BIBLIOGRAPHY PEDRO, SANTONIL E. APRIL 2009,...
BIBLIOGRAPHY
PEDRO, SANTONIL E. APRIL 2009, Motivation Factors of Members in Joining
Consumers Cooperative in Mankayan, Benguet. Benguet State University, La Trinidad,
Benguet.
Adviser: Andrew K. Del –ong
ABSTRACT
This study was conducted in the municipality of Mankayan, Benguet from
December to February 2009 to find out the motivating factors of cooperative members in
joining their consumers cooperative. Specifically the objectives were to: determine what
motivated the members in joining their cooperative; determine the variable that the said
members considered before they joined their cooperative; determine whether there is an
association between the members’ demographic profile with their motivations in joining
their cooperative. Survey questionnaire were used to gather the data from the respondents
who were members of the consumer cooperatives in the area.
The results revealed that majority of the respondents were females, married,
belong to age bracket 41-50 years old, had formal education and were currently engaged
in farming ass source of their income. Furthermore, most of them were engaged in
farming before they joined their cooperative.
Most members usually were motivated by their friends to join their cooperative,
patronage refund they get/received were the factor that motivated them in joining their
cooperative. While the variable that considered by the prospective members before
joining to their cooperative which is the good quality of goods and services. Most
member usually received incentives/reward given by their cooperative for having good
records as a member to their cooperative, while the very important motivation factor to
them is the patronage refund they get/received in joining their consumer cooperative
while the very important motivation factor to them is the patronage refund they
get/received in joining their consumer cooperative.
ii
TABLE OF CONTENT
Page
Bibliography……………………………………………………………………. i
Abstract ………………………………………………………………………..... i
Table of Contents ……………………………………………………………….. iii
INTRODUCTION ……………………………………………………………… 1
Rationale of the Study ………………………………………………. 1
Statement of the Problem …………………………………………… 3
Objective of the Study ………………………………………………. 3
Important of the Study ………………………………………………. 3
Scope and Limitation of the Study ………………………………….. 4
REVIEW OF LITERATURE …………………………………………………... 5
Cooperative Definition …………………………………………….... 5
Primary Objective …………………………………………………… 6
Secondary Objective ………………………………………………… 6
Maslow Hierarchy of Needs Theory ……………………………....... 7
Expectancy Theory of Motivation …………………………………... 8
Merit Pay …………………………………………………………….. 9
Interpersonal Motivational Factor …………………………………… 9
METHODOLOGY …………………………………………………………….. 11
Locale of the Study …………………………………………………. 11
Respondent of the Study ……………………………………………. 11
iii
Collection of Data …………………………………………………… 11
Analysis of Data …………………………………………………….. 11
RESULTS AND DISCUSSION ……………………………………………...... 12
General Information about the Respondents ………………………... 12
Age ………………………………………………………………….. 12
Sex …………………………………………………………………... 12
Educational Attainment …………………………………………….. 13
Civil Status…………………………………………………………... 13
Source of Income/Occupation ……………………………………..... 13
Occupation Before they Join in the Coop …………………………… 13
Distribution of Member According to
Who encouraged them in Joining
their cooperative …………………………………………………….. 16
Factors that Motivated the Members
In Joining their Cooperative ………………………………………… 17
Variables Member considered before
They Joined their Cooperative ……………………………………..... 18
Distribution of Incentives/Reward given
To the Member who have Good
Records in the Coop ………………………………………………. 19
Motivation Factors in order of Importance
as to what motivate the Members
to Join their Coop …………………………………………………... 20
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS …………….. 23
Summary ……………………………………………………………. 23
Conclusions ………………………………………………………..... 24
Recommendations …………………………………………………... 25
iv
LITERATURE CITED ………………………………………………………… 26
APPENDIX
Appendix A. Letter to the Respondents ………………………… 27
Appendix B. Survey Questionnaire ……………………………... 29
v
INTRODUCTION
Rationale of the Study
The consumption of goods exempts no person. We are all consumer of goods like
food and clothing for as long as we live. It is perfectly natural. But when the price of
goods increase and our incomes do not change, then problem comes up.
Not all consumers have plenty of money. In fact, most of the people in this
country are poor. Whenever the prices of goods increase, the purchasing power of the
people decreases. This means they can buy less number of goods with their current
incomes, unless, their salaries or incomes increase in the same percentage as the increase
in price. In reality, this does not happen. The increase in price is always higher and faster
than the increase in salaries.
Cooperatives had been defined in the Cooperative Code of the Philippines
(RA 6938) as a duly registered association of persons with common bond of interest,
who have voluntarily joined together to achieve a lawful common social or economic
end, making equitable contribution to capital required and accepting a fair share of the
risk and benefits of the undertaking in accordance with universally accepted principles.
In a community, people are motivated in joining some various activities because
of their basic needs, such as for foods, clothings, achievement, or monetary gain that
translate into an internal tension that motivates specific behaviors with which to fulfill
their needs.
Cooperatives have different operations. One of the most common is the consumer
service. Its primary purpose is to procure and distribute commodities to its member and
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
2
even non - members. Consumer cooperative is engaged in the buy and sell of
commodities to its members and to the public in general.
Consumer cooperative is defined as a voluntary association of a group of persons
(at least fifteen members) with common bond of interest, who agreed to pool their
resources together to provide themselves with quality goods and services at reasonable
price.
Mankayan is one of the thirteen municipalities of Benguet. It is known as the
mineral town of Benguet. Located on the northern most part of Benguet and the inner
sanctum of Cordillera in between the boundaries of the municipalities of Cervantes,
Ilocos Sur to the north, Bakun and Buguias, Benguet to the south, the municipalities of
Tadian and Bauko, Mountain Province and Buguias, Benguet to the east, and Bakun to
the west.
Mankayan have eight existing operational cooperative as of the year 2007 based
on the records of Cooperative Development Authority (CDA) located at the Benguet
Provincial Capitol. Three of the eight cooperatives have no consumer service as part of
their operations, thus they were not include in the study.
Two of the five cooperatives studied are purely consumers cooperatives. They are
the Sapid Farmers Cooperative and Lepanto Consumers Cooperative. On the other hands,
the three other cooperatives are multi-purpose. They are the Cabiten Agrarian
Neighborhood MPC, Paco Rural Improvement MPC, and Mankayan MPC.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
3
Statement of the Problem
This study was conducted to answer the following questions:
1. Who recruited the members to joined the consumers cooperatives in Mankayan,
Benguet?
2. What were the variables the said members considered before they joined their
cooperatives?
3. What motivated them to join their cooperatives?
Objectives of the Study
The study aimed to:
1. To determine who recruited the members to joined their consumers
cooperatives in Mankayan, Benguet.
2. To determine the variables that the said members considered before they joined
their cooperative.
3. To determine what motivated them to join their cooperatives.
Importance of the Study
Since cooperatives are considered as one of the vehicles for socio- economic
development, it is imperative that they must succeed. The research findings will give
insights to the cooperative movers especially in motivating people to join cooperatives.
The study will serve as a reference in conducting research on cooperatives in the future
especially to the students in cooperative management.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
4
Scope and Limitation of the Study
This study concentrated mainly on the motivation factors of members in joining
consumer cooperative in the selected barangays of Mankayan, Benguet that have a service of
consumer operation.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
REVIEW OF LITERATURE
Cooperative Definition
The Cooperative Code of the Philippines (RA 6938) defined cooperative as a duly
registered association of persons with a common bond of interest, who have voluntary
joined together to achieve a lawful common social or economic end, making equitable
contribution to required capital and accepting a fair share of the risk and benefits of the
undertaking in accordance with universally accepted principles.
Nolledo (1986) stated that a cooperative may be said to be a group of persons who
pool their resources under the principle of equality and common understanding for their
mutual benefits. A cooperative exist not to make profit as an entity but if there should be a
profits, the same shall be divided among the members. Cooperative is based on the saying
well known in human circles that “in union, there is strength”
Plunkett and Attner (1985) defined motivation as a psychological need; it may be
for security, social activities, esteem, or self fulfillment. Motivation is the fundamental
reasons for engaging in various activities and work. Various test can help members,
officers and staff in determining what is really important, not just interesting, in our life
and work, but in fact we must already know most of our motives for behaving as we do.
