Institutional Conformance at Meridian Credit Union

Q9. Credit unions, because they are cooperative, have the benefit of distributing profits to members by providing better product pricing. But rating agencies like DBRS, which ultimately determines a credit union's cost of capital, base their evaluations of credit unions (and other financial institutions) on a demonstration of high levels of profitability. Thus any distribution of profit to members may result in a lower rating and a higher cost of capital. What kind of force is this?

a. Cognitive

b. Normative

c. Regulatory