Case Studies and Discussion Papers

Tim Mazzarol

This paper reports on a research study that maps the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia. The Australian CME Index (ACMEI) is a longitudinal study that can provide a better understanding of these firms and their economic and social contribution to the national economy. This year the study found a total of 1,810 active CMEs of which 79.5% were co-operatives, 17% mutual enterprises, 2.2% were friendly societies and 1.3% were member-owned superannuation funds. These firms had a combined active membership base of more than 37.79 million memberships1, managed over $2,084.9 billion in assets, and employed at least 94,961 people. They encompassed a wide range of industry sectors and provided significant economic and social benefits to their members.

Bruce Baskerville, Tim Mazzarol and Amber van Aurich

Tim Mazzarol, Amber van Aurich and Bruce Baskerville

Tim Mazzarol

This paper reports on a research study that maps the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia. The Australian CME Index (ACMEI) is a longitudinal study that can provide a better understanding of these firms and their economic and social contribution to the national economy. This year the study found a total of 1,834 active CMEs of which 79.8% were co-operatives, 16.7% mutual enterprises, 2.1% were friendly societies and 1.4% were member-owned superannuation funds. These firms had a combined active membership base of more than 37.32 million memberships1, managed over $1,846.5 billion in assets, and employed at least 94,421 people. They encompassed a wide range of industry sectors and provided significant economic and social benefits to their members.

Tim Mazzarol

The Australian financial services sector includes various banks and credit unions, excluding health insurance and superannuation firms. Bank Australia, originally founded as the CSIRO Co-operative Credit Society in 1957, has evolved through several mergers and name changes. It became Australia’s first mutual bank in 2011 and has since expanded through partnerships and further mergers, including with Intech Credit Union and Talka Ltd. In 2024, it pursued a merger with Qudos Bank, reinforcing its commitment to customer-owned banking and the mutual business model.

Amber van Aurich, Bruce Baskerville and Tim Mazzarol

Galactic Co-operative (WA) Ltd is currently the only worker co-operative in Western Australia (WA) and one of a few in the history of worker co-operatives in the state. Founded in 2017 by Andrea Biondo, Galactic Co-operative provides ‘technical expertise, servicing and sustainability consulting across multiple industries’ at a national level. The Co-operative trades under thetradename Galactic Scientific, emphasising a local mindset while providing expertise, training, maintenance and repair services for scientific equipment in laboratories as well as the broadcast and telecommunication industries (Galactic, 2024b). As a part of its Galactic Sustainability branch, the Co-operative provides sustainability expertise, including on issues of avoiding landfill and reducing greenhouse gas emissions.

Tim Mazzarol, Joanne Sneddon, Andrea Gaynor and Amber van Aurich

Established in 1918, the Mount Barker Co-operative Ltd. (MBC) services the needs of the Shire of Plantagenet and its surrounding areas. The Mount Barker Co-operative Ltd began as a packing and distributing enterprise and evolved over the years, meeting the various needs of members and the Mount Barker community to become a consumer co-operative, purchasing products and services for its members. Within the Shire of Plantagenet, the Co-operative, located in the town of Mount Barker, manages the brands IGA, Mitre 10, Elders, Cellarbrations, and Mount Barker fuel services.

Tim Mazzarol, Amber van Aurich and Bruce Baskerville

Established in 1916, the Quairading Farmers' Co-operative Company Ltd. (QFCC) currently operates the town’s local supermarket, Quairading Co-op Foodworks, plus additional retail and commercial spaces in the town. The supermarket is located at 29-37 Heal Street, Quairading. In addition, the QFCC owns and leases two retail sites within the Heal Street location, which house the Quairading Pharmacy, and The Makers’ Keep gift shop. However, the latter site is being renovated to transform it into a coffee shop. A further commercial site at 34-38 Avon Street, Quairading is owned by QFCC and was leased to Hutton and Northey Sales, a farm machinery agency, spare parts and servicing business with multiple locations across the Wheatbelt. Another retail space located at 29-37 Heal Street, Quairading, was available for lease at time of writing. The Co-operative provides employment, services, and essential goods to the Shire of Quairading and has proudly served its community for 108 years.

