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As China has pressed ahead with rural revitalization in recent years, its rural financial sector has also developed rapidly and the financial environment has been greatly improved. But compared with urban areas, the rural financial sector makes rather limited contributions to rural economic development for a variety of reasons, including single types of service providers, narrow coverage, and lack of services and products. The underdevelopment of the rural financial system is closely related to the characteristics of its target customers and the economic system. The deficient rural financial credit system, the low level of IT application, the difficulty in data collection and integration, and the insufficient collateral of farmers pose high costs and huge risks for financial institutions when providing credit and other financial services.

In the present case, fintech and financial innovation complement each other: The application of fintech makes innovation possible, and the need for financial development fuels the development of fintech. Leveraging fintech and new business models, MYbank has overcome the main obstacles in the development of rural finance to provide convenient financial services for farmers and rural MSEs. Fintech is the abbreviation of “financial technology.” It can be understood as the combination of finance and technology for easier understanding, but it is more than that. Fintech refers to the innovation of traditional financial products and services with various technologies to improve efficiency and reduce operating costs. The emergence and development of fintech have led to the creation of new business models, applications, and processes, which have triggered major changes in financial markets, financial institutions, and the ways financial services are delivered, and are reshaping the financial landscapes of countries and even the world.

There are three major problems in the development of rural finance: difficult access to data, difficult risk management, and difficult market penetration. In order to gradually remove the obstacles and guarantee sustainable business development, MYbank has created three new business models with the power of fintech: digital inclusive finance at the county level, industrial finance, and platform finance. With these models, MYbank is searching for a “Chinese solution” to the worldwide problem of rural inclusive finance.

In China, supply chain finance (SCF) has gradually emerged as a new service for the retail industry. This case systematically discusses how JD conducts product design and risk control of supply chain finance and related financial services, and analyze the impact of supply chain finance on JD's retail operations. The case also analyzes the relationship between JD supply chain finance and traditional financial institutions, and explore the future development of retail supply chain finance.

Financial Services Marketing, Financial Inclusion, Emerging Market Studies.

The case is suitable for graduate management students in courses such as general management and marketing courses. It is also suitable for a specialised rural marketing course and marketing of financial services. In business schools outside India, the case can be used in a course on marketing strategies for emerging economies. The case is suitable for executive development programmes for the areas pertaining to rural banking, marketing of banking services and financial inclusion programmes.

The case analyses the financial inclusion initiative by Odisha Gramya Bank, a regional rural bank set up after amalgamation of three banks in the state of Orissa, India. The topic of financial inclusion has been the attraction from bankers, policymakers and academia in light of linkage between formal financial system and inclusive growth. To harness the fortunes at the bottom of pyramid, the case looks into the development of financial inclusion, business strategies and strategies for various customer segments.

To introduce students to analyse and compare various financial inclusion options. The case is useful to comprehend the various methods of financial inclusion. To analyse the evolution of regional rural banks and Odisha Gramya Bank after its amalgamation. To appreciate the issues faced by Odisha Gramya Bank. To understand various market segment and to evaluate its potential. To suggest appropriate strategies for each market segment. To appreciate how technology can be harnessed for business correspondents. To recommend the roadmap for financial inclusion to Mr Sidharthan, Chairman, Odisha Gramya Bank.

Teaching notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.

CSS 8: Marketing.

The learning outcomes of this study are as follows:

1. understand the role of financial inclusivity in the sustainable development of a nation;

2. examine the concept of social entrepreneurship and identify the skills needed to be a social entrepreneur;

3. analyze the opportunities and challenges faced by social entrepreneurs, especially in an emerging economy; and

4. assess the feasible options with respect to upscaling and expansion.

