Removing barriers of innovation among SMEs in Ghana

Abstract

Innovation among SMEs, in recent times, has become a significant issue in policy and academic circles. However, not much research works have been conducted on the barriers of innovation impeding the operations of SMEs in developing countries, including Ghana. Much of the research works conducted have been in the developed world context. This gap calls for a scholarly focus on the barriers associated with innovation that confront SMEs in their activities in developing nations, including Ghana. Also, there is a gap in the literature on the measures needed to remove the barriers. Apparently, scholars are unaware of the fact that the removal of the barriers is of utmost importance to the SMEs, as it can help make them innovative. What the above reflects is an incontrovertible need to conduct research works that focus on the barriers of SME innovation and the mechanisms required to deal with the barriers. This is concurred with the contention that barriers of innovation in the operations of SMEs and how to deal with such barriers are two areas that beg for more scholarly attention. To fill these gaps, this research applies qualitative methodology to examine the barriers that militate against innovation and the measures needed to remove them among SMEs in Accra, the capital of Ghana, a developing country, where 28 managers of SMEs were interviewed. There are economic, knowledge, market and reason factor barriers of innovation confronting the SMEs. Additionally, this research uncovers several measures of removing the barriers. Therefore, this research provides considerable contribution to knowledge in innovation and sets the ball rolling for similar scholarly works in the developing world.