Challenges of Hospitality Entrepreneurship in Lokoja, Kogi State of Nigeria

Abstract

The Hospitality industry is a complex sector, a component of economic and social life that offers multiple opportunities for small business development. The industry is capital intensive and highly competitive. Its connection with entrepreneurship takes into account its crucial roles in the economic growth, productivity gains and job creation through small businesses within the sector. In Nigeria, entrepreneurs in this sector operate in a difficult business environment. Hence, the purpose of this paper is to access the perception of the owners/managers of small and medium-sized hospitality enterprises in Lokoja, Kogi State, Nigeria and identify the challenges they faced in the business environment. The study adopted a qualitative approach, while purposive sampling was used to collect data through in-depth interviews from 45 owners/managers of small and medium sized hospitality establishments in Lokoja. The interviews transcripts were sorted, coded and analysed by way of thematic analysis. Findings of the study reveal the key challenges confronting the hospitality entrepreneurs in Lokoja to include; increased operating cost, infrastructural deficiency, reduced patronage and lack of supports from government. Several key strategies were suggested to tackle these challenges, among which are, government and policy-makers should play a more proactive role in promoting entrepreneurship in the city; through the creation of conducive business environment, policy formulations that are investment friendly, and technical supports. The paper concludes that hospitality entrepreneurship is a promising venture in Lokoja, Kogi State of Nigeria if the stakeholders in the sector work in synergy.