Transformative Potential: The Impact of Social Media Adoption and Engagement on Small-Scale Business Success in Uganda's Kikuubo Trading Hub

Abstract

Purpose – In Uganda, many small-scale businesses fail to reach their fifth anniversary due to limited innovations, financing, and stringent business environments. Digital marketing, specifically social media, can enhance business performance and transformation. This study examines the influence of social media adoption and engagement on small-scale business transformation in Uganda.

Design/methodology/approach - A cross-sectional quantitative research design was employed with a sample of 379 small-scale business traders. A self-administered questionnaire was utilized to collect data, which was analyzed using SPSS software.

Findings - The study identified a positive significant relationship between social media adoption, social media engagement, and small-scale business transformation in Uganda. Furthermore, social media engagement emerged as the significant factor influencing business transformation.

Originality/value - This study contributes to the existing literature on small-scale businesses by presenting social media as a strategic tool for business transformation in a developing country context. It also highlights the importance of social media adoption and engagement as significant predictors of small-scale business transformation in Uganda’s informal sector.

Key Words: Social media adoption, social media engagement, small scale business, business transformation