Wealth of Shareholders as A Primary Business (Finance) Goal in Cooperative Societies in Tanzania in The Year 2000

Abstract

The purpose of this paper is to demonstrate the importance of financial management in Cooperatives and to show that wealth maximisation as a primary business objective of private enterprises could as well be applicable to cooperative societies Some Cooperators could argue that maximisation of ten shares of shareholders as an objective can not be applicable to cooperative societies because shares of companies can be floated in the stock exchange market whereas those of the cooperatives cannot . in this paper, we aim to establish that in failure if we want to make the best use of all available resources in our cooperatives, we must adapt such as objective. This paper is not based on research findings where a scientifically research methodology would have been called for, but it is a general observation of a problem area where information is readily available from published records. Most of the information haye been gathered by the author from published and through his own experience in agricultural marketing cooperatives. The author has been associated with agricultural marketing Cooperatives Chairman of a Rural Cooperative Society which is affiliated to KNCU (1984) [(Kilimanjaro Native Cooperative Society], and he is also a delegate to KNCU (1984) Annual General Meeting.