Yamuna Sastry, a young woman from a traditional Indian family, had set out to achieve her dream of financial inclusivity by helping the underprivileged in her country gain financial independence and credibility. When she was approached by a cab driver to file tax returns for him, a new venture took shape in her mind, and along with a partner, CabDost, a socially driven financial advisory start-up was created to provide financial advisory services exclusively for cab drivers. CabDost had been instrumental in making over 15,000 cab drivers financially literate, instilling in them a culture of compliance, getting them tax refunds and enabling the Indian Government recover eight crores in taxes. The success of financial inclusivity among cab drivers inspired CabDost to extend its financial services to truck drivers, auto drivers, housekeeping staff and other contractual workforce. The company found it challenging to address the demands of the increasing customer base with its available technical resources. The absence of an in-house tech team and the need for an all-in-one tech platform to provide a wide variety of financial services induced CabDost to explore other options. Dvara Money, a neo bank offering financial services, approached CabDost with a merger proposal. Though it was a lucrative offer, the founding members were apprehensive as they knew that most of the mergers failed because of myriad reasons. They were contemplating on their next move as they were in a dilemma about whether to develop a technical team in-house or to go ahead with the merger.

The case can be taught to business management students as a part of the introductory course on entrepreneurship or social entrepreneurship. The case can be used specifically to make the students understand the role of financial inclusivity in the sustainable development of a nation, the concept of social entrepreneurship, the journey of social entrepreneurs in the financial inclusivity space, right from ideation to execution, the challenges faced in the bargain, survival mechanisms adopted and the various options available for further growth and expansion.

Teaching notes are available for educators only.

CSS 3: Entrepreneurship.

The case describes the strategy of a large Indian Public Sector Bank (PSB) to enhance financial inclusion and financial literacy of less privileged people located in poorly accessible parts of India. While pursuing the developmental objective ‘imposed’ by the Central Bank/government, being a listed entity, the PSB had to be mindful of the financial viability of the strategy so as to protect the interest of its minority shareholders. The issues covered are endemic to most developing countries where public enterprises often become instrumentality of the state.

Following successful discussion of this case, students should be able to:▪ understand and apply the principles of effectuation;▪ understand the difficulty of obtaining traditional financing in Latin America;▪ determine the importance of matching new hire and company values, particularly in a small business; and▪ analyze some of the unique problems facing a business at the point of scaling up and provide suggestions for how the protagonist could address those problems.

This case provides an introduction to the Fintech industry in South and Central America, fruitfully combining tenets of the lean startup methodology, effectual principles of entrepreneurship and a novel method of managing personal finances via decentralized vehicles provided through fintech. In addition, Kuiki Credit and its use of fintech represent a compelling example of industry disruption by an entrepreneurial firm. Owing to its unique location, this case provides students with a lens into a part of the world rife with bureaucracy and, in some cases, corruption. The disruption is thus unique in that not only does one view traditional disruption of industry dynamics, but also government policy and cultural mores. This is evinced within the body of the case through direct quotes from founder Ernesto Leal and Eduardo Morán, one of the company’s first employees. This information highlights the market Kuiki Credit pursued, one underserved by traditional financing and thus lacking access to credit.Consistent with effectual entrepreneurship principles, Ernesto Leal, the main protagonist and a Nicaraguan entrepreneur, drew upon his significant corporate experience in financial institutions and as a franchise owner to create a new venture. Kuiki Credit is designed to increase access to capital and disseminate fintech throughout Central and South America, and in particular first in Costa Rica and later in Nicaragua. The case is set in 2018, when Leal faces a scaling issue. Specifically, he wonders how to maintain an entrepreneurial company with high levels of innovation and a culture of continuous improvement despite the need to grow. Near the end of the case, some specific issues relative to culture are briefly reviewed in relation to the sales department and Leal feeling the need to restructure the company, while being encouraged by the board to hit breakeven targets for three consecutive months prior to expanding to new markets.

This case most appropriately lends itself to discussions in entrepreneurship at the junior or senior undergraduate level. To engage in this case most productively, students should have a basic understanding of entrepreneurship, the equivalent of two to three weeks into the semester.

Teaching notes are available for educators only.

CSS:3: Entrepreneurship.

