The Impact of Access to Electricity on E-Commerce Adoption in Ghanaian SMEs, an Empirical Analysis

Christiana Twi-Brempong,Samuel Koranteng Fianko,Kweku Kyei Gyamerah,Mavis Adjei,Edward Gyamfi,Joyce A Owusu,Adjoa Afedua Nsaful,Hejun Gu,Emmanuel Nketiah,Tetelesti Oppong-Baah,Isaac Owusu,Elina Kim,Frederick Adjei Boateng,Deborah Ofosu,Jovanka Pinas

doi:10.4236/ojbm.2020.81015

Abstract

This paper explores the impact of selected factors that affect the adoption of E-commerce among small and medium-sized enterprises (SMEs) in Ghana, with emphasis on access to electricity. The data included figures for the country’s population growth (PG), secondary education (SEC), individuals using the internet (IUI), broadband subscriptions both fixed and mobile (BBS), access to electricity (AE) and secure internet servers (SIS). The data was from the year 2007 up to 2017. The main objective is to identify the various factors that impact e-commerce adoption in Ghana. This study uses regression to conduct an empirical analysis on the impact these factors have on e-commerce in Ghana. The study found that access to electricity had a strong positive relationship with e-commerce adoption in the country. This can explain why e-commerce has not been broadly adopted and used in Ghana since the country has been experiencing a huge power crisis for the past decade. Broadband subscription and secure internet servers also impacted e-commerce adoption at various percentages but access to electricity was statistically significant. Based on the findings, the author suggests that the government, policymakers and other stakeholders make great efforts to solve the power crises in the country as doing such will give businesses an incentive to conduct business online.

Highlights

IntroductionThe EU defines a medium-sized enterprise as one with a staff headcount less than 250, turnover less than or equal to fifty million (50 m) Euros and a balance sheet total less than or equal to forty-three million (43 m) Euros
This paper explores the impact of selected factors that affect the adoption of E-commerce among small and medium-sized enterprises (SMEs) in Ghana, with emphasis on access to electricity
The results show that the average percentage of people with secondary school education is 56.2%, with a maximum percent of 62.1 and a minimum of 46.3

Summary

Introduction

The EU defines a medium-sized enterprise as one with a staff headcount less than 250, turnover less than or equal to fifty million (50 m) Euros and a balance sheet total less than or equal to forty-three million (43 m) Euros. The union defines a small enterprise as one with a less than fifty (50) staff headcount, less than or equal to ten million (10 m) Euros and a balance sheet total less than or equal to ten million (10 m) Euros. It defined a micro enterprise as one with less than ten (10) employees and turnover or balance sheet total less than or equal to two million Euros

Methods

Results

Conclusion