Discussion: Research-based Peer Alternative Response to 4.3 Peer Topic : The U.S based Micro Loan Provider Please review previous submissions and the alternate response should be new not similar to pr

Microfinance
Microfinance is the process of giving financial aid to the less advantaged in society. Those are not involved in the traditional banking system. It originated in Bangladesh before expanding in the global microfinance liberates people's dreams and helps the poorest of the people achieve their dignity (Banerjee et al., 2013). Microfinance has helped in introducing new waves of innovations. Microfinance has shown that people can be relied on to pay their loans. And that poor people can also be given financial aid through loans. Research has shown that the less privileged in society have payback morals to pay money that has been provided to them.
An estimated 1.7 billion people do not have access to microfinance, according to the world bank (Banerjee et al., 2013). Therefore, there has been an establishment of microfinance institutions the microfinance institutions work to serve people. Microfinance institutions have been ranked as one of the top methods of eradicating poverty globally. Different institutions offer microfinance services and considered microfinance institutions, including credit unions and commercial banks (Banerjee et al., 2013). Microfinance aims at helping the less advantaged in society without looking at whether they make a profit or not. It seeks to be the bank of the poor.
Microfinance has got dozens of benefits; one of the benefits is that it allows people to provide for their families. Through microfinance, most families can expand on their opportunities to generate income (Cull & Morduch, 2017). It has given access to credit; by this, people have access to recognition to eradicate poverty. It has served those who have often overlooked society. Most of these microfinance institutions usually give loans to women and those with disability. The creation of the possibility of future investments disrupts poverty and creates an opportunity for future investments. It is very sustainable, and also it is a way of creating employment opportunities. Microfinance institutions also encourage people to save; it offers an economic gain even when people income levels remain the same.
Microfinance can provide a market system by knowing what competitors are offering and the types of financial aid they provide and comparing themselves. Know the kind of clients that usually access the services. They should also do a customer analysis; this will help them know the clients' needs and preferences. They should also do strategic planning and positioning. This will give them general information on the type of product they should offer (Cull & Morduch, 2017). The location on where the service is to be provided and how they will be differentiated from other products. Microfinance institutions need to analyze different products that they offer. Microfinance institutions need to use the customer's feedback to be able to upgrade their services. Every microfinance institution needs to be able to define its products and services.
Every microfinance institution needs to have a promotion and outreach communication. This is a marketing tool that microfinance institutions can use. This will be able to help them be able to distinguish the difference in their products. It can also allow them to introduce other products in the market. The MFIs should also have a marketing plan; this will enable them to know where they want to be and how they will get there. Microfinance institutions have provided people with the knowledge that poor people can be trusted with loans—microfinance help in bettering society and support increasing the economy.

References
Banerjee, A., Chandrasekhar, A. G., Duflo, E., & Jackson, M. O. (2013). The diffusion of microfinance. Science, 341(6144).
Cull, R., & Morduch, J. (2017). Microfinance and economic development.