Tim Mazzarol, Amber van Aurich and Bruce Baskerville

Established in 1917, the York and District Co-operative Ltd. currently operates supermarket, hardware, building and garden supplies businesses at two sites within the town. It owns four sites containing these and other buildings. Known as The Co-op York, it is a consumer co-operative located in the picturesque historic town of York, Western Australia (WA). With a combined annual turnover of more than $15 million, The Co-op York, employs about 74 people and provides valuable services to the local population of 3,459 living in the Shire of York, plus the many thousands of tourists who visit the historic town each year.

Tim Mazzarol

This paper reports on a research study that maps the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia. The Australian CME Index (ACMEI) is a longitudinal study that can provide a better understanding of these firms and their economic and social contribution to the national economy. This year the study found a total of 1,819 active CMEs of which 80.6% were co-operatives, 15.8% mutual enterprises, 2% were friendly societies and 1.5% were member-owned superannuation funds. These firms had a combined active membership base of more than 34.8 million memberships1, managed over $164.3 billion in assets, and employed at least 89,046 people. They encompassed a wide range of industry sectors and provided significant economic and social benefits to their members.

Tim Mazzarol, Amber van Aurich and Bruce Baskerville

Established in 1933, CBH is at its core an organisation for the bulk handling of grain. It has been a non-distributing co-operative since 1970, CBH sets fees at a level that allows it to earn enough to cover operating costs and capital requirements on an average sized crop, through the cycle. It does not seek to over recover fees from growers but in larger years when a surplus is made, they can rebate this to members if they wish.. In 2023, CBH turned over $6.23 billion and had assets worth $4.38 billion. Since 2 December 2012 CBH has been registered with the Australian Charities and Not-for-profits Commission (ACNC) where its purpose is stated as, “Promotion of the grain growing industry of Western Australia”.

Tim Mazzarol

This paper reports on a research study that maps the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia. The Australian CME Index (ACMEI) is a longitudinal study that can provide a better understanding of these firms and their economic and social contribution to the national economy. This year the study found a total of 1,848 active CMEs of which 81% were co-operatives, 16% mutual enterprises, 2% were friendly societies and 1.5% were member-owned superannuation funds. These firms had a combined active membership base of more than 33.3 million memberships1, managed over $1,469 billion in assets, and employed at least 76,806 people. They encompassed a wide range of industry sectors and provided significant economic and social benefits to their members.

Bruce Baskerville, Tim Mazzarol and Amber van Aurich

Tim Mazzarol

Founded in 1992, the HunterNet Co-operative Ltd., is a non-distributing, multi-stakeholder co-operative headquartered in Newcastle, New South Wales (NSW). In 2022, HunterNet had a membership of 130 organisations of various sizes, employed around 12 full-time staff, and reported an annual turnover of just over $2 million. HunterNet is focused on assisting local businesses within the Newcastle and Hunter Region to sustain and grow through collaboration, networking, knowledge exchange, and innovation. Most of its members are small to medium enterprises (SMEs), engaged in manufacturing, engineering, specialist advisory and consulting services. Their focus is within the domestic and international defence, energy, and resources industries, as well as emerging industries in environmental sustainability.

Tim Mazzarol

This paper reports on a research study that maps the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia. The Australian CME Index (ACMEI) is a longitudinal study that can provide a better understanding of these firms and their economic and social contribution to the national economy. This year the study found a total of 1,832 active CMEs of which 80% were co-operatives, 16% mutual enterprises, 2.1% were friendly societies and 1.9% were member-owned superannuation funds. These firms had a combined active membership base of more than 31.7 million memberships1, generated over $202.9 billion in revenue, managed over $1,282 billion in assets, and employed at least 73,069 people. They encompassed a wide range of industry sectors and provided significant economic and social benefits to their members. The report outlines these contributions and offers a case study of a selected CME to illustrate them.

Bruce Baskerville, Tim Mazzarol and Amber van Aurich

The Automobile Club of Western Australia (ACWA) was established in 1905 and consciously sought to emulate the British example of the Automobile Club of Great Britain and Ireland, which in 1907 became the Royal Automobile Club, or RAC. ACWA became an incorporated association in 1916 and was honoured by King George V in 1922 with the royal prefix in its name. From this time the Club began to use the abbreviation RAC as its ‘brand’ and maintain strong affiliations with its British counterpart. Over the long history of the RACWA, the organisation has provided leadership in the development of the motoring community in the state, as well as in motor vehicle safety, road safety, environmental sustainability, tourism, and insurance. 

