Author : Duong Van Nhiem

Summary : This study is about a cooperative in a transition economy - from that of a centrally planned economy to a socialist market economy. This study was undertaken to: (1) describe the characteristics of the old style agricultural cooperatives vis-a-vis the new style agricultural cooperatives; (2)identify the reforms that were introduced to the cooperative movement; (3) determine the efficiency and effectiveness in the management of the Tam-A agricultural cooperative as a representative sample of the new style agricultural cooperatives; and (4) identify the problems and obstacles met by the agricultural cooperative, including its role in a socialist market oriented economy. The differences between the old style cooperatives and new style agricultural cooperatives could be described as one where its organization is based on individual/household needs, volunteerism is high, small diversified types of organizations, a business operations dictated by market among others. the reforms that were introduced were on the structure which is more decentralized and in the exercise of the management functions like top-bottom-up planning, leading more democratically, and involvement of the members in the central process together with the management and audit committees. The results of the study also state that the Tam-A agricultural cooperative was relatively managed effectively and efficiency, as shown by the profits earned by the agricultural cooperative, and the provision of agricultural support services to its members which led to the members higher incomes, both on-farm and off-farm. Some problems though still affect the operations of the new style agricultural cooperatives like Tam-A. These are : shortage of capital, low level of educational attainment particularly those in the important committees, the still low perception of the important role of the cooperative in bringing about development.