Show simple item record

dc.contributor.authorHossain, Shahadat
dc.contributor.authorGalbreath, Jeremy
dc.contributor.authorHasan, Mostafa
dc.contributor.authorRandøy, T.
dc.date.accessioned2021-08-25T13:40:00Z
dc.date.available2021-08-25T13:40:00Z
dc.date.issued2020
dc.identifier.citationHossain, S. and Galbreath, J. and Hasan, M.M. and Randøy, T. 2020. Does competition enhance the double-bottom-line performance of microfinance institutions? Journal of Banking and Finance. 113: Artcile No. 105765.
dc.identifier.urihttp://hdl.handle.net/20.500.11937/85245
dc.identifier.doi10.1016/j.jbankfin.2020.105765
dc.description.abstract

This paper investigates how competition affects the double-bottom-line performance of microfinance institutions (MFIs). While classical economic theory highlights that competition enhances efficiency and benefits both customers and firms, we argue that this is unlikely to apply to institutions operating in socially oriented industries, such as microfinance. Using a cross-country dataset of 4576 MFI-year observations (1139 unique MFIs) operating in 59 countries over a 10-year period (2005-2014), we find that competition has an adverse effect on MFIs’ economic sustainability and that competition undermines their breadth of outreach but enhances their depth of outreach. These results are robust to alternative specifications of competition and to the use of a two-stage least squares (2SLS) analysis to alleviate the endogeneity concern. The findings from our analysis have important implications when considering the regulation of MFI competition, especially in the light of the recent turmoil of MFI markets in some developing countries.

dc.languageEnglish
dc.publisherELSEVIER
dc.subjectSocial Sciences
dc.subjectBusiness, Finance
dc.subjectEconomics
dc.subjectBusiness & Economics
dc.subjectCompetition
dc.subjectBoone indicator
dc.subjectMicrofinance institutions
dc.subjectPerformance
dc.subjectSustainability
dc.subjectBANK COMPETITION
dc.subjectMARKET POWER
dc.subjectCOST
dc.subjectEFFICIENCY
dc.subjectCREDIT
dc.subjectGOVERNANCE
dc.subjectOUTREACH
dc.subjectINDUSTRY
dc.subjectPERSPECTIVE
dc.subjectLEADERSHIP
dc.titleDoes competition enhance the double-bottom-line performance of microfinance institutions?
dc.typeJournal Article
dcterms.source.volume113
dcterms.source.issn0378-4266
dcterms.source.titleJournal of Banking and Finance
dc.date.updated2021-08-25T13:39:59Z
curtin.departmentSchool of Accounting, Economics and Finance
curtin.departmentSchool of Management and Marketing
curtin.departmentSchool of Economics, Finance and Property
curtin.accessStatusFulltext not available
curtin.facultyFaculty of Business and Law
curtin.contributor.orcidGalbreath, Jeremy [0000-0002-1727-7618]
curtin.contributor.orcidHasan, Mostafa [0000-0003-2891-2979]
curtin.contributor.orcidHossain, Shahadat [0000-0003-0472-8050]
curtin.identifier.article-numberARTN 105765
dcterms.source.eissn1872-6372
curtin.contributor.scopusauthoridGalbreath, Jeremy [6602228947]
curtin.contributor.scopusauthoridHasan, Mostafa [56489515600]


Files in this item

FilesSizeFormatView

There are no files associated with this item.

This item appears in the following Collection(s)

Show simple item record