The first of the Rochdale Principles states that co-operative societies must have an
open and voluntary membership. According to the ICA's Statement on the Co-operative
Identity, "Co-operatives are voluntary organizations, open to all persons able to use their
services and willing to accept the responsibilities of membership, without gender, social,
racial, political or religious discrimination." Rochdale Principles (1995 revision)
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
6
Onagan (1973) stated that a consumer cooperative is a business enterprise, acting
as a middleman for its members who are also its patrons. It is centered upon the activity of
a store, called the cooperative store. Furthermore, consumer cooperative is organized
and operated for set of objectives. Member is fully oriented as to aim and purposes of
cooperative organizations.
Primary Objective
The primary objective of all cooperatives lays emphasis on service. Members
recognize the needs for mutual cooperation because they want to enjoy certain services
that they cannot enjoy from the profit operators in their community.
Secondary Objectives: Savings
The profit motives express itself in a cooperative by the instinctive interest of
members in the savings they automatically get out their consumption. Every time a
member buy from his cooperative store, the margin created by the purchase, which
accumulates as profits in the case of profit store, is now saved and accumulated for the
credit of the buying members.
In organization, there are factors to be considered to make them successful, Nolledo
(1986) identify the following factors that make up a successful cooperative:
1. The members are treated equally and are willing to sacrifice for the common good.
2. The members give away part of their resources to form a common fund.
3.The members fully cooperate in the undertakings expected of them in terms of
honesty and prompt attendance in case of performance of duties assigned; and
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
7
4. The members patronize the cooperative by giving what is due from them and
availing of the resources of the cooperative.
Furthermore, consumer cooperative is where the members pool their savings to buy goods
to be resold at small profits to the members themselves.
Daft (1988) defined motivation generally as the arousal, direction, and persistence
of behavior. People have basic needs, such as for food, clothing, achievement, or
monetary gain, that translates into an internal tension that motivates specific behavior
with which to fulfill their needs.
Villegas as cited by Vicente (2005) said that every person becomes a consumer
because he has needs and wants, some of which can be satisfied by material things. Every
individual has needs and wants; no one is exempted from this fact of life. A consumer is
one who uses goods to satisfy his needs.
Education is needed in a modern industrial society because of the complex
division of labor that such societies have. The skills needed for a specialized work-force
cannot be taught by the family. Schools provide the homogeneity through the
transmission of general values and also specific skills needed for co-operative behavior.
This is called unity based on value consensus e.g. rules on property rights; and the
promotion of a specialized labor market the members of which combine to produce goods
and services Durkheim (1858-1917).
Maslow’s Hierarchy of Needs Theory
Proposes that human are motivated by multiple needs and that needs exist in a
hierarchical orders.
Maslow identified five general type of motivating needs in order of ascendance:
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
8
1. Physiological needs. These are the most basic human physical needs including
food, water, and sex.
2. Safe needs. These are the needs for a safe and secure physical and emotional
environment and freedom from threats, that is, for freedom from violence and for an
orderly society.
3. Belongingness needs. This needs reflect the desire to be accepted by ones peers,
have friendship, be part of group, and be loved.
4. Esteem needs. In organization; these needs reflect a motivation for recognition,
increase in responsibility, high status, and credit for contributions to the organization.
5. Self-actualization needs. These needs can be met in the organization by
providing people with opportunities to grow, be creative, and acquire training for
challenging assignment and advancement.
Expectancy Theory of Motivation
In organizational terms, this concept of motivation pictures an individual,
occupying a role, faced with a set of alternative voluntary behaviors, all of which have
some associated outcomes attached to them. However, he makes the point that task goals
(productivity, quality standards or similar goals attached to jobs) are often means to an
end, rather than the end in itself. There is a second level of outcomes which reflect the
real goals of individuals and these may be attained, in varying degrees, through task
behavior. An individual is motivated to behave in a certain manner because (a) he or she
has a strong desire for a certain task outcome and a reasonable expectation of achieving
that outcome and (b) because he or she also expects that the achievement of the task
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
9
outcome will result in reward in terms of pay, promotion, job security, or satisfaction of
individual needs - physiological, safety, esteem and so on (Kotze 2008).
Merit Pay
A motivational program that rewards employees in proportion to their
contribution to the organization, sometimes called pay for performance or incentive
systems (Daft 1988).
Interpersonal Motivation Factors
Individual factors in motivation, there are other factors that arise from
interactions with other people:
Competition interpersonal factors and competition motivates behavior because
people can enhance their own self-esteem when they are able to make comparisons of
their own performance to that of others. While all learners appear to be motivated to
some extent by competition, the importance of competition is greater for some learners
than for others (Rich and DeVitis1992).
Cooperation interpersonal factors, in which learners derive satisfaction from
working toward group goals. As was the case with competition, the motivating force of
cooperation is stronger for some persons than others, and these differences are often
related to the person's previous experience or to the importance that cultures or
place on cooperation.
Recognition interpersonal factor, most people enjoy having their efforts and
accomplishments recognized and appreciated by others. In order to obtain recognition,
the activity of the learner must be visible to others. There are three ways to achieve
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
10
visibility: (1) the process of performing an activity may be visible, (2) the product of the
activity may be visible, or (3) some other result of the activity may be visible.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
METHODOLOGY
Locale and Time of the Study
This study was conducted in the selected barangays of Mankayan, Benguet where
the consumer cooperatives are located, namely: Cabiten, Paco, Poblacion, Sapid, and
Lepanto from December to February 2009.
Respondent of the Study
The respondent of this study were the members of primary cooperatives with
consumer services in selected barangays of Mankayan, Benguet. Fifteen members from
each cooperative were chosen randomly as respondents.
Collection of Data
Information and data were collected with the use of survey questionnaires. Follow
up interview were used to clarify some information.
Analysis of the Data
The data gathered, were analyzed and interpreted according to the objectives of the
study. Descriptive methods like percentages and frequencies were used.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
12
RESULTS AND DISCUSSION
General Profile of the Respondents
Table 1 describe the socio-economic profile of the respondents such as their age,
sex, civil status, highest educational attainment, source of income or occupation, and past
job before they join in their cooperative.
Age. Table 1 shows that majority (57%) of the respondents belong to the age
bracket of 41-60 years old, followed by a significant 39% belonging to the21-40 years
bracket. It can be noted however that 4% belong to the senior citizens bracket
(61 and above).
Based to the response of some respondents of the study through personal
interview to them that age does not have relation in motivating them to join their
cooperative. Age bracket 21-40 years old, 41-60 years old, and 60 and above have the
same response that they just join because of benefits given by the consumer cooperative.
Sex. The Rochdale Society of Equitable Pioneers, the most successful consumer
cooperative during the Industrial Revolution, had only one female – pioneer.
In the study area, majority (67%) of the respondents are females. This indicates that more
and more female are becoming involved in the cooperative movement. This could also be
associated further from the fact, that in our society, females are the ones more responsible
in purchasing basic household necessities, thus they are aware of the importance of
consumers store where they could avail of goods on credit, more so they could call their
own.
13
Civil status. Most (95%) of the respondents are married. This could be attributed
to the fact that married individuals are generally have more mouths to feed than single
individuals, thus they are more prone to join associations where they could avail basic
needs for the family.
Educational attainment. It shows that all of the respondents underwent formal
education with a significant 33% even finishing college. Education is needed in a modern
industrial society because of the complex division of labor that such societies have. The
skills needed for a specialized work-force cannot be taught by the family. Schools
provide the homogeneity through the transmission of general values and also specific
skills needed for co-operative behavior. This is called unity based on value consensus
e.g. rules on property rights; and the promotion of a specialized labor market the
members of which combine to produce goods and services
Current occupation. Mankayan is blessed with fertile agricultural lands that is
suitable for the production of various high land crops. This is the primary reason why
more (43%) of the respondents are into farming. A significant 29% are private employees
while a few (8%) are government employees. Others are into non-farm business, driving,
and teaching.
Occupations before they join in the cooperative. Result of the study showed that
there is no significant difference between their past occupations to their current
occupations except for the decreased in the number of those engaged into farming which
is about 6%.
