>> WELCOME TO NEW HAMPSHIRE'S
BUSINESS.
I' FRED KOCHER.
MY GUEST HERDS A WORLDWIDE
INITIATIVE CALLED COOPERATIVES
FOR A BETTER WORLD AND HAPPENS
TO BE THE FOUNDER OF THE
COUNTRY'S LARGEST RETAIL
PERFECTING COOPERATIVE AND HERE
IT IS.
IT IS CCA GLOBAL PARTNERS, A
MANAGEMENT AND MARKETING
COMPANY, 14 INDEPENDENT BUSINESS
BRANDS, 3,500 LOCATIONS IN FOUR
COUNTRIES AND 10.8 BILLION IN
ANNUAL SALES.
HERE ARE A FEW OF THE
BUSINESSES.
CARPET ONE FLOOR AND HOME,
FLOORING AMERICA, FLOORING
CANADA, AND CCA SPORTS RETAIL
SERVICES, LIGHTING ONE.
THE BIK COOPERATIVE.
INTERNATIONAL DESIGN GILD, LIONS
BRIDGE.
COOPERATIVES ARE CAPITALISM WITH
A CONSCIOUS.
MY LIFE IS ABOUT BRINGING
EQUALITY TO THE WORLD.
WHO MANY ATALKING ABOUT?
I'M TALKING ABOUT HOWARD BRODSKY
CHAIR OF THE BUSINESS BASED IN
NEW HAMPSHIRE.
>> A PLEASURE TO BE HERE.
FRED: WHAT'S COOPERATIVE?
>> A COOPERATIVE IS A BUSINESS
OWNERED BY ITS MEMBERS.
IT'S VERY ENTREPRENEURIAL LIKE
ANY OTHER BUSINESS AND THE
MAERSK STRUCTURE DIFFERENCES,
INSTEAD OF THIRD PARTY
SHAREHOLDERS GETTING THE PROFIT.
IN A COOPERATIVE, THE MEMBERS,
WHICH IN OUR CASE ARE
BUSINESSES, ACTUALLY OWN THE
COMPANY.
SO, THE MONEY WE MAKE, AND WE'RE
VERY PROFITABLE, GOES BACK TO
INDIVIDUAL FAMILY BUSINESSES
THAT ACTUALLY OWN THE COMPANY.
>> SOME OF THE COOPERATIVES AND
YOU KNOW MORE THAN I DO HERE, IN
THE COUNTRY THAT PEOPLE
RECOGNIZE, ACE HARDWARE, THE
ASSOCIATED PRESS.
>> RIGHT.
>> OCEAN SPRAY, CABOT CREAMERY.
>> LAND O'LAKES, A $45 BILLION
COOPERATIVE.
>> AND YOURS IS 10.8 BILLION,
AND HOW DID YOU GET INTO THIS?
>> I ORIGINALLY HAD SMALL FAMILY
BUSINESS IN MANCHESTER, DEAN'S
CARPET.
FRED: SURE.
>> IT GREW OVER THE YEARS AND
WHAT WE SAW WAS REALLY WITH
OTHER CLOSE FRIEND OF MINE IN
ST. LOUIS, THAT INDEPENDENT
FAMILY BUSINESSES WERE SLOWLY
FADING.
THEY DIDN'T HAVE THE SCALE TO
COMPETE, WHETHER IT'S A DRUG
STORE, AN EYEGLASS STORE, WITH
THE HOME DEPOTS OR WITH THE
CVS'S.
AND WITHOUT SCALE IT WAS GOING
TO BE TOUGH TO SURVIVE.
FRED: WHAT DO YOU DO TO HELP THE
BUSINESSES?
YOU'VE GOT THOUSANDS OF PEOPLE.
WHAT DO YOU DO TO ALLOWS THEM.
>> FIRST OF ALL, BUYER.
WE'RE THE LARGEST BUYING OF
FLOORING IN THE WORLD.
FRED: OF FLOORING?
>> OF FLOORING.
BUT IN ALL OF OUR BUSINESSES, HE
SO WE DO THE MARKETING, THE
TRAINING, THE INSURANCE, CREDIT
CARD PROCESSING, EVERYTHING THEY
NEED TO DO TO RUN THEIR BUSINESS
MORE PROFITABLE AND EFFICIENTLY.
