Aboriginal Co-operatives in Canada - Centre for the Study of Co ...

A P P E N D I X B : T H E P O L I C Y E N V I R O N M E N T ~Many Aboriginal governance and leadership structures are highly politicized with highturnover rates. As one province explained, “When a political chief becomes head of aco-op, this creates poor economic and investment conditions on-reserve and underminesthe co-operative business model and democratic business principles.” Another culturaldimension that may complicate the success of co-ops is that, while collaborative, thecultural constructs of some Aboriginal groups are also hierarchical, which is counterproductiveto the co-operative principles of a shared and egalitarian approach.The absence of a private sector on-reserve and the nature of many band-operatedindustries are undermining economic progress. One quote sums up a widely held view:“Community ownership by a band can mean nobody owns and nobody is responsible andnobody decides … family and clan ‘club’ mentality is highly political and ineffective andnot conducive to business development.” In several provinces and territories, failed co-opswere tied to management problems where one or two family members did everything andburned out.Finally, it appears that there is a serious case of “too much information” on economicdevelopment options and paradigms. In the past, governments have tended to “push”models as opposed to explaining them and providing information and support. In the1960s it was the co-operative model, then development corporations, and now increasingnumbers of band-run numbered companies have emerged, all with varying levels of success.The overwhelming number of models being enthusiastically brought forward to Aboriginalpeople make for a difficult decision making and planning environment.Opportunities to Develop the NicheAll respondents saw that there was room for improvement, and that this niche is ripe forattention and development. The following suggestions are based on respondents’ ideas forareas that merit further work or attention and would, of course, require varying leadership,mandates, and resources.Improving Awareness and Promotion of the Co-operative Model in the Aboriginal ContextCo-op federations could pay specific attention to the needs and potential of the Aboriginalco-op sector. Proactive outreach and advocacy to the Aboriginal economic developmentcommunity and with Aboriginal development corporations and existing tripartite fora onAboriginal economic development could go a long way to stimulate take-up of co-ops onreserveand in urban areas.150 ~ M C P H A I L