Overconfidence and Hubris: The Demise of Agricultural Co-operatives in Western Canada
Fulton, Murray | Larson, Kathy A.
The last two decades have seen major changes to the agricultural landscape inCanada and with them major changes to the co-operative sector. The grainhandling co-operatives in Western Canada have disappeared, as have theircounterparts in the dairy and poultry sectors. Outside of Western Canada, andparticularly in Québec, co-ops in the latter sectors have remained successful,while rural retail and farm input co-operatives continue to thrive in all parts ofthe country. The purpose of this paper is to trace the changes that have occurredin the rural co-operative sector in Canada over the last 10-15 years. Particularattention is paid to the large agricultural co-operatives in Western Canada, sincetheir decline has been particularly acute. It is argued that the overconfidence andhubris of co-op management were major contributing factors to the conversion ofthese co-ops to IOFs.Show more [+] Less [-]