TABLE OF CONTENTS
DECLARA TION ................................•.••..•............................................ i
APPROVAL. ...........................................................•••••.•..•••.•••••...••.... .ii
ACKNOWLEDGEMENTS ..•..•••.•.•..•..•...................................................• iii
TABLE OF CONTENTS .••••••••••••..•.•.....................................................•• iv
CHAPTER ONE
1.0 Introduction •...••.............................••.••..•••.•.••••.•••..••••.••.••••.•.•••.•••...... 1
1.1 Background .•••....•..............•.....••..•...•••.............••..................•••.......... 1
1.2 Statement of problem ..............................•.•.•..•....•....•••.........•....•..•...... 3
1.3 Purpose of the study ........................................................................... .4
1.3.1 Research questions .......................................................................... .4
1.4 Research Objectives ............................................................................ 5
1.4.1 General Objectives .......................................................................•... 5
1.4.2 Specific Objectives .......................................................................... 5
1.5 Scope of the study •............................................................................. 5
1.6 Limitations of the study .................................................................•..... 6
CHAPTER TWO
2.0 Introduction ..•••.•.............................................................•.•.....•........ 7
2.1 Literature revievv .•.............................................................•.•...•.•.••.... 7
2.2 Implications of strict cultural adherence .•.••............................................... 8
2.3 Effects of people's culture on marketing loans in microfinance institutions ............. 9
2.41mportance of people's culture in marketing Ioans ....................... : .. ··············ll
2.4.1 Causes of poor Cultural Practices by the People ........................................ 12
2.5 Possible solutions to poor cultural practices and marketing problems .................• 13
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CHAPTER THREE
3.0 Methodology ..•....•..••....••...•.....•...••....•....•.....•....•....•....•...••...•........... 15
3 .I Research design ........•...•••...••...••...••....•....••....•....•....•....••...••...•.•..•..... 15
3.2 Sample selection and size •....•....•.....•....•....•....•.....•....•...••....•...••...••... ..• 15
3.2.1 Sample population .....•••..••...••....•....•....•....•.....•....•....•....•....•...•......•. 15
3.2.2 Sample procedure ..•....•..............•.........••....•....•....•....•...••...•.....•.....•• 16
3.2.3 Sample technique .•....•...•.•...•...••...•.... .•.•..•....•....•....•....•...••...•....••.... 16
3.3 Data collection methods .•...•..........•....•....•.........•....•....•.........•...•.....•... 17
3.3.1 Primary Data Collection .••...•....••....•...••....•....•....•...••........•....•...•..... 17
3.3.1.1 Questionnaires ...•....•....•....•....•....•....•....•....•...••........•.........•......... 17
3.3.1.2 Intervievvs ...••.......•.•..•....•...•.....•...••...••....•...••...••...•....•...••...•.....• 17
3.3.2 Secondary Data Collection ..• ....•.........•....•....•...•....••...•...•..............•.... 18
3.4 Data analysis •....•.......•........••....•...•....•....••...•....•....•...••...•....•....•....••• 18
CHAPTER FOUR
4.0 Presentation, Analysis and Discussion of Findings .••....••.....•...........•............•.....•...... 19
4.1 Introduction •...•........•...••...•.........•...•....•....•....•....•............•....•...•...... 19
4.2 Respondents by Sex ........•....•....•.•..•...•....•....•....•........•.•..•...•....•... .•..... 19
4.3 Educational level. ..•....•...•....•....•....•...•.........•............•....•.........•.... ...... 21
4.4 Area of specialization .•...••...•....•....•........•........••...•.•.••...•...•....•...•........ 22
4.5 Length of service ...•....•.................•....•....•...•....•........•..... ...•....•....•...... 24
4.5.1 Marketing policy Revievv on varying Cultures ...........•......•....••....••.................•....... 25
4.5.2 Loan evaluation in Faulu Kenya ...•.......................•...••...•............•.....•... 27
4.6 Loan Rating .....••.......•........••........•....•....•...•....•.............•...•....•....•.... 28
4.6.1 Assessment of Loan Facility ......•....•....•............................•...•....•...•.. ... 30
4.6.2 Loan Repayment Mechanism ............................................................... 32
4.7 Duration given to Borrovvers .................................................................. 33
4.8 Cultural Practices of People ................................................................... 35
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CHAPTER FIVE
5.0 Discussion of Findings, Recommendations and Conclusions .•....•....••...•.•...•...... 36
5.1 lntroduction .••...•....•....•.........•.....•.....•.........•....•.....•....•....•....•....•...... 36
5.2 Discussion of Findings ...•....•....•.....•..........•....•..•.••...•....••...••.•..•....•...... 36
5.2.1 Bio Data .............•....•.........••....•..........•....••....•...••.........•....•....•...... 36
5.2.2 Credit Rating in relation to peoples Culture ••....••...••....•....•....•....•.....•.....••. 36
5 .2.3 Marketing Po !icy ......•.....•....•....•.....•.........••....•....•....•....•....•.....•........ 37
5.2.4 Loan Terms ......•....•....•..........•..........•....•....•.....•....•....•....•....••....•••. 38
5.2.5 Loan Recovery Approach .•.....•....•....•..........•....•....••....•....•...•.....•....... 39
5.2.6 Implications ofFraudsters and Conmen on people and peoples Culture ....•.....••. 40
5 .2. 7 Duration given to Borrowers .•....••...............•..............•..........•............ . 41
5.3 Recommendation ..•....•.........••...............•....•.....•....•....•..........•....•......• .42
5.4 Limitations of the Study ....•.....•....•....•....••....•....••....•...................••...... .42
5.5 Conclusion •...•.....•.....•...•....•....•...........•....•....•..............••....•....•......• .43
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