A Dissertation Submitted in Partial Fulfillment of the Requirements for the
Award of the Degree of Master of Business Administration – Corporate
Management (MBA - CM) of Mzumbe University
The main objective of this study was to assess the opportunities and challenges of the
use of social media to enhance business performance of microfinance institutions in
Tanzania. Specifically, the study assessed the opportunity and challenges of the use
of social media networks in enhancing the performance of microfinance institutions,
found that the degree and measurement of investigation of opportunities and
challenges for the utilization of social media network by microfinance institutions are
exceptionally wide. This study was based on the use of both primary and secondary
methods of data collection was employed. The methods employed include
Questionnaires and interview.
Further, the study revealed that, the challenges that Microfinance Institutions face in
the utilization of social media is the delay in getting response when making an
inquiry through social media, affordability of clients/customers to own devices e.g.
mobile phones and computers and also to have sufficient funds to buy internet
bundles/data which could enables them access the information through Social Media.
For some microfinance monetary foundations, discovering low cost and effectively
implementable approaches to draw in with their clients (and arrive at new ones) is a
significant challenge.
The study recommend that Microfinance Institutions should start making a very
proper use of social media by creating and formulating very effective and efficiency
marketing strategies that could help them in enhancing performance through the
increase of customer base as well as loan portfolio. Further The study recommends that Microfinance Institutions shall concentrate in
using the mostly five social media namely Facebook, Twitter, LinkedIn, You Tube
and Flickr since their very well established.