Ugandans, Beware of the Changing Business Environment!

Not many people in Uganda intending to start a business bother so much to reflect on the context in which they operate. It is one of the reasons why many business start-ups cannot survive more than the first five years. But to build a sustainable business enterprise, you have to be knowledgeable about the business type you want to undertake before starting it. One of the essential aspects to consider is the changing business environment.

The business environment changes from time to time. And I will illustrate this aspect by way of examples. Probably they will help you to understand my point.

For a long time, buy-and-sell enterprises have monopolised business in Uganda. Most rich business people have accumulated their wealth by importing consumer goods from countries like China, UAE and many others.

With the changing business environment, people are turning to set up manufacturing plants to produce the products locally. This trend has several implications. If you insist on importing the same goods made in Uganda, you may not compete favourably.

Secondly, if you are operating a warehousing business, you need to turn your warehouse into a factory. As people import less, your business slowly becomes obsolete due to the changing business environment.

In another example, retail shops have been a business sector employing many Ugandans. These days, customers prefer buying from supermarkets to buying from these small stores. This trend is more noticeable in urban areas. And if you want to set up a retail shop, probably you need to consider going to rural areas where you hardly find supermarkets.

Why Keep a Keen Eye on the Changing Business Environment?

Internet Café

If you want to start a business, it is beneficial to consider the environment in which you will operate. It is equally essential for you to reflect on the changing business atmosphere that is likely to affect you positively or negatively if you are already in business.

For instance, internet cafés have been a profitable business sometime back. These days, if you venture into them, you risk not making money because they have become obsolete due to the changing business environment. People prefer accessing the internet right from their mobile phones.

What Can You Do to Adapt to the Changing Business Environment?

What you need to do is to look at the trend of doing business in Uganda. More focus is on encouraging investors to set up industries. It is, therefore, essential for you to consider adapting to this business trend.

For instance, if you have been an importer of wedding invitation cards, consider buying machines to begin making them locally.

Conclusion

The environment in which we operate changes from time to time. It is, therefore, crucial to focus on the changing business trends so that we can adapt to them to remain in business.