Open AccessAnalysis Grid of Adjustment Strategies of Non-profit Organizations Benefiting From Microcredit to the Constraints of Microfinance Institutions: The Case of Burundi
Author(s) -
Marie-Goreth Nduwayo,
Michel Sayumwe
Publication year - 2018
Publication title -
international journal of financial research
Language(s) - English
Resource type - Journals
eISSN - 1923-4031
pISSN - 1923-4023
DOI - 10.5430/ijfr.v9n3p86
Subject(s) - microfinance , beneficiary , adaptation (eye) , business , profit (economics) , work (physics) , marketing , industrial organization , economic system , economics , economic growth , finance , microeconomics , mechanical engineering , physics , engineering , optics
Based on the work of Henderson and Venkatraman (1993) on strategic alignment, the objective of this article is to explain that the strategic alignment of microcredit beneficiary not for profit Organizations (NPOs) is achieved through their adjustment to the constraints of their lessors. We thus discuss the adaptation of Burundian NPOs benefiting from microcredit by taking into account a specific attribute of a difficult economic environment: the threat of their survival. The physiological needs of their members are at the origin of their reactions of adaptation to the constraints of the lessor. This adaptation enables them to acquire and maintain the resources necessary for their survival. This article explains this adaptation by highlighting the strategic actions of the members of the NPOs who are beneficiaries of microcredit.