Article1989

Age-dependence and Historical Effects on the Failure Rates of Worker Cooperatives: An Event-history Analysis

84 citations0/0 files storedEconomic and Industrial Democracy

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Cooperative Studies and Economics Entrepreneurship Studies and Influences Firm Innovation and Growth

Abstract

This paper tests a number of hypotheses about the failure rates of worker cooperatives created in Atlantic Canada between 1940 and 1987. The event-history analysis shows that failure rates vary significantly by organizational age, sectoral location, and period of organizational founding, reflecting the effects of the business cycle and organizational population dynamics. In contrast to most conventional business organizations, worker cooperatives are not likely to fail during their early years of existence, but are most vulnerable in their fifth year.

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References

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Cited by

2004Structural embeddedness and the liability of newness among nonprofit organizations 2007Financial development and the growth of cooperative firms 1993Worker Cooperatives and the Business Cycle: Are Cooperatives the Answer to Unemployment?2013The Relative Survival of Worker Cooperatives and Barriers to Their Creation 2011Patterns of Canadian departmental survival

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