Consumer cooperatives have substantial market share at different places of the world among which European countries play a major role. However, retrospective analysis shows that the economic importance of both total cooperative movement and consumer cooperatives in the Turkish Republic of Northern Cyprus (TRNC) is apparently falling dawn. This adverse state of cooperatives can be considered as the indicator of crisis. In this respect, the main aim of the study is to find out basic reasons of the crisis and make recommendations accordingly. As a result of the study it can be concluded that the basic reasons of the crisis are socio-economic and cultural sectoral changes, educational inadequacy of secretarial services and management, absence of internal training related to the cooperative movement and professional management of groceries and similar businesses, failure of not being able to adapt consumer cooperatives to flee enterprise system, absence of Supra-Unity, and insufficent inspection and supervision.