Low Income Firms Transformation (LIFT) Lab

The MIT LIFT Lab aims to alleviate poverty in developing countries and LIFT the lives of the bottom billion by helping low-income and vulnerable populations create opportunities for growth. Through applied research, the lab strengthens the supply chain capabilities of micro and small enterprises (MSEs), which are a vital source of income, employment, goods, and services in developing economies.

MSEs face significant challenges to survival, including high failure rates and persistent productivity gaps compared with larger firms. By improving how these businesses operate and manage their supply chains, the LIFT Lab works to strengthen the enterprises and communities that millions of families depend on.

Key Stats

%

Companies with fewer than 10 employees worldwide

%

Employees in Latin America and the Caribbean working in MSEs

%

Mortality rate of MSEs within the first 5 years of establishment

What is LIFT Lab?

Our Story

The MIT LIFT Lab grew out of the MIT GeneSys project, launched in 2016 to support small business growth in developing countries. Today, the lab focuses on Latin American and Caribbean micro-retailers and micro-restaurants (“nanostores”), helping them strengthen supply chain management, business skills, and technology adoption to advance digitalization across the region.

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Research Overview

Our research has a primary goal: to understand the complex micro-retailing ecosystem. We achieve this by conducting empirical research using primary data from various stakeholders (i.e. Suppliers, Micro-retailers and Consumers). Our approach involves conducting studies for each of these stakeholders to gain a deeper understanding of the challenges and opportunities within this sector.

Through these efforts, we contribute to the sustainable development of the region, a critical component of our mission to alleviate poverty. To enable large-scale initiatives, we collaborate with partner universities across Latin America. These collaborations involve the participation of thousands of students each year. These students undergo rigorous training and employ technology to ensure the reliability of data collected through immersive experiences, shadowing, and observation. This meticulous approach enhances the credibility of our findings.

Research Projects

Research Partners

The MIT LIFT Lab extends across ten countries in Latin America, with collaborations spanning 20+ partner universities and industry partners such as FEMSA in Mexico, Guatemala, Colombia, Ecuador, Peru, Chile, Brazil, Uruguay, Bolivia, and Argentina. Each year, hundreds of students, faculty members, and research collaborators collect primary data in the field and provide practical recommendations to micro and small enterprises based on the lab’s methodology.

LIFT Lab Funding

Thanks to the generous contribution from FEMSA, we have reached thousands of nanostores, students, and research partners. This collaboration has significantly amplified our efforts, enabling us to support and transform numerous communities.

We aim to continue expanding our reach and amplifying our impact, striving to improve the lives of millions. Together, we are making a tangible difference and paving the way for a brighter, more equitable future.

Publications

All

Mora–Quiñones, C. A., Fransoo, J. C., Velázquez-Martínez, J. C., Cárdenas-Barrón, L. E., & Escamilla, R. (2024). Assessing the impact of loading-unloading zones in emerging markets: Evidence from Mexico. Transportation Research Part D: Transport and Environment, 137, 104486.
Mora Quiñones, C. A. (2024) The impact of loading-unloading zones for freight vehicles on the last-mile logistics for nanostores in emerging markets. Doctoral thesis. Tecnológico de Monterrey.
González-López, P., & Cantú, J., Mora Quiñones, C. A. (2024). Tax privacy concerns hamper digitization of the nanostore channel. Decision Sciences. Advance online publication. https://doi.org/10.1111/deci.12643
Sonnenberg H. & Eustis E. (2023) Transforming Micro-Retailing in Emerging Markets. Master Of Applied Science In Supply Chain Management, Massachusetts Institute of Technology.
Fredericks, E, Pardo Rodriguez, M.P. (2022). The influence of manager-centric competencies on the performance of micro and small enterprises in Latin America. Master Of Applied Science In Supply Chain Management, Massachusetts Institute of Technology. https://dspace.mit.edu/handle/1721.1/142948
Mogollón Linares, M., Stimpson, B. (2021). The Impact of Trade Credits in Nanostore Distribution. Master thesis capstone project. MIT. Master thesis. MIT Supply Chain Management program. MIT Center for Transportation and Logistics.
Mora-Quiñones, C. A., Cárdenas-Barrón, L. E., Velázquez-Martínez, J. C., & Gámez-Pérez, K. M. (2021). The Coexistence of Nanostores within the Retail Landscape: A Spatial Statistical Study for Mexico City. Sustainability, 13(19), 10615.
Illipronti, R.G. (2021). Improving survival of micro & small firms in Latin America during COVID-19 via SRM and CRM strategies. Master thesis. MIT Supply Chain Management program. MIT Center for Transportation and Logistics.
Velázquez-Martínez, J. C., & Tayaksi, C. (2020). Supply Chain Management for Micro and Small Firms in Latin America. In Supply chain management and Logistics in emerging markets. Emerald Publishing Limited.
Thompson, T.N., Cabrera Hernández, A. (2020). Improving the Cash Availability of Small Firms in Latin America via Better Inventory Management. Master thesis. MIT Supply Chain Management program. MIT Center for Transportation and Logistics.
Mora-Quiñones, C.A. (2020). The evolution of the grocery retail landscape in a megacity in emerging markets. The case of Mexico City. Master thesis. Tecnológico de Monterrey.
Chacra, F., Rocha, J. (2019). Behavioral Management Patterns: Small Firms’ Recipe for Growth. Master thesis. MIT Supply Chain Management program. MIT Center for Transportation and Logistics.
Chin D., Hidalgo B., Silva B. (2019). The Impact of Leadership in Small Firms’ Supply Chains. Capstone project. GCLOG Capstone project. MIT Center for Transportation and Logistics. Request information
Su, Y.N. (2019). Gender Impact on Small Firms in Latin America. Master thesis. MIT Supply Chain Management program. MIT Center for Transportation and Logistics.
Yoshizaki H.T.Y., Velázquez-Martínez, J.C., Mejia-Argueta, C. (2018). Supply Chain Management and Logistics in Latin America: A Multi-Country Perspective. Emerald Publishing.
Castañon Choque, X. (2018). The hidden impact of micro retailers’ survival rate on the logistics cost of consumer packaged goods companies. Master thesis. MIT Supply Chain Management program. MIT Center for Transportation and Logistics.
Pereira Nunes, R., Paulino, R. (2018). The $100 question: Supply chain priorities for small firms. Master thesis. MIT Supply Chain Management program. MIT Center for Transportation and Logistics.
Tanco, M., Escuder, M., Heckmann, G., Jurburg, D., & Velazquez, J. (2018). The impact of Latin American research in Supply Chain Management: Challenges for the region. Supply Chain Management: an International Journal. Supply chain management in Latin America: current research and future directions. Supply Chain Management: An International Journal.
Velázquez-Martínez, J.C., Yoshizaki, H.T.Y., Mejia-Argueta, C. (2016). Introduction to Supply Chain Management and Logistics in Latin America.
Lambert, C., Salum, C., Romero, K., Builes, R., Castañon, X. (2016) What challenges are small firms in Latin America facing to survive? GCLOG Capstone project. MIT Center for Transportation and Logistics.