14
Table 1. Socio- economic profile of respondents
CHARACTERISRIC FREQUENCY
PERCENTAGE
Age
21-40
29
39
41-60
43
57
61- above
3
4
TOTAL
75
100
Sex
Female
50
67
Male
25
33
TOTAL
75
100
Civil Status
Married
71
95
Single
3
4
Widowed
1
1.33
TOTAL
75
100
Educational Attainment
Vocational
12
16
College graduate
20
27
High school graduate
25
33
15
Table 1. Continued.....
CHARACTERISRIC
FREQUENCY
PERCENTAGE
Elementary graduate
18
24
TOTAL
75
100
Current occupations
Government employee
7
9
Private employee
22
29
Farming
32
43
Non-farm business
6
8
Driving(taxi/service/bus)
2
3
Teaching (Public/Private)
5
7
Others (newly graduate)
1
1
TOTAL
75
100
Past occupation before joining
in cooperative
Government employee
6
8
Private employee
20
27
Farming
37
49
Engaged in business
4
5
Driving(taxi/service/bus)
2
3
Teaching(Public/Private)
5
7
Others (newly graduate)
1
1
TOTAL
75
100
16
Table 2. Distribution of members according to who recruited them in joining their
cooperative
PARTICULAR
FREQUENCY
PERCENTAGE
Relatives
26
35
Friends
31
41
Officer of the cooperative
3
4
Parent
1
1
Mother-in-law
1
1
Others: (Personal decision)
13
17
Distribution of Members According to Who
Encouraged them in Joining their
Cooperative
Table 2 shows that friends (41%) and relatives (35%) respectively were the major
groups who encouraged the members in joining their cooperatives. Since their friends and
relatives are also members in the association, this motivated them more to join the
cooperatives. This could also be further explained by Maslow’s hierarchy of needs
particularly that of belongingness. Where this reflects the desire of individuals to be
accepted by ones peers, have friendship, be part of a group, and be loved. A significant
17% claimed that it is simply their own personal decisions. On the otherhand, others were
either recruited by the cooperative officers, parent, or in-law.
17
Table 3. Reasons according to what motivated the members in joining their cooperative
PARTICULAR
FREQUENCY
PERCENTAGE
RANK
Low price of commodities
21
28
5
Patronage refund they received
49
1
Near to their residence
27
36
3
Credit is allowed by the coop
36
48
2
Important supplies/commodities
are available
22
29
4
Other: Socialization
1
1
6
Factors that Motivated the Members
in Joining their Cooperative
Table 3 shows the number of the respondents that motivated through some
reasons in joining their consumer cooperative
Result of the study shows that the major reasons why members join consumers
cooperatives in the study area were patronage refund (49%) and credit (48%). They stated
that in consumers cooperatives, they could receive patronage refund from their purchases
unlike in the private stores. They are also aware of the benefits of availing credit
especially for those farmer-members who are not receiving income on a regular basis.
Other notable factors include the nearness of the cooperatives to their residences
(36%), availability of important commodities (29%), and low prices of the commodities
(28%).
18
Table 4. Variables considered the members before they joined their cooperative.
PARTICULAR
FREQUENCY
PERCENTAGE RANK
Good quality of goods and service
65
87
1
Reasonable price of
50
67
4
commodities
54
72
3
Credit without interest
Members are treated equally
53
81
2
Variables Members Considered Before they
Joined their Cooperatives
Table 4 shows that the primary variable considered by the members before they
joined their cooperatives are good quality of goods and services offered by the
cooperative, equal treatment they received, their privilege to avail of credits without
interest, and reasonable prices of commodities. Said variables were ranked by members
in descending order.
19
Table 5. Distribution of incentives/rewards given to the members who have good records
in their cooperative.
PARTICULAR
FREQUENCY
PERCENTAGE
By giving patronage refund
55
73
By giving surprise gift during the
annual General assembly
32
43
By giving certificate of
recognition
7
9
By giving Christmas bonus
during the Christmas party
4
5
Others: Raffle draw
6
8
Distribution of Incentives/Reward given to the
Member who have Good Records
in the Cooperative
Table 5 shows the distribution of incentives/reward given to member who has
good records in the cooperative; it shows that through giving incentives/reward to those
who have good records in the cooperative motivated some members to patronize their
cooperative.
Majority (73%) of the respondents consider the patronage refund as an
incentives/reward that given by their own cooperatives. Patronage refund is shown also
as the one that motivate the members in joining their cooperative. More (43%) of the
respondents received surprise gift during the annual general assembly such as food
supplies (can goods, twenty five kilos of rice and etc. Nine percent of the respondents
received certificate of recognition as a incentives/rewards such as recognition for having
20
good records in the cooperative and patronizing the service of cooperative. This could
also be further explained by Maslow’s hierarchy of need particularly that of esteem need.
Where this reflects the individual’s motivation for recognition, increase for responsibility,
high status, and credit for contributions to the organization. Few (5%) of the respondents
were receiving Christmas bonus as an incentives/reward to them for having good records
in their cooperative. Other incentives/reward is draw lots or raffle draw, (8%) of the
respondents receive incentives through raffle draw.
Motivation Factors in Order of Importance
as to what Motivated the Members to Join
their Cooperatives
Table 6 shows the motivational factor in order of importance as to what motivates
them in joining their cooperative.
The frequency of motivational factor in order of importance was categorized from
1-9, one (1) is the most important motivational factor while nine (9) is the least
important.
It is noted in the table that patronage refund they get/received (27%) and credit is
allowed by the cooperative (32%) respectively ranked as the most important motivational
factor in order as to what motivated them in joining their cooperative, followed by
reasonable price of commodities (17%) and important supplies/commodities are available
(15%) respectively ranked as the nearly important motivational factor. Furthermore,
loyalty of the staff (23%) respectively ranked as neutral in motivational factor as to what
motivate them to join their cooperative. While it also noted that good qualities of goods
and services (19%) and near to the residence(19%) respectively ranked as the less
important motivational factor in order of importance as to what motivate them in joining
21
their cooperative, and most of their relatives are member in the cooperative (39%) and
most of their friends are member in the cooperative (40%) respectively ranked as not very
important motivational factor in order of importance as to what motivate them to join
their cooperative.
21
Table 6. Ranking the motivation factors in order of importance as to what motivate the members in joining their consumer
cooperative.
Most important Nearly important Neutral Less important Not very important
1
2
3
4
5
6
7
8
9
PARTICULAR F
%
F
%
F
%
F
%
F
%
F
%
F
%
F
%
F
%
Rank
19
25
7
9
11
15
9
12
13
17
14
19 4
5
5
7
1
1
2
QGS
5
7
10 13
13
17
9
12
4
5
5
7
12 16 7
9
10 13 6
RPC
20
27
9
12
12
16
9
12
7
9
7
9
6
8
1
1
5
7
1
PRR
0
0
2
3
4
5
8
11
5
7
8
11 13 17 29 39 8
11 8
MRMC
1
1
0
0
3
4
2
3
7
9
7
9
12 16 13 17 30 40 9
MFMC
NR
13
17
10 13
9
12
9
12
10
13
10
13 14 19 4
5
5
7
3
8
11
24 32
11
15
7
9
9
12
7
9
4
5
3
4
2
3
4
CAC
LS
2
3
1
1
3
4
8
11
17
23
17
23 5
7
7
9
6
8
7
7
9
12 16
10
13
11
15
10
13
6
8
5
7
6
8
8
11 5
ICA
22
22
Legend:
QGS. – Good quality of goods and services
RPC. – Reasonable price of commodities
PRR. – Patronage refund I get /received
MRMC. – Most of their relatives are member in the cooperative
MFMC. – Most of their friends are member in the cooperative
NR. – Near to their residence
CAC. – Credit is allowed by the cooperative
LS. – Loyalty of the staff
ICA- Important supplies/commodities are available
23
24
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
Summary
This study was conducted in the five selected primary cooperatives operating on
consumer service in Mankayan, Benguet. It was conducted to determine the factors that
motivate the members in joining their cooperative; determine the socio- economic profile
of the members who usually motivated in joining consumer cooperative; determine who
motivate them in joining their cooperative; determine what motivate them in joining their
cooperative; determine the variable being considered by a prospective members before
joining consumer cooperative; determine the incentives/rewards that are given by the
cooperative to their members; and to identify the motivational factors in order of
importance as to what motivate the members in joining cooperative.
