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6/3/2009 |
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Latest Metro Chamber survey findings: Members more optimistic about region’s economy |
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At the end of the second quarter of 2009, Metro Chamber members were optimistic about the region’s business climate — even more so than they were in January, a recent survey found.
The second quarter Metro Insights survey found that 87 percent of respondents believe the region’s business economy will remain either unchanged or will improve in the next six months. The survey, conducted in late April among 4,658 Metro Chamber member representatives, recorded 451 responses.
By comparison, the First Quarter survey of members found 58 percent of the survey respondents believing the region’s business economy would remain either unchanged or would improve in the next six months. Additionally, 40 percent in January believed it would be worse. Now in the second quarter, only 12 percent of respondents think the region’s business climate will be worse in six months.
“Chamber members are by definition a positive group of people,” said Matt Mahood, president & CEO. “If you are in business, you have to remain upbeat. What’s telling about the two surveys is that a majority of business people in both January and April said the perception of a weak business climate was still the number one issue impacting their businesses.”
Nearly 40 percent of respondents in the second quarter survey said “perception of a weak business climate” was impacting their business. That number is down 10 percent from the first quarter—when 50 percent felt that way.
The survey also found a doubling in members who said the lack of credit was impacting their business. The second quarter survey found 13.3 percent seeing lack of credit as an issue—compared to only 6.5 percent in January.
Member businesses remain cautious about capital expenditures, with 60.8 percent saying they would delay them.
As to employment levels over the next six months, most respondents expected them to stay the same (60.1 percent), while 18.2 percent said they would increase and 21.7 percent said they would decline.
“Business people responding to the survey seem to indicate they are conducting their businesses prudently, in light of current conditions,” Mahood said. “It’s interesting to see more than 21 percent of members in both January and April feel that the state budget crisis is also an issue impacting their business. In fact, it was the number two response for both surveys.
“Clearly, the state budget fiasco will have a continued dampening effect on the region’s economy. When the Metro Chamber holds its State Legislative Summit on June 10, we will be urging our elected leaders to create a new budget that emphasizes job creation, economic development, and exercises the same practicalities that business people face when setting their own budgets.”
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