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Business innovation in credit and collection: a case study in a Brazilian water supplying company

Author

Listed:
  • Rosangela Maria Vanalle
  • Wagner Cezar Lucato
  • Ivone Dias Sato

Abstract

The major objective of this study is to propose an innovative and viable procedure for the recovery of overdue debts especially designed for low-income population in order to allow them to regain access to good quality drinking water supply. To verify the suitability of the proposed procedure to real-world situations, two case studies were conducted in communities in which the customer's financial situation precludes the maintenance of timely payments. As a result, it was possible to conclude that the reduction in the debt stock and default rates in those communities were significant after applying the new procedure. Hence, this study suggests that using a different way to deal with low-income customers is essential to obtain the best results in terms of financial recovery and also to make once again water affordable for them.

Suggested Citation

  • Rosangela Maria Vanalle & Wagner Cezar Lucato & Ivone Dias Sato, 2017. "Business innovation in credit and collection: a case study in a Brazilian water supplying company," International Journal of Business Innovation and Research, Inderscience Enterprises Ltd, vol. 14(3), pages 382-396.
    • Handle: RePEc:ids:ijbire:v:14:y:2017:i:3:p:382-396
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