Olasunbo Sobogun
Elected officials recognise the word ‘Economic Development’ as a hot button of popular and sometimes controversial issue. Wikipedia says economic development the “sustained, concerted actions of policy makers and communities that promote the standard of living and economic health of a specific area.”
Businesses are the growth drivers of the economy of a country. While small businesses may not generate as much money as large corporations, they are a critical component of and major contributor to the strength of local economies.
Any business is a risky endeavour with an uncertain life expectancy, it has been and should remain a driver of innovation, a creator of wealth and a harbinger of economic freedom.
Prior to recession, many economic development strategies were based upon “company attraction” logic with the goal being to entice large corporations to be residual in the community and bring along jobs to unemployed members of the host community. Like any good competitive adventure, it is a very big win for a community to attract a large new business. The professionals in economic development call this “smokestacks chasing” and it is difficult for most communities to win at as there are very few candidates with many suitors says Monty Henderson in 2015.
When thinking about the local economy, success is usually attributed to the largest players, these are the resident industry leaders who provide a variety of services and act as job creators.
Equally important however are the contributions made by small businesses. A market full of diverse businesses play a critical role in the positive economic growth of a community and when considered collectively, their impact cannot be ignored.
One way small business facilitate economic growth is through the creation of valuable jobs for skilled workers. Improving the quality of life is another economic function of business. By providing a diverse array of competitive business, a community can encourage to live, work and play in the same municipality.
Businesses serves as service providers, job creators, it brings growth and innovation to the economy and attract talents who invent new products or implement new solutions for existing ideas.