Skip to main content

Success drivers of small business banks in developing economies: Four case studies compared with the IFC's SME banking value chain

The full text article is not available for purchase.

The publisher only permits individual articles to be downloaded by subscribers.

Do banks that focus on small businesses in developing economies possess distinguishing attributes? The team studied four leading small business banks in developing economies and compared their practices with the SME banking value chain in the IFC SME Banking Knowledge Guide. The case studies confirmed most elements in the value chain; however, three additional overriding success drivers were observed: 1) management commitment to small business customers; 2) loan officers' skills in outreach to customers and in preparation of credit memos; and 3) the creation of efficiencies in lending. At the same time, other activities in the banking value chain proved less crucial to these banks' success: 1) bundling and cross-selling non-lending products; 2) the separation of business development and risk management functions; and 3) the use of customer and profitability data to fully refine their banking model. Further case studies and benchmarking will help the industry continue to refine its banking models.
No Reference information available - sign in for access.
No Citation information available - sign in for access.
No Supplementary Data.
No Data/Media
No Metrics

Keywords: BRAC BANK; CROSS-SELLING; EFFICIENCY; EQUITY BANK; MARKET OUTREACH; SMALL BUSINESS BANK; TBC BANK

Document Type: Research Article

Publication date: 2011-03-01

More about this publication?
  • Access Key
  • Free content
  • Partial Free content
  • New content
  • Open access content
  • Partial Open access content
  • Subscribed content
  • Partial Subscribed content
  • Free trial content
Cookie Policy
X
Cookie Policy
Ingenta Connect website makes use of cookies so as to keep track of data that you have filled in. I am Happy with this Find out more