CHAPTER TWO LITERATURE REVIEW 2.0 Introduction The literature and past studies related and relevant to this study are reviewed and presented in this chapter. More specifically, the chapter is divided into two parts. In the first part, a comprehensive overview of microfinance is presented. The overview in the first part explains the concept of microfinance and describes the important characteristics of microfinance institutions (MFIs) as well as their importance in Nigeria. The second part of the chapter begins by explaining the concept of strategic management as well as its relevance and applicability to MFIs. Following this, the review of past studies on MFIs is presented. Next, the research variables related to the study are discussed. The research variables involved in this study include; business practices, business strategy, competition and organizational performance. 2.1 Microfinance i. Defining Microfinance The literature indicates that since the concept of microfinance was introduced, it has been defined in different ways. Basically, the concept of microfinance is derived from the two words; micro and finance. The term micro means a small degree or small amount and the word finance refers to financial services such as savings (deposits), loans, insurance and funds transfers. More specifically, according to the earlier study by Hishigsuren (2007), microfinance involved the provision of small-scale financial products and services such
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- Summer '17
- Muhammad Yunus, Grameen Bank