Mergers and acquisitions (M&A) are often very complex management endeavors. Analyzes the IT component of M&A for two financial institutions. Students are tasked with assisting Mike Farrell, the CIO of New Millennium Financial (NMF), a new company created through the merger of FinStar Financial and D&L Bank, in determining the optimal combined IT portfolio. To accomplish this task the strategic business objectives of the firm must be clearly understood and the IT projects in the pipelines of both institutions analyzed. Students must make an IT portfolio management decision and answer the question: What is the optimal IT strategy and project portfolio for NMF?

To apply a framework to manage a company's IT portfolio, i.e., understand the company's strategic context, develop business objectives that align with its strategy, assess IT investments, and develop a portfolio of IT projects that support the objectives. The framework is iterative, i.e., IT investments are assessed on a regular basis based on their performance and risk/return tradeoffs. Also to introduce a leading Web-based tool, ProSight, that helps managers organize IT portfolios.

After completion of this case, students will be able to: define and understand the external and internal components of the strategic management process; define and explain various alternative strategies that help companies create a sustainable competitive advantage; understand and explain the five main choices of entry mode that are available to organisations when considering entry into a foreign market, suggest an entry mode that is relevant to Standard Bank and explain the pros and cons of each entry mode; and understand how a company can offer or phase in its service offerings.

This case situates Sola David-Borha, CEO for the Africa Region at the Standard Bank Group, in April 2018, considering whether and how to expand into personal and business banking in Cote d’Ivoire – a country that Standard Bank had just re-entered, having exited there in 2003 because of the civil war. The bank has operations in 20 sub-Saharan African countries and its growth strategy is focussed on Africa. This strategy is reflected in its slogan: “Africa is our home. We drive her growth”. David-Borha has a number of questions on her mind. These include: can the bank offer financial services that will meet the needs of the Ivorian people, how can the bank expand into personal a business banking – indeed is rapid expansion into this sector the right decision for now?

Advanced/graduate courses in strategic management and international business.

Teaching Notes are available for educators only.

CSS 5: International business.

Business Management, Global Marketing Strategy, Strategic Management, International Business, International Management.

The case is suitable for undergraduate and post-graduate business and management students. The case is based on secondary data collection and all the facts are real.

The expected learning outcomes include the selection of a foreign market; the determinants of the foreign mode of entry strategy; the process of integrating an internationalization strategy; how to choose the most appropriate partner; and the monitoring of international markets. The case provides a space to think about practice and help learners, therefore, to connect theory and practice.

Teaching Notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.

The learning outcomes are as follows: Students/participants can understand the type of financial fraud pertaining to the case; Students/participants can analyse the case using the fraud triangle perspective; students/participants can describe detection/anticipation strategies to prevent such acts from taking place in the future; students/participants can evaluate the case using the ethical decision-making framework; and students/participants can comprehend the importance of financial literacy when investing, especially in this digital era.

This case discusses the investment funds mismanagement accusations addressed to PT Jouska Finansial Indonesia (Jouska). Jouska is a financial planner business that was immensely popular among Indonesian young investors. It actively posted interesting content on its social media accounts, gaining attention from the millennial and Gen Z generations. However, in 2020, many of its clients reported and filed complaints that their portfolio values decreased significantly because of Jouska’s decision to invest their funds in low-quality stocks. Jouska was also alleged to violate its role as a financial planner by being able to perform several activities that fell under the authority of investment managers. This case attracted the attention of authorities so that the Investment Alert Task Force (SWI) stopped Jouska’s operational activities and initiated an investigation into the case. SWI also blocked Jouska’s websites, applications and social media accounts, in cooperation with the Ministry of Communication and Information. Despite settlement agreements that Jouska claimed had been offered to several clients, at the end of 2020 some of its clients and former clients filed a formal lawsuit. As of January 2021, several alleged criminal actions attributed to Jouska were still under investigation, comprised of money laundering, clients’ funds embezzlement, fraud, and insider trading. In October 2021, Aakar’s status was a suspect in the allegations. This case is another example of investment misconduct or fraud; to put it another way, it is the effect. It is expected that the participants can deliberate other perspectives during the discussion that could be the cause of such a case, hence viewing it holistically.

Undergraduate level.

Teaching notes are available for educators only.

CSS 1: Accounting and Finance.