Assessment of the effectiveness of consumer Cooperatives in Addis Ababa; case study ofakakikaliti sub city

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.