Market Feasibility

Analysis of
Mushroom
April 2019
Background
• Mushroom cultivation has become a profitable commercial
agribusiness in many developing and developed countries.
• As an agribusiness, it has gained some modest success in
Ghana.
• Mushroom has medicinal value and is also used in dyeing
natural fabrics.
• The Ghana Export Promotion Council in collaboration with
the Food Research Institute in 1990 established the National
Mushroom Development Project (N.M.D.P.) based in Accra
(G.E.P.C., 1992).
Problem Statement
• How to quantify the demand for mushroom

• Awareness of benefit of consuming mushroom is unknown

• Identify the consumption rate of mushroom

Objective of the study
• To determine the awareness of mushroom.

• To determine the demand and consumption rate of the

mushrooms in the cape coast township.

• Availability of mushroom in cape coast and its environs.

Hypothesis
• Will Mushroom production in Cape Coast Township be
profitable if there is increase in level of awareness?

• Will Mushroom production in Cape Coast be sustainable if

able to meet consumer satisfaction (quality mushroom,
customer service, and affordable pricing)?
• Will demand for mushroom increase if there is availability
of it?
Relevance of the research to the
enterprise
• After conducting the survey, then the enterprise will be able
to determine:
• The level of awareness of mushroom in the cape coast
township.
• The level of input required and their combination in order to
achieve an efficient and productive enterprise.
• To determine the level of demand to determine the target
market to satisfy out of the numerous market segments.
Literature Review
• Cultivation Methods and Costs of Production
The cultivation method includes:
• Preparation of the inoculum
• Preparation of the bed legs
• Inoculation
• Log laying in the shelter
• Raising the legs
• Cropping and harvesting the fruiting bodies.
Literature Review….cont’d
• According to Oei (1996):
• Relatively low cost of production.
• Investment In substrate is a major factor in determining the
cost of production.
• Some other factors includes the cost of the acquiring the
spawn and services of labor.
Methodology
• Research design used is the market survey approach is to explore
the market and determine the level of awareness, demand and
satisfaction of mushroom produce.

• Research instruments that are going to be used under this design

include questionnaires and interview guide.

• Data from respondents will be recorded on the SPSS software as

data is to be categorized with respect to the occupation of the
respondents.
Data Collection
• Data will be collected on a one-on-one basis with the help
the questionnaire.
• Our target market was sampled using the simple random
technique because it can be used to generalize to the
population.
• 70 respondents were randomly selected from the University
of Cape Coast population and structured questionnaires
were admitted to them.

• Data was collected from the below target market:

• Households
• Hostels/Halls
Data Analysis
Health Benefit Awareness
Health Benefit Awareness
Health Benefit Awareness
Demand and Consumption rate
Demand and Consumption rate
Consumption rate
Availability Analysis
Discussion
• Even though people like to consume mushroom, they do not get
some to buy which provide us with a business opportunity to
capture.

• In as much as there was greater awareness level with regards fat

and cholesterol reduction benefit of mushroom, many respondents
were absent of the knowledge of the vitamin benefits of mushroom.

• Results also showed that most respondents will want to be supplied

with mushroom but they have comparatively a higher occasional
consumption rate.
• Finally, if the level of awareness of nutritional benefits of
mushroom, availability of mushroom is increased, it will influence
the consumption rate of consumers from occasional consumption to
frequent consumption which will increase demand.
Conclusion
• Finally, if the level of awareness of nutritional benefits of
mushroom, availability of mushroom is increased, it will
influence the consumption rate of consumers from occasional
consumption to frequent consumption which will increase
demand.