Microentrepreneurship Development in Bangladesh: Achievements and Shortcomings PDF Download

Author: Md. Mahmudul Alam
Publisher: LAP Lambert Academic Publishing AG & Co. KG
ISBN: 3838330447
Category : Business & Economics
Languages : en
Pages : 53

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Book Description
Micro-entrepreneurial activities play a pivotal role in rural economic development in the third world countries. As a result, in Bangladesh poverty alleviation through rural centric micro-entrepreneurship development has been focused for more than thirty five years. Over 600 registered and thousands unregistered microcredit organizations including globally prominent institutions like Grameen Bank, BRAC, ASA, BARD, ActionAid, CARE etc. are operating here with their own reputed models. However, the micro-entrepreneurship development and its achievements in the country are still lagging behind a satisfactory level due to a number of prevailing factors. This book examines its major achievements and shortcomings from the perspectives of the structured institutions, non-structured institutions, and non-institutional factors, and government’s policy guidelines influencing development of micro-entrepreneurship, and makes recommendations for overcoming the shortcomings.

Author: Md. Mahmudul Alam
Publisher:
ISBN:
Category :
Languages : en
Pages : 53

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Book Description
Micro-entrepreneurial activities play a pivotal role in rural economic development in the third world countries. As a result, in Bangladesh poverty alleviation through rural centric micro-entrepreneurship development has been focused for more than thirty five years. Over 600 registered and thousands unregistered microcredit organizations including globally prominent institutions like Grameen Bank, BRAC, ASA, BARD, ActionAid, CARE etc. are operating here with their own reputed models. However, the micro-entrepreneurship development and its achievements in the country are still lagging behind a satisfactory level due to a number of prevailing factors. This book examines its major achievements and shortcomings from the perspectives of the structured institutions, non-structured institutions, and non-institutional factors, and government's policy guidelines influencing development of micro-entrepreneurship, and makes recommendations for overcoming the shortcomings.

Author: Gazi Uddin
Publisher:
ISBN:
Category :
Languages : en
Pages : 10

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Book Description
The role of entrepreneurship development has received intense attention for a long time because of its multidimensional contribution to socioeconomic development. Microentrepreneurship, especially, is considered as a bridge for economic and social development both in micro and macro level for high poverty rate countries, such as Bangladesh. Structured institutions, who are working to develop micro-entrepreneurship, provide the financial, technical and conceptual supports. But due to lack of proper support of local non-structured institutions, development of micro-entrepreneurship in Bangladesh has not yet been able to reach its expected level. In this context, many crucial local socio-economic-cultural elements need to be considered in Bangladesh. Structured local institutions administered by local government and non-government bodies have received attention regarding their role in assisting micro-entrepreneurship, but there are numerous and varied non-structured institutions that influence the lives of local people - who are existing and potential entrepreneurs. An example of non-structured institutions is “Shalish” - a body of opinion leaders who act as guardians of the village community, and can dictate what is right and wrong, what should be done, resolve conflicts etc. Another example is “Local religious leaders” who are also significantly powerful in terms of social decisions and public sentiment. As a result, area-specific cultural, social and religious factors strongly influence local people, and these factors are promoted and manipulated by these non-structured institutions, and can act as barriers to entrepreneurial development. Therefore, to develop and ultimately foster sustainable micro-entrepreneurship in Bangladesh, focus should be made on both structured and non-structured institutional factors, and also on cooperation among these institutions.

Author: Md. Mahmudul Alam
Publisher:
ISBN:
Category :
Languages : en
Pages : 8

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Book Description
The magnitude of microentrepreneurial activities plays a decisive role in the economic development of the rural livelihoods, especially in third world countries. Microentrepreneurship has always been considered as a proven instrument to fight poverty in an effective manner. As a consequence, poverty alleviation through rural centric microentrepreneurship development has been focused for more than the last thirty five years in Bangladesh. However, despite such initiatives, the state of microentrepreneurship in Bangladesh has not yet reached to a satisfactory level. There are a number of prevailing factors that thwart the development of microentrepreneurship in Bangladesh. Among all the factors, non-institutions encompassing various political, economic, social, cultural, technological, environmental and personal factors are affecting the scopes of operating these economic activities to a significant extent. This paper attempts to identify the key non-institutional barriers that hinder the development of microentrepreneurship in Bangladesh, and suggests a composite policy measure to overcome such encumbrances.

