BUS 475: Tues. March 27, 2012

On Tuesday, we had our midterm exam for BUS 475. We were given a case study on microfinance lenders such as Banco Compartamos and the Grameen Bank, and asked to analyze: (1) their strategy, (2) their industry, and (3) the key resources and distinctive competencies necessary for a firm to be successful in the microfinance industry. Overall, I thought the exam was very fair and straightforward, because Professor Tuggle had warned us ahead of time that we would be given broad questions and asked to use the terms and definitions we had learned over the semester to analyze the case. The one thing that threw me off a little was the fact that microfinance lenders are quite a different industry from any of the cases we’ve analyzed in class. Microfinance lending is much more of a social cause. I’m not sure if it would exactly qualify as a non-profit, but the cases we had analyzed in class (Bally, Wynn, Apple, TiVo, etc.) were all clearly for-profit businesses. I was just a little thrown off by whether microfinance lenders would still be following the same general strategy, industry analysis and key resources and distinctive competencies that for-profit businesses follow (for example, cost leadership vs. differentiation?)

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By Jennifer Yuen

One comment on “BUS 475: Tues. March 27, 2012

  1. Yes, the same issues that plague for profit firms plague non profit firms–think Chapman U, the Catholic Church, or the Salvation Army. And the same management tools can be used to analyze and to help them….

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