Project overview
Conducted across Kampala and several districts in Central Uganda, the research investigates why micro-businesses cluster together, how they compete within densely populated markets, and why they rarely introduce new products or services despite intense competition. Approximately 400 business owners from the retail and manufacturing sectors participated in detailed surveys examining pricing strategies, market behaviour, entrepreneurial decision-making, and barriers to innovation.
Using business surveys alongside geospatial mapping, the study analyses market competition, price variation, firm performance, and product experimentation across different business clusters. The research seeks to identify opportunities for improving business competitiveness while reducing the constraints that prevent firms from growing beyond subsistence.
Research impact
The findings provide important evidence for policies aimed at promoting innovation, increasing productivity, and strengthening enterprise development among micro and small businesses. The study also informs future interventions designed to encourage product experimentation, improve market efficiency, and support sustainable business growth in Uganda.
