Agricultural Cooperatives in Japan: An Institutional Approach

• Main Author: Kurimoto, Akira
• Format: Journal Article
• Language: English
• Published: 2004
• Subjects: Agribusiness

How can we explain the reason why cooperatives have evolved so differently?This article argues that the institutional framework gives a decisiveinfluence in organizational evolution and the historic path has been takenby interaction between institutions and organizations. The Japanese agriculturalcooperatives are analyzed from institutional perspectives. They werecreated at the end of the 19th century under overwhelming European influencebut evolved as a quite different model under the strong impacts ofindustrial policies and institutions. They developed as multi-purpose cooperativesbearing triple natures as state agency, pressure group and cooperativeper se. The new economy is shifting public policy from protectionist to procompetitionand the resulting institutional changes are posing challenges tocooperatives. Their future depends on their willingness to innovate themselvesby adjusting to the new environment while applying cooperative advantages.