>> NOW, YOU'RE HEADING THIS, AS
I SAID AT THE BEGINNING ARE THE
INITIATIVE COOPERATIVES FOR A
BETTER WORLD, WITH A GOAL, I
UNDERSTAND, OF INCREASING THE
NUMBER OF COOPERATIVES BY 25% IN
THE PROCESS TO REDUCE INCOME
INEQUALITY.
>> RIGHT.
YOU KNOW, WE SEE THE MIDDLE
CLASS AND LOWER MIDDLE CLASS OF
BEING LEFT OUT OF THE ECONOMY
AND COOPERATIVES HAVE A WAY IT
EQUALLIZE THIS.
THEY OWN PART OF THE BUSINESS
AND PART OF WHAT THEY OPERATE
IN.
AND THE GOAL OF THE COOPERATIVE
IS REALLY TO MAKE THE WORLD AAIR
WEAR THERE'S A BETTER
SUSTAINABLE MODEL THAT'S
CAPITALISM WITH A CONSCIOUS.
FRED: YOU, I UNDERSTAND, ARE A
JUDGE AT THE NATIONAL
ENTREPRENEUR PROGRAM IN THIS
COUNTRY, IN NORTH AMERICA,
ACTUALLY.
YOU JUST SPOKE TO THE NATIONAL
PRESS CLUB IN WASHINGTON, TO A
GROUP OF BUSINESS LEADERS.
YOU'VE WRITTEN A BOOK ABOUT
ENTREPRENEURISM.
YOU ARE IN THE ENTREPRENEURIAL
HALL OF FAME WITH MICHAEL DELL
AND STARBUCKS HOWARD SCHULTZ.
THAT'S QUITE A GROUP THAT YOU
ARE PART OF.
>> YOU MUST FEEL PROUD OF WHAT
YOU'VE BUILT AND I GUESS MY
QUESTION IS, WHY SHOULD WE KEEP
GOING WITH COOPERATIVES IN THIS
ECONOMY AND IN THIS WORLD?
BECAUSE I DON'T THINK MOST
PEOPLE REALLY KNOW ABOUT THEM.
>> THEY DON'T, AND I THINK
THAT'S ONE OF THE CHALLENGES.
FIRST OF ALL, CAP--
COOPERATIVES ARE SUSTAINABLE.
AND IT'S TEN TIMES MORE THAN
BUSINESS.
IT'S HELPING FAMILY BUSINESSES,
WHETHER IT BE IN AMERICA, OR
WHETHER IT BE IN INDIA, STAY IN
BUSINESS, AND THRIVE, AND IT
REALLY DOES BRING THE QUALITY,
BECAUSE INSTEAD OF SHARING
HOLDERS, WHETHER IT'S AN APPLE
SHAREHOLDER OR WAL-MART
SHAREHOLDER, IT'S COMING BACK TO
THE MEMBERS THAT OWN IT.
FRED: QUICKLY, IN THE RECESSION
OF 2008, COOPERATIVES DID NOT
DIE ON THE VINE LIKE A LOT OF
OTHER COMPANIES DID, IS THAT
TRUE?
>> THEY DIDN'T.
FRED: BECAUSE?
>> BECAUSE WITHOUT OUR GOALS AND
MISSIONS WERE TOTALLY ALIGNED.
AND IN OUR INDUSTRY, 25% OF THE
BUSINESSES WENT OUT OF BUSINESS
AND OUR COOPERATIVE, 2% WENT
OUT.
FRED: 2%, THAT SAYS A LOT ABOUT
COOPERATIVES.
HOW MANY CO-OPES IN NEW
HAMPSHIRE, DO YOU HAVE ANY IDEA?
>> AN UM CAN--
A COUPLE OF BIG ONES, AND
THERE'S MANUFACTURED HOUSING
COOPERATIVES, THERE ARE FOOD
CO-OPS, AND ELECTRIC CO-OPS, IN
THE UNITED STATES THERE ARE
26,000 COOPERATIVES.
>> INTERESTING, INTERESTING.
BUT YOU HAVE THE BIGGEST ONE IN
THIS COUNTRY.
ONE OF THE BIGGEST IN THE WORLD
AND YOU'RE BASED RIGHT HERE IN
NEW HAMPSHIRE, AND YOU WERE A
BUSINESS LEADER OF THE YEAR IN
2011.