Bruce Baskerville, Tim Mazzarol and Amber van Aurich

Founded in 1867, the Albany Co-operative Society Ltd., was the first co-operative established in Western Australia. It was a response to the high cost of food and other goods within the port town of Albany in the south west of WA, and high cost of store credit offered by local storekeepers. The co-operative's foundation was led by William Carmalt Clifton, the agent of the P&O shipping office in Albany, which at the time was a key coaling station for the shipping company supporting the mail routes from Melbourne to London. The co-operative succeeded in reducing prices in the town and operated successfully until its wind-up in 1885. Its demise was due to changes in the fortunes of the P&O company, and the departure of Clifton, but it left a lasting legacy in the form of its heritage building on the foreshore of Albany, and its role model for subsequent consumer co-operatives in the state. 

Tim Mazzarol

Founded in 1880, United Friendly Societies Dispensaries (UFS) Ltd., is a not-for-profit, Australian Public Company, Limited by Guarantee. Headquartered in Ballarat, Victoria, UFS operates a network of nineteen pharmacies in regional Victoria, three metropolitan pharmacies in Melbourne, along with three medical centres, and two COVID clinics (testing and vaccination) in Ballarat (UFS, 2021). In addition to its pharmacies and medical clinics, UFS operates a gift shop, a day spa and wellness centre, and a Pilates and Yoga studio (BSS, 2021). The story of UFS provides insights into the history of Australia's friendly societies, as well as the evolution of the national health services, both pharmacy and medical.

Tim Mazzarol

This paper reports on a research study that maps the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia. The Australian CME Index (ACMEI) is a longitudinal study that can provide a better understanding of these firms and their economic and social contribution to the national economy. This year the study found a total of 2,031 active CMEs of which 81.5% were co-operatives, 14.6% mutual enterprises, 2.1% were friendly societies and 1.8% were member-owned superannuation funds. These firms had a combined active membership base of more than 31.1 million memberships1, generated over $353 billion in revenue, managed over $1,108 billion in assets, and employed at least 69,350 people. They encompassed a wide range of industry sectors and provided significant economic and social benefits to their members. The report outlines these contributions and offers a case study of a selected CME to illustrate them.

Tim Mazzarol

Founded in 2018, Kudos Services (Kudos) is the trading name of the Child and Youth Services Mutual Ltd., an Australian Public Company Limited by Guarantee. Located in Adelaide, South Australia, Kudos is a mutual enterprise, and a Public Benevolent Institution and charity registered with the Australian Charities and Not-for-profits Commission (ACNC). Kudos is a mutual enterprise created by the South Australian Government to facilitate the privatisation of its children and youth therapy services. It was created in response to the introduction of the National Disability Insurance Scheme (NDIS). 

Tim Mazzarol

The South Australian Co-operative Bulk Handling Ltd. (SACBH) was established in 1954 and took the state’s grain industry from the laborious and inefficient use of jute bags for the handling and storage of grain, into the contemporary era of bulk handling and storage. The foundation of the co-operative was itself a battle that local growers were forced to wage against their state government and vested interests throughout the first half of the 20th Century. By the 1980s, after a period of steady growth from its foundation, SACBH was operating bulk storage and handling infrastructure with more than 4 million tonnes capacity and had an active membership of over 17,365 growers throughout the state. However, in the 1990s it moved towards demutualisation, transforming in a farmer owned business AusBulk-UHG Ltd. In 2004 it merged with ABB Grain Ltd., and became Australia's largest agribusiness, listing on the ASX in 2008, only to be acquired by Canadian firm Viterra in 2009, which was then acquired by Anglo-Swiss firm Glencore in 2013.

Tim Mazzarol

This paper reports on a research study that maps the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia. The Australian CME Index (ACMEI) is a longitudinal study that can provide a better understanding of these firms and their economic and social contribution to the national economy. This year the study found a total of 2,040 active CMEs of which 81% were co-operatives, 15% mutual enterprises, 2.1% were friendly societies and 2% were member-owned superannuation funds. These firms had a combined active membership base of more than 28.7 million memberships1, generated around $100 billion in revenue, managed over $1,067 billion in assets, and employed at least 69,839 people. They encompassed a wide range of industry sectors and provided significant economic and social benefits to their members. The report outlines these contributions and offers a case study of a selected CME to illustrate them.

