What is the purpose of a retailers' cooperative?

The purpose of a retailers' cooperative is to achieve economies of scale by buying as a group. This arrangement allows independent retailers to band together for purchasing power, enabling them to negotiate better prices with suppliers that they would not be able to attain individually. By pooling their resources and buying in larger volumes, members of the cooperative can reduce their costs, which can enhance profitability and competitiveness in the marketplace.

The option that involves selling products exclusively at a loss does not align with the cooperative's goals, as it would not foster a sustainable business model. Establishing a monopoly would contradict the very nature of a cooperative, which is to support retailers rather than dominate the market. Similarly, limiting the number of retailers in a region does not reflect the cooperative's mission, which focuses on collaboration and mutual benefit rather than restriction. Thus, the cooperative's primary aim is indeed to leverage group buying to optimize costs and improve market positioning.