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5 Δεκ 2012 (πριν από 4 χρόνια και 4 μήνες)

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Economic Development Overview: Land
-
of
-
Sky Region Counties





2.2. Economic Development/Job Creation



2.2.1. Historical Context



The 2011 CEDS produced by the Land
-
of
-
Sky Regional Council provides a thorough view of the economic
environment of western North Carolina through the eyes of key stakeholders, businesses

and citizens. The
perspective of these on
-
the
-
ground stakeholders is that the economy has suffered some loses and undergone
struggles over the last few years as the state and national economies have dropped into recession. The comments
below were taken
from, and summarize, the sentiments from the 2011 CEDS:

“The pillars of Asheville's economic growth


hospitality, construction, manufacturing and business services


suffered significant job losses this year, with only the health care sector showing growt
h.

The steady stream of people moving into the mountains also dropped by 32 percent in 2008, as home values in
states like Florida plummeted by double digits. Demand for housing will likely be much less over the next year


compared to what it has been his
torically as fewer people move here.”

Economic year in review (from the 2011 CEDS)



The Asheville metro area lost 8,100 jobs over the past year in business services, manufacturing,
construction, hospitality and other sectors.



Job growth was at 2.8 percent
last year compared to negative 4.5 percent today.



The home
-
appreciation rate in Asheville is at .3 percent compared to 4.5 percent last year.



Migration of people to the Asheville area has declined by 32 percent.


Economic Predictions This time next year

by

Tom Tveidt (Executive Director)



[The]
ho
using market will remain smaller with less baby boomers moving in from places

like Florida. However, the mountains could see an influx of young professionals from cities like
Atlanta and Charlotte that have suff
ered less from home prices dropping.

Building permits will also decline.



Hospitality and leisure could see a slow rebound.



Health care will continue to add jobs, but not as many as in the past as investment declines.



Manufacturing will become smaller, a
dapting to Asheville's specialty markets.



Proprietor income should see a boost after the recession.



Economic Development Overview: Land
-
of
-
Sky Region Counties





2.2.
2
.
Workforce Characteristics



The
Land
-
of
-
Sky Region is defined for the purposes of this analysis as the counties of Buncombe, ,

Henderson, Madison and Transylvania. This Region, as defined, has a strong employment base of over
220,000 in the labor force. Unemployment in the Region has ranged between a low of 8.4% in 2009 to a
high of 10.2% in the following year. Currently the un
employment rate for the Region is just under nine
percent at 8.7%.

Exhibit 2.1. Size of Workforce and Unemployment Rates


Area Name
Year
Labor Force
Employed
Unemployed
Rate (%)
Buncombe County
2009
120,564


111,158


9,406


7.8%
Haywood County
2009
27,809


25,011


2,798


10.1%
Henderson County
2009
49,260


45,123


4,137


8.4%
Madison County
2009
9,802


8,925


877


8.9%
Transylvania County
2009
12,758


11,529


1,229


9.6%
Five County Region
2009
220,193


201,746


18,447


8.4%
Area Name
Year
Labor Force
Employed
Unemployed
Rate (%)
Buncombe County
2010
122,225


110,540


11,685


9.6%
Haywood County
2010
28,321


24,971


3,350


11.8%
Henderson County
2010
49,871


44,871


5,000


10.0%
Madison County
2010
9,867


8,755


1,112


11.3%
Transylvania County
2010
12,648


11,056


1,592


12.6%
Five County Region
2010
222,932


200,193


22,739


10.2%
Area Name
Year
Labor Force
Employed
Unemployed
Rate (%)
Buncombe County
2011
122,578


111,496


11,082


9.0%
Haywood County
2011
28,488


25,187


3,301


11.6%
Henderson County
2011
49,813


45,259


4,554


9.1%
Madison County
2011
10,093


8,831


1,262


12.5%
Transylvania County
2011
12,437


10,935


1,502


12.1%
Five County Region
2011
223,409


201,708


21,701


9.7%
Area Name
Year
Labor Force
Employed
Unemployed
Rate (%)
Buncombe County
2012
127,664


117,071


10,593


8.3%
Haywood County
2012
29,434


26,446


2,988


10.2%
Henderson County
2012
51,634


47,522


4,112


8.0%
Madison County
2012
10,379


9,273


1,106


10.7%
Transylvania County
2012
12,487


11,074


1,413


11.3%
Five County Region
2012
231,598


211,386


20,212


8.7%
Economic Development Overview: Land
-
of
-
Sky Region Counties





The unemployment rates for the counties within the Region

have varied more than the Region with
Buncombe and Henderson having lower

unemployment rates (range: 8.0%
-
10.0%) and Haywood, Madison
and Transylvania several points behind with unemployment ranging from 10.1% to 12.6%

Unemployment R
ates
: State and National Comparison

The
Region has held its own in terms of unemployment relati
ve to the rest of North Carolina and the US.
In each of the last 4 years the region has had a lower unemployment rate than the state and country
generally staying one
-
tenth of a point below the US average and one
-
to
-
two points below that of the State.

Exh
ibit 2.2. Unemployment Rate Summary


Year

Five County

North
Carolina

United
States

2009

8.4%

9.5%

8.5%

2010

10.2%

12.0%

10.6%

2011

9.7%

11.1%

9.8%

2012

8.7%

10.5%

8.8%


Median
and Per Capita
Income
, 2010
-
2015

Median household income and per capita
income in each of the counties, as well as the Region as a
whole, fall short of the figures for the state of North Carolina. Transylvania County’s median household
income is the highest of the Region counties and only $1,300 less than North Carolina. Mad
ison County
has the lowest median household income in 2010 with $37,500, nearly $15,000 below the State median.

Exhibit 2.3.
Median and Per Capita Income, Land
-
of
-
Sky Area, 2010
-
2015



Median H
ouseho
ld
Income

Per Capita Income

Area Name

2010

2015

2010

2015

Buncombe County

$46,724

$53,972

$24,734

$27,570

Haywood County

$41,824

$47,943

$22,068

$24,267

Henderson County

$48,179

$55,246

$25,455

$28,217

Madison County

$37,492

$42,889

$19,466

$21,592

Transylvania County

$49,512

$55,171

$25,015

$277,712

Five County Region

$46,141

$53,252

$24,338

$27,058

North Carolina

$50,887

$57,697





Economic Development Overview: Land
-
of
-
Sky Region Counties





Existing Industry Strength
: Top 10 Industry Sectors by County

T
he final workforce characteristics to be analyzed before the

target industry evaluation of
Section 2.3 are
the existing industry base. For each of the five counties with the Land
-
of
-
Sky Region the top ten (10)
industry sectors were identified. These are sectors defined a relatively high level, not getting into sp
ecific
trades and occupations but providing an overview. While each county has a different employment and
company count there are consistencies throughout the data.