A total of 75 members from the five consumer cooperatives were taken randomly
as a respondents of the study. A structured survey questionnaire was used to gather the
needed information data that were analyzed through frequency and percentage.
The result revealed that out of 75 respondents, most of the respondents belong the
age bracket 41-60 years old, most are female, married, high school graduate and
currently engaged in farming as the source of their income. Furthermore, the study found
out that most of the respondents engaged in farming before they joined their cooperative.
Result revealed that most of the respondents were motivated by their friends to
join their consumer cooperative. With regards to their joining in the cooperative, their
friends that member in the same cooperative told them that credit is allowed and it is near
to their residence.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
25
Most of the respondents believed that through patronizing their cooperative, it
will increase their patronage refund. Likewise, most of them were located near to their
cooperative where they usually buy affordable and available commodities.
Results revealed that most of the respondents considered the good quality of
goods in services before joining a consumer cooperative. Were in cooperative code of the
Philippines that the primary objective lays emphasis on services.
Most of the respondents received an incentives/reward by giving a patronage
refund of their cooperative to those who have good records in their cooperative.
The study result revealed that the most motivational factor in order of importance
as to what motivate the members in joining their cooperative is the patronage refund they
get/received.
Conclusions
1. Almost all of the respondents patronize the consumer service of their
cooperatives.
2. Most of the respondents were recruited by either their friends or relatives to
join their cooperatives.
3. Almost all of the respondents considered the good quality of goods and
services offered by the consumer cooperative.
4. “The more you patronize the service of your cooperative, the higher patronage
refund you may get.” This mainly motivated members to join and patronize their
cooperative. Also, most of them buy from their cooperative because of its accessibility
from their place and they could afford the goods sold in their cooperative.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
26
5. Most members of the five cooperatives with consumer operation are female,
married, belong to age bracket 41-60 years old and high school graduate. Likewise, most
of them are currently engaged in farming as a source of their income. Furthermore, most
of them are engaged in farming before they joined in their cooperative.
Recommendations
Since cooperative give importance to the quality of goods and services offered by
a cooperative, there is a need for every cooperative to improve on their operations in
order to encourage members to actively participate and patronize their cooperatives.
Specifically, the following recommendations could be considered by the concerned
cooperatives:
1.
Consumer cooperative in the study area must look for cheaper source of
goods so that they could offer it to members also at a cheaper price.
2.
Supply of basic necessities should always be made available to members
and other clients.
3.
They should see to it that patronage refund should be regularly given to
members in the form of cash so as far to feel and realize more the benefits derived from
their cooperatives.
4.
Giving of other forms of incentives like surprise gifts, certificate of
recognition, gifts, raffle draws should be maintained by the cooperatives.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
27
LITERATURE CITED
DAFT, D. R. 1988. Management. Printed in the United State of America. Dryden Press,
a division of Holt, Rinehart and Winston, Inc. Pp. 398, 401-402.
DURKHEIM, E. 1858-1917. Effect of level of education to factors motivating
individuals in joining association. Retrieved March 15, 2009 from http://www.
angel fire. com/ scary/helstonsociology/AS%20Education/education_notes.htm.
KOTZE, R. 2008. Motivation. Retrieved March 15, 2009 from http://www.goal-setting-
guide.com/motivation-theory.html
NOLLEDO, N. 1986.Principles of Agrarian Reform, Cooperative and Taxation 12 the Ed.
P.163
ONAGAN, D. L. 1973. Cooperative Principle and Practices.Onagan and Sons Publisher.
City Pp.91, 96-99
PLUNKETT, R. W. and ATTNER, F. R. 1985. Introduction to Management.PWS-KENT
Publishing Company. A Division of Woodsworth, Inc.Boston, Massachusetts.
P.40.
REPUBLIC ACT 6938. 1991. Cooperative Code of the Philippines. Cooperative
definition. P. 10.
RICH and DEVITIS 1992. Interpersonal Motivation. Retrieved April 1, 2009 from
http://education.calumet.purdue.edu/vockell/EdPsyBook/Edpsy5/Edpsy5_interper
sonal.htm.
ROCHDALE Society 1995. Cooperative Principle. Retrieved March 21, 2009 from http://
rds.yahoo.com/_ylt= A0oGkkWw6L 1JgqQARfxXNyoA.
VICENTE, B. A. 2005. Patronage on consumer services of primary cooperative in Atok,
Benguet: An Analysis. BS Thesis BSU, La Trinidad, Benguet. P. 4.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
28
APPENDIX A
Letter to the Respondents
COLLEGE OF AGRICULTURE
Department of Ag. Economics and Agribusiness Management
Benguet State University
La Trinidad, Benguet
SIR/MADAM:
I am a student of Benguet State University taking up Bachelor of Science in
Agribusiness major in Cooperative Management. I am presently conducting my
undergraduate research titled “MOTIVATION FACTORS OF MEMBERS IN JOINING
CONSUMERS COOPERATIVES IN MANKAYAN, BENGUET.”
In this connection, may I request a part of your time to answer the questionnaire
of my research. Rest assured that all data gathered would be kept confidential.
Thank you very much for your patience and kindness in providing the necessary
information.
Very truly yours,
SANTONIL E. PEDRO
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
29
APPENDIX B
Survey Questionnaire
I. Information on Cooperative
Name of the cooperative: ________________________
Address: __________________
Operations / Services: ___________________________
II. Respondents Socio-economic Background
Name (optional):_______________
Address: ______________________
Age: ___________ Sex: ___________ Civil Status: _____________
Highest educational attainment:
( ) Elementary graduate
( ) High school graduate
( ) College graduate
( ) Vocational
Members Source of Income
( ) Government employee
( ) Farming
( ) Private employee
( ) Engaged in business
( ) Driving (Taxi/service/Bus)
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
30
( ) Teaching ( public/private)
( ) Others (Please specify) _________________________
Past job before joining in the cooperative:
( ) Government employee
( ) Private employee
( ) Engaged in business
( ) Driving (Taxi/Service vehicles/Bu
( ) Farming
( ) Teaching (Public/private)
( ) Others (please specify) ________________________
III.1. Who motivated you in joining your cooperative?
( ) Relatives are members in the cooperative
( ) Friends are members in the cooperative
( ) Others (please specify): ______________________
2. What motivated you in joining your consumer cooperative?
( ) Low price of commodities
( ) Patronage refund I get / received
( ) Near to my residence
( ) Most of my relatives are member in the cooperative
( ) Most of my friends are member in the cooperative
( ) Credit is allowed by the cooperative
( ) Important supplies/commodities are available
( ) Others (please specify):______________________
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
31
3. What do you think are the variables being considered by a prospective member before
joining a consumer cooperative? Are these being done / present in your cooperative?
Present
YES NO
( ) Good quality goods and services _____ _____
( ) Reasonable price of the commodities _____ _____
( ) Allow members to have credit without _____ _____
interest
( ) Members are treated equally _____ _____
( ) Other (please specify) __________________________________
4. Does your cooperative give incentives/rewards to those members who have good
records in your cooperative? How?
YES NO
( ) By giving patronage refund _______ _______
( ) By giving surprise gift during the annual _______ _______
general assembly
( ) By giving certificate of recognition _______ _______
( ) By giving Christmas bonus during the _______ _______
Christmas party
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
32
5. Please rank the motivation factor in order of importance as to what motivates you in
joining your cooperative, with one (1) being the most important factor, and nine (9 )to
being the least important factor.
_______ Good quality of goods and services
_______ Reasonable price of commodities
_______ Patronage refund I get/ received
_______ Most of my relatives are member in the cooperative
_______ Most of my friends are member in the cooperative
_______ Near to the residence
_______ Credit are allowed
_______ Loyalty of the staff
_______ Important supplies/ commodities are available
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
PEDRO, SANTONIL E. APRIL 2009, Motivation Factors of Members in Joining
Consumers Cooperative in Mankayan, Benguet. Benguet State University, La Trinidad,
Benguet.