Tim Mazzarol

Founded in 1901, the Cobargo Co-operative Society Ltd. (CCS) is a community-owned enterprise that originated as a dairy (butter) producer co-operative but evolved into a consumer co-operative servicing the needs of the regional community of Cobargo. In 2020, the co-operative had around 1,200 active members, and an annual turnover of around $4.1 million. Over the 120 years since its foundation the co-operative has experienced many challenges, comprising floods, fires, wars, economic recessions and changes to industry structure and government regulations. Despite this it has survived and adapted. This case study is an example of a co-operative that has demonstrated resilience and adaptability.

Tim Mazzarol

This paper reports on a research study that aims to map the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia. The Australian CME Index (ACMEI) is a longitudinal study that can provide a better understanding of these firms and their economic and social contribution to the national economy. This year the study found a total of 2,032 active CMEs of which 82% were co-operatives, 14% mutual enterprises, 2.1% were friendly societies and 2% were member-owned superannuation funds. These firms had a combined active membership base of over 31.3 million memberships1, generated more than $104.4 billion in revenue, managed over $923.7 billion in assets, and employed at least 61,255 people. They encompassed a wide range of industry sectors and provided significant economic and social benefits to their members. The report outlines these contributions and offers a case study of a selected CME to illustrate them.

Tim Mazzarol

The Yenda Producers’ Co-operative Society Ltd (YPC) one of Australia’s oldest continuously operated co-operatives and one of its largest by annual turnover. In 2018 the co-operative turned over around $83.3 million, employed over 100 full and part-time staff and had about 1,500 members. Operating as a group, the co-operative provides a range of professional services and agricultural supplies such as fertilisers, chemicals, biologicals, seeds, and hardware. It provides a valuable case study of the economic and social benefits that the co-operative and mutual enterprise business model can deliver to regional communities.

Tim Mazzarol

This paper reports on a research study that aims to map the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia. The Australian CME Index (ACMEI) is a longitudinal study that can provide a better understanding of these firms and their economic and social contribution to the national economy. This year the study found a total of 1,998 active CMEs of which 82.3% were co-operatives, 13.5% mutual enterprises, 2.2% were friendly societies and 2% were member-owned superannuation funds. These firms had a combined active membership base of over 29.5 million memberships, generated more than $102.7 billion in revenue, managed over $809.7 billion in assets, and employed at least 54,841 people. They encompassed a wide range of industry sectors and provided significant economic and social benefits to their members. The report outlines these contributions and offers case studies of selected CMEs to illustrate these contributions.

Tim Mazzarol

Founded in 1985, the Rapid Group Co-operative (RapidClean) commenced operations as a buying group within the Rotobic commercial floor polisher suppliers located in NSW who wished to collaborate to gain greater bargaining power in relation to the sourcing of chemicals, floor polish, floor polishing equipment and consumables. The Rotobic floor polisher was manufactured in Australia and the distributors were independent business owners. Since that time the Rotobic manufacturer has been acquired by the large German manufacturer Hako GmbH, which specialises in commercial cleaning equipment. By 2018 it had over 60 members' stores operating across Australia and New Zealand.

Tim Mazzarol

Operating within this intensely competitive market environment is Australia’s largest liquor co-operative, the Independent Liquor Group (ILG). Established in 1975 by a group of independent hotel and bottle shop owners, the co-operative is now a major business comprising two separate but related co-operatives with more than 1,200 small, licensed liquor stores, hotels, clubs and restaurants across NSW, Queensland and the ACT as members of the ILG Suppliers Co-operative and ILG Distribution Co-operative. ILG Suppliers Co-operative also includes large liquor suppliers in membership.

Tim Mazzarol and Johannes Kresling

This paper reports on a research study that aims to map the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia. The Australian CME Index (ACMEI) is a longitudinal study that can provide a better understanding of these firms and their economic and social contribution to the national economy. This year the study found a total of 2,134 active CMEs of which 82.5% were co-operatives, 13.2% mutual enterprises, 2.2% were friendly societies and 2% were member-owned superannuation funds. These firms had a combined active membership base of over 29 million memberships, generated more than $113 billion in revenue, managed over $722.2 billion in assets, and employed at least 52,322 people. They encompassed a wide range of industry sectors and provided significant economic and social benefits to their members. The report outlines these contributions and offers case studies of selected CMEs to illustrate these contributions.