For instance in all of the counties in the
Region the Health Care sector is one of the to
p two largest employment sectors The Retail and
Accommodations sectors are consistently in the top five sectors. This data is integrated into, and built
upon, the industry cluster analysis below.

The following tables present the top ten industry sectors i
n each of the five Land
-
of
-
Sky counties.

Exhibit 2.4. Top Ten Industry Sectors by County



Major Industry Sector (by NAICS Code)

Firms


Emp

Buncombe County

Health Care & Social Assistance

870

28,066

Retail Trade

1,753

14,911

Accommodation & Food
Services

815

12,657

Manufacturing

377

11,029

Educational Services

236

8,975

Construction

1,041

7,827

Public Administration

297

7,805

Other Services (except Public Administration)

1,555

6,476

Wholesale Trade

444

5,449

Professional, Scientific
& Tech Services

981

5,275



Major Industry Sector (by NAICS Code)

Firms


Emp

Haywood County

Manufacturing

80

3,308

Health Care & Social Assistance

171

2,962

Retail Trade

402

2,857

Accommodation & Food Services

234

2,454

Educational Services

34

1,544

Public Administration

129

1,420

Construction

238

1,325

Other Services (except Public Administration)

376

1,117

Administrative & Support & Waste Management & Remediation Services

94

922

Information

38

817



Major Industry Sector (by NAICS
Code)

Firms


Emp

Henderson County

Health Care & Social Assistance

347

7,444

Manufacturing

160

5,844

Retail Trade

669

5,245

Accommodation & Food Services

264

4,540

Educational Services

81

2,415

Public Administration

160

1,936

Other Services
(except Public Administration)

609

1,934

Construction

463

1,855

Wholesale Trade

189

1,688

Professional, Scientific & Tech Services

255

1,169

Economic Development Overview: Land
-
of
-
Sky Region Counties







Major Industry Sector (by NAICS Code)

Firms


Emp

Madison County

Health Care & Social Assistance

46

908

Educational Services

17

669

Public Administration

77

406

Retail Trade

79

306

Accommodation & Food Services

35

292

Construction

69

263

Other Services (except Public Administration)

83

250

Manufacturing

14

194

Utilities

5

184

Wholesale Trade

17

124



Major Industry Sector (by NAICS Code)

Firms


Emp

Transylvania County

Accommodation & Food Services

135

2,379

Health Care & Social Assistance

114

1,900

Retail Trade

238

1,744

Public Administration

102

1,151

Educational Services

37

1,009

Construction

244

826

Other Services (except Public Administration)

280

766

Real Estate, Rental & Leasing

111

448

Manufacturing

39

428

Professional, Scientific & Tech Services

80

291


2.2.3.
Existing
Industry

Characteristics



Overview

Given the

broader economic downturn and uncertainty regarding the future mix of employment across the Country,
in North Carolina and more specifically the Land
-
of
-
Sky Region, there is a need to assess the Region’s industry
structure and consider how diversification

of industries and employment may occur. Industry cluster analysis is an
analytical method to help understand such opportunities. Such evaluation helps to bring stronger insight into
industries that are already strong, those that are emerging, those that

may be facing some challenges but are
important retention targets, and those that may face limited prospects overall.

Method of Analysis

The method of analysis to assess industries includes both quantitative and qualitative evaluations. Location
quotient

and shift
-
share analyses are key quantitative methods employed to initially understand industries, while
stakeholder interviews and public meetings are used to obtain qualitative insight into local strengths and
preferences. Based on these methods, a mul
ti
-
step process of industry assessment and prioritization is conducted.
This multi
-
step process used for this Land
-
of
-
Sky analysis is illustrated briefly in the following exhibit.




Economic Development Overview: Land
-
of
-
Sky Region Counties






A more detailed
illustration of the quantitative processes (which addresses the first three steps in the above
illustrated process) is provided in the following ‘Decision Tree’ diagram.






To begin the industry
-
targeting decision process, the universe of local industries is defined and employment data for
the current year and a baseline year (usually five years prior) collected for both the local economy and a reference
economy (often the na
tion; in some instances, the state). Next, location quotients are calculated to determine if an
industry is a local specialization (Question 1). Then, employment
-
change between the current year and baseline
year is calculated to determine if the industry

is adding jobs locally (Question 2). The rate of employment
-
change
Is it a Local Specialization?
Is it Adding Jobs Locally?
Is it Gaining Competitive Share
vis
-
à
-
vis the Nation?
Does it Make Sense Given Local
Strengths?
Does it Meet Community Goals?
Target
Potential*
Performance
Classification*
Question 3: Is Industry Gaining
Competitive Share?
Question 2: Is Industry Adding Jobs
Locally?
Question 1: Is Industry a Local
Specialization?
Universe of Local
Industries
YES
YES
YES
SP
CS
NO
LP
HP RT
NO
YES
CP
LP RT
NO
PP
LP RT
NO
YES
YES
SP
ES
NO
LP
PL
NO
YES
CP
PL
NO
PP
PL
*Performance
Classification Codes: SP = Strong Performer; LP = Lagging Performer; CP = Constrained Performer; PP = Poor Performer

*Target Potential Codes: CS = Current Strength; HP RT = Higher Priority Retention Target; LP RT = Lower Priority Retention Ta
rget; ES
= Eme
rging Strength; PL = Prospects Limited