Adviser: Andrew K. Del –ong
ABSTRACT
This study was conducted in the municipality of Mankayan, Benguet from
December to February 2009 to find out the motivating factors of cooperative members in
joining their consumers cooperative. Specifically the objectives were to: determine what
motivated the members in joining their cooperative; determine the variable that the said
members considered before they joined their cooperative; determine whether there is an
association between the members’ demographic profile with their motivations in joining
their cooperative. Survey questionnaire were used to gather the data from the respondents
who were members of the consumer cooperatives in the area.
The results revealed that majority of the respondents were females, married,
belong to age bracket 41-50 years old, had formal education and were currently engaged
in farming ass source of their income. Furthermore, most of them were engaged in
farming before they joined their cooperative.
Most members usually were motivated by their friends to join their cooperative,
patronage refund they get/received were the factor that motivated them in joining their
cooperative. While the variable that considered by the prospective members before
joining to their cooperative which is the good quality of goods and services. Most
member usually received incentives/reward given by their cooperative for having good
records as a member to their cooperative, while the very important motivation factor to
them is the patronage refund they get/received in joining their consumer cooperative
while the very important motivation factor to them is the patronage refund they
get/received in joining their consumer cooperative.
ii
TABLE OF CONTENT
Page
Bibliography……………………………………………………………………. i
Abstract ………………………………………………………………………..... i
Table of Contents ……………………………………………………………….. iii
INTRODUCTION ……………………………………………………………… 1
Rationale of the Study ………………………………………………. 1
Statement of the Problem …………………………………………… 3
Objective of the Study ………………………………………………. 3
Important of the Study ………………………………………………. 3
Scope and Limitation of the Study ………………………………….. 4
REVIEW OF LITERATURE …………………………………………………... 5
Cooperative Definition …………………………………………….... 5
Primary Objective …………………………………………………… 6
Secondary Objective ………………………………………………… 6
Maslow Hierarchy of Needs Theory ……………………………....... 7
Expectancy Theory of Motivation …………………………………... 8
Merit Pay …………………………………………………………….. 9
Interpersonal Motivational Factor …………………………………… 9
METHODOLOGY …………………………………………………………….. 11
Locale of the Study …………………………………………………. 11
Respondent of the Study ……………………………………………. 11
iii
Collection of Data …………………………………………………… 11
Analysis of Data …………………………………………………….. 11
RESULTS AND DISCUSSION ……………………………………………...... 12
General Information about the Respondents ………………………... 12
Age ………………………………………………………………….. 12
Sex …………………………………………………………………... 12
Educational Attainment …………………………………………….. 13
Civil Status…………………………………………………………... 13
Source of Income/Occupation ……………………………………..... 13
Occupation Before they Join in the Coop …………………………… 13
Distribution of Member According to
Who encouraged them in Joining
their cooperative …………………………………………………….. 16
Factors that Motivated the Members
In Joining their Cooperative ………………………………………… 17
Variables Member considered before
They Joined their Cooperative ……………………………………..... 18
Distribution of Incentives/Reward given
To the Member who have Good
Records in the Coop ………………………………………………. 19
Motivation Factors in order of Importance
as to what motivate the Members
to Join their Coop …………………………………………………... 20
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS …………….. 23
Summary ……………………………………………………………. 23
Conclusions ………………………………………………………..... 24
Recommendations …………………………………………………... 25
iv
LITERATURE CITED ………………………………………………………… 26
APPENDIX
Appendix A. Letter to the Respondents ………………………… 27
Appendix B. Survey Questionnaire ……………………………... 29
v
INTRODUCTION
Rationale of the Study
The consumption of goods exempts no person. We are all consumer of goods like
food and clothing for as long as we live. It is perfectly natural. But when the price of
goods increase and our incomes do not change, then problem comes up.
Not all consumers have plenty of money. In fact, most of the people in this
country are poor. Whenever the prices of goods increase, the purchasing power of the
people decreases. This means they can buy less number of goods with their current
incomes, unless, their salaries or incomes increase in the same percentage as the increase
in price. In reality, this does not happen. The increase in price is always higher and faster
than the increase in salaries.
Cooperatives had been defined in the Cooperative Code of the Philippines
(RA 6938) as a duly registered association of persons with common bond of interest,
who have voluntarily joined together to achieve a lawful common social or economic
end, making equitable contribution to capital required and accepting a fair share of the
risk and benefits of the undertaking in accordance with universally accepted principles.
In a community, people are motivated in joining some various activities because
of their basic needs, such as for foods, clothings, achievement, or monetary gain that
translate into an internal tension that motivates specific behaviors with which to fulfill
their needs.
Cooperatives have different operations. One of the most common is the consumer
service. Its primary purpose is to procure and distribute commodities to its member and
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
2
even non - members. Consumer cooperative is engaged in the buy and sell of
commodities to its members and to the public in general.
Consumer cooperative is defined as a voluntary association of a group of persons
(at least fifteen members) with common bond of interest, who agreed to pool their
resources together to provide themselves with quality goods and services at reasonable
price.
Mankayan is one of the thirteen municipalities of Benguet. It is known as the
mineral town of Benguet. Located on the northern most part of Benguet and the inner
sanctum of Cordillera in between the boundaries of the municipalities of Cervantes,
Ilocos Sur to the north, Bakun and Buguias, Benguet to the south, the municipalities of
Tadian and Bauko, Mountain Province and Buguias, Benguet to the east, and Bakun to
the west.
Mankayan have eight existing operational cooperative as of the year 2007 based
on the records of Cooperative Development Authority (CDA) located at the Benguet
Provincial Capitol. Three of the eight cooperatives have no consumer service as part of
their operations, thus they were not include in the study.
Two of the five cooperatives studied are purely consumers cooperatives. They are
the Sapid Farmers Cooperative and Lepanto Consumers Cooperative. On the other hands,
the three other cooperatives are multi-purpose. They are the Cabiten Agrarian
Neighborhood MPC, Paco Rural Improvement MPC, and Mankayan MPC.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
3
Statement of the Problem
This study was conducted to answer the following questions:
1. Who recruited the members to joined the consumers cooperatives in Mankayan,
Benguet?
2. What were the variables the said members considered before they joined their
cooperatives?
3. What motivated them to join their cooperatives?
Objectives of the Study
The study aimed to:
1. To determine who recruited the members to joined their consumers
cooperatives in Mankayan, Benguet.
2. To determine the variables that the said members considered before they joined
their cooperative.
3. To determine what motivated them to join their cooperatives.
Importance of the Study
Since cooperatives are considered as one of the vehicles for socio- economic
development, it is imperative that they must succeed. The research findings will give
insights to the cooperative movers especially in motivating people to join cooperatives.
The study will serve as a reference in conducting research on cooperatives in the future
especially to the students in cooperative management.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
4
Scope and Limitation of the Study
This study concentrated mainly on the motivation factors of members in joining
consumer cooperative in the selected barangays of Mankayan, Benguet that have a service of
consumer operation.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
REVIEW OF LITERATURE
Cooperative Definition
The Cooperative Code of the Philippines (RA 6938) defined cooperative as a duly
registered association of persons with a common bond of interest, who have voluntary
joined together to achieve a lawful common social or economic end, making equitable
contribution to required capital and accepting a fair share of the risk and benefits of the
undertaking in accordance with universally accepted principles.
Nolledo (1986) stated that a cooperative may be said to be a group of persons who
pool their resources under the principle of equality and common understanding for their
mutual benefits. A cooperative exist not to make profit as an entity but if there should be a
profits, the same shall be divided among the members. Cooperative is based on the saying
well known in human circles that “in union, there is strength”
Plunkett and Attner (1985) defined motivation as a psychological need; it may be
for security, social activities, esteem, or self fulfillment. Motivation is the fundamental
reasons for engaging in various activities and work. Various test can help members,
officers and staff in determining what is really important, not just interesting, in our life
and work, but in fact we must already know most of our motives for behaving as we do.
