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How do the farmers benefit from forming a cooperative?
- a)They start growing more crops.
- b)They gain control over milk production and sale.
- c)They begin manufacturing electronic devices.
- d)They start teaching knitting to women.
Correct answer is option 'B'. Can you explain this answer?
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How do the farmers benefit from forming a cooperative?a)They start gro...
The farmers benefited from forming a cooperative by gaining control over the milk production and sale. This allowed them to manage the entire process themselves, from collection to distribution, and increased their income by eliminating the need for middlemen.
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How do the farmers benefit from forming a cooperative?a)They start gro...
Benefits of Farmers Forming a Cooperative
Farmers can derive numerous advantages from forming a cooperative, particularly concerning the control over milk production and sale. Here's a detailed explanation of why option 'B' is the correct answer.
1. Collective Bargaining Power
- By coming together in a cooperative, farmers increase their bargaining power.
- This allows them to negotiate better prices for their milk and other products.
2. Improved Market Access
- Cooperatives often have established relationships with distributors and retailers.
- This means farmers can access larger markets than they could individually, leading to increased sales.
3. Shared Resources
- Cooperatives allow farmers to share resources such as equipment, storage facilities, and transportation.
- This reduces individual costs and improves efficiency in milk production and distribution.
4. Quality Control
- Working together, farmers can set quality standards for milk production.
- This ensures that their product meets consumer expectations and complies with regulations, enhancing their reputation.
5. Financial Support and Stability
- Cooperatives can provide financial assistance through pooled resources for purchasing supplies or investing in better technology.
- This financial support helps farmers stabilize their income and reduce risks associated with market fluctuations.
6. Educational Opportunities
- Cooperatives often offer training and support programs for farmers to improve their practices.
- This can lead to better production techniques and increased overall profitability.
In conclusion, forming a cooperative empowers farmers by allowing them to gain control over milk production and sales, ultimately leading to greater financial stability and success in the marketplace.
Farmers can derive numerous advantages from forming a cooperative, particularly concerning the control over milk production and sale. Here's a detailed explanation of why option 'B' is the correct answer.
1. Collective Bargaining Power
- By coming together in a cooperative, farmers increase their bargaining power.
- This allows them to negotiate better prices for their milk and other products.
2. Improved Market Access
- Cooperatives often have established relationships with distributors and retailers.
- This means farmers can access larger markets than they could individually, leading to increased sales.
3. Shared Resources
- Cooperatives allow farmers to share resources such as equipment, storage facilities, and transportation.
- This reduces individual costs and improves efficiency in milk production and distribution.
4. Quality Control
- Working together, farmers can set quality standards for milk production.
- This ensures that their product meets consumer expectations and complies with regulations, enhancing their reputation.
5. Financial Support and Stability
- Cooperatives can provide financial assistance through pooled resources for purchasing supplies or investing in better technology.
- This financial support helps farmers stabilize their income and reduce risks associated with market fluctuations.
6. Educational Opportunities
- Cooperatives often offer training and support programs for farmers to improve their practices.
- This can lead to better production techniques and increased overall profitability.
In conclusion, forming a cooperative empowers farmers by allowing them to gain control over milk production and sales, ultimately leading to greater financial stability and success in the marketplace.
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How do the farmers benefit from forming a cooperative?a)They start growing more crops.b)They gain control over milk production and sale.c)They begin manufacturing electronic devices.d)They start teaching knitting to women.Correct answer is option 'B'. Can you explain this answer?
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