Source: Institute for Urban Economic Development

Exhibit 2.5. Multi
-
Step Industry Cluster Process

Exhibit 2.6. Industry Cluster Analysis Decision Tree

Target Industry Assessment:
Henderson

County





Industry
Location
Quotient
(Henderson vs.
North Carolina)
Location
Quotient (Land
of Sky vs. North
Carolina)
Crop Production
4.50
0.88
Animal Production
0.38
0.21
Forestry and Logging
0.66
0.18
Agriculture & Forestry Support Activity
14.49
3.04
Utilities
0.65
1.14
Construction of Buildings
1.57
1.25
Heavy and Civil Engineering Construction
0.71
1.39
Specialty Trade Contractors
1.28
1.08
Food Manufacturing
0.82
0.34
Textile Mills
2.00
0.63
Textile Product Mills
4.30
0.81
Wood Product Manufacturing
0.30
0.48
Paper Manufacturing
5.39
1.22
Printing and Related Support Activities
0.00
1.29
Chemical Manufacturing
0.29
0.27
Plastics & Rubber Products Manufacturing
0.00
0.94
Nonmetallic Mineral Product Mfg
3.34
1.07
Fabricated Metal Product Manufacturing
1.27
0.92
Machinery Manufacturing
0.72
1.49
Computer and Electronic Product Mfg
0.10
0.92
Electrical Equipment and Appliances
0.00
2.95
Transportation Equipment Manufacturing
5.74
1.53
Miscellaneous Manufacturing
0.35
0.94
Merchant Wholesalers, Durable Goods
0.84
0.88
Merchant Wholesalers, Nondurable Goods
0.97
0.77
Electronic Markets and Agents/Brokers
0.66
0.39
Truck Transportation
1.11
0.72
Scenic and Sightseeing Transportation
8.93
3.29
Couriers and Messengers
1.51
1.19
Warehousing and Storage
0.30
1.61
Publishing Industries
0.39
0.72
Motion Picture & Sound Recording Ind
1.50
1.84
Broadcasting (except Internet)
0.28
0.56
Telecommunications
1.03
0.75
Real Estate
0.73
0.96
Rental and Leasing Services
0.95
0.88
Professional and Technical Services
0.59
0.83
Administrative and Support Services
1.10
0.96
Ambulatory Health Care Services
1.20
1.52
Hospitals
1.71
1.44
Nursing and Residential Care Facilities
2.03
1.65
Amusement, Gambling & Recreation Ind
1.68
1.01
Accommodation
2.03
2.92
Food Services and Drinking Places
1.16
1.38
Repair and Maintenance
1.66
1.09
locally compared to the nation is then calculated to determine if an industry is gaining competitive share relative to
the nation (Question 3).

From the results of these evaluations, the
performance of industries may be classified into four categories: strong
performers; lagging performers; constrained performers; and poor performers. Then, industries can be further
classified based on their potential as local targets, with five potential

categories: current strengths; higher priority
retention targets; lower priority retention targets; emerging strengths; and prospects limited.


Step by Step Analysis
: Henderson County

In the analysis below we have used Henderson County
as the prototype example of the process that was
applied to all five jurisdictions within the Land
-
of
-
Sky
region. For the sake of brevity, the r
emaining four
jurisdictions the analysis will skip ahead to the key
findings. With the universe of local industries for
analysis established, the multi
-
step process of industry
cluster evaluation was performed. A description of the
step
-
by
-
step findings i
s presented below using selected
examples from the analysis for demonstration
purposes.














To identify whether or not an industry cluster
represents a local specialization, location quotient (LQ)
analysis was conducted. Location quotients compare
the proportion of
local
employment in an industry to the
proportion of
national or state
employment

in an
industry. Those industries with a proportionately more
local employment relative to the state are local
specializations (LQ > 1.0). Exhibit 2.7 provides the
location quotients for industries evaluated in both
Buncombe County and the Land
-
of
-
Sky reg
ion relative
to state employment. Industries with location quotients
greater than 1.0 in Henderson County are highlighted in
the table.




Step 1: Determine which industry
clusters represent local specializations

Exhibit
2.7.

Identification of

Local
Specialization


Target Industry Assessment:
Henderson

County





Step 2: Determine whether or not the indust
ry is adding jobs locally.


Local job growth or job loss is another important dimension of industry cluster evaluation. Trends in employment
help to identify which local specializations are doubly strong as growing fields, and these trends also help ident
ify
industries that may not be local specializations yet, but are nevertheless adding local jobs and could therefore serve
as emerging economic engines. Exhibit 2.8 illustrates percentage job growth by industry cluster in Henderson
County from 2005 to 201
0

.

As shown in Exhibit 2.8, industries adding jobs in the County include:



Repair and maintenance;



Amusement, gambling, & recreation;



Nursing and residential care facilities;



Ambulatory health care services;



Management of companies and enter
prises



Professional and technical services;



Telecommunications



Motion picture and sound recording;



Merchant wholesalers, non
-
durable goods;



Merchant wholesalers, durable goods;



Fabricated metal product manufacturing, and;



Nonmetallic mineral product
manufacturing.


Exhibit
2.8.

Industry Employment Trends, Henderson County, 2005
-
2010




-
35%
-
14%
-
51%
-
31%
-
11%
-
35%
0%
-
4%
0%
21%
-
100%
19%
-
59%
0%
-
34%
-
100%
22%
90%
-
20%
0%
9%
16%
8%
48%
2%
18%
11%
14%
3%
-
150%
-
100%
-
50%
0%
50%
100%
Crop Production
Agriculture & Forestry Support Activity
Construction of Buildings
Specialty Trade Contractors
Food Manufacturing
Textile Mills
Textile Product Mills
Paper Manufacturing
Chemical Manufacturing
Nonmetallic Mineral Product Mfg
Primary Metal Manufacturing
Fabricated Metal Product Manufacturing
Machinery Manufacturing
Computer and Electronic Product Mfg
Transportation Equipment Manufacturing
Furniture and Related Product Mfg
Merchant Wholesalers, Durable Goods
Merchant Wholesalers, Nondurable Goods
Truck Transportation
Publishing Industries
Motion Picture & Sound Recording Ind
Telecommunications
Professional and Technical Services
Management of Companies and Enterprises
Ambulatory Health Care Services
Hospitals
Nursing and Residential Care Facilities
Amusement, Gambling & Recreation Ind
Repair and Maintenance
Step 2: Determine whether or not the industry is adding jobs locally.

Target Industry Assessment:
Henderson

County





Step 3: Determine if the industry is gaining competitive share
relative to the nation.

An industry that is locally gaining competitive share is defined as one that is either adding jobs faster locally than in
other parts of the state, or that is losing jobs less rapidly locally than in other parts of the state.