The first of the Rochdale Principles states that co-operative societies must have an
open and voluntary membership. According to the ICA's Statement on the Co-operative
Identity, "Co-operatives are voluntary organizations, open to all persons able to use their
services and willing to accept the responsibilities of membership, without gender, social,
racial, political or religious discrimination." Rochdale Principles (1995 revision)
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
6
Onagan (1973) stated that a consumer cooperative is a business enterprise, acting
as a middleman for its members who are also its patrons. It is centered upon the activity of
a store, called the cooperative store. Furthermore, consumer cooperative is organized
and operated for set of objectives. Member is fully oriented as to aim and purposes of
cooperative organizations.
Primary Objective
The primary objective of all cooperatives lays emphasis on service. Members
recognize the needs for mutual cooperation because they want to enjoy certain services
that they cannot enjoy from the profit operators in their community.
Secondary Objectives: Savings
The profit motives express itself in a cooperative by the instinctive interest of
members in the savings they automatically get out their consumption. Every time a
member buy from his cooperative store, the margin created by the purchase, which
accumulates as profits in the case of profit store, is now saved and accumulated for the
credit of the buying members.
In organization, there are factors to be considered to make them successful, Nolledo
(1986) identify the following factors that make up a successful cooperative:
1. The members are treated equally and are willing to sacrifice for the common good.
2. The members give away part of their resources to form a common fund.
3.The members fully cooperate in the undertakings expected of them in terms of
honesty and prompt attendance in case of performance of duties assigned; and
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
7
4. The members patronize the cooperative by giving what is due from them and
availing of the resources of the cooperative.
Furthermore, consumer cooperative is where the members pool their savings to buy goods
to be resold at small profits to the members themselves.
Daft (1988) defined motivation generally as the arousal, direction, and persistence
of behavior. People have basic needs, such as for food, clothing, achievement, or
monetary gain, that translates into an internal tension that motivates specific behavior
with which to fulfill their needs.
Villegas as cited by Vicente (2005) said that every person becomes a consumer
because he has needs and wants, some of which can be satisfied by material things. Every
individual has needs and wants; no one is exempted from this fact of life. A consumer is
one who uses goods to satisfy his needs.
Education is needed in a modern industrial society because of the complex
division of labor that such societies have. The skills needed for a specialized work-force
cannot be taught by the family. Schools provide the homogeneity through the
transmission of general values and also specific skills needed for co-operative behavior.
This is called unity based on value consensus e.g. rules on property rights; and the
promotion of a specialized labor market the members of which combine to produce goods
and services Durkheim (1858-1917).
Maslow’s Hierarchy of Needs Theory
Proposes that human are motivated by multiple needs and that needs exist in a
hierarchical orders.
Maslow identified five general type of motivating needs in order of ascendance:
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
8
1. Physiological needs. These are the most basic human physical needs including
food, water, and sex.
2. Safe needs. These are the needs for a safe and secure physical and emotional
environment and freedom from threats, that is, for freedom from violence and for an
orderly society.
3. Belongingness needs. This needs reflect the desire to be accepted by ones peers,
have friendship, be part of group, and be loved.
4. Esteem needs. In organization; these needs reflect a motivation for recognition,
increase in responsibility, high status, and credit for contributions to the organization.
5. Self-actualization needs. These needs can be met in the organization by
providing people with opportunities to grow, be creative, and acquire training for
challenging assignment and advancement.
Expectancy Theory of Motivation
In organizational terms, this concept of motivation pictures an individual,
occupying a role, faced with a set of alternative voluntary behaviors, all of which have
some associated outcomes attached to them. However, he makes the point that task goals
(productivity, quality standards or similar goals attached to jobs) are often means to an
end, rather than the end in itself. There is a second level of outcomes which reflect the
real goals of individuals and these may be attained, in varying degrees, through task
behavior. An individual is motivated to behave in a certain manner because (a) he or she
has a strong desire for a certain task outcome and a reasonable expectation of achieving
that outcome and (b) because he or she also expects that the achievement of the task
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
9
outcome will result in reward in terms of pay, promotion, job security, or satisfaction of
individual needs - physiological, safety, esteem and so on (Kotze 2008).
Merit Pay
A motivational program that rewards employees in proportion to their
contribution to the organization, sometimes called pay for performance or incentive
systems (Daft 1988).
Interpersonal Motivation Factors
Individual factors in motivation, there are other factors that arise from
interactions with other people:
Competition interpersonal factors and competition motivates behavior because
people can enhance their own self-esteem when they are able to make comparisons of
their own performance to that of others. While all learners appear to be motivated to
some extent by competition, the importance of competition is greater for some learners
than for others (Rich and DeVitis1992).
Cooperation interpersonal factors, in which learners derive satisfaction from
working toward group goals. As was the case with competition, the motivating force of
cooperation is stronger for some persons than others, and these differences are often
related to the person's previous experience or to the importance that cultures or
place on cooperation.
Recognition interpersonal factor, most people enjoy having their efforts and
accomplishments recognized and appreciated by others. In order to obtain recognition,
the activity of the learner must be visible to others. There are three ways to achieve
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
10
visibility: (1) the process of performing an activity may be visible, (2) the product of the
activity may be visible, or (3) some other result of the activity may be visible.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
METHODOLOGY
Locale and Time of the Study
This study was conducted in the selected barangays of Mankayan, Benguet where
the consumer cooperatives are located, namely: Cabiten, Paco, Poblacion, Sapid, and
Lepanto from December to February 2009.
Respondent of the Study
The respondent of this study were the members of primary cooperatives with
consumer services in selected barangays of Mankayan, Benguet. Fifteen members from
each cooperative were chosen randomly as respondents.
Collection of Data
Information and data were collected with the use of survey questionnaires. Follow
up interview were used to clarify some information.
Analysis of the Data
The data gathered, were analyzed and interpreted according to the objectives of the
study. Descriptive methods like percentages and frequencies were used.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
12
RESULTS AND DISCUSSION
General Profile of the Respondents
Table 1 describe the socio-economic profile of the respondents such as their age,
sex, civil status, highest educational attainment, source of income or occupation, and past
job before they join in their cooperative.
Age. Table 1 shows that majority (57%) of the respondents belong to the age
bracket of 41-60 years old, followed by a significant 39% belonging to the21-40 years
bracket. It can be noted however that 4% belong to the senior citizens bracket
(61 and above).
Based to the response of some respondents of the study through personal
interview to them that age does not have relation in motivating them to join their
cooperative. Age bracket 21-40 years old, 41-60 years old, and 60 and above have the
same response that they just join because of benefits given by the consumer cooperative.
Sex. The Rochdale Society of Equitable Pioneers, the most successful consumer
cooperative during the Industrial Revolution, had only one female – pioneer.
In the study area, majority (67%) of the respondents are females. This indicates that more
and more female are becoming involved in the cooperative movement. This could also be
associated further from the fact, that in our society, females are the ones more responsible
in purchasing basic household necessities, thus they are aware of the importance of
consumers store where they could avail of goods on credit, more so they could call their
own.
13
Civil status. Most (95%) of the respondents are married. This could be attributed
to the fact that married individuals are generally have more mouths to feed than single
individuals, thus they are more prone to join associations where they could avail basic
needs for the family.
Educational attainment. It shows that all of the respondents underwent formal
education with a significant 33% even finishing college. Education is needed in a modern
industrial society because of the complex division of labor that such societies have. The
skills needed for a specialized work-force cannot be taught by the family. Schools
provide the homogeneity through the transmission of general values and also specific
skills needed for co-operative behavior. This is called unity based on value consensus
e.g. rules on property rights; and the promotion of a specialized labor market the
members of which combine to produce goods and services
Current occupation. Mankayan is blessed with fertile agricultural lands that is
suitable for the production of various high land crops. This is the primary reason why
more (43%) of the respondents are into farming. A significant 29% are private employees
while a few (8%) are government employees. Others are into non-farm business, driving,
and teaching.
Occupations before they join in the cooperative. Result of the study showed that
there is no significant difference between their past occupations to their current
occupations except for the decreased in the number of those engaged into farming which
is about 6%.
14
Table 1. Socio- economic profile of respondents
CHARACTERISRIC FREQUENCY
PERCENTAGE
Age
21-40
29
39
41-60
43
57
61- above
3
4
TOTAL
75
100
Sex
Female
50
67
Male
25
33
TOTAL
75
100
Civil Status
Married
71
95
Single
3
4
Widowed
1
1.33
TOTAL
75
100
Educational Attainment
Vocational
12
16
College graduate
20
27
High school graduate
25
33
15
Table 1. Continued.....
