Forms of Business Organisation · Class 11 · CBSE · Commerce Business Studies
Why is a cooperative society generally considered suitable for small producers or consumers who want to pursue a common economic interest?
Practice question from Forms of Business Organisation (Class 11 · CBSE · Commerce Business Studies), with the correct answer and a step-by-step solution.
medium · Subjective · Q-5BF4D1
Why is a cooperative society generally considered suitable for small producers or consumers who want to pursue a common economic interest?
Solution
Cooperative societies are formed to promote the common interests of members through collective effort. Democratic management, a service motive and limited liability make them suitable for small producers or consumers.
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