Monday, November 24, 2003
The experience of Indianapolis and United Airlines demonstrates the hazards of providing incentives for financially struggling companies. United was supposed to hire 7,500 employees for a maintenance facility. Now the operation is closed, and the city is stuck marketing a specialized building.
Kansas City is hoping not to repeat the mistake with their recent deal to maintain American Airlines' maintenance facility. Read more.
But New Orleans takes the cake. They are providing incentives to a company recently delisted from the American Stock Exchange. Buffalo has been burned by the same company. The firm is leaving after less than a year in a new headquarters building that carried about $600,000 in local tax incentives. Read more.
posted by Ed Morrison |
links
Some Background on EDPro Weblog
The purpose of this weblog is to help economic development professionals -- EDPros -- keep up with the changes sweeping our profession. Strap on your goggles. It's a whole new game. There are no experts any more. The only place to learn about economic development is from other EDPros who are doing it.
One other point: the prevaling approach (paradigm, if you like) in economic development is shifting from competition to collaboration. There are a lot of reaasons underlying this shift, but here's the important insight: You, your community, and your region will do better by collaborating and sharing information.
If you are using a news reader, here is the link to syndicate this site:
Here's the link if you are a bloglines subscriber:
Speaking and workshops on Open Source Economic Development
As the idea of Open Source Economic Development starts spreading, more people are asking about it. Visit the I-Open web site to learn more. My colleagues and I are happy to explain the basic concepts in a talk or a workshop. E-mail Susan Alshuler if you'd like to learn more about workshops and speaking.
Background on Ed Morrison
Download some background information on me here.
Incentives for struggling companies
