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California lags as good place to locate a business
November 6th, 2009, 6:00 am · 29 Comments · posted by Jan Norman, small-business columnist
California ranks 22nd - tied with Minnesota - as a good place to locate a business, according to the November issue of Site Selection magazine.
The annual business climate rankings are determined 50% on the availability of new and expanded commercial facilities and 50% on a survey of people who scout new sites for companies.
With the executives, California ranks 24th, meaning the state’s buildings are better than its other factors.
Executives were asked: “Based upon your experience, what are the top 10 state business climates, taking into consideration such factors as lack of red tape, financial assistance and government officials’ cooperation?”
The people who choose corporate sites also were asked to rank the factors most important to them when determining a location for a new facility. The top three factors are:
- Transportation infrastructure
- Existing work force skills
- State and local tax schemes
The top states in the 2009 survey are:
- North Carolina
- Texas
- Virginia
- Ohio
- Tennessee
- South Carolina
- Alabama
- Georgia
- Indiana
- Kentucky
California ranks 9th in new plants in 2009, but 45th in new plants per million population.
Site Selection magazine, published by Conway Data Inc., provides information about business expansion to 44,000 executives at fast-growth firms.
Click here for Site Selection business climate stories.
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29 Comments
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“lags” is an understatement.
Somebody is doing business in California. The GSP, or Gross State Product, is the country’s largest exceeding by far all of the locations listed by Site Selection. California’s world ranking is 10th (were we an independent nation). Say what you want about the not-so-golden state but at least consider the source. Site Selection is a business publication and this list could be a top-ten of states that simpy bend over for corporations and let them do whatever they want.
for those of you who voted for Obama. you sure got some change didn’t you. Obama is a nothing. He’s a giant head that never stops talking. Obama needs to be fired. He’s gonna sink us. If you are a democrap I would watch my back. Obama is a lil boy in a Big Boys suit. Incapable of making any decisions. obama is a natural born idiot.
That goes double, er I mean triple, for the same type of legislators in Sacramento! Nothing more than state employees union lap dogs.
Im shocked, SHOCKED I say, to learn this information.
LGT; “understatement” is an understatement.
How bout “colossal steaming pile of dinosaur $#^t served on a tarnished brass platter w/ rainbow sprinkles”
Really……you don’t say!!!
This belongs in the No “fecal matter” files!!!!
This is still news?
I’m excited for tomorrow’s front-page headline: “Sun Shines in Southern California”
Gee Whiz, Jan.
No No NO!!!! This won’t do. My friends and I will not rest until we get California to 50th place!
Well you can rejoice Mr. State Legislator! California is 50th in per pupil education spending. Way to go especially since good schools are a great way to attract business.
According to the US Census department, During the 2006-2007 year, California was ranked 23rd in Elementary-Secondary Per Pupil Current Spending Amounts by State. This Census document was dated in 2009 and is the latest available information.
http://www2.census.gov/govs/school/07f33pub.pdf
– see figure 4 â��
In 2004/2005 California was ranked 25th total per pupil spending. When only looking at the State Government per pupil funding, California ranked 14th.
http://www.census.gov/Press-Release/www/releases/archives/education/010125.html
Here�s a link to the excel spreadsheet attached to the above press release. It has the actual numbers for California.
http://ftp2.census.gov/govs/school/elsec05_sttables.xls#‘8′!A1
I hate it when teachers don�t tell the truth.
No so fast dude. The figures you sight don’t allow for a little thing called regional costs. I know its complicated, but actual per pupil spending is affected by higher costs in a given area. Southern California, that’s us, is one of them. I am including a very easy-to-read article on it. The per-pupil spending comes out to 46 out of 50 states in 2008. We dropped to the bottom after this year’s cuts. I hope this helps.
http://legacy.signonsandiego.com/uniontrib/20080413/news_1n13pupil.html
I meant to say “cite” instead of “sight.” Sorry.
Regularguy7…
Your posted article states….
“Then Education Week applies a 1990 federal “geographic cost of education index” that drops California from 30th to 46th at $7,081 per pupil, well below the national average of $8,973 per pupil.”
They took a very old index (1990) to modify current data. That is very shady.
I included the article for purposes of full disclosure. It’s the concept of regional costs that I was trying to get across. It is an economic reality that impacts classroom resources. We need to deal with fact, not partisan fiction, dude.
You’d have to be as nutty as a fruitcake to want to do business in the state of California. It’s a war-zone for business. the way things are going within another 10 years all you will have living here are illegal foreigners and gobblement workers. But all the legitimate workers who actually contribute to the GDP are leaving. Listen, for the last 10 years the average wage has been stagnant. That’s right. WAGES haven’t gone up at all - FOR A DECADE! Yet look how your taxes have gone up. Look how a gallon of gas has gone up. Look how a quart of milk has gone up. Look how your utility bills have gone up! Look how transportation has gone up. Look how rent has gone up,. Look how healthcare expenses have gone up!…..ALL THE WHILE WAGES HAVE REMAINED THE SAME. Do you know what that means??? Yep. Former middle class wages earners are now sitting in poverty. Especially the younger people. Why would a business (unless you are a bill collection agency or a bankrupcy attorney) want to get involved in that???
Read the writing on the wall, folks! California is a cooked goose!!! Put a fork in us!
all do to the GOP. it will be funny to see how Glen and Rush try to turn it around on the DEM’S. The tax cuts for the rich did alot of good.
Ouch! All you guys are harsh.
Jan Norman
Jan, It’s not harsh. Wouldn’t it have been a better article if you would have written on “WHY” it is so difficult for business in California? You’d probably have to book airfare to Sacramento to be sure. Even an ostrich, with it’s head buried in the sand, could have written the article you’ve written here.
With one of the highest tax rates in the country, a negative population growth, ridiculous real estate prices and a high cost of living…not exactly a great place to run a business…
you ean negative LEGAL population growth
California is 16th in total taxes and fees according the California State Budget Project. Population is still growing although at a slower rate. However, the growth comes from in-state births and not from internal immigration (census). Real estate prices are not the problem they were three or even two years ago but the reasons for this are not pleasant. The high-cost of living here has been an issue in good times and bad but I would have to say, overall, jeff77k, you need to read more.
Oh gracious me, I’m completely shocked by this news!!!!!!!!!!!!!!!!!!
Have you heard those commercials trying to get people to CA bonds???? That’s akin to buying a ticket on the Titanic!!!!!
Sorry Jan, but as a small business owner I’ve got to agree with the comments above. I fear things will get even worse as many of the patients that I work with are openly planning their exit strategies from this state…of course I mean the ones who still have jobs and haven’t already left!
California lags in new business, I can’t believe it. After Gov Schwarzenegger spent millions on that PR add on TV to promote California.
Lets get real, the only businesses that are here are ones that have to be here.
As a retired executive of a major company, I can assure you that California’s reputation as a poor place to do business is well earned and well known.
Witness most recently Toyota’s decision to close its plant in the Bay area.
You’d have to pay me to locate my business in California. Too bad the state’s broke! California’s best days are long gone.
Supreme Court To Decide Where Your Principal Place Of Business Is
http://www.businessinsider.com/supreme-court-to-decide-where-businesses-can-be-sued-2009-11
(excerpt):
If the 9th Circuit gets its way, your new principal place of business could be sunny California.
joke….calif mis awesome…let them leave,even riversides tyler mall is tidy these days with a genuine irish type pub….calif is awesome so close to everything..and arnold has made the enviroment business better..leave someone elsr will move here and succeed
ill party tommoerroow,brunch,in newprt sunday,surf uin the pacific thursday,and rent a cabin for christmas snow,,,move