Hoped that this study will provide mfis with better

hoped that this study will provide MFIs with better understanding of the weaknesses and
strengths that are related to lack of strategic direction and control.
7. The empirical information obtained from the study may be useful in designing and
developing more relevant competency-based type of training programs for MFIs.
8. It is hoped that this study will provide current owners and managers of MFIs the insight
into the importance of identifying and developing more effective strategies and
competing based on their business practices.
9. The findings of this study provide the owners and managers of MFIs as well as the
supporting agencies the insights into the importance and relevance for MFIs to identify,
understand and adapt to their external business environment.
10. The study is also considered useful in providing theoretical propositions to promote
and facilitate future research in the areas of strategic management as well as MFIs.
1.5 Definitions of Terms
Microfinance institutions (MFIs) in this study refer to the financial institutions in Nigeria
that provide financial products and services to people with limited income as well as
those that do not have access to banking and other conventional financial services.
In this study, the business practices refer to five important areas of practices that are
relevant to the MFIs. The five areas of business practices examined in the study include;
strategic planning practices, lending practices, marketing practices, corporate governance
practices and ICT practices.

Business strategy refers to the patterns of action taken or manner in which a firm
relates as well as competes in its external business environment. This study adopted five
specific business strategies. The five strategy types used in this study are; the low cost