CHARACTERISRIC
FREQUENCY
PERCENTAGE
Elementary graduate
18
24
TOTAL
75
100
Current occupations
Government employee
7
9
Private employee
22
29
Farming
32
43
Non-farm business
6
8
Driving(taxi/service/bus)
2
3
Teaching (Public/Private)
5
7
Others (newly graduate)
1
1
TOTAL
75
100
Past occupation before joining
in cooperative
Government employee
6
8
Private employee
20
27
Farming
37
49
Engaged in business
4
5
Driving(taxi/service/bus)
2
3
Teaching(Public/Private)
5
7
Others (newly graduate)
1
1
TOTAL
75
100
16
Table 2. Distribution of members according to who recruited them in joining their
cooperative
PARTICULAR
FREQUENCY
PERCENTAGE
Relatives
26
35
Friends
31
41
Officer of the cooperative
3
4
Parent
1
1
Mother-in-law
1
1
Others: (Personal decision)
13
17
Distribution of Members According to Who
Encouraged them in Joining their
Cooperative
Table 2 shows that friends (41%) and relatives (35%) respectively were the major
groups who encouraged the members in joining their cooperatives. Since their friends and
relatives are also members in the association, this motivated them more to join the
cooperatives. This could also be further explained by Maslow’s hierarchy of needs
particularly that of belongingness. Where this reflects the desire of individuals to be
accepted by ones peers, have friendship, be part of a group, and be loved. A significant
17% claimed that it is simply their own personal decisions. On the otherhand, others were
either recruited by the cooperative officers, parent, or in-law.
17
Table 3. Reasons according to what motivated the members in joining their cooperative
PARTICULAR
FREQUENCY
PERCENTAGE
RANK
Low price of commodities
21
28
5
Patronage refund they received
49
1
Near to their residence
27
36
3
Credit is allowed by the coop
36
48
2
Important supplies/commodities
are available
22
29
4
Other: Socialization
1
1
6
Factors that Motivated the Members
in Joining their Cooperative
Table 3 shows the number of the respondents that motivated through some
reasons in joining their consumer cooperative
Result of the study shows that the major reasons why members join consumers
cooperatives in the study area were patronage refund (49%) and credit (48%). They stated
that in consumers cooperatives, they could receive patronage refund from their purchases
unlike in the private stores. They are also aware of the benefits of availing credit
especially for those farmer-members who are not receiving income on a regular basis.
Other notable factors include the nearness of the cooperatives to their residences
(36%), availability of important commodities (29%), and low prices of the commodities
(28%).
18
Table 4. Variables considered the members before they joined their cooperative.
PARTICULAR
FREQUENCY
PERCENTAGE RANK
Good quality of goods and service
65
87
1
Reasonable price of
50
67
4
commodities
54
72
3
Credit without interest
Members are treated equally
53
81
2
Variables Members Considered Before they
Joined their Cooperatives
Table 4 shows that the primary variable considered by the members before they
joined their cooperatives are good quality of goods and services offered by the
cooperative, equal treatment they received, their privilege to avail of credits without
interest, and reasonable prices of commodities. Said variables were ranked by members
in descending order.
19
Table 5. Distribution of incentives/rewards given to the members who have good records
in their cooperative.
PARTICULAR
FREQUENCY
PERCENTAGE
By giving patronage refund
55
73
By giving surprise gift during the
annual General assembly
32
43
By giving certificate of
recognition
7
9
By giving Christmas bonus
during the Christmas party
4
5
Others: Raffle draw
6
8
Distribution of Incentives/Reward given to the
Member who have Good Records
in the Cooperative
Table 5 shows the distribution of incentives/reward given to member who has
good records in the cooperative; it shows that through giving incentives/reward to those
who have good records in the cooperative motivated some members to patronize their
cooperative.
Majority (73%) of the respondents consider the patronage refund as an
incentives/reward that given by their own cooperatives. Patronage refund is shown also
as the one that motivate the members in joining their cooperative. More (43%) of the
respondents received surprise gift during the annual general assembly such as food
supplies (can goods, twenty five kilos of rice and etc. Nine percent of the respondents
received certificate of recognition as a incentives/rewards such as recognition for having
20
good records in the cooperative and patronizing the service of cooperative. This could
also be further explained by Maslow’s hierarchy of need particularly that of esteem need.
Where this reflects the individual’s motivation for recognition, increase for responsibility,
high status, and credit for contributions to the organization. Few (5%) of the respondents
were receiving Christmas bonus as an incentives/reward to them for having good records
in their cooperative. Other incentives/reward is draw lots or raffle draw, (8%) of the
respondents receive incentives through raffle draw.
Motivation Factors in Order of Importance
as to what Motivated the Members to Join
their Cooperatives
Table 6 shows the motivational factor in order of importance as to what motivates
them in joining their cooperative.
The frequency of motivational factor in order of importance was categorized from
1-9, one (1) is the most important motivational factor while nine (9) is the least
important.
It is noted in the table that patronage refund they get/received (27%) and credit is
allowed by the cooperative (32%) respectively ranked as the most important motivational
factor in order as to what motivated them in joining their cooperative, followed by
reasonable price of commodities (17%) and important supplies/commodities are available
(15%) respectively ranked as the nearly important motivational factor. Furthermore,
loyalty of the staff (23%) respectively ranked as neutral in motivational factor as to what
motivate them to join their cooperative. While it also noted that good qualities of goods
and services (19%) and near to the residence(19%) respectively ranked as the less
important motivational factor in order of importance as to what motivate them in joining
21
their cooperative, and most of their relatives are member in the cooperative (39%) and
most of their friends are member in the cooperative (40%) respectively ranked as not very
important motivational factor in order of importance as to what motivate them to join
their cooperative.
21
Table 6. Ranking the motivation factors in order of importance as to what motivate the members in joining their consumer
cooperative.
Most important Nearly important Neutral Less important Not very important
1
2
3
4
5
6
7
8
9
PARTICULAR F
%
F
%
F
%
F
%
F
%
F
%
F
%
F
%
F
%
Rank
19
25
7
9
11
15
9
12
13
17
14
19 4
5
5
7
1
1
2
QGS
5
7
10 13
13
17
9
12
4
5
5
7
12 16 7
9
10 13 6
RPC
20
27
9
12
12
16
9
12
7
9
7
9
6
8
1
1
5
7
1
PRR
0
0
2
3
4
5
8
11
5
7
8
11 13 17 29 39 8
11 8
MRMC
1
1
0
0
3
4
2
3
7
9
7
9
12 16 13 17 30 40 9
MFMC
NR
13
17
10 13
9
12
9
12
10
13
10
13 14 19 4
5
5
7
3
8
11
24 32
11
15
7
9
9
12
7
9
4
5
3
4
2
3
4
CAC
LS
2
3
1
1
3
4
8
11
17
23
17
23 5
7
7
9
6
8
7
7
9
12 16
10
13
11
15
10
13
6
8
5
7
6
8
8
11 5
ICA
22
22
Legend:
QGS. – Good quality of goods and services
RPC. – Reasonable price of commodities
PRR. – Patronage refund I get /received
MRMC. – Most of their relatives are member in the cooperative
MFMC. – Most of their friends are member in the cooperative
NR. – Near to their residence
CAC. – Credit is allowed by the cooperative
LS. – Loyalty of the staff
ICA- Important supplies/commodities are available
23
24
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
Summary
This study was conducted in the five selected primary cooperatives operating on
consumer service in Mankayan, Benguet. It was conducted to determine the factors that
motivate the members in joining their cooperative; determine the socio- economic profile
of the members who usually motivated in joining consumer cooperative; determine who
motivate them in joining their cooperative; determine what motivate them in joining their
cooperative; determine the variable being considered by a prospective members before
joining consumer cooperative; determine the incentives/rewards that are given by the
cooperative to their members; and to identify the motivational factors in order of
importance as to what motivate the members in joining cooperative.
