This Global Management Project (GMP) is focused on two different international economic development methodologies, microfinance institutions (MFIs) and business incubators for economic development. This is in response to assumptions made by co-founders Mr. and Mrs. Jones (names have been substituted) and their long-standing interest in international development and poverty alleviation. The Jones’ believe that supporting formal above-board business creation and providing ongoing support through the means of a business incubator is more effective at addressing poverty than the approach taken by MFIs to support the informal market and consumption lending. They also believe that there is a market within the study abroad sector for using students and study abroad programs as a resource for international development. Based on these assumptions, the Jones’ wish to enter the study abroad industry and launch a new venture. This new venture, Global Riplz, is a small and medium-sized enterprise (SME) incubator/accelerator whose mission statement is, “to establish Global Riplz as the premier solution for applied study abroad options for business students, bringing together great minds in an environment conducive to innovation while supporting local economic growth.”

As such, this GMP is being completed as a two-stage analysis for the successful strategic entry of this new venture and to answer the question, are economic incubators more or less effective than MFIs at addressing poverty through job creation? Stage one is literature review and discussion of MFIs and incubators for economic development. While, stage two of the analysis is to evaluate the external environment, the major competitors in the study abroad industry, current products offerings and to define the company’s internal environment through the development of a targeted marketing plan.