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CLOSE THIS BOOKMicro Credit Systems for Small Enterprises in Developing Countries - Practical guide (GTZ, 66 p.)
VIEW THE DOCUMENT(introduction...)
VIEW THE DOCUMENT1. Introduction
2. Micro credit system
3. Business management training
4. Advice for organising a micro enterprise support projects
VIEW THE DOCUMENT5. Conclusion
VIEW THE DOCUMENTList of Abbreviations
List of Appendixes

5. Conclusion

In conclusion I would like to say that a micro enterprise support project in developing countries is realistic and very helpful to the community. It can help micro enterprises to improve or to develop sustainable income generation activities. It can improve businesses and the standard of living among the most vulnerable groups in developing countries.

A major reason for the (economic) problems in developing countries is related to the fact that they do not have an economically noticeable and stable middle class. Developing countries usually have a small upper class, a small middle class and a very large lower class which lives below the existence minimum. The aim of a micro enterprise support project should be to assist entrepreneurs from the lower class who are able to improve their business and their standard of living in such a way that they will join the middle class. The middle class has to get larger. Such improved enterprises will be large enough to employ workers from the lower class. Increasing and strengthening the middle class will have a positive effect on the whole society of the respective country.

As mentioned in the introduction, the special situations in the various countries, the tradition, economy, culture, society and mentality have to be taken into consideration when a support project for micro businesses in developing countries shall be established. In any case such a project will change the society and the people will be confronted with aspects which are called "western culture or business". All over the world banks, businesses and organizations are found which are working as in western countries. The influence of western structures and working behavior can not be stopped in developing countries. Therefore it is important to educate the disadvantaged people in such a way that they can understand the mechanism of the bank and business world. So that they have a choice and that they are able to find their own suitable way. Otherwise the big risk will always remain, that disadvantaged people will be misused and exploited from people who belong to the upper class. It is a great challenge to combine the "traditional culture" with the "western culture". Thereby it is important to support and strengthen positive aspects of the traditional culture. In this way the project has a positive influence on the social as well as the economic situation of the involved population.

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