Entrepreneurship in microfranchising: an emerging market perspective

Building on the limitations of the efforts of aid agencies and non-governmental organisations to pull the poor out of poverty in low- and middle-income countries and declining opportunities for market expansion in high-income countries, microfranchising is being promoted as a pro-poor business model, which promotes entrepreneurship. Sub-Saharan Africa has become a fertile ground for the propagation of this model. However, contemporary studies on microfranchising have not sufficiently explored what motivates people to turn to this method of doing business.

Through the case of a microfranchise in Ghana (FanMilk), the purpose of this paper is to use qualitative methods to study motivations for engaging in entrepreneurship ventures in a microfranchise.

The findings reveal whether motivations for becoming microfranchise entrepreneurs change over time or are varied, and these changes are moderated by changing opportunities, challenges and demographic factors.

These findings contribute to knowledge on microfranchising in terms of theory, policy and practice. The findings also seek to stimulate further inquiry into microfranchising and its ability to create value for multiple parties when operating in emerging markets such as Africa.