Electricity Energy Access and Profitability of Micro and Small Enterprises in Ghana

Dominic Owusu, Prince Opoku Agyemang and Douglas Opoku Agyeman

Journal of Entrepreneurship and Innovation in Emerging Economies, 2022, vol. 8, issue 1, 46-59

Abstract: Over the years, empirical investigations have focused on exploring drivers of the profitability of enterprises in emerging economies. However, there is a dearth of quantitative literature examining how access to electricity energy affects the growth of small businesses. In this quantitative survey design research, two-stage stratified and convenience sampling techniques were used to sample 50 owner-managers of micro and small enterprises in Kaneshie, Accra. Descriptive and inferential statistics were used to analyse the field results. The study found that the national grid electricity supply for the operations of small businesses in Accra is inadequate. An alternative source of electric energy significantly reduces the profit of businesses. The article, therefore, concludes a positive significant relationship between electric access and profitability of small and micro enterprises in Ghana. The study recommends that electricity supply agencies should ensure greater stability in electricity supply. Stakeholders should begin exploring alternative cheaper sources of electricity such as mini-solar panels and backup generators or renewable energy capacity to relieve small business owner-managers from the high cost of electricity.

Keywords: Access; electricity; energy; enterprises; profitability; small and micro (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://journals.sagepub.com/doi/10.1177/23939575211064494 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sae:jouent:v:8:y:2022:i:1:p:46-59

DOI: 10.1177/23939575211064494

Access Statistics for this article

More articles in Journal of Entrepreneurship and Innovation in Emerging Economies from Entrepreneurship Development Institute of India
Bibliographic data for series maintained by SAGE Publications ().