This study will attempt to find out why cooperatives are de-
mutualized. The article tries to define what is this process of
demutualization in cooperatives. It shows cases of demutual-
ization of cooperatives in various part of the world in order to
find out common denominators for this process of demutualiz-
ation of cooperatives.
The summary shows the various types of demutualization of
cooperatives. It shows as well the various factors for demutu-
alizations and divides them between internal factors and to ex-
ternal factors. It shows graphical models of these factors.
Interesting conclusions may be derived out of this trend of de-
mutualizations, and which call to a redefinition of the owner-
ship relationship between the member and the cooperative,
and the ways members are rewarded for the participation in
the cooperative. These two changes are the main points util-
ized by those who are against any change in the current 3rd
ICA principle of member economic participation.