Exhibi
t 2.9 indicates the percentage of employment change (growth or loss) of industries above that of the industry’s
employment changes in the state. As illustrated in the exhibit, the following industries in Henderson County are
gaining competitive share rela
tive to the state:



Textile Mills



Truck Transportation



Paper Manufacturing



Textile Product Mills



Chemical Manufacturing



Computer and Electronic Product Mfg



Publishing Industries



Repair and Maintenance



Motion Picture & Sound Recording Ind




Nursing and Residential Care Facilities



Telecommunications



Hospitals



Fabricated Metal Product Manufacturing



Nonmetallic Mineral Product Mfg



Merchant Wholesalers, Durable Goods



Management of Companies and Enterprises



Merchant Wholesalers, Nondurabl
e Goods




-
35%

-
20%

-
4%

0%

0%

0%

0%

3%

9%

11%

16%

18%

19%

21%

22%

48%

90%

-60%
-40%
-20%
0%
20%
40%
60%
80%
100%
Textile Mills
Truck Transportation
Paper Manufacturing
Textile Product Mills
Chemical Manufacturing
Computer and Electronic Product Mfg
Publishing Industries
Repair and Maintenance
Motion Picture & Sound Recording Ind
Nursing and Residential Care Facilities
Telecommunications
Hospitals
Fabricated Metal Product Manufacturing
Nonmetallic Mineral Product Mfg
Merchant Wholesalers, Durable Goods
Management of Companies and Enterprises
Merchant Wholesalers, Nondurable Goods
Exhibit 2.9. Percentage Employment Change of Industry Above Industry Employment Change in State

Step 3: Determine if the industry is gaining competitive share relative to the state.

Target Industry Assessment:
Henderson

County



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10


Step 4: Classify industries based on quantitativ
e evaluations performed above.

Once the location quotient, employment change, and competitive share analyses have been completed, the industry
clusters may be categorized based on the results of those three quantitative evaluations as: 1) current strengths
; 2)
higher priority retention targets; 3) lower priority retention targets; and 4) emerging strengths.

The industries are classified as follows:

Current Strengths (Local

Specialization, Adding Jobs, Gaining Competitive Share)



Nonmetallic mineral product manufacturing



Fabricated metal manufacturing



Motion picture & sound recording



Telecommunications



Hospitals



Nursing and residential care facilities

High Priority Retention Targets (Local Specialization, Adding Jobs, Losing Competitive Share)



Ambulatory health care services



Amusement, gambling, recreation

Lower Priority Retention Targets (Local Specialization, Losing Jobs, Gaining or Losing Competitive Share)



Crop production



Agriculture & forestry support activity



Construc
tion of buildings



Specialty trade contractors



Textile mills



Textile product mills



Paper manufacturing



Transportation equipment manufacturing



Truck transportation

Emerging Strengths (Not a Local Specialization, Adding Jobs, Gaining Competitive Share)



Forestry & logging



Merchant wholesalers, durable goods



Merchant wholesalers, nondurable goods



Warehousing and storage



Management of companies and enterprises

The remain
ing industries analyzed through the quantitative evaluations are considered to have limited prospects
and fall into three categories: 1) industries that are not a local specialization, adding jobs locally but losing
Step 4: Classify industries based on quantitative evaluations performed above.

Current Strengths (Local Specialization, Adding Jobs, Gaining Competitive Share)

Higher Priority Reten
tion Targets (Local Specialization, Adding Jobs, Losing Competitive Share)

Lower Priority Reten
tion Targets (Local Specialization, Losing Jobs, Gaining or Losing Competitive Share)

Emerging Strengths (Not a Local Specialization, Adding Jobs, Gaining Competitive Share)

Target Industry Assessment:
Henderson

County



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11


competitive share; 2) industries that ar
e not a local specialization, losing jobs locally but gaining competitive share;
and 3) industries that are not a local specialization, losing jobs locally and losing competitive share.

For the purposes of this analysis, retail merchandising and government

are not assessed because they are more a
direct function of population, which in large measure is driven by employment.

Before shifting from the quantitative analysis to a qualitative evaluation of strengths and community goals in relation
to these indust
ry clusters, it is helpful to further group the clusters based on common themes


in essence, turning
the clusters into mega
-
clusters. This step further allows the opportunity to add industries that may not have been
identified as potential targets throug
h the quantitative analysis for lack of data, yet nevertheless have thematic ties
to the other industries that have been identified as potential targets, have been identified as areas of opportunity in
prior studies, and/or have been noted by stakeholders
as areas of interest. These mega
-
clusters include all of the
potential targets listed above as well as these other industries not covered for lack of data yet considered potential
targets.

Exhibit 2.10 summarizes this further grouping of industries into m
ega
-
clusters.


Specialty manufacturers
include a variety of light manufacturers that span many fields, from niche consumer
goods to those for business and for defense. Many of the types of manufacturing identified in the 2009
Henderson
County Economic Development Master Plan

are included in th
is category.

Logistics

is the management of the flow of goods between a point of origin and a point of destination to meet the
requirements of customers and involves the integration of information, transportation, inventory, warehousing,
material handling,

and packaging.

Exhibit
2.10.

Mega
-
Clusters of Henderson County


Target Industry Assessment:
Henderson

County



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12


Value
-
added professional services
include those services that cater to a customer base beyond Henderson
County (and are therefore dollar
-
importing industries). Many knowledge
-
based and design
-
oriented fields are
included in this category.

Community
-
related services

are those industries that support the local population and add to the area’s overall
livability. These industries may not necessarily have the dollar
-
importing characteristics of high value
-
added
professional services, but provi
de services that enhance options and the quality of living in Henderson County.
They also overlap in some cases with tourism and professional service industries, with a distinction made that some
businesses within an industry are more locally serving (and

therefore community
-
related services) while others
serve clients and customers beyond local residents.


Step 5: Determine whether the industry cluster makes sense given l
ocal strengths.

All of the industries listed under the mega
-
clusters above have passed quantitative tests and hold promise in the
region as a current strength, emerging strength, or retention target. Therefore, they all are potential targets for
Henderson
, though some will be stronger than others based on local strengths. The industries therefore can be
described as primary or secondary targets for Henderson. These strengths were described previously as part of the
economic and demographic profile, along

with constraints that may hinder the attraction and expansion of some
industries. A summary of the top strengths as well as weaknesses is provided below (with some strengths and
weaknesses grouped for simplicity sake):

Top Strengths/Assets for Economic D
evelopment



Quality of Life:
Henderson County is a desirable place to live, particularly for families given the strong
reputation of the local school system and area recreational opportunities. Altogether, the quality of life in
Henderson County is an impo
rtant selling point for a business leader or entrepreneur looking to live near the
workplace.



