Microfinance and Entrepreneurship in Cameroon

Mardi | 2010-11-02

Serge MESSOMO ELLE – libre

The objective of this paper was to examine the role of microfinance institutions oncreation and expansion of microenterprises in Cameroon using the Schumpeter model and theVerstraete and Fayolle model of definitions of entrepreneurship. Creation of organization wasassociated with creation of microenterprise business organizations and expansion was associatedwith identification of business opportunity, value creation and innovation. The study uses ninemicrofinance institutions from Cameroon to assess the relationship between microfinanceinstitutions services and creation of microenterprises and the relationship between microfinanceinstitution services and expansion of microenterprises. The results are that microfinanceinstitutions to boost entrepreneurship in Cameroon prefer to finance expansion than creation andprefer also to supply lending, savings and money transfer services than microinsurance andtraining services to microentrepreneurs. All the services are important for microentrepreneursfor a development of an efficient microentrepreneurship in Cameroon. To counter the effect ofcost, the microfinance institutions should innovate in strategies and in service packages to supplyall microentrepreneurial services to microentrepreneurs.