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UG Standard - Latest News

Study: Mindset training boosts profits for Ugandan entrepreneurs

by OUR REPORTER | UG STANDARD
12/05/2025
in Business, News
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PDM beneficiaries register for Wendi Mobile Wallet, a digital financial platform, as part of efforts to expand financial inclusion in rural Uganda.
PDM beneficiaries register for Wendi Mobile Wallet, a digital financial platform, as part of efforts to expand financial inclusion in rural Uganda.

KAMPALA, Uganda — A new study indicates that personal agency training focused on mindset significantly improved revenues, profits, and business practices among 800 entrepreneurs in two regions of Uganda.

The 11-month randomized control trial, conducted by Johns Hopkins University in partnership with Enterprise Uganda and the Investors Club, found that training emphasizing mindset transformation, rather than solely technical business skills or capital, led to measurable improvements for micro, small, and medium enterprises (MSMEs).

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Speaking at the launch of the study’s preliminary results in Kampala on Wednesday, Ronald Mukasa, head of innovation and learning at Enterprise Uganda, said the early findings suggest a strong link between mindset training and improved business outcomes.

“Sales have gone up, and profitability has increased,” Mukasa said. “What we’re seeing is that when entrepreneurs confront and overcome the limiting beliefs they carry, it directly translates into better business performance.”

The “personal agency training,” developed by the Self-Empowerment and Equity for Change Initiative (SEE Change) at Johns Hopkins University, incorporated behavioral science to enhance self-awareness, self-efficacy, and decision-making. This approach differed from traditional business development programs that primarily focus on financial access or technical skills like bookkeeping.

Paul Spurzum, SEE Change program director, said the training aimed to help entrepreneurs implement existing business knowledge effectively. “The hope is that this combination helps entrepreneurs take on the strategies they already know and will help their businesses survive, thrive, and grow,” he said.

The training involved helping entrepreneurs identify mental barriers, reframe negative beliefs, and take consistent steps toward their objectives.

Uganda has over 2.5 million MSMEs, employing more than 7 million people and contributing about 20% of the nation’s gross domestic product, according to the Uganda Investment Authority. However, high failure rates among small businesses are a concern.

Mukasa argued that mindset training should be considered a crucial element of entrepreneurship development. “While capital is critical, the findings show that mindset training addresses hidden barriers — like unproductive beliefs and poor habits — that often hinder success, even when funding is available,” he said.

Spurzum suggested the study’s findings could influence the design of business development services in Uganda and other low- and middle-income countries.

The study divided 800 participants into a group that received mindset and business training and a control group. Researchers tracked revenues, expenses, profits, and the adoption of key business practices such as record-keeping and competitor analysis.

Preliminary results indicated that participants who received the training were significantly more likely to adopt sound business practices and reported higher confidence in managing business challenges and setting goals.

“These are preliminary results not yet published. But the initial range of what we’re seeing in our analysis is looking pretty positive. Same with revenues and bottom-line profits,” Spurzum said, noting the training had a positive impact on both male and female entrepreneurs. Enterprise Uganda is exploring integrating mindset training into more of its programs and is engaging with the government and development partners to scale the approach.

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Tags: Businessbusiness practiceseconomic development.Enterprise UgandaEntrepreneurshipInvestors ClubJohns Hopkins Universitymindset trainingMSMEsprofitsResearchRevenueSMALL BUSINESSstudyUganda

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