PinoyME Foundation
November 2008

Given that microenterprises in the Philippines make up the bulk of enterprises in the country, and have the potential to contribute significantly to employment generation and poverty reduction, MFIs and development organizations (DOs) would like to find out: What makes the few microentrepreneurs succeed? What factors facilitate the growth of microenterprises into small- or medium-scale enterprises?

At present, MFIs, DOs, and other BDS providers have yet to find an effective and efficient business model for providing BDS. As providing BDS is quite expensive per se, it has become imperative for MFIs and DOs to come up with very strategic BDS interventions for its client borrowers, strategic especially in terms of cost and quality.

Through a survey of literature this paper looks into the nature of microenterprises, the challenges and barriers to successful entrepreneurship, as well as the key factors behind the microenterprises that have successfully grown to higher levels of enterprise activity.

It focuses on the qualities or traits and skills of successful entrepreneurs based on a content analysis of documented stories, case studies or profiles identifying their traits and skills at various stages of the development of their enterprises.

The results of this literature review are expected to help identify the type or kind of microentrepreneurs who manifest greater potential to grow their businesses into SMEs. In turn, identifying their type should guide MFIs and DOs in crafting the BDS interventions needed to bring these microentrepreneurs to the next level. The findings from this paper are also expected to help draw up the variables that will form part of the parameters for the research survey on successful client-borrowers of participating MFIs.

[Download e-book: Literature Review on Growth-oriented Microenterprises]