Elena Mamouni Limnios and Tim Mazzarol

A few passionate and determined farmers got together in the early 1990s and created the United Farmers’ Co-operative Company (UFCC) to fight off the oligopolistic fertiliser market in Western Australia. UFCC grew exponentially for a decade but faced several challenges leading to a sharp decline and eventually was acquired by a larger, New Zealand fertiliser co-operative Ravensdown. However, this relationship did not last and by 2013 the co-operative was demutualised through its sale to global agribusiness commodities trader Louis Dreyfus Commodities (LDC).

Tim Mazzarol

The Rumbalara Aboriginal Co-operative Ltd is a community-owned and controlled non-distributing (not-for-profit) enterprise located in Shepparton, Victoria. At time of writing Rumbalara had approximately 600 registered members, which represented about 30% of the Aboriginal and Torres Strait Islander population living in the Greater Shepparton region. With an annual turnover of around $20 million, Rumbalara employs approximately 200 people and provides an integrated service delivery model for its members. This makes Rumbalara one of the largest service providers to the Aboriginal and Torres Strait Islander community in Victoria, and one of the largest indigenous owned co-operatives in Australia. The co-operative is also a registered charity under the Australian Charities and Not-for-profits Commission (ACNC).

Tim Mazzarol, Elena Mamouni Limnios, Geoffrey N. Soutar and Johannes Kresling

This paper reports on a research study that aims to map the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia through the development of an Australian CME Index (ACMEI), that can provide a better understanding of these firms and their economic and social contribution to the national economy. This year the study found a total of 1,983 active CMEs of which 89% were co-operatives, 8.9% mutual enterprises and the remainder member-owned superannuation funds. These firms have combined active memberships of over 29 million, generate more than $132.9 billion in revenue and manage over $650.4 billion in assets. They encompass a wide range of industry sectors and provide significant economic and social benefits to their members. The report outlines these contributions and offers case studies of selected CMEs to illustrate these contributions.

Tim Mazzarol, Elena Mamouni Limnios, Geoffrey N. Soutar and Johannes Kresling

This paper reports on a research study that aims to map the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia. Its purpose is to provide a better understanding of these Australian Cooperative and Mutual businesses and their contribution to the national economy. Despite representing some of the largest businesses in their sectors and being found across a wide-range of industries the overall size, structure and contribution of the CME sector in Australia are relatively poorly understood. This is due to a paucity of reliable data, difficulties in definition and vagueness over which firms should be identified as CME. To address these issues the development of an Australian Co-operative and Mutual Enterprise Index (ACMEI) has commenced. This aims to provide data and analysis of the size and shape of the CME sector. In 2015 it has focused on the identification of the Top 100 Co-operative and Mutual enterprises in Australia to inform the peak body representing the sector, the Business Council of Co-operatives and Mutuals (BCCM).

Tim Mazzarol

This paper examines the issues of purpose, identity and the development of member value within co-operative and mutual enterprises (CMEs). It aims to explain the nature and importance of “purpose” in CMEs and how this is communicated by such firms to their members. The paper finds that while the concept of purpose is still ill-defined and informally applied by most enterprises, it remains a key part of the way in which CMEs seek to differentiate themselves from other types of business. The paper also examines the nature of “identity” in CMEs and the important role that the co-operative principles and values play in defining these enterprises. The importance of social capital is also examined and the role it plays in the fostering of loyalty and commitment by members. The need for CMEs to develop a clear understanding of their “purpose” and “identity” and communicate this to members is highlighted. This is particularly important for CMEs that have highly diverse membership communities, or where the “generic problems” poses a major risk to the enterprise over the longer term. Recommendations for future research and practice are outlined.

