Italian social cooperatives have been experiencing a leading developing process within country’s social economy during the last two decades (Thomas, 2004).
Coming from an history of small and medium scale activity scope, intensely shared values and recognized identity (Barbetta, 1993; Pezzini, 1997), these organizations display now significant economic features (Borzaga and Defourny, 2001) and – after a long period of public preferential purchasing and other external advantages which have been playing a key role in their growth (Rossi, 1996) – they now operates in more and more open m
Cooperative Legislation´s Role in Cooperative Survival: Balancing Integration, Flexibility and Differentiation
Carlos Vargas-Vasserot, Associate Professor of Commercial Law, University of Almeria, Spain and Cynthia Giagnocavo, Ph.D.
The laws of some EU Member States (particularly Belgium, Italy, Portugal and Spain) have a more favorable taxation for some or all cooperatives than the limited liability companies. The existence of a privileged tax regime has been traditionally associated with the singular nature of capital and profit cooperative.
Recent experimental studies argue that competition yields higher levels of buyer trust and seller trustworthiness, with this having obvious desirable consequences on market efficiency. The setting analysed in these studies basically resembles the classical trust game, with the first mover (the buyer) deciding whether to purchase an item, and the second mover (the seller) deciding whether to cheat (by providing a good of a quality different from the one promised or by not shipping the good).