Effects of Entrepreneurship Capacity Building Programs on the Performance and Sustainability of Youth Startups in Lower Manya Krobo Municipality: A Case Study of the Rural Enterprises Programme (REP)

Abstract

Youth unemployment poses significant challenges globally, particularly in regions like the Lower Manya Krobo Municipality of Ghana. This study examines the efficacy of the Rural Enterprises Programme (REP)'s capacity-building interventions, including entrepreneurial training and starter kit support, in addressing this issue. It aims to evaluate the impact of these interventions on the sustainability and profitability of youth startup businesses in the Lower Manya Krobo Municipality. The study employed a mixed-methods approach, involving qualitative interviews and quantitative analysis. The sample comprises 145 respondents, including those who have received training and starter kits, those who have received only training, and those who have received neither. These respondents represent diverse sectors such as industry, commerce/trade, agriculture, and services. The study findings underscore the critical role of prior entrepreneurial training in enhancing startup profitability and sustainability. Quantitative analysis using chi-square tests revealed no significant association between the REP interventions (training and starter kits) and the profitability of youth startups. However, the qualitative data provided valuable insights into the challenges faced by youth entrepreneurs, such as access to finance, market linkages, and business management skills. Based on the findings, the study recommends strengthening the entrepreneurial training component of the REP to ensure it adequately equips youth with the necessary skills and knowledge to start and sustain their businesses. Additionally, it suggests exploring the provision of complementary support, such as access to finance, mentorship, and market linkages, to enhance the overall success of youth startups. Regular monitoring and evaluation of the REP are also recommended to identify areas for improvement and ensure the program remains responsive to the evolving needs of youth entrepreneurs. Furthermore, promoting collaboration between the REP, local government, and the private sector is essential to creating a more enabling ecosystem for youth entrepreneurship. This study contributes to the understanding of the role of capacity-building interventions in fostering youth entrepreneurship and addressing unemployment in Ghana. The findings highlight the importance of comprehensive support, beyond just the provision of starter kits, to ensure the long-term sustainability and profitability of youth-led enterprises.