Tim Mazzarol, Elena Mamouni Limnios, Geoffrey N. Soutar and Johannes Kresling

This paper reports on a research study designed to map the size and structure of the Co-operative and Mutual enterprise (CME) sector in Australia. Its purpose is to provide a better understanding of these Australian Co-operative and Mutual businesses and their contribution to the national economy. Despite representing some of the largest businesses in their sectors and being found across a wide-range of industries the overall size, structure and contribution of the CME sector in Australia are relatively poorly understood. This is due to a paucity of reliable data, difficulties in definition and vagueness over which firms should be identified as CME. To address these issues the development of an Australian Co-operative and Mutual Business Index (ACMI) has commenced. This aims to provide data and analysis of the size and shape of the CME sector. In 2014 it has focused on the identification of the Top 100 Co-operative and Mutual enterprises in Australia to inform the peak body representing the sector, the Business Council of Co-operatives and Mutuals (BCCM).

Tim Mazzarol

This paper outlines the findings from a study of 241 small business owner-managers who were asked to complete a diagnostic assessment questionnaire designed to examine their management practices. This was part of a best practice benchmarking study being undertaken by the University of Western Australia (UWA) through its MBA program. Commencing with a pilot study of 21 owner-managers engaged in a business development course run by the Centre for Entrepreneurial Management and Innovation (CEMI) in 2005, the use of the diagnostic tool continued via the MBA program as a teaching mechanism for students studying small business management.

Tim Mazzarol

This study examines the level of engagement with SMEs by Australia’s universities through a study of their education, research and industry outreach programs as viewed through their website information. The findings show that most universities offer courses in the fields of entrepreneurship and innovation, with some also focusing on small business management. Most of these courses are offered via undergraduate or postgraduate degree programs as individual units or areas of specialisation. Several have specialist degrees in the field of entrepreneurship.

Tim Mazzarol

Entrepreneurial ecosystems represent a conceptual framework designed to foster economic development via entrepreneurship, innovation and small business growth. They can play a key role in the achievement of economic growth targets as set in recent years by the G20 Leaders’ Summits. However, the creation of sustainable entrepreneurial ecosystems requires attention to a range of factors and they should be allowed to form organically. The development of such systems should avoid trying to ‘pick winners’ or ‘replicate Silicon Valley’. However, they can be facilitated by government policy through reform of legal, bureaucratic and regulatory frameworks.

Tim Mazzarol

Among the key elements in the development of entrepreneurial ecosystems are regulatory frameworks, infrastructure and the role of financing. This paper examines the role of these three elements in facilitating or impeding the growth and sustainability of entrepreneurial ecosystems. Australia and New Zealand generally rank well in comparison to OECD averages for ease of doing business. However, regional neighbours such as Singapore do even better. Government policy needs to consider the impact of regulation across the entire lifecycle of the firm, from start-up through growth and into maturity.

Tim Mazzarol

Cases in Entrepreneurship and Innovation provides relevant cases that help students to effectively apply the theory or principles being addressed in any small business management or entrepreneurship course. This casebook can be used successfully in a classroom or lecture environment to compliment undergraduate or postgraduate-level lectures. The cases in this casebook are all based on original research, real entrepreneurs and real businesses. The educational value of these cases can be augmented when used in conjunction with Entrepreneurship and Innovation or Small Business Management both published by Tilde University Press.

Elena Mamouni Limnios, John Watson, Tim Mazzarol and Geoffrey N. Soutar

A major issue for many co-operative enterprises is the ability to raise capital to fund growth. Considerable attention has been given to facilitating access to non-member capital sources and managing and accommodating such financing. This paper examines the merits of a new financial instrument known as the Co-operative Capital Unit (CCU), introduced in Australia to increase the co-operative sector’s flexibility in raising capital. Using a Delphi Panel approach the likely attractiveness of alternative CCU structures in terms of ownership rights, profit distribution, market facilitation and governance options were examined. We conclude that a CCU is likely to be of most value as an equity (rather than debt) instrument and propose CCU taxonomy depending on co-op ownership rights. We further propose an equity capital structure for a newly funded co-op to illustrate how CCUs could best be used to address some of the generic challenges facing co-ops.

Tim Mazzarol, Richard Simmons and Elena Mamouni Limnios

This paper outlines a conceptual framework for approaching research into the co-operative enterprise business model and its sustainability. The model examines the co-op from three perspectives, that of the member, that of the co-op as a business entity, and the wider systems level. Key units of analysis for each level are outlined. Also considered within the model are three primary objectives for the co-op: i) the need to build identity; ii) the need to build social capital and iii) the need to build sustainability. The application of resilience architecture to help understand the dynamic behaviour of the co-operative enterprise over time is also discussed.

