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Does your co-op deal on seed corn prices ?
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KDD
Posted 12/26/2008 14:41 (#547507 - in reply to #547395)
Subject: Re: Does your co-op deal on seed corn prices ?



Leesburg, Ohio
I know of nothing in the definition of a co-op that says anything against volume discounts. The co-op or any other business that sells a large volume to one buyer has lower costs of doing business with that one customer than it does selling the same number of units to 50 (or however many) customers. Co-operative principles still apply...the co-op can still save everyone money, large and small alike, and do it by being competitive with the market, and returning margins that would normally go to the owner's pocket, to the patrons in the form of either patronage refunds or capital credits, or both. Nothing in co-op rules that say you can't have volume discounts.
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