Cooperatives play an important role in rural development and financing. Primary Agricultural Credit Societies (PACS)the bottom tier of cooperative credit structure, form the largest number of Cooperative institutions in India. Bringing good governance into operating system leads to competitiveness in cooperatives. The performance of PACS depends upon how it is being governed and how the size of PACS acts as an indicator of competitive enhancement. The study examines various business activities of select PACS in India's southern State of Kerala and provides insight into their governance practices and its relationship with competitiveness. The study adopts a descriptive-analytical approach with a blend of primary as well as secondary data. The research study concludes that participation, accountability, and transparency are the effective pillars of cooperative governance in the presence of diversification strategy which further leads to improved competitive performance of Kerala's PACS. The competitive process led by good governance has been demonstrated as a key determinant for the growth and development of cooperatives. Good practices of PACS enhance the reputation and stakeholder value of the cooperatives in the long run. This further improves their productivity and enhances their capability to produce goods and services, which presents as a competitive growth. The study supports that the system of governance should not be rigid and imposed on cooperatives, rather be flexible and adaptive to each evolving situation.

The Present study was undertaken in Baghpat and Ghaziabad district of Western U. P. based on high and low productivity of major crops in the year 2006-07. Two blocks from each of these two districts were selected randomly for the study in total 240 respondents from Ghaziabad and Baghpat district each were interviewed. It was observed during the survey that sugarcane and wheat are the predominant cropping system in these two districts of western Uttar Pradesh. Marketing and cost factor are major socio-economic constants for diversification of forming system towards vegetables, fisheries, piggery, poultry etc. Diversification of agriculture through high value enterprises implies shifting from low value food/non food crops and allied activities to high value food/non food crops and allied enterprises in the agriculture. It means switching over from local to high yielding varieties with integration of high paying enterprises such as horticulture, aquaculture, apiculture, sericulture live stock, poultry etc.