This is a best prospect industry sector for this country. Includes a market overview and trade data.
Ghana is fertile ground for the franchising industry, as the concept is relatively new in Ghana, concentrated in fast-food restaurants and hotels, including U.S. franchise brands such as KFC, Burger King, Pizza Hut, Steak Escape and Marriott. Ghana recently welcomed Pinkberry and Harley-Davidson franchises as well. The franchise sector has experienced growth over the past five years and offers potential to create more opportunities. Because of the overall improvement in the Ghanaian economy and optimism about the future, interest in franchising is growing.
• Ghana boasts a stable government, an expanding economy and a strong and growing middle class with an affinity for U.S. brands.
• Ghana was selected to host the Secretariat of the African Continental Free Trade Agreement, slated to go into effect in July 2020, which will facilitate trade and investments between African countries. This positions Ghana to be a springboard for U.S. companies seeking to increase African market share.
• A dozen franchises are already succeeding in the Ghanaian market, and Ghana’s proximity to Nigeria—the most populous country in Africa—makes it an ideal platform for growth in West Africa.
• Ghana’s population is 30 million and growing quickly, with more than half the population under 27, a demographic that is open to new ideas and new restaurant and lifestyle brands.
• Undercapitalization of many local businesses and the high cost of financing mean that many international franchise master licenses are costly for Ghanaians.
• Difficulty in maintaining reliable supply chain, especially cold chain for franchises with specific and regular needs for perishable items imported from abroad.
• Scarcity of experienced, specialized staff requires significant resources devoted to training.
• High cost and limited availability of suitable real estate – property costs in Accra and other large cities in Ghana can be expensive.
Africa Franchise Center at http://www.africafranchise.org/
Ghana Investment Promotion Center at www.gipcghana.com