An Investigation on the Factors Influencing the Success and Failure of Co-Operatives in the Chris Hani District Municipality (CHDM), Eastern Cape Province, South Africa

Sabelo Raymond Peter ORCID iD 

Issue: Vol.4  No.9  Article 5 pp.1072-1088
DOI: |   Published online 15th September, 2023
© 2023 The Author(s). This is an open access article under the CCBY license (


In an era when the level of unemployment and poverty continues to be a challenge in both developed and underdeveloped nations, many countries have identified the need to strengthen the legislative frameworks that perceive co-operatives as resilient, vibrant, and viable economic alternatives. However, there is a lot of literature pointing to the failure of co-operatives to live beyond five years. This study, hence, explored the factors that cause Co-operatives to fail despite the support received from governments. The study used a thematic analysis descriptive qualitative approach with data collected from five Co-operatives in the Chris Hani District Co-operatives in the Eastern Cape, Province South Africa. In-depth interviews were used in the study, as such, a narrative of verbatim accounts was used to derive themes and sub-themes for results analysis. The findings revealed countless aspects that hinder the progress of Co-operatives such as inadequacies associated with the lack of managerial skills for good governance, age gap among members and viewing the co-operative as just a project, not a business enterprise, political interference and infighting among members. The paper concluded that Co-operatives indeed offer a significant contribution to the socio-economic development and need to be effectively managed. The paper recommended that monitoring and evaluation instruments by funders and government departments responsible for registering and guiding co-operatives be developed. The study will help Co-operatives identify more ways of becoming successful and sustainable.

Keywords: Chris Hani District Municipality, Co-operatives, Socio-economic Development, Government, Success, Failure, Eastern Cape Province

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Sabelo Raymond Peter is currently working as an acting Manager in the Directorate of Learning and Teaching (DLT), Komani Campus at Walter Sisulu University, South Africa. He is also the Student Success Committee chairperson, at Komani Campus.  He is also part of a Student Success Team at the University. He is currently pursuing his PhD in Education at one of the South African Universities. He obtained his Master of Business Administration (MBA) from the Management College of South Africa. He has more than 12 years in the higher education sector, as both an academic and academic developer, respectively. He has participated in seminars and conferences within South Africa. He is the Chairperson of the Board of Directors for a local security cooperative, Chairperson and Founder of the Men of Integrity International Association (CBO) for men, and Chairperson of the Regional Student Christian Organisation [SCO]. His school of thought is influenced by social justice theories. systems thinking, critical realist theories, and transformational leadership. Hence, his research interests are around student success, academic leadership, and academic development discourses for educational reform.

Sabelo, Raymond Peter, “An Investigation on the Factors Influencing the Success and Failure of Co-Operatives in the Chris Hani District Municipality (CHDM), Eastern Cape Province, South Africa.E-Journal of Humanities, Arts and Social Sciences 4, no.9 (2023): 1072-1088.

© 2023 The Author(s). Published and Maintained by Noyam Journals. This is an open access article under the CCBY license (