Role of Consumer Cooperative Society in Price Stability in the Case of Goh Consumer Cooperatives Benchi-Maji Zone, South West Of Ethiopia

Abstract

This research was conducted to assess the role of Goh consumer cooperative society in price stability in the case of Bench-Maji zone. The main objectives of the study were investigating the pricing policy of Goh consumer cooperatives society, assessing the difference between pricing on selected commodities charged by cooperatives society and private sectors and examining factors affecting price setting process of the society. The samples were selected from both user customers and members of Goh consumer cooperatives by using stratified and simple random sampling techniques. Accordingly, the researcher has been selected 40 respondents from both strata by using simple random sampling techniques. Data was collected through semi-structured questionnaires and interviews. The study revealed the society has the significant role in stabilizing price in the market by selling very important commodities to the user at the lower price as compared to private traders. Some of the challenges they face were like competition from private sectors and the shortage of commodity on the supplier side. To overcome these problems, the society should have to create the relation with other cooperatives like producer cooperative and SACCO to avoid the problems related to the shortage of goods and finance. Beside this, cooperative promotion union should have to give training, technical assistance and cooperative education to societies to improve overall activities.