Targeted BR&E Program a strategy for business

Transcript:Targeted BR&E Program a strategy for business:
Targeted BR&E Program a strategy for business growth Module 2: Why a Focus on the Agribusiness Cluster? Targeting growth in the agribusiness cluster through Business Retention & Expansion Regional Focus on Agribusiness Partner States concentrated in Corn Belt Source: http://www.dsireusa.org/documents/summarymaps/net_metering_map.pdf Ohio employs more than 60,000 workers in the food processing and agribusiness industry at more than 1,100 production plants. Nearly 20% of Indiana’s workforce is employed in the agriculture and food production/processing industry, generating over $25 billion in direct economic impact. Iowa is #1 in the nation in corn, soybean, pork and egg production and home to 27 of the largest 100 food manufacturers/processors. Agribusiness Cluster Tourism Production Specialty crop Food manufacturing Ag science R&D Biofuels Equipment manufacture Distribution Retail Agribusiness is a Growing Cluster Agribusiness is a Growing Cluster Mapping the Agribusiness Cluster Agribusiness, Food Processing and Technology Cluster OHIO STATE UNIVERSITY EXTENSION Understanding Changes Location Quotient: Measure of Concentration of Industry Percent Change in Jobs over Time Source: SET What’s a Cluster? A geographic concentration of interdependent, collaborating and/or competing businesses and related institutions that draw productive advantage from their mutual proximity and connections… OHIO STATE UNIVERSITY EXTENSION Companies Cluster Together Because… Each one benefits from being located near other similar or related companies They have competitive strengths and needs OHIO STATE UNIVERSITY EXTENSION Value Chain Example Source: SET What do Clusters Do? ….. Allows companies to communicate Issues & Opportunities Joint Industry/Company Marketing Trade Shows, Websites, Collateral Investment Attraction Gap Analysis Skill Issues Needs analysis Capability Analysis and Market analysis Related and Supporting Industry Do industries buy and sell from each other regionally? Do any strong value chains exist in the region? Regional Industrial Clusters: Digging Deeper Identify the industries within the cluster Determine if growing or declining Evaluate regional capacity Identify potential opportunities Determine potential strengthening strategies Source: SET Cluster Outcome Industry Cluster includes nurseries, crop production, landscape and horticultural, and animal specialties. With a LQ of about 3 this industry represents a very significant “standard” concentration. Approximately 830 farms manage 251,000 acres of land. Follow-up Task…Uniform BR&E program to focus on agribusiness cluster Case Study Group Exercise Find the location quotient Identify the cluster Develop the strategy Track the results Communicate successes Program Contacts Nancy Bowen David Civittolo Bowen-ellzey.1@osu.edu civittolo.1@osu.edu Nora Ladjahasen Scott Hutcheson nading@mail.iastate.edu hutcheson@purdue.edu