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Advantages of Consumers’ Co-operative Stores



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Advantages of Consumers’ Co-operative Stores 
The advantages of consumers’ co-operative stores are as follows :- 
a) 
Economical Buying
The stores directly purchases the goods from the manufacturers in bulk 
quantities. Hence, it can enjoy the benefits of large scale buying such as 
trade discount, cash discount, etc. 
b) 
Consumers’ Protection
The stores protects its members from the exploitation and malpractices 
of traders. The quality goods and steady supply of the goods is also 
ensured. 
c) 
Fair Prices
It supplies goods to its members at low prices due to economical buying, 
elimination of middlemen, lack of advertising low operating expenses 
etc. 
d) 
Low Operating Costs
Cash sales eliminates bad debts. Honorary management by members, 
lack of advertising, simple organizations, etc., help in reducing the 
operating costs. 
e) 
State Patronage
It is exempted from the payment of taxes and enjoy the assistance 
provided by the government. 
f) 
Encourages Savings
It encourages thrift and savings among its members and increases their 
economic security. 


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g) 
Eliminates Middlemen
It eliminates the middlemen in the channel and the members can get the 
goods at a fairly reasonable price. 
h) 
Control of Organisations
The principle of ‘one member one vote’ prevents the small group from 
security control of the organisations and changing it into profit making 
institution. 
i) 
Training Centre
It is a training centre in self government and democratic functioning. It 
contributes to the social and cultural advancement of its members. 
j) 

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