Specificity of cooperative efficiency evaluation according to abnormal cooperative additional value (ACAV) measure

Abstract

Abstract. In order to evaluate the efficiency of dairy cooperatives the author applied Abnormal Cooperative Additional Value (ACAV) measure, according to Pietrzak [2006]. The measure constructed in that way integrates profits of cooperative companies with a procurement price (which includes potential benefit to the farmer). Comparing economic evaluation of dairy cooperatives based on economic profit and on ACAV, considerable differences were proved in the evaluation of economic results of cooperative entities.

Keywords

• dairy cooperative
• Abnormal Cooperative Additional Value
• efficiency
• economic profit