The results of a recent economic development study indicates that the outlook for aerospace and high-tech manufacturing business sectors in  Phoenix is upbeat and better than expected.

The study called Building Bridges to Business – or B³ – was conducted by APS, the City of Phoenix, and the Greater Phoenix Chamber of Commerce. This was based on extensive interviews with 59 Phoenix business executives between April and June of this year.

Some significant findings in the 2003 PhoenixBusiness Retention Report related to business expansion in the aerospace and high-tech manufacturing business sectors include:

·   41% of firms plan to expand within the next three years;

·   708 new full-time jobs will be created by planned expansions;

·   As a result of these expansions, a capital investment of $45 million is expected; and

·   86% of firms plan on introducing new products and services within two years.

The B³ program is an important element of economic and community development activities since it is estimated that at least 80 percent of new job growth comes from businesses that already are established in the community. B³ is designed specifically to help economic development professionals retain and grow existing businesses through proactively managing the portfolio of the community’s high impact and wealth generating businesses.

Through surveys, interviews and innovative technology, the B³ program evaluates each company’s value to the community, growth potential, risk of relocation or downsizing, overall satisfaction and employment trends. For example, with information gathered in this study, the City of Phoenix along with the Greater Phoenix Chamber of Commerce and other stakeholders can help local businesses address economic challenges or assist them with expansion opportunities to add new jobs.

In alignment with the city of Phoenix and regional economic development plans, the focus of the next phase of B³ will shift to high-end producer and business services in Phoenix. These types of businesses are regional, national or international in nature and can be firms with either headquarters or regional centers in Phoenix that pay above average wages. Some examples include financial, legal, environmental, architectural, healthcare, engineering and advanced business services.

Results of the next phase of the B³ study will be announced early next year.

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