African Diaspora Investors Experiences In Ghana‟S Hospitality And Tourism Industry

Abstract

Following the global growing awareness of Diasporas as the new development players and the contribution they can make to development efforts in their home country or continent, the African Diasporas in particular have been identified as significant sources of outside financing and potential development actors in their continent of origin. Despite this growing trend of Diasporas' investment and their role as new development players, there are few empirical studies of Diasporas' investment in the hospitality and tourism industry, particularly in Ghana. The study employed a qualitative lens to examine the African Diaspora investors‟ experiences within the Ghanaian hospitality and tourism industry. Using in-depth interviews, data were collected from 17 participants in the Accra Metropolitan Area. Participants were identified through the snowball sampling technique and data was analyzed using the inductive content technique. The study found two main subsectors that attracted investment from Ghanaian Diaspora investors, the Food and Beverage (F&B) and the Lodging (accommodation) subsectors. About 65% invested in Food and Beverage (F&B) and 35% in the Lodging subsector. Additionally, two main motivating factors, push and pull were found as the motivation for investing. The challenges encountered were put into pre-investment and post-investment challenges. Again, the study found the adoption of appropriate technology, support from family and friends, intensifying marketing campaigns, seeking advice from major industry players, collaboration with stakeholders and innovation as the strategies employed to negotiate the challenges of investors. Finally, the study concluded that the African Diaspora investors preferred Food and Beverage (F&B) and the lodging subsectors and were motivated mainly by two factors push and pull. About 70.6% of the participants had positive experiences and 29.4% had mixed experiences investing.