Impact of Microfinance on Small and Micro Businesses – A Case Study of Alibaba Group (2018)
Impact of Microfinance on Small and Micro Businesses Dissertation – One strategy that has worked effectively in alleviating poverty across the globe today is the introduction of microfinance. It is through micro-finance that small businesses and entrepreneurs who cannot access loans from banks have been able to finance their businesses. This has been especially the case in developing countries where small businesses are widespread.
In continents such as Asia, Africa, some parts of South America and Europe, medium and small enterprises have been successful thanks to microfinance. Indeed, lack of sources of finance in addition to constraints that have been put in place by banks has been the major reason for sluggish or even a total lack of growth of small businesses. With microfinance, medium enterprises, small business and entrepreneurs are being empowered to drive the economy forward.
In the current project, the impact of microfinance on small and micro businesses will be explored. The dissertation will use a two method in its research design. In this, the primary survey will be used together with secondary information a fact that will help improve the authenticity of the study. The secondary information will be collected in form of literature review while the primary data will be obtained through a case study on Alibaba’s microfinance platform.
The current investigation will start by bringing out background information about microfinance. It will then proceed to define the aims and objectives of the study with a close look at microfinance in China. The literature review section will explore previous investigations by other researchers which build-up to the research design of the current research after which the results will be analyzed for recommendations and conclusions be drawn.
The dissertation will also stipulate the limitations of the study and give endorsements for further study. To a great extent also, the research will study the online business and correlate it with microfinance. Alibaba group of businesses has been selected for study because of its influence in e-commerce in addition to acting as a pacesetter in microfinance.
This dissertation aims at analyzing the relationship between the ecosystem of Alibaba Group and the online transaction systems while closely focusing on the microfinance model. Furthermore, this paper seeks to identify the potential risks that may harm the entire ecosystem especially the online transaction system segment.
More so, it will explore the different impacts on the solutions of potential risks has been applied by the ecosystem under Alibaba Group. The potential risks could be categorized in several ways, for example, as integrity problems, unreliable payment environment, and the difficulties of small and micro business financing. These three issues will be the main research problems for further discussion. Regarding the potential risks, the research questions revolve around main concerns such as:
- What approaches are the Microfinance institutions using to respond to integrity problems
- What strategies are the MFIs using to expand their operations
- What are the impacts of the MFIs in economic development? A case study of Alibaba Group
- 12,000 words – 58 pages in length
- Excellent use of literature
- Good analysis of subject area
- Well written throughout
- Ideal for international finance students
1 – Introduction
Research Background
Dissertation Aims and Objectives
Definition and Application of Research Keywords
Microfinance
Microfinance in China
2 – Literature review
Business Ecosystem
Financial Inclusion/Exclusion
O2O Business Model of E-commerce
3 – Methodology
Participants/audience
Data collection
Procedure design
4 – Results and Analysis
Sustainability and availability
Face the Integrity Problem Based on Taobao Platform
Increase Transforming Rate of Online Transactions by Reliable Platform: Alipay
Cross-Online to Offline Environment of Payments
Focused on Ali Microfinance
Undersized Scale of Credit Loan
Efficient Loans with Simple Procedure
Short-Term Loan with Efficient Patterns
No Collateral Guarantee
Ali Microfinance: Create Wealth by Integrity
Account Security Verification
Cooperation between Banks and Online Platform for Loan Services
Big Data and Risk Control System
Yuebao: Money Management through Internet
5 – Conclusion and Recommendation
Widening the customer base
Expanding funding
Repayment rate
Consider the social impact
Installing technology
Improving internal control
Limitations
Bibliography
Appendix
Survey Questions
