Professional Documents
Culture Documents
study.
savings, small loans and insurance to poor people in the urban and rural
areas who are not able to obtain such services from the banks (Schreiner
and in building global financial systems that meet the needs of the poorest
people.
consists of such factors that affect its business from outside. These include
2012; & Pearce 2011). Porter (2008) describes the competitive dimension
of this environment in terms of five forces: the power of buyers, the power
Robinson (2011), not only do these entities include those that supply an
materials and office supplies. They also include the entities from which the
economic activities, high and low monetary and banking transactions, and
(Alkali, 2012; & Beal, 2000). Businesses prosper when the economy is
booming, when the monetary and fiscal system is favorable, when the
purchasing power is high and when living standards are generally rising
positive growth of income and assets of the borrowers than control group.
Banegas et. al. (2002), employing Log it model, found positive impact on
found that various have been used for targeting the poor by different
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(Robinson, 2011).
Shirazi (2008) estimated that micro credit has increased the return
2005, he found that micro credit has increased the returns to investment
The average weighted rate of return to investment was 4.57 percent per
month or uncompounded rate of 54.89 per year (Mason, 2007; & Yunggar,
2005). He found that female borrowers were making more return than
loans, and savings. Besley and Levenson (1996) use this survey and that
investment.
get excluded from the credit market (Kimuyu & Omiti, 2000). Among other
for poor access to credit facilities are lack of information of credit sources,
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and capital investment are out of reach for MSMEs for the same reasons
given above.
societal principle which states that women are only capable of managing
owned banks, and social venture capital funds to help the poor. These
institutions are those that provide savings and credit services for small
and medium size enterprises. They mobilize rural savings and have simple
and straight forward procedures that originates from local cultures and
typical microfinance clients are the poor and low-income people who do
not get access to formal financial institutions loans. These clients are
that older people are more likely to be successful when they start a
business. Dont let your age deter you from pursuing your dream.
Ultimately, a solid business idea paired with flawless execution, not a fresh
battles, there have been many stories of the success of most women
a criterion for hiring. While 69% of business owners surveyed had attended
college (well above the national average), only 68% of this college graduate
group said they believed this education made a difference in their success.
outside their homes. They spend on doing minor renovation work to create
access to storage facilities inside the house. A sari-sari store can be a good
average a net profit margin of 20%. Stories of families who were able to
send their children to college with the earnings from a sari-sari store
business
start-up. Entrepreneurs should look to products they are familiar with and
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out, lease obligations, and permit and licensing fees. To start a small retail
business, you will need to locate store space, establish a relationship with
supply vendors, get a business plan and financing, and register the
business with the state and/or locality in which the business is located
(Richason, 2016).
knowledge of business basics; they have a strategic profit plan; they build
their strategic profit plan around a clear value propositions for the
They concentrate their sales efforts to a niche rather than trying to sell to
every possible customer; and They develop a way to make their product
something their customer must have rather than something that would be
nice to have. It takes about six years of hard work to become an overnight
Strokes and Watson (2010), said that Small Businesses (SBs) are
firms formed and managed solely by their owners with relatively small
capital base, have comparatively small market share and operates in well
specialized niches.
members undertake. These give them the opportunity to save and build
2014). CARD, Inc. provides microfinance loans, SME loans, and other
loans tailored-fit to the evolving needs of its clients. CARD Bank, Inc.
provides different loans that suit the different needs of its members which
are Microfinance Loan, SME Loan and other loans such as solar, health,
their services, it is not surprisingly that they got the trust of the
respondents.
Munyao (2012), revealed that MFIs play a major role in credit provision to
the SMEs, and this credit has contributed to the growth of businesses in
services are used to sustain the business and avoid possible collapse.
Karnani (2007) argued that the best way to alleviate poverty is to create
Doug and White (2016) interviewed the owners of more than 100
small and midsize businesses. More than a few had made a conscious
businesses is simply not something they wish to do or feel they can do.
They found three primary reasons that small business owners decided not
to grow. The three primary reasons are to avoid risk and maintain their
responsibilities.
Kebede (2011) on his study, the top four challenges they faced are:
attracting customers, they sell their products at low prices which in turn
a lead to reduced profits (Sekar, 2007; Bhat & Nengroo, 2013, Mmusi,
vendors success is defined as getting enough income for their current and
future consumption, for some vendors they would feel successful if they
good relationship with other people- other vendors and state officials,
On the study of Kebede (2011) the failure factors for the vendors
pricing, and high interest rates to pay. In the case of unsuccessful vendors,
& Nirathron, 1996). Being unsuccessful meant that the vendors were not
(Nirathron, 2006).