Human Capital:
The educational credentials of Henderson County residents are strong


86.0% of residents
have a high school degree or higher, compared to 83.6% fo
r the state and 85.0% for the nation. Blue Ridge
Community College is the only community college in NC to obtain Superior performance ranking for seven years
straight.



Name Recognition of Existing Employers:
The presence of GE, Kimberly Clark, and Wilsonar
t enforces the
perception that Henderson County can be home to major employers.


Step 5: Determine whether the industry cluster makes sense given local strengths.

Target Industry Assessment:
Henderson

County



P a g e

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13


Based on this understanding of Henderson County’s competitive situation, we recommend that these industries be
categorized as primary or secondary targets as illustrated in

Exhibit 2.11. Target Industries include those identified
in the 2009
Henderson County Economic Development Master Plan
,
indentified below with orange highlight,

as well
as those identified in the course of this analysis (blue highlight)

.



Industry
Primary
Target
Secondary
Target
Specialty Manufacturing
Plastics manufacturing
P
Auto parts manufacturing
P
Medical products manufacturing
P
Recreational sportng goods manufacturing
P
Machinery manufacturing
P
Electronic Components and switch gear manufacturing
P
Forestry and logging
P
Nonmetallic mineral product manufacturing
P
Fabricated metal manufacuring
P
Controls/instruments manufacturing
P
Industrial valves and fittings manufacturing
P
Optical instruments manufacturing
P
Crop production
P
Agriculture and forestry support activity
P
Construction of buildings
P
Specialty trade contractors
P
Textile mills
P
Textile product mills
P
Paper manufacturing
P
Transportation equipment manufacturing
P
Logistics
Distribution of manufactured products
P
Merchant wholesalers, durable goods
P
Merchant wholesalers, non-durable goods
P
Warehousing and storage
P
Truck transportation
P
Value-Added Professional Services
Computer programming and software
P
Finance/back office
P
Management of companies and enterprises
P
Biotechnology
P
Motion picture & sound recording
P
Telecommunications
P
Community-Related Services
Ambulatory health care services
P
Amusement, gambling, recreation
P
Hospitals
P
Nursing and residential care facilities
P
Source: BBP LLC 2012
Exhibit
2.11.

I
ndustry Targets for Henderson County


Target Industry Assessment:
Henderson

County



P a g e

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14


Step 6: Determine whether the industry cluster makes sense given goals of the community.

Community vision and goals for economic development must be taken into account when refining targets, since
ultimately, the community


including key stakeholders in government, the private sector, and nonprofits


will be
responsible for facilitating econ
omic development.

The goals and objectives from previous studies are only one input into this important 6
th

step. The public meetings
held for this project as well as the Workgroup sessions will provide additional information and guidance with respect
t
o the community’s wishes. The targeting in this section will be further augmented and adjusted with the findings of
the first series of public meetings.



Step 6: Determine whether the industry cluster makes sense given goals of the community.

Target Industry Assessment: Madison County



P a g e

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15


S
tep by Step Analysis
: Madison County

The analysis contained in this section mirrors that of the example set forth above for Henderson County. For the
sake of brevity, the introductory paragraphs
have been omitted from each “Step”



















Step 1: Determine which industry
clusters represent local specializations

Industry
Madison County
Employment
(2010)
Location
Quotient
(Madison vs.
North Carolina)
Construction of Buildings
61
1.79
Heavy and Civil Engineering Construction
25
1.10
Specialty Trade Contractors
120
1.14
Wood Product Manufacturing
12
0.83
Merchant Wholesalers, Nondurable Goods
23
0.45
Electronic Markets and Agents/Brokers
4
0.15
Motor Vehicle and Parts Dealers
19
0.38
Food and Beverage Stores
204
2.95
Health and Personal Care Stores
42
1.43
Gasoline Stations
31
1.23
General Merchandise Stores
19
0.21
Nonstore Retailers
16
1.77
Truck Transportation
35
0.99
Postal Service
36
2.07
Publishing Industries
7
0.41
Credit Intermediation & Related Activity
55
0.71
Financial Investment & Related Activity
2
0.13
Insurance Carriers & Related Activities
9
0.22
Real Estate
22
0.70
Professional and Technical Services
40
0.24
Administrative and Support Services
75
0.36
Educational Services
1,017
3.00
Ambulatory Health Care Services
302
1.78
Nursing and Residential Care Facilities
274
2.85
Social Assistance
151
2.35
Accommodation
103
3.01
Food Services and Drinking Places
196
0.71
Personal and Laundry Services
18
0.63
Membership Organizations & Associations
29
1.34
Private Households
7
1.18
Justice, Public Order, and Safety Activi
27
0.83
Administration of Environmental Programs
7
0.85
Community and Housing Program Admin
13
5.33
Administration of Economic Programs
83
3.29
Exhibit
2.12.

Identification of

Local Specialization


Target Industry Assessment: Madison County



P a g e

|
16


Step 2: Determine whether or not the industry is
adding jobs locally.


The following industry sectors are adding jobs in the County:



Heavy and Civil Engineering Construction




Food and Beverage Stores



Health and Personal Care Stores



General Merc
handise Stores



Nonstore Retailers



Truck Transportation



Publishing Industries



Credit Intermediation & Related Activity



Financial Investment & Related Activity



Real Estate



Educational Services



Ambulatory Health Care Services



Social Assistance



Accommodation



Membership Organizations & Associations



Justice, Public Order, and Safety Activi
ties



Administration of Environmental Programs



Administration of Economic Programs


Step 3: Determine if the industry is gaining competitive share relative to the nation.


The following industries in Madison County are gaining competitive share relative to the state:



Construction of Buildings



Spe
cialty Trade Contractors



Motor Vehicle and Parts Dealers



Wood Product Manufacturing



Publishing Industries



Administration of Environmental Programs



Real Estate



Credit Intermediation & Related Activity



Health and Personal Care Stores



Accommodation



Food and Beverage Stores



Heavy and Civil Engineering Construction



Justice,
Public Order, and Safety Activities



Ambulatory Health Care Services



Truck Transportation



Membership Organizations & Associations



Social Assistance






Step 2: Determine whether or not the industry is adding jobs locally.