Tim Mazzarol

The aim of this is discussion paper is to provide a framework for the development of academic study into the field of the cooperative business model. In doing so, it also seeks to stimulate debate within academic circles, the cooperatives movement, and the wider community over the future of the cooperative as a legitimate business model. The study was funded by Co-operatives WA to address six areas of analysis: 1. The validity of the cooperative business model in the 21st Century; 2. Member value creation and recognition within the cooperative; 3. Supply chain management and strategic networking within cooperatives; 4. Cooperative leadership and corporate governance; 5. The cooperative as a mechanism for regional economic development; and 6. The financial structure and funding of the cooperative business model. Each of these six units of analysis has a set of specific research questions which this discussion paper will attempt to address. However, the purpose of this initial study is not to answer all questions in a comprehensive manner, but to identify the current state of knowledge relating to these issues, and to provide recommendations for future research.

Ron J. McFarlane

Public sector organisations can embrace innovation through the integration and decentralisation of services, use of partnerships and via citizen engagement. The use of information and communication technologies (ICT) provides a means of facilitating these changes. Innovation must be supported within government agencies by senior managers and via the sharing of ideas. For the WA Public Sector to take advantage of the opportunity for innovation there must be several conditions met. A systematic approach to innovation is required and risk management plans implemented. Appropriate reward and incentives structures will need to be put in place and appropriate resources made available.

Tim Mazzarol

Innovation within a commercial environment is about adding value through new product development, or reducing cost via changes to process technologies and systems. While is may take the form of radical, disruptive change, the majority of innovations are incremental in nature. Contemporary innovation management requires the active participation of all employees with adequate rewards and recognition of such behaviour. Management plays a key role in this process, motivating employees to seek innovative solutions and identifying opportunities for enhanced innovation via interactions with the customer. It is important for organizations to build innovation management systems able to assist with the facilitation of knowledge sharing and commercialisation among both internal and external actors.

Tim Mazzarol

The government and non-profit sectors are faced with increasing pressures to adopt commercial orientations
and competitive market responses. Managers within such organisations must lead innovation in the creation
of new products, services and processes in order to survive. However, innovation is the offspring of creative,
entrepreneurial minds with the willingness to take risks and commit to sustained persistent efforts. Managers
within government and non-profit organisations are frequently challenged in achieving such innovation by
structural impediments and ‘sticky’ organisational cultures. This paper examines these challenges and
identifies pathways to overcoming such barriers with a view to unlocking the potential within organisations.

Tim Mazzarol

This paper provides an overview of the concept of industry clustering and its value to enhancing innovation and enterprise. The success factors associated with regional clustering are described, highlighting the critical importance of local networking between industries and firms. A series of case studies are provided including regional development using clustering principles in Adelaide, Cairns and the Newcastle-Hunter region of NSW. Finally, the paper concludes with recommendations for future action. These include the following: i) undertaking a cluster mapping and environmental scanning process to provide base-line data for future policy and planning activities; ii) enlisting the support of the local business community to participate in a development strategy, particular ‘anchor’ firms in each cluster; iii) identify regional development projects that can channel the energies of key industry and community stakeholders, but that offer mutual benefits to the region; iv) formation of a Regional Development Board to coordinate projects and source funding.

Andre Morkel  and Barry Posner

While advisory boards have been around for a long time, they have become rather commonplace in SiliconValley (USA) in the past decade. In fact, they are so common for new ventures as to be unremarkable andtaken for granted. However, there is really very little empirical evidence about advisory boards, how theywork, why they work, or don’t work, and the like. The purpose of this research is to explore and to discoverhow advisory boards operate in practice. A number of tentative conclusions arise from this investigation,which can provide guidance to entrepreneurs in the composition and disposition of advisory boards, and alsooffers clues to future researchers for topics requiring more focused and in-depth inquiry.

Tim Mazzarol

While the range and depth of strategic management literature is substantial, it has generally been developed from the perspective of the large corporation. This paper examines the strategic management literature and considers its application in the context of small business management. Drawing on case studies of owner-managers engaged in the development of fast growing small firms, the paper examines which theories are of relevance and which are not. While many of the strategic management theories do have application to small firms, caution is advised in seeking to impose large company experience and practice on small firms.

