Assessing the viability of a ''water shop franchise business'' to supply safe and affordable water to selected locations within the Accra Metropolis, Ga East & Ga West Districts

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Access to potable water is among the major challenges faced by developing countries in both urban and rural communities. Most residents rely on unhygienic water due to the public distributor's inability to ensure consistent supply. Consequently, there is the need for individuals, groups, institutions, governments and multinational companies to find ways to curb the problem of inaccessibility, unaffordability and scarcity of potable water which leads to water-borne diseases in Africa specifically in the rural and urban areas of Ghana. This study examined the the viability of a water shop fanchise business model to supply safe and affordable water to residents in selected locations within the Accra Metropolis and Ga East and West districts. The study was mainly conducted in few selected locations in Accra Metropolis and Ga East and West districts where potable water is believed to be scarce, unaffordable, inaccessible or too expensive for the urban poor. The study aimed at understanding the needs and challenges faced by local producers and consumers, and then examined the viability of the franchise business model by conducting a market sizing and analyzing the financial projections. The findings revealed that although most residents in the Accra Metropolis and Ga East and West districts are connected to the GWCL distribution system, most residents do not get consistent water supply. As such, they rely on other alternatives such as bottled water, sachet water and water tanker vendors for domestic consumption. However, a site visit to some local production firms revealed that production is done under unhygienic practices such as unreliable water sources, improper filtration and storage of water. There is a need for both drinking water and bulk water in Greater Accra Region region specifically in the Accra Metropolis and Ga East and West districts. Further details are outlined in the main report.
Applied project submitted to the Department of Business Administration, Ashesi University College, in partial fulfillment of Bachelor of Science degree in Business Administration, April 2011
Ghana, water shop, small and medium enterprise (SME)