In this article, the challenges, the foundations, and the reasons for the stability of the cooperatives in the advanced industrialized countries
are surveyed. The research hypothesis is "The emerging and appearance of the cooperatives in these countries originates from the economic,
social, and political events during the industrial revolution in Europe. These new institutions are quite different from the previous traditional ones, i.e., the traditional cooperations and the semi - cooperatives; both in terms of their nature and in terms of the reasons for their emerging
and appearance. After the industrial revolution, the cooperatives were not just a continuation of the previous ones, but, on the contrary, they
were formed to meet the modern requirements and solve the new problems.
In this research two reasons are examined as being responsible for
the sustainability of these societal institutions.
I. The flexibility of liberalism in the 19th century to co - exist with
the cooperatives and lack of any serious contradictions between liberalism and societal institutions.
II. Accepting the principle of competition in a liberalistic system
through the cooperatives, they proceed any activities based on the rules of market economics and utilizing the semi - political instruments.
)