Evaluating the Impact of Regulatory Framework on SMEs’ Success: A Case Study of Wa Township, Ghana

Abstract

This study investigated the impact of regulatory framework on the success of Small and Medium Enterprises (SMEs) in Wa Township, Ghana. Using field research and a structured questionnaire distributed to 411 SME operators, the study assessed relationships between regulatory factors such as ICT policy adoption, bureaucracy reduction, labour regulations, favourable conditions on access to financing, as well as market-related regulations and SME outcomes. Pearson correlation and regression analyses revealed no statistically significant associations between these variables and SME success (p > 0.05), indicating that regulatory factors alone have limited influence on SME performance in this context. Consequently, the study recommends that policymakers focus on supplementary support measures, including financial literacy training, digital skill development, and mentorship programmes, to address gaps not met by regulatory changes. Future research should explore additional factors influencing SME success, such as market demand and customer engagement, to better inform policies that foster sustainable SME growth.