Wow. Nova Scotia and New Brunswick spend less on attracting industry than just about every other province, state or country that I have ever studied. We have sales staff residing in foreign markets and our FDI trends have bee woeful (with the recent success of NSBI as an abberation). Please name the “generations of experience”. Does she mean Michelin? Or maybe Crossley Carpets? No, she must be talking about Keane or Convergys. Hmmm. Certainly there have been firms that have came to Nova Scotia and closed but I would argue that the effect of that is amplified because there hasn’t been more FDI into those communities.
Nova Scotia has a much higher percentage of rural-based entrepreneurs than the Canadian average. Maybe it is time for Nova Scotia to start looking at who is already here when making plans for economic development.
95% – and she should friggin’ know this as a ‘marketing’ ‘professor’ of these small firms sell into the local market only. Encouraging 5000 more small, rural-based entrepreneurs to sell into the local market will only lead to 5000 bankruptcies.
The regional development agencies have long known that the secret to economic growth is as much about keeping existing entrepreneurs as it is about gaining new ones.
What regional development agencies? Of course part of any good economic development plan is business retention and expansion but at the expense of attracting new industry? Not a chance.
Yet, much government policy is focused on bringing in those new ones from away. The primary mandate of Nova Scotia Business Inc. is to attract new employers to the area. In many cases, these employers bring low-wage jobs with few benefits.
This is about the 15th article I have read in the Herald slamming the only truly successful provincial business attraction team in the Atlantic provinces (PEI is a distant second). So she thinks the $70k annual salary in the financial services firms is low wage? She thinks RIM will pay low benefits? How about Michelin in the rural area? Low wages to be sure. Cripes.
Unfortunately, when these large employers pack their bags and go, they leave Nova Scotia’s communities in a worse state than before they came.
I have said it before. Local businesses close their doors 90%+ more than foreign-owned ones. Yes, when a large employer leaves a community it does cause hardship. That’s why we should have had 10 instead of one.
At the same time, they manage to displace a lot of homegrown local entrepreneurs who are loyal to the area and who provide job opportunities close to home.
Huh? What the heck is she talking about? The vast majority of large foreign companies that set up here sub-contract to at least seven local firms up to several dozen. Who gets displaced? She’s crazy. Was there a local tire manufacturer that was put out of business by Michelin?
To lure families to job opportunities, Oxford Frozen Foods’ the blueberry processor will provide loans of up to $20,000, or 10 per cent of the property’s value. Borrowers will have up to 10 years to pay the loan off, without interest. But that’s not all: the loans are forgivable if things don’t work out. That kind of consideration is not something that you would get from a multinational corporation.
Huh? If we had a dozen more Oxfords we wouldn’t need foreign investment. That’s the friggin point. John Braggs aren’t just sitting out there waiting for a $5,000 grant.
Credit unions across Canada are also offering a microcredit program to help small entrepreneurs get started. If you are looking for $10,000 or less, and you have a viable business plan, you may be able to get money for starting a business, even if your credit is not perfect. This is not the first time that microcredit has been used to facilitate the growth and development of small-scale entrepreneurship. But it is the first time that a financial organization as trusted and as stable as the credit union has fully embraced the notion of microcredit.
All I will say is that we need macro solutions not microcredit. I am not against trying to find high impact, high potential entrepreneurs but more dough to create more small businesses to compete for less and less business in the local market is friggin’ crazy. And if the professor thinks that all these firms are going to take their business global – she’s nuts.
It is time that Nova Scotia did more to keep our homegrown businesses viable while encouraging the development of new businesses among those who are already here.