A total of 75 members from the five consumer cooperatives were taken randomly
as a respondents of the study. A structured survey questionnaire was used to gather the
needed information data that were analyzed through frequency and percentage.
The result revealed that out of 75 respondents, most of the respondents belong the
age bracket 41-60 years old, most are female, married, high school graduate and
currently engaged in farming as the source of their income. Furthermore, the study found
out that most of the respondents engaged in farming before they joined their cooperative.
Result revealed that most of the respondents were motivated by their friends to
join their consumer cooperative. With regards to their joining in the cooperative, their
friends that member in the same cooperative told them that credit is allowed and it is near
to their residence.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
25
Most of the respondents believed that through patronizing their cooperative, it
will increase their patronage refund. Likewise, most of them were located near to their
cooperative where they usually buy affordable and available commodities.
Results revealed that most of the respondents considered the good quality of
goods in services before joining a consumer cooperative. Were in cooperative code of the
Philippines that the primary objective lays emphasis on services.
Most of the respondents received an incentives/reward by giving a patronage
refund of their cooperative to those who have good records in their cooperative.
The study result revealed that the most motivational factor in order of importance
as to what motivate the members in joining their cooperative is the patronage refund they
get/received.
Conclusions
1. Almost all of the respondents patronize the consumer service of their
cooperatives.
2. Most of the respondents were recruited by either their friends or relatives to
join their cooperatives.
3. Almost all of the respondents considered the good quality of goods and
services offered by the consumer cooperative.
4. “The more you patronize the service of your cooperative, the higher patronage
refund you may get.” This mainly motivated members to join and patronize their
cooperative. Also, most of them buy from their cooperative because of its accessibility
from their place and they could afford the goods sold in their cooperative.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
26
5. Most members of the five cooperatives with consumer operation are female,
married, belong to age bracket 41-60 years old and high school graduate. Likewise, most
of them are currently engaged in farming as a source of their income. Furthermore, most
of them are engaged in farming before they joined in their cooperative.
Recommendations
Since cooperative give importance to the quality of goods and services offered by
a cooperative, there is a need for every cooperative to improve on their operations in
order to encourage members to actively participate and patronize their cooperatives.
Specifically, the following recommendations could be considered by the concerned
cooperatives:
1.
Consumer cooperative in the study area must look for cheaper source of
goods so that they could offer it to members also at a cheaper price.
2.
Supply of basic necessities should always be made available to members
and other clients.
3.
They should see to it that patronage refund should be regularly given to
members in the form of cash so as far to feel and realize more the benefits derived from
their cooperatives.
4.
Giving of other forms of incentives like surprise gifts, certificate of
recognition, gifts, raffle draws should be maintained by the cooperatives.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
27
LITERATURE CITED
DAFT, D. R. 1988. Management. Printed in the United State of America. Dryden Press,
a division of Holt, Rinehart and Winston, Inc. Pp. 398, 401-402.
DURKHEIM, E. 1858-1917. Effect of level of education to factors motivating
individuals in joining association. Retrieved March 15, 2009 from http://www.
angel fire. com/ scary/helstonsociology/AS%20Education/education_notes.htm.
KOTZE, R. 2008. Motivation. Retrieved March 15, 2009 from http://www.goal-setting-
guide.com/motivation-theory.html
NOLLEDO, N. 1986.Principles of Agrarian Reform, Cooperative and Taxation 12 the Ed.
P.163
ONAGAN, D. L. 1973. Cooperative Principle and Practices.Onagan and Sons Publisher.
City Pp.91, 96-99
PLUNKETT, R. W. and ATTNER, F. R. 1985. Introduction to Management.PWS-KENT
Publishing Company. A Division of Woodsworth, Inc.Boston, Massachusetts.
P.40.
REPUBLIC ACT 6938. 1991. Cooperative Code of the Philippines. Cooperative
definition. P. 10.
RICH and DEVITIS 1992. Interpersonal Motivation. Retrieved April 1, 2009 from
http://education.calumet.purdue.edu/vockell/EdPsyBook/Edpsy5/Edpsy5_interper
sonal.htm.
ROCHDALE Society 1995. Cooperative Principle. Retrieved March 21, 2009 from http://
rds.yahoo.com/_ylt= A0oGkkWw6L 1JgqQARfxXNyoA.
VICENTE, B. A. 2005. Patronage on consumer services of primary cooperative in Atok,
Benguet: An Analysis. BS Thesis BSU, La Trinidad, Benguet. P. 4.
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
28
APPENDIX A
Letter to the Respondents
COLLEGE OF AGRICULTURE
Department of Ag. Economics and Agribusiness Management
Benguet State University
La Trinidad, Benguet
SIR/MADAM:
I am a student of Benguet State University taking up Bachelor of Science in
Agribusiness major in Cooperative Management. I am presently conducting my
undergraduate research titled “MOTIVATION FACTORS OF MEMBERS IN JOINING
CONSUMERS COOPERATIVES IN MANKAYAN, BENGUET.”
In this connection, may I request a part of your time to answer the questionnaire
of my research. Rest assured that all data gathered would be kept confidential.
Thank you very much for your patience and kindness in providing the necessary
information.
Very truly yours,
SANTONIL E. PEDRO
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
29
APPENDIX B
Survey Questionnaire
I. Information on Cooperative
Name of the cooperative: ________________________
Address: __________________
Operations / Services: ___________________________
II. Respondents Socio-economic Background
Name (optional):_______________
Address: ______________________
Age: ___________ Sex: ___________ Civil Status: _____________
Highest educational attainment:
( ) Elementary graduate
( ) High school graduate
( ) College graduate
( ) Vocational
Members Source of Income
( ) Government employee
( ) Farming
( ) Private employee
( ) Engaged in business
( ) Driving (Taxi/service/Bus)
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
30
( ) Teaching ( public/private)
( ) Others (Please specify) _________________________
Past job before joining in the cooperative:
( ) Government employee
( ) Private employee
( ) Engaged in business
( ) Driving (Taxi/Service vehicles/Bu
( ) Farming
( ) Teaching (Public/private)
( ) Others (please specify) ________________________
III.1. Who motivated you in joining your cooperative?
( ) Relatives are members in the cooperative
( ) Friends are members in the cooperative
( ) Others (please specify): ______________________
2. What motivated you in joining your consumer cooperative?
( ) Low price of commodities
( ) Patronage refund I get / received
( ) Near to my residence
( ) Most of my relatives are member in the cooperative
( ) Most of my friends are member in the cooperative
( ) Credit is allowed by the cooperative
( ) Important supplies/commodities are available
( ) Others (please specify):______________________
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
31
3. What do you think are the variables being considered by a prospective member before
joining a consumer cooperative? Are these being done / present in your cooperative?
Present
YES NO
( ) Good quality goods and services _____ _____
( ) Reasonable price of the commodities _____ _____
( ) Allow members to have credit without _____ _____
interest
( ) Members are treated equally _____ _____
( ) Other (please specify) __________________________________
4. Does your cooperative give incentives/rewards to those members who have good
records in your cooperative? How?
YES NO
( ) By giving patronage refund _______ _______
( ) By giving surprise gift during the annual _______ _______
general assembly
( ) By giving certificate of recognition _______ _______
( ) By giving Christmas bonus during the _______ _______
Christmas party
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
32
5. Please rank the motivation factor in order of importance as to what motivates you in
joining your cooperative, with one (1) being the most important factor, and nine (9 )to
being the least important factor.
_______ Good quality of goods and services
_______ Reasonable price of commodities
_______ Patronage refund I get/ received
_______ Most of my relatives are member in the cooperative
_______ Most of my friends are member in the cooperative
_______ Near to the residence
_______ Credit are allowed
_______ Loyalty of the staff
_______ Important supplies/ commodities are available
Motivation Factors of Members in Joining Consumers
Cooperative in Mankayan / Santonil E. Pedro. 2009
Document Outline
- Motivation Factors of Members in JoiningConsumers Cooperative in Mankayan
- BIBLIOGRAPHY
- ABSTRACT
- TABLE OF CONTENT
- INTRODUCTION
- REVIEW OF LITERATURE
- METHODOLOGY
- RESULTS AND DISCUSSION
- SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
- LITERATURE CITED
- APPENDIX