Step 3: Determine if the industry is gaining competitive

share relative to the state.

Target Industry Assessment: Madison County







Step 4: Classify industries based on quantitative evaluations performed above.

Once the location quotient, employment change, and competitive share analyses have been completed, the industry
clusters may be categorized based on the results of those three quantitative evaluations as: 1) current strengths; 2)
higher priority retention
targets; 3) lower priority retention targets; and 4) emerging strengths.

The industries are classified as follows:

Current Strengths (Local Specialization, Adding Jobs, G
aining Competitive Share)



Ambulatory Health Care Services



Food and Beverage Stores



Social Assistance



Accommodation



Health and Personal Care Stores



Membership Organizations & Associations

-
30%

-
15%

-
10%

0%

0%

0%

0%

6%

22%

25%

27%

43%

52%

56%

59%

74%

119%

123%

331%

-100%
-50%
0%
50%
100%
150%
200%
250%
300%
350%
400%
Construction of Buildings
Specialty Trade Contractors
Motor Vehicle and Parts Dealers
Wood Product Manufacturing
Postal Service
Publishing Industries
Administration of Environmental Programs
Total Local Government
Real Estate
Credit Intermediation & Related Activity
Health and Personal Care Stores
Accommodation
Food and Beverage Stores
Heavy and Civil Engineering Construction
Justice, Public Order, and Safety Activi
Ambulatory Health Care Services
Truck Transportation
Membership Organizations & Associations
Social Assistance
Exhibi
t 2.13. Percentage Employment Change of Industry Above Industry Employment Change in State

Step 4: Classify industries based on quantitative evaluations performed above.

Current Strengths (Local Specialization, Adding Jobs, Gaining Competitive Share)

Target Industry Assessment: Madison County






Heavy and Civil Engineering Construction

High Priority Retention Targets (Local Specialization, Adding Jobs, Losing Competitive Share)



Ambulatory health care services



Amusement, gambling, recreation


Lower Priority Retention Targets (Local Specialization, Losing Jobs, Gaining or Losing Competitive Share)



Specialty Trade Contractors



Construction of Buildings



Po
stal Service



Gasoline Stations



Community and Housing Program Admin


Emerging Strengths (Not a Local Specialization, Adding Jobs, Gaining Competitive Share)



Credit Intermediation & Related Activity



Truck Transportation



Justice, Public Order, and Safety Activi
ties




Real Estate

Exhibit
2.14.

Mega
-
Clusters of
Madison

County

Higher Priority Re
tention Targets (Local Specialization, Adding Jobs, Losing Competitive Share)

Lower Priority
Retention Targets (Local Specialization, Losing Jobs, Gaining or Losing Competitive Share)

Emerging Strengths (Not a Local Specialization, Adding Jobs, Gaining Competitive Share)

Target Industry Assessment: Madison County







Specialty manufacturers
include a variety of light manufacturers that span many fields, from niche consumer
goods to those for business and for defense. Construction is specifically called out in the Madison County
Comprehensive Plan, Economic Development chapter.

Logistics

is
the management of the flow of goods between a point of origin and a point of destination to meet the
requirements of customers and involves the integration of information, transportation, inventory, warehousing,
material handling, and packaging.

Tourism, C
ultural Heritage and Recreation
includes those services that cater to a tourism and visitation activities
such as museums, restaurants, lodging and related.

Community
-
related services

are those industries that support the local population and add to the
area’s overall
livability. These industries may not necessarily have the dollar
-
importing characteristics of high value
-
added
professional services, but provide services that enhance options and the quality of living in Henderson County.
They also overla
p in some cases with tourism and professional service industries, with a distinction made that some
businesses within an industry are more locally serving (and therefore community
-
related services) while others
serve clients and customers beyond local resi
dents.

Madison Mega
-
Clusters

1.
Specialty
Manufacturing

4
.

Community
-
Related
Services

3.
Tourism, Cultural
Heritage, Recreation

2.
Logistics

Industries


Heavy & Civil Engineering
Construction


Construction of buildings


Specialty trade contractors


Truck transportation


Postal Service/Delivery
Services


Re瑡tl⁴ 慤e


Food and Beverage Stores


Health and Personal Care


Gasoline Stations


Arts, entertainment and
recreation


Lodging and hospitality


Community and Housing
Program Administration


Ambulatory health care
services


Amusement, gambling,
recreation


Membership Organizations


Social Assistance


Real Estate


Credit Intermediation &
Related

Target Industry Assessment: Madison County





Step 5: Determine whether the industry cluster makes sense given local strengths.

Top Strengths/Assets for Economic Development In Madison County



Quality of Life:
Like many of the counties in western North Carolina, outdoor tourism, cultural and heritage
tourism are important components of their economy and add to the high quality of life.
The County is home to
recreational activities (skiing, hiking, camping), his
toric attractions in the downtown and the Lunsford Music
Festival. The town of Hot Springs is also is nationally recognized for it’s natural hot mineral baths.



Human Capital:
The educational credentials of
Madison

County residents are
slightly behind that

state and
national averages



75.5
% of residents have a high school degree or higher, compared to 83.6% for the state
and 85.0% for the nation.
The County is home to Mars Hill College and a campus of the Ashville
-
Buncombe
Technical Community College.



“Hol
lywood Sets” East
:
The Madison County countryside has played a role in eight major motion pictures over
the years, most recently the blockbuster “The Hunger Games”
.

That international acclaim of that film is being
leveraged to increase tourism and visitat
ion within the County.




Based on this understanding of
Madison

County’s competitive situation, we recommend that these industries be
categorized as primary or secondary targets

Primary Targets






Secondary Targets



Heavy and Civil Engineering Construc
tion


Motor Vehicle and Parts Dealers



Wood Product Manufacturing



Merchant Wholesalers, Nondurable Goods



Specialty Trade Contractors



Construction of Buildings




Step 5: Determine whether the industry cluster makes sense given local strengths.

Target Industry Assessment: Madison County




Step 6: Determine whether the industry cluster makes sense given goals of the community.

As noted above, this section will be completed after the first series of Community Meetings have been completed.




Step 6: Determine whether the industry cluster makes sense given goals of the
community.

