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The purpose of this paper is to analyze the sustainability of Credit Non‐Governmental Organizations (CNGOs) such as DAYBANG.

This paper investigates and describes the operating details, through the web, of DAYBANG using SWOT analysis.

By the means of SWOT analysis it is found that clarified information, credit scoring system and the law of large numbers set up by DAYBANG will decrease the asymmetric information influence, which will result in adverse selection and lowering of the transaction cost; while operational risk and moral hazard are the weaknesses to be overcome. SO, ST, WO, WT strategies deserve consideration.

Researches on informal finance have focused on loans between relatives, friends and usurers. Few literatures, however, have studied the Credit NGOs (CNGOs). DAYBANG is a newly‐emerging CNGO which has resulted in immense public interest because of its Web operating platform. This paper discloses its operational characteristics, using SWOT analysis, which expands the research on informal finance.

The purpose of this paper is to implement the strategies selection process in a proposed formulated mathematical framework to prioritize selected strategies with the interaction of other groups of strategies, known as the strategies interaction model (SIM).

SWOT analysis is a popular useful strategic planning tool, which analyzes organizations internal and external factors. The traditional SWOT procedure lists internal and external factors and derives four groups of strategies based on the organization’s strategic position. SWOT is easy to use as a business analyzing tool, while it is not competent enough for strategic formulation. With the emergence of the economy’s vicissitudes, undulations in the markets and multiple changes, and various variables in the industrial competitive environment, selection of the organization strategies confront uncertainty in decision making. The SIM framework presents a solution to select alternative strategies for organizations in unpredictable situations.

The findings show that SIM is a reliable approach to evaluate, select and rank organization’ strategies. SIM proposes alternative strategies due to the uncertainty of the organization’ environment with respect to the four strategic positions. The SIM’ proposed ranking process is in accordance with the highest impact of each strategy on each other. Furthermore, it possesses advantages of AHP, ANP and other applied multiple criteria decision-making (MCDM) techniques in SWOT analysis.

In this paper SIM is applied within a dairy company located in the north of Iran.

SIM has the advantages of the classic SWOT and fills the gaps of MCDM methods application in the SWOT analysis. Moreover, it provides a formulated algorithm for the organizations to face the uncertainty of the environment. SIM philosophy can be widely used in the decision and managerial implications.