The key success factors for microfinance industry in Mombasa

Abstract

Key Success factors are areas which ensure successful competitive performance of the organization (Rockart 1979). Organizations are successful because of various success factors which they exploit. These include availability of resources, innovative capacity, superior products and marketing capacity. Microfinance is an aspect of the financial market which is experiencing rapid development in the Kenyan financial scene (Kithinji, 2002). Microfinance refers to small scale financial services such as cash loans, money transfers, direct deposits, savings and insurance made accessible primarily to the poor (Osterloh & Barret 2006). Microfinance is characterized by short repayment periods, graduated increase of loan sizes, sustainability and non conventional collateral (Nyanjwa 2008).