Why being local matters?
Locally owned businesses help local economies and assists in realising distinct benefits from the activities of local small businesses. Small businesses, in turn, can realise competitive advantages by employing a local focus in their service and marketing activities. Major benefits of business in the local economy include a boost in employment and discretionary income in the community. It also provides tax income increases for local governments and a loyal customer base for businesses.
One of the most personal advantages of businesses in the local economy is the boost in employment in the region. Local employment influence a range of other standard of living metrics, such as disposable income, home foreclosure rates and new small business startups. Employing people in the local community can stimulate word of mouth advertising for a company as well as help other businessess. Local employment also cultivates a sense of community, which can enhance the brand of a local business.
Local Tax Income
Businesses pay a significant portion of all taxes in Australia, including income tax, property tax and employment tax. Having more businesses in the local economy can boost tax income for local governments, bringing in more money to improve public services such as roads, schools and transportation.
Access to Services
With the standard of living increases, inherent in raising local employment, the presence of many business types can raise the standard of living. By providing a wider range of services and amenities in the local area, this standard is further solidified. Adding a movie theatre to a small town, for example, can add an entertainment option to local residents while bringing in money from outlying communities.
Businesses with strong ties to a local community can lend a hand in community-focused political actions. Businesses can help to fund and organise campaigns for lobbying, and other political activities to influence legislators on issues that affect the local community. A local business can help to convince a presidential candidate to hold a campaign speech in the town.
Even in presence of big box chain stores in the area, businesses with a local focus have the advantage of cultivating a loyal customer base. This may not particularly imply company growth, it ensures a certain level of financial sustainability, and helps to ensure the company maintains a positive reputation in at least one region. It may also help small businesses get through tougher economic times, at least temporarily.
Contact your local business today and here at 11 Stars GV, we ensure to provide the best service guarantee that every customer is rightful for.
This article is contributed by David Ingram. David Ingram has written for multiple publications since 2009, including “The Houston Chronicle” and online at Business.com. As a small-business owner, Ingram regularly confronts modern issues in management, marketing, finance and business law. He has earned a Bachelor of Arts in management from Walsh University. http://smallbusiness.chron.com/advantages-businesses-local-economy-3289.html