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Perspectives on incubation

Presentation at MENAinc Workshop

Experience from African Incubator Network (AIN)

By:Prof. Charles G. Kwesiga

Executive Director Uganda Industrial Research Institute

October 2007

Uganda Industrial Research InstituteA Lead Agency in Industrialization of Uganda

Consortium for African Incubator Network


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Map of Uganda

* Based on Purchasing Power Parity Calculation

Facts about Uganda

Population: Approx. 27MillionTotal Area: 236,000 Sq. KmLand Area: 199,710 Sq KmLocation: East-Central AfricaGDP* (est 2004): $39.4 Billion


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SMEs in development

In developing countries:SMEs are the engines of growth and are responsible for most jobs, products, tax revenues, welfare, and development.


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SMEs in development (contd.)

In developed countries:SMEs play a vital role in acting as suppliers to large corporations, as well as carrying out innovations for new products and processes.


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What is an enterprise ?

Entrepreneurs/enterprises are entities that provide a new product or service, or develop methods, procedures, or technologies to produce or deliver existing services more optimally (i.e. lower cost, better quality, improved environment, etc)


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What is incubation?

The process of helping and nurturing start-up businesses so that they grow into sustainable enterprises. (Failures and closures are unacceptably high)


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The incubation facility is designed to support qualified start–up businesses in order to build entrepreneurial capacity for self-sustenance. This involves providing common facilities such as physical space, shared services, skills training, business and legal advice – to facilitate the operation of selected entrepreneurs and assist them until “graduation”, i.e. when they have the capacity to survive on their own.

Incubator operational model


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Islands of activity and bridges of accessibility

Success of an Enterprise

Science and Basic Research

Innovation

Commercialization

R & D

Mar

ketin

g &

Prom

otio

n

“from an advert for CEMEX”

Incubation & PrototypingSuccess of an Enterprise

Science and Basic Research

Innovation

Commercialization

R & D

Mar

ketin

g &

Prom

otio

n

“from an advert for CEMEX”

Incubation & Prototyping


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Incubation at UIRI

Types of incubators: Virtual Incubatione.g. meat processor in Busia

In-house Incubatione.g. E-tech centre

Limited collaboratione.g. gourmet king


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What do we offer?

Shared resourcesNetworksMentoring (esp. in entrepreneurship)Facilities


Challenges facing our incubation efforts

Sustainability (after the grant)Lack of entrepreneurshipCompetition for limited resourcesGeneral awareness by the populationLimited facilities and expertise

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Mainstreaming ICT (infoDev and UIRI)

STEP 1d:Expand to urban and rural hospitals

STEP 1c:Expand to urban and rural schools

STEP 1b: Expand to district Gov’toffices

STEP 1a:3 x Pilot ICT & Training Centers in place √√

STEP 2c:Expand to private sector and SMEs

STEP 2b:Expand to Government agencies, district leaders, admin.

STEP 2a: Pilot: ICT-use as a tool to improve competence of SMEs √√

STEP 4:e-governancee-educatione-health

STEP 3b:Enhanced infrastructure and networking

STEP 3a:ICT incubation for enterprises

√√ Projects already underway or completed


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CONTACT US

Nakawa Industrial AreaPlot M 217P.O. Box 7086KampalaTel: + 256-41-286- 245 / 124Fax: + 256-41-286- 695E-mail: [email protected]: www.uiri.org


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