Russell Barnett and Tim Mazzarol

This paper examines the process of venture capital and how venture capital investors and entrepreneurs
perceive it. Drawing on the findings from a series of in-depth interviews conducted with participants from the
venture capital sector and entrepreneurs, the paper examines the case of Western Australia. Findings suggest
that the Western Australian venture capital sector’s approach to the evaluation of investment opportunities is
consistent with that found around the world. However, while Western Australia offers an attractive lifestyle
for entrepreneurs, the sector is both immature and poorly coordinated with inadequate networking between
investors and entrepreneurs. Recommendations for future strategies are highlighted.

Joanne N. Sneddon and Tim Mazzarol

This paper examines the application of new technologies to precision agriculture, with specific reference to the
wool industry in Australia. It argues that the adoption of new innovation is essential to the long-term
sustainability of the industry, but cautions that the diffusion of such technologies is likely to depend on the
strategic intent of the wool producers. Multiple case studies are presented to illustrate how the strategic
management approaches adopted by wool producers will influence the potential adoption issues facing such
new technologies. Propositions for the future diffusion of new technologies are outlined.

Tim Mazzarol and Geoffrey N. Soutar

This paper examines the factors motivating international student choice of host country. It describes a ‘pushpull’
model motivating the student’s desire to seek overseas education and influencing the decision process in
selection of a final study destination. Drawing on the findings from research studies undertaken in Indonesia,
Taiwan, China and India, the paper examines the factors influencing host country selection and additional
research that examines the factors influencing choice of final host institution. Based on these findings the
paper argues that economic and social forces within the home country serve to ‘push’ students abroad.
However, the decision as to which host country they will select is dependent on a variety of ‘pull’ factors. The
paper highlights the importance of student’s prior knowledge and awareness of a host country or institution,
as well as recommendations made by the student’s family and friends during the purchase decision. It also
appears that international students tend to select a country first and then an institution within that country.
Drawing together these findings the paper examines the implications for governments and education
institutions seeking to recruit international students.

Tim Mazzarol, Geoffrey N. Soutar and Michael Sim

International education faces significant challenges in the coming years. A global market emerged in the second half of the twentieth century, as growing numbers of students travelled abroad to access education unavailable at home. Expansion was driven by rising incomes and limited domestic programs, alongside the reputation, course availability, employment prospects and migration opportunities offered by host nations. By the 1990s, institutions in Australia, Canada, the US, the UK and New Zealand increasingly used professional marketing to recruit fee-paying international students, whose fees became a critical source of funding.

Tim Mazzarol

This paper is an exploratory study that examines the findings of a sample of 137 growth-oriented
owner-managers of Australian small to medium enterprises in terms of their attitudes toward innovativeness
among their employees. It considers the possible relationship that may lie between a set of factors identified
as having relevance to the successful development of small businesses. The paper suggests that enhanced
innovative behaviour among employees is likely to take place in conjunction with other variables that
influence overall organisational culture within the firm and highlights the importance of the owner-manager as
a leader and role model.

Tim Mazzarol

This paper outlines the challenges facing small business owner-managers (entrepreneurs) who are seeking
growth in their firms. It examines the cycle of growth in the small firm and argues that successful growth
requires the development of an entrepreneurial team – the E-Team – who can work with the entrepreneur
and eventually take over responsibility for the businesses. The paper suggests that team building and coaching
are likely to be key elements of how successfully the firm develops this E-Team. Coaching techniques and
lessons from successful entrepreneurs are highlighted.

Tim Mazzarol

TAustralia is rapidly becoming a divided nation in which regional and rural communities slip further behind their
counterparts in the major cities. Government policy is struggling to find a balance between the increasing
economic and social marginalisation of the regional and rural areas, and the demands for greater urban
concentration in a global market place. This paper examines the opportunities for bringing life back to
Australia's regions through the creation of enterprise initiatives. Of importance is the need to create an
enterprise culture in which nascent entrepreneurs can be encouraged to launch new business ventures.
Regional enterprise development initiatives should consider four key frameworks: 1) the economic
environment, 2) the regulatory environment, 3) the support environment and 4) the specific business
environment. Each of these environments must be considered together in terms of their collective impact on
the establishment and growth of small to medium enterprise. Enterprise initiatives often fail because they are
too narrowly focused. Recommendations for future action are given.