, 311 “worker-recuperated enterprises” had a current employment of 13,642 workers.

It is now that many are realizing Cooperativas are not just a response to an economic crisis and unemployment, but a possible sustainable business model.