Investigating the desirability and feasibility of the ‘Old People’s Home’ as a viable business in Ghana
Ghana’s population is ageing at the same time that its extended family system is collapsing. The Ghanaian government is however, not making sufficient efforts to cater for the long-term needs of the elderly. This study therefore proposed the “Old People’s Home” as a solution to elderly care problems and investigated whether it will be a viable business in Ghana. To help achieve this objective, factors that can influence profitability of the Old people’s home in Ghana were identified and discussed. Data collection was limited to Accra. A 3-pronged strategy was employed in answering the research questions and in achieving the research objectives: (i) Questionnaires and interviews were administered to 60 potential family caregivers, aged between 25 and 59. (ii) The owner of an existing Old people’s home in Accra was interviewed to highlight challenges faced and evaluate the sustainability of such a venture and (iii) PESTLE and financial analyses were conducted to assess the feasibility of a hypothetical Old people’s home. Findings indicated that, majority of the respondents did not want to patronize Old People’s Homes as a result of their attitudes, cultural beliefs and the general economic hardship. However, the “Old People’s Home” may be viable if people’s views about care homes change over time. The PESTLE and financial analysis, however, concluded that the Old People’s Home could be sustained as a business as long as there were at least 15 customers under care. However, given the difficulty in attracting customers and the steep marketing expenditure that will be needed to change people’s views about Old People Homes in Ghana, the study finds evidence against such a venture, at least in the short term.
Thesis submitted to the Department of Business Administration, Ashesi University College, in partial fulfillment of Bachelor of Science degree in Business Administration, April 2016
Ghana, elderly people, old people's home, Accra