Lower costs lead to higher profits for Microfinance Bank. A low cost leader can undercut rivals on price… … "Cost Advantages (Microfinance Bank)" has a significant impact, so an analyst should put more weight into it. This statements will have a short-term positive impact on this entity, which adds to its value. "Cost Advantages (Microfinance Bank)" is a difficult qualitative factor to defend, so competing institutions will have an easy time overcoming it.