The effectiveness of cooperative societies in changing economic systems: an institutional anakysis

Abstract

Purpose: the purpose of the chapter is to reveal the influence of changing economic systems and their institutions on the efficiency of cooperative societies in different conditions and to determine the necessary segment of additional information required in the development of strategic development plans. Discussion: the authors distinguish two specific areas of research into the impact on the efficiency of cooperative societies: the current (dominant) economic system of the national economy and the institutional environment formed within it by the state and society, both external and internal. The change in economic systems leads to the renewal of its institutions, primarily the institutions of property. This implies the need to supplement the analysis with an important segment, which is currently not paid attention to – the analysis of the internal and external institutional environment of cooperative organizations and the development on this basis of appropriate measures to stimulate or curb existing trends both on the part of the state and on the part of the economic entity. Results: it is shown that the experience accumulated in previous economic systems in the formation of the institutional environment needs to be developed in the scientific and methodological support of operational audit in order to be used flexibly in modern conditions of activity by cooperative societies. A promising method for solving this problem is to expand the scope of strategic audit to the segment of the institutional environment, internal and external, which determine certain forms of stimulating cooperative activities.