The consumer cooperative store is a very popular form of retail. It is owned, managed and controlled by the consumers themselves.

The reasons why they are considered to be less expensive is because they generally buy in large quantity from the manufacturers and the wholesalers and sell it to the consumers at a reasonable price. The members can get the goods at a cheaper price. The cost incurred to pay the middlemen is eliminated.

The relative advantage of a consumer cooperative store over large scale retailers explain below:

a. A cooperative store provides the goods at a reasonable price and good quality to its members. This helps to eliminate the measurement.

b. It is not in core heavy expenditure on the advertisement for the promotion of its products.

c. The goods are purchased from the manufacturers in bulk. The economies of bulk purchase such as discount and low freight are also obtained.

d. They sell goods only on the cash payment so there is no chance of bad debt.

e. It works on the principle of one man one vote. There is no special voting right to the member who has purchased a large number of shares.

f. It also receives the benefit from the government in the form of tax exemption for financial assistance.