Abstract:
Assessment of the effectiveness of consumer cooperatives in Addis Ababa; case study of
Akakikaliti sub-citywas conducted by using Survey research method based on quantitative
approach. The respondents of this study were consumer cooperatives members, official staffs and
clients.Nineteen consumer cooperatives operating in this sub city out of those six consumer
cooperatives are selected using a stratified sampling method. Primary data was collected using
structured questioner which is prepared in closed-ended and designed in 5 point likert-scale. The
data collected was analyzed by using descriptive statistical percentage techniques by using
statistical package for social science (SPSS) software. The major result of the study revealed that
corruption and lack of good governance, lack of transparency and accountability of members,
Lack of Capacity of the leaders, Insufficient financial resources, lack of institutional autonomy,
intervention of administrations and Lack of professionalisms(skilled manpower) were the main
constraints for the effectiveness of consumer cooperatives in study area. Finally, the study
recommends that members, leaders and government bodies are supposed to do strictly work
together, members actively participating youth members since youths are energetic and ready for
change and transparent for their cooperatives, leadersbuild capacity for them and their staffs by
arranging training with other similar service rendering cooperatives to fill knowledge gapand
find financial sources from financial institutions, the government restructure the existing
cooperatives and equip with technology based systems which is supported by polices for
controlling and accessible for every stakeholdersand restricted from direct intervention for
confirming the freedom of cooperatives.