Top 10
Targets by County




Summary:
Top 10
Targets by County, Based on 3
-
digit NAICS
Industr
y Classification


The top ten (10) industry sectors that came out of the analysis to date are found in the tables below. These targets,
and others suggested by the Workgroup and public, will be discussed an
d vetted during the first series of open
public meetings held in May 2012

Buncombe County



Haywood

County




NAICS
Code
Industry
Employment
(2010)
North
Carolina
Employment
(2010)
Location
Quotient
(vs. North
Carolina)
722
Food Services and Drinking Places
10,763
299,350
1.40
445
Food and Beverage Stores
2,975
75,278
1.54
721
Accommodation
2,957
37,243
3.08
452
General Merchandise Stores
2,877
100,541
1.11
335
Electrical Equipment and Appliances
2,362
20,673
4.44
624
Social Assistance
1,945
69,777
1.08
926
Administration of Economic Programs
1,549
27,471
2.19
453
Miscellaneous Store Retailers
1,320
23,233
2.21
813
Membership Organizations & Associations
1,306
23,507
2.16
334
Computer and Electronic Product Mfg
1,170
33,365
1.36
Buncombe County
NAICS
Code
Industry
Employment
(2010)
North
Carolina
Employment
(2010)
Location
Quotient
(vs. North
Carolina)
623
Nursing and Residential Care Facilities
768
104,618
2.32
621
Ambulatory Health Care Services
762
184,780
1.30
452
General Merchandise Stores
640
100,541
2.01
522
Credit Intermediation & Related Activity
287
83,740
1.08
812
Personal and Laundry Services
236
31,004
2.41
446
Health and Personal Care Stores
160
31,944
1.58
531
Real Estate
127
34,212
1.17
811
Repair and Maintenance
122
32,511
1.19
443
Electronics and Appliance Stores
116
13,826
2.65
922
Justice, Public Order, and Safety Activi
116
35,529
1.03
Haywood County
Top 10
Targets by County




Henderson

County



Madison

County




NAICS
Code
Industry
Employment
(2010)
North
Carolina
Employment
(2010)
Location
Quotient
(vs. North
Carolina)
611
Educational Services
2,803
369,284
1.04
622
Hospitals
2,381
190,771
1.71
623
Nursing and Residential Care Facilities
1,551
104,618
2.03
445
Food and Beverage Stores
1,385
75,278
2.53
921
Executive, Legislative, & Gen Government
1,125
140,028
1.10
444
Building Material & Garden Supply Stores
713
37,748
2.59
811
Repair and Maintenance
394
32,511
1.66
327
Nonmetallic Mineral Product Mfg
318
13,069
3.34
332
Fabricated Metal Product Manufacturing
298
32,205
1.27
517
Telecommunications
168
22,453
1.03
Henderson County
NAICS
Code
Industry
Employment
(2010)
North
Carolina
Employment
(2010)
Location
Quotient
(vs. North
Carolina)
237
Heavy and Civil Engineering Construction
55
24,759
2.42
321
Wood Product Manufacturing
29
15,823
1.99
238
Specialty Trade Contractors
42
114,890
0.40
236
Construction of Buildings
22
37,047
0.65
-
Total State Government
1,017
180,620
6.13
999
Unclassified
83
1,750
51.60
925
Community and Housing Program Admin
7
2,656
2.87
441
Motor Vehicle and Parts Dealers
102
54,107
2.05
424
Merchant Wholesalers, Nondurable Goods
61
55,446
1.20
541
Professional and Technical Services
16
183,031
0.10
Madison County
Top 10
Targets by County




Transylvania

County




NAICS
Code
Industry
Employment
(2010)
North
Carolina
Employment
(2010)
Location
Quotient
(vs. North
Carolina)
611
Educational Services
964
369,284
1.62
921
Executive, Legislative, & Gen Government
536
140,028
2.37
623
Nursing and Residential Care Facilities
461
104,618
2.73
445
Food and Beverage Stores
396
75,278
3.26
441
Motor Vehicle and Parts Dealers
129
54,107
1.48
446
Health and Personal Care Stores
101
31,944
1.96
812
Personal and Laundry Services
68
31,004
1.36
451
Sporting Goods/Hobby/Book/Music Stores
44
16,279
1.67
561
Administrative and Support Services
258
224,984
0.71
541
Professional and Technical Services
190
183,031
0.64
Transylvania County
Appendices




APPENDIX


A1. Previously Identified
Clusters and Focus Areas

Before describing the results of the analyses conducted on industry clusters in the Land
-
of
-
Sky region, it is
important to note the industries that have been identified in prior reports as potential targets for specific counties in

the region (Buncombe, Henderson, and Transylvania). In addition, detailed analyses were conducted for specific
industry cluster targets that capitalize on the region’s assets. The information described below will inform further
analysis of the aforementi
oned counties that drills down on county/state level rather than the county/nation level of
the most recent efforts. County/state level target industry cluster analyses are also conducted for Haywood and
Madison Counties, as well as the Land
-
of
-
Sky region
as a whole.

County
-
Specific Industry Targets

Henderson County



The 2009
Henderson County Economic Development Master Plan

identifies 8 primary target
industry clusters and 4 secondary clusters with a total of 47 individual industries, which include:



Plast
ics Manufacturing and Distribution

o

Plastic pipe, plastic bottles, custom compound purchased resins, plastic products, plastics
materials distribution



Auto Parts Manufacturing and Distribution

o

Vehicular lighting equipment, motor vehicle parts and equipment,

motor vehicle supplies and new
parts distribution, motor vehicle parts, used distribution



Medical Products Manufacturing

o

Surgical and medical instruments, electro
-
medical equipment, medical and hospital supplies
distribution, medical laboratories



Recreational Sporting Goods Manufacturing and Distribution

o

Fabricated rubber products, plastic products, boat building and repairing, sporting and athletic
goods, sporting and recreational goods distribution



Machinery Manufacturing and Distribution

o

Machine

tool accessories, packaging machinery, general industrial machinery, industrial
machinery distribution



Electronic Components and Switch Gear Manufacturing and Distribution

o

Electronic capacitors, electronic resistors, electronic components, switch gear and

switchboard
apparatus, electronic equipment distribution



Computer Programming and Software

o

Custom computer programming, prepackaged software, computer integrated systems design, data
processing and preparation, computer related services



Finance/Back Offic
e

Appendices




o

National commerce banks, state commercial banks, federal credit unions, state credit unions, back
office operations for all target clusters/industries

