Community Enterprise: What type of enterprise for what type of community?

Abstract

This paper examines Scottish experience, especially its community economic initiatives through the establishment of the Community Employment Group. Local authorities are also increasingly involved in promoting local economic initiatives. This activity has grown because of the urgent need to respond to rising unemployment but unless there is a clearer understanding of the types of initiatives that will work, well-intentioned efforts will be wasted. Much activity has been based on a mistaken impression of Scottish experience and especially the supposed success of community business. Moreover as we explain below, New Zealand is a less favourable for community business than Scotland. Community cooperatives and the community credit unions may well be better examples to build on. Before explaining these arguments, some discussion of the recent growth of community enterprise in New Zealand is needed.