Setup question

SOmetimes different strings will correct intonation problems, particularly if it's only on one or two strings.
 
There are a half dozen or so things that contribute to intonation and set up is just one of them.
As mentioned, fret distance being correct, string height at the nut, string height at the saddle (bridge), gage of the string, saddle compensation, ect.
 
Will a setup always correct intonation issues up the neck?

If by "up the neck" you mean closer to the body (traditionally on fretted instruments going "up" the neck means going higher in pitch - i.e. toward the body) then a setup isn't going to help much unless the bridge saddle is just ridiculously high. To correct intonation up the neck, assuming the frets and bridge are in the right place, usually means trying different types and gages of strings until you find something that works best. Also, if the bridge saddle isn't compensated (most on ukes aren't) and you have enough height to file the top to compensate the bridge, you can usually affect ten or fifteen cents change at the 12th fret (on a soprano, that is, scale length vs. saddle width obviously affects how much change you can affect).

John
 
Set up usually refers to setting the height and width of the nut and saddle but can include fret work and and saddle compensation as well.
 
How does it contributes to our ukuleles? Also, I have a question on "action". People do prefer low action, why? Thanks! :D

A set-up for a ukulele is kind of like a tune-up for a vehicle, it makes it sound and play it's best. Action that is too high can affect intonation. Alot of people like low action because it is easier on the fingers, however if you set the action really low you lose some of the volume and ability to bend notes. If you set it too low it will cause the strings to buzz against the frets.
 
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