Author: Al Mamun, Abdullah
Publisher: IGI Global
ISBN: 1522584749
Category : Business & Economics
Languages : en
Pages : 225

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Book Description
Developing nations currently utilize various methods and practices used in most entrepreneurial activities. Manipulating these processes to work in a categorically low-income area, however, can be challenging. Micro-Entrepreneurship and Micro-Enterprise Development in Malaysia: Emerging Research and Opportunities provides emerging research exploring the theoretical and practical aspects of entrepreneurial promotional programs and applications within global economics. Featuring coverage on a broad range of topics such as emerging economics, organizational development, and gender diversity, this book is ideally designed for entrepreneurs, policymakers, governmental and non-governmental organizations, business professionals, academics, researchers, and students seeking current research on improving the socio-economic condition of low-income households through various entrepreneurial activities.

Author: Mohammad Jasim Uddin
Publisher: Routledge
ISBN: 1317430867
Category : Business & Economics
Languages : en
Pages : 244

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Book Description
Microcredit has been seen in recent decades as having great potential for aiding development in poor developing countries, with Bangladesh being one of the countries which has pioneered microcredit and implemented it most widely. This book, based on extensive original research, explores how microcredit works in practice, and assesses its effectiveness. It discusses how microcredit, usually channelled through women, is often passed to the men of the family, a practice disapproved of by some, but regarded as acceptable by borrowers who have a communal approach to debt, rather than viewing debt as something held by single individuals. The book demonstrates how the rules around microcredit are often seem as irksome by the borrowers, how lenders often charge high rates of interest and work primarily to preserve their institutions, thereby going against the spirit of the microcredit movement, and how borrowers often end up on a downward spiral, deeper and deeper in debt. Overall, the book argues that although microcredit does much good, it also has many drawbacks.

Author: Md. Mahmudul Alam
Publisher: Centre for Research and Publication at International Islamic University Chittagong (IIUC)
ISBN:
Category : Business & Economics
Languages : en
Pages : 93

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Book Description
There is no denying the fact that microcredit (MC) has been playing an important role in the movement for poverty alleviation. But by the same breath it is also a hard fact that it has serious limitations in terms of its delivery system, rules of repayment, interest rate charges, etc. These limitations made it largely fail to realize its potential and expected goals. A credible study on the productivity of MC was required to determine its actual interest/profit paying capability. In the absence of any established economic justification, based on productivity, this exorbitantly high interest rate is found morally untenable and has become the primary target of criticism for its minimal or marginal achievements. As a result, recently the government rightfully fixed 27% as the maximum interest rate chargeable for microcredit (with effect from July 2011). However, we need not undermine the importance and efforts of the microcredit movement, both as an economic as well as a social institution, for the betterment of the poor in the society. We need not be selfish and miser to give the movement its due credit. MC should not be summarily viewed as unuseful and unsuccessful. It has been making some contributions to the betterment of the poor and it should be given the appreciation it deserves. But like many other researchers we are troubled by the contradicting attitudes of the microcredit providers toward the borrowers. In one hand they are concerned and committed to pull the poor out of poverty, on the other hand they are so harsh in the timely payment of repayment installments putting a blind eye to the sufferings of these poor borrowers. Therefore, MCIs need to be more innovative to be able to serve and take care of the wellbeing of the critical group among the borrowers. We are also puzzled to see that in spite of the exorbitantly high interest rate charges and all other limitations, increasing number of these poor are borrowing credit from these MCIs. This surgical study on the inside view of microcredit in Bangladesh, using a rich data set developed through a survey of 555 sample borrowers from rural, semi-urban, and urban areas of all 7 administrative divisions of Bangladesh, is an effort to address these issues and find answers to these and other questions like its potentiality to become a growth tool in the third sector economy. To our own best assessment this study made three major contributions to microcredit literature: a) application of economic-profit counting method in economic productivity analysis, b) identification of the critically vulnerable group among the borrowers; and c) the revelation that microcredit is respected by the borrowers more as a social than economic institution. To them, microcredit has facilitated their social and political empowerments and safeguarded their social status. An additional feature of this monograph is that it includes a chapter reflecting on the status of Islamic microcredit in the country. We are thankful to the sample micro borrowers for their sincere cooperation and responses in the operation of this research. We are equally thankful to the field investigators for their honest and untiring search for information. We are thankful to Professor Dr. Abu Bakr Rafique Ahmed, Pro Vice-Chancellor of International Islamic University Chittagong, Bangladesh for his most valuable suggestion to include in the book a separate chapter on Islamic microfinance. This chapter has certainly enhanced the focus of the monograph. Lastly we are grateful to Professor Dr. Anisuzzaman Chowdhury of University of Western Sydney, Australia, and Senior Economic Affairs Officer, Department of Economic and Social Affairs, United Nations, New York, for writing a thoughtful foreword to this work.

