Effect of Entrepreneurial Characteristics on Long Term Survival of Small and Medium-size Enterprises in Cape Coast Metropolis

Abstract

Given the importance and contribution of small and medium enterprises to the economy, multiple empirical studies show that the majority of SMEs fail to expand, with some closing their doors within the first few years of existence. This study looked at the key entrepreneurial characteristics, determinants of long-term survival and the relationship between entrepreneurial characteristics and the long-term survival of SMEs in Cape Coast Metropolis. The principle of entrepreneurship characteristics and SME long-term survival evaluation formed part of the theoretical and conceptual analysis. The thesis adopted the theory of positivism and the descriptive design discussed in a quantitative approach to science. In all, 200 SMEs in the Cape Coast Metropolis were included in the study and the research employed a questionnaire to elicit the required data for the study. The study employed frequency tables and regression analysis to examine the level of entrepreneurship characteristics and SME long-term survival in Cape Coast Metropolis. Based on the discoveries of the research, the study conclude that the sampled entrepreneurship characteristics have effects on SME long-term survival. Moreover, it was recommended that managers of small and medium size enterprises should improve the entrepreneur’s level of education and business knowledge skills through simplified training programmes and courses.