Commentary by Jack Wolcott

I have spent most of my previous columns discussing retail businesses as a representative basis for what the description "locally owned, independently operated" stands for. This month, I would like to explore the broader range of what local ownership represents.

They may not be as visible as retail establishments, but the broadly defined "service sector" businesses represent a key element of our local economy. They tend to create the first dollar that will significantly benefit our community because it will multiply many times if it is kept here. By hiring a local contractor, working with a local optical goods retailer or choosing a local accountant, attorney, bank, mortgage company, real estate agent, etc., you can dramatically increase the influence of your dollars on our community.

Another area of business that is particularly essential to a stable economy is "traded sector" jobs. Basically, these are businesses that bring money into the local economy instead of exporting it because the demand for their products exists primarily outside the local area. They also tend to pay higher wages because they usually require special skills that cannot be easily supplied from the local labor pool. This may initially result in recruiting workers from outside the area, but in the long term it is in the best interest of these companies to support the local educational system and hire people with strong local roots to ensure a stable work force.

It may seem attractive to go for the "quick fix" and try to bring in national retailers or manufacturers who promise lots of jobs, but remember to consider how they make decisions when local economies slow down.

They are responsible to a distant owner or shareholders and manage their individual sites according to a national business plan. They may deposit their money in a local bank, but it is transferred out as soon as possible to their national account.

It is important to ask these national retailers where they get their supplies and what percentage of their purchases are made with locally owned businesses, and to let them know that it makes a difference to you when deciding where to shop. Please make sure to thank them when they do demonstrate support for our local economy and community!

Corvallis has been very fortunate to have a strong and growing "knowledge economy" that spins off related jobs in goods, services and infrastructure. These businesses tend to be offshoots from existing businesses that start small and grow through the hard work and dedication of their founders.

One of the best things for our community is that they also tend to be synergestic: The combined effect is greater than the sum of the individual parts. They work with other businesses to ensure mutual success.

They also depend on a supportive and cooperative environment to attract the quality workers they need. The quality of life, educational opportunities and artistic endeavors are important to their success, so they tend to be very supportive of community needs and desires.

I hope now you can appreciate a little more the very fundamental significance of local ownership. If you look around as you go through your day, I think you will start to see many examples of your friends and neighbors in business for themselves � and, by extension, their community.
lars, 9:36 AM [link]