Author: Sharmina Afrin
Publisher:
ISBN:
Category :
Languages : en
Pages : 22

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Book Description
Micro credit programs have positive socioeconomic impact on rural women borrowers of Bangladesh. But it is also opined by the different corners that the micro credit programs do not help the borrowers to develop entrepreneurial capabilities except surviving. Thus, this paper aims at identifying the factors related to the development of entrepreneurship among the rural women through micro credit programs of the micro credit providers. A multivariate analysis technique such as, Factor Analysis was conducted to identify the factors related to entrepreneurship development. Structural Equation Modeling (SEM) was used to identify the relationship between micro credit program and the development of rural women entrepreneurship in Bangladesh. Results show that the financial management skills are the most important factor that has significant relationship with the development of rural women entrepreneurship. Results also show that the group identities of the women borrowers have significant relationship with the rural entrepreneurship development in Bangladesh. Borrowers experience from the parents' families and the limitation of option also lead to the development of entrepreneurship among the rural women borrowers of Bangladesh.

Author: Amir Mohammad Nasrullah
Publisher:
ISBN:
Category :
Languages : en
Pages :

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Book Description
MEs are considered as the major sources of employment creation. Global experiences show that an efficient ME sector is conducive to industrial growth and a flexible industrial structure, which are the cornerstones of a vibrant entrepreneurial economy. The contributions of MEs to the national economy can be measured in terms of some inter-related issues: economic (income generation), social (poverty reduction) and political (wealth redistribution). Current studies show a strong link between entrepreneurship and economic development (ED). The impact of entrepreneurship on ED depends on the level of business performance, and economy is an affect for which entrepreneurship is the cause. ED theories generally emphasise on employment creation by industrialisation with the use of advanced technology. Thus economic histories of the developed countries show the notion that ED has benefited from widespread large scale entrepreneurial activity. However, developing countries (DC) have begun to realize the necessity of encouraging entrepreneurship to achieve their ED goals. But, they in reality can't achieve these goals like the developed countries, because they don't have sufficient capital and advanced technology. As a result they need to depend on small scale enterprise development by exploiting available resources, small capital, and indigenous technology. It indicates a strong link between micro enterprise development (MED) and entrepreneurship development. Therefore, national ED policies of DCs should focus on linking MED, entrepreneurship development and ED. Despite these recognized importance, MEs face severe problems and challenges in DCs. They lack appropriate policies and programmes to promote MEs towards ED. This study critically examines the existing MED Policies (MEDP) and the role of different MED Organizations (MEDOs) with a view to articulating appropriate policy recommendations. Based on the objectives and literature review four themes (state of affairs of MEDPs, support services to MEs, financing MEs and networking of ME stakeholders) were identified to establish the interview protocols. This study employed a qualitative inductive approach, case study strategy and in depth interviews with semi-structured protocols to collect primary data based on phenomenology. Thirty five respondents from different ME stakeholders (policy makers, implementing agencies, and the recipients) were interviewed and interpretative phenomenological analysis technique was used for data analysis. The findings confirm that there are fragmentations and incoherency in existing MEDPs, as a result, they failed to achieve the goals of MED. Specifically, support services and infrastructural facilities to MEs are not well designed, financing systems are not fully supportive to all the MEs, and networking of ME stakeholders are very floppy. Overall a favourable entrepreneurial culture to MED is absent in Bangladesh. The government has failed to plan realistically to mobilize the resources, to exercise control over factors of MED and to give appropriate direction to the developmental process. This study offers a list of practical recommendations to formulate a coherent and comprehensive MEDP based on solid evidences. Especially, a model for appropriate government intervention to MED by linking the main three concepts of this study MED, entrepreneurship development and ED, and an alternative model for 'interest free ME financing' are proposed. This study hopes that these recommendations will provide appropriate inputs to the policy makers and concerned ME stakeholders in the DCs, particularly Bangladesh and more generally to the MED literature.

Author:
Publisher: DIANE Publishing
ISBN: 142896696X
Category : Microfinance
Languages : en
Pages : 42

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Book Description