Secondary target/clusters in Henderson County include:



Biotechnology

o

Medical chemicals and botanical pr
oducts, pharmaceutical preparations, In Vitro and In Vivo
diagnostic substances, biological products except diagnostic, commercial physical and biological
research, testing laboratories



Controls/Instrument Manufacturing

o

Environmental controls, process cont
rol instruments



Industrial Valves and Fittings Manufacturing and Distribution

o

Industrial valves, fluid power valves and hose fittings, industrial supplies distribution



Optical Instruments Manufacturing


Haywood County Economic Development Commission Long
Range Plan, Sept. 2010




Retain
County’s
existing business base




Utilize the target industry clusters identified by AdvantageWest




Work with NC Department of Commerce and CarolinaWest to identify prospects




Increase the supply of ready to build and prepared

business/industrial sites




Industry sector concentrations:

o

Advanced Manufacturing

o

Vehicle Parts Assembly

o

Transportation, Shipping Logistics

o

Life Sciences & Agribusiness

o

Business Support Services

o

Healthcare Services

o

Recreation and Tourism

o

Chemicals & Plast
ics

o

Communication Services & Software

o

Information Technology & Instruments

o

Pharmaceutical & Medical Technology

o

Food Products


LOSRC Comprehensive Economic Development Strategy (CEDS), Sept. 2011

Overarching of the LOSRC
CEDS is Regional Coordination and a
pplies to all strategic issues and solutions in the CEDS.


Appendices






Tier 1 Initiatives: These are the highest priority projects that emerged from the Strategy
Committee‘s issue ranking process. These projects will be the main focus of Year 5 of the
CEDS (October
2011
-
September 2012). An abbreviated version of the Goals, Objectives and
Plans of Action for the five Tier 1 initiatives appears below.

o

Strategic Initiative 1: Regional Growth Management Planning

o

Strategic Initiative 2: Transportation and Air Quality

o

Strategic Initiative 3: Housing

o

Strategic Initiative 4: Regional Brownfields Initiative (RBI)

o

Strategic Initiative 5: Clean Energy Planning and Entrepreneurship




Tier 2 Strategy Issues

o

Health Care

o

Education

o

Broadband Infrastructure

o

Agriculture Jobs

o

Entrepr
eneurship and Small Business

o

Quality of Life

o

Overall Affordability of Living in the Region




Economic Clusters in the Region were derived from the CEDS review of local and regional
economic development plans, including:

o

AdvantageWest

o

CarolinaWest

o

The Hub Pr
oject


Madison County Comprehensive Plan


Economic Development Chapter


Madison County’s economy is primarily made up of the following business secors and their related
revenues and jobs
:

o

Agriculture and related products and services

o

Construction

o

Outdoor
recreation

o

Arts and music venues and events

o

Heritage and cultural tourism

o

Education

o

Manufacturing




Economic Development Strategies to strengthen business districts

o

Support economic development programs and services with staff and funding

o

Modify zoning regu
lations to encourage more business activity

o

Develop incentives to encourage business to locate or expand in Madison County

o

Establish partnerships with the towns and with other economic development and
related organizations

o

Work with infrastructure provider
s to improve communications and utilities
infrastructure

o

Expand workforce training to meet the needs of current and future employment
opportunities

Appendices




Asheville



For reference, the 5 industry targets for the Asheville region, which were originally identified

in the
2011
Asheville 5X5 Plan
, include:



Healthcare

o

Commercialization, support services



Advanced Manufacturing

o

Precision Metalwork, outdoor products



Science & Technology

o

Climate, sustainability



Arts & Culture



Knowledge
-
based Entrepreneurs


Transylvania
County



The 2010
-
2012 Transylvania County Economic Development Strategic Plan recommends
marketing to selected business sectors/industries, but does not specifically reference that an industry cluster
analysis was conducted to identify the following targe
t categories:



Nutraceutal/natural products manufacturing



Medical device manufacturing



Outdoor recreational device manufacturing



“Green” development



Alternative energy


Western North Carolina Target Industries

Various studies were recently conducted identif
ying target industry clusters within specific categories for the
Western North Carolina region.


Clean Energy


In September 2011, a
Clean Energy Cluster Analysis

was completed for the 31 counties in the
Western North Carolina region. The following clust
ers were identified:



Renewable Energy

o

Rural Target Niches
: small scale wind energy, solar frame manufacturing, small
-
scale solar
energy, solar inverters, printed circuit board assembly, renewable energy product testing

o

Urban
T
arget Niches
: renewable energy

product testing, printed circuit board assembly, gear
design and manufacturing, solar inverters, wind and solar tracking systems, solar frame
manufacturing



Energy Efficiency

Appendices




o

Rural Target Nich
es
:

Solar hot water, hot water tank manufacturing, home building

(efficiency
improvements, HVAC equipment manufacturing and installation (specific to energy efficient
applications

o

Urban
T
arget Niches
: Electronic monitoring (including software and hardware), energy efficient
equipment service and maintenance, energy eff
icient instrumentation products, smart grid
technology, HVAC equipment manufacturing and installation (specific to energy efficient
applications, solar hot water, hot water tank manufacturing



Alternative Fuels and Vehicle Technologies:

o

Rural Target Niches
: Methane recapture equipment and services, commercial and passenger
vehicle equipment and supplies manufacturing and distributing (relating to fuel efficiency, electric
power systems and other alternative fuel technologies), biomass, alternative fuel stor
age and
distribution

o

Urban Target Niches
: Waste vegetable oil conversion equipment design and manufacturing,
commercial and passenger vehicle equipment and supplies manufacturing and distributing
(relating to fuel efficiency, electric power systems and cha
rging stations, and other alternative
fuel technologies),

methane recapture equipment and services, fuel cell manufacturing

Other recent studies include the 2007
Growing Local


Expanding the Western North Carolina Food and Farm
Economy

and the 2006
Expan
ding the Natural Products Economy in Western North Carolina
.

The 2004
Vision Plan for the Economy of the AdvantageWest Region of North Carolina and Supporting Report

identifies “recent growth clusters” in the Asheville metro, comprised of Buncombe, Haywood, Henderson, Madison
and Transylvania Counties, which include:



Pharmaceuticals and Medical Technologies



Hospitals, Labs and Specialized Medical Services



Communicatio
n Services and Software



Vehicle Parts Assembly



Business Support