Bibliography: pages 608-625. / This study is a sociological analysis of participatory-democratic organisations in 'third world' contexts. Firstly, it assesses the degree of participatory democracy in each enterprise studied. Secondly, it explores whether cooperative development is a process. Thirdly, it assesses the applicability of existing theory in the field for organisations in 'third world' contexts. The data used is predominantly qualitative, though quantitative information is utilised. Qualitative data is gathered from in-depth interviews using semi-structured questionnaires, observation and the examination of primary sources. Empirical information is analysed in the light of theoretical constructs reviewed and practical constraints identified by other researchers in the field. The key construct is an 'ideal-type' participatory-democratic organisation. Significant findings include the following: (a) cooperatives in 'third world' contexts are formed and joined primarily for material reasons; (b) specific constraints include a severe lack of basic education among cooperators, relationships of dependency between co-ops and service organisations, and a 'survival' consciousness among cooperative members; (c) the nature of relationships between cooperatives and service organisations have significant implications for co-op development; (d) there is a relationship between organisational structures and viability as an economic unit and (e) members in different positions in the enterprise have different conceptions of cooperation. The study concludes that cooperative development is a process involving different stages characterised by different degrees of participation in decision-making, viability, organisational development and cooperative consciousness.