ABSTRACT

The Italian cooperative sector's continued growth demonstrates that a democratic economic alternative is not only desirable, but already exists. The sector has grown despite political and economic crises in Italy, increasing globalization and the Global Financial Crisis. A number of key factors enable the Italian cooperative sector to grow, innovate and be resilient. These factors are inter-linked to the cooperative sector's capacity to promote and manage change through its inter-sectoral networks, its ability to influence public policy and its entrepreneurial and resilient business model. The most critical factors are: cooperative legislation; Central Associations; the financial network; the consortia network; cooperative groups; entrepreneurship; a resilient business model; and innovation. Cooperatives are a key component of a pluralist market economy and a potential partner to the State in key sectors of the economy. Liberal/social democratic states have used progressive taxation systems, industrial relations laws, social security and social spending, consumer protection, health and safety regulations and anti-competition laws to humanize the market.