New England Economic Development Cooperation:

“The Power of Six”

Southern New EnglandEconomic Summit

Foxwoods / Ledyard, Conn.May 14, 2004

Douglas G. Fisher David C. DriverDirector, Economic & Managing Director -

Business Development Regional Development

Inaugural Efforts . . .

Build upon the unique New England “brand” Recognize that economies are regional, not political

Benefit cash-poor states by pooling resources

Multi-state business recruitment missions overseas

Extend “Discover New England” tourism initiative

Outreach to real estate executives / site consultants Since 1999, events in Boston, New York, Dallas, San

Diego, and Atlanta (Chicago & San Antonio upcoming)

Comprehensive national (and international) surveys on outsiders’ perceptions of region

The NU-NEC Partnership

Initiative requires neutral, interstate facilitators Lend legitimacy to regional collaborative Build trust among six highly-competitive states Present “private sector” face to outside prospects

Northeast Utilities – New England’s largest utility Business success tied to region’s economic performance Long-standing economic development player

New England Council – region’s business policy voice Advocate and private sector convenor

Recognition that successful economies are regional

2003-04 Activities

• Exhibits at 15 trade shows (real estate, industry)

• Visits to 30 principals of national site selection consulting firms

• Direct contact with 250 corporate real estate and other execs in industries important to New England

• Limited lead sharing among states

• 20-foot “Team New England” exhibit booth

• New, all-New England collateral

• “Discover New England for Business” web site

Real Estate Summit -

Atlanta• Quality attendance at

VIP event (from Intel to Martin Marietta)

• “Segway” partnership with CoreNet Global, organizers of world’s largest gathering of corporate real estate executives and site selection consultants (3,000 +)

2004 Work Plan

• Trade shows / “lead” generation• Targeted Industry Studies

(e.g. medical devices)

• Upgraded “Discover New England” web site presence

• Bring site selectors to New England• VIP real estate event (San Antonio)

The New England Survey Project

What we wanted to know …• Is there, in fact, a New England brand? Is

it positive or negative?• How is New England perceived by people

and companies outside of the region?• How do these perceptions square with New

Englanders perceptions of themselves?• What are the region’s chief strengths and

primary weak spots?

The New England Survey Project

Sponsoring OrganizationsDiscover New England – all 6 state tourism officesYankee Magazine * Blue Cross / Blue ShieldLiberty Mutual * Savings Bank Life InsuranceMichael Gallis & Associates * Northeast UtilitiesCentral Vermont Power * Maine & Co.Public Service Co. of New HampshireMassachusetts Alliance for Economic DevelopmentConnecticut Economic Resource Center Pioneer Valley Planning CommissionNH Department of Resources & Economic DevelopmentThe New England Council

The New England Survey Project

The Surveys’ Nuts and Bolts

Conducted by UConn Center for Survey and Research Analysis

Telephone, December 2003 to March 20041. General population/tourism (1,000) 2. Domestic business executives (400) 3. International business executives (50)4. National site selection consultants (50)

The New England Survey Project

New England’s Overall Ratings(scale of 1-10)

New England as a region ranked higher across the board than any individual state in the region.

As a place to do business …Corporate Execs ranked the individual states within 0.56

As a place to live and work …Corporate Execs ranked New England nearly a full point higher than the general population; all individual states ranked within 0.61

A place to visit …The general population saw more separation between the six states relative to tourism, with range within 1.12

The New England Survey Project

Factors Affecting Regional Business Development

Importance vs. Performance of 23 indicators

• Of the TOP FIVE FACTORS identified by executives -– taxes, health care costs, quality infrastructure, government regulations and cost of land and sites – not one finished above average in regional performance, with most ranked below average by two-thirds of respondents.

• The region’s LOWEST PERFORMERS -- available land for

development (9%) and incentives (7%)

• Factors with the LOWEST IMPORTANCE -- racial diversity, access to technical schools, cultural and recreational opportunities

Region’s “Burning

Platform”

Lackluster economy & fading image Manufacturing drain (domestic and global) New businesses looking elsewhere (Southeast, West,

etc.) Old and cold

Reluctance to promote itself Traditional Yankee arrogance – “Boston Is Mecca” Resistance to development Promotion expenses modest and “first to go”

State government budget crises Tax climates counter to marketing messages

The New England Survey Project

Next Steps

• Debrief / fully analyze survey data

• Disseminate to opinion leaders, analysts

• Inform marketing and policy initiatives

Information: Doug Fisher, 860-665-5105

Dave Driver, 860-665-6312