Traditionally, a lot of large engineering companies have strong ESOPs (employee stock ownership plans). Not "co-ops", as you put it, which I think tends to imply a really flat hierarchy, although I'm not exactly sure.
If it's not obvious, it benefits everyone by increasing the incentive to perform, sharing profits (obviously), and reducing the incentives to be mercenary, which as we know just increases costs for all businesses involved (and is quite logical for employees who don't have strong stakes in their business).
I think it's a good question you ask, and I think more companies who care about the long term should consider it. Problem is, most founders are especially interested in just selling, and an ESOP makes a company moderately more complex to buy. So I don't think the model fits most VC-heavy startup concepts, but I do think it deserves a much larger place in cash-flow-positive long-term businesses.
If it's not obvious, it benefits everyone by increasing the incentive to perform, sharing profits (obviously), and reducing the incentives to be mercenary, which as we know just increases costs for all businesses involved (and is quite logical for employees who don't have strong stakes in their business).
I think it's a good question you ask, and I think more companies who care about the long term should consider it. Problem is, most founders are especially interested in just selling, and an ESOP makes a company moderately more complex to buy. So I don't think the model fits most VC-heavy startup concepts, but I do think it deserves a much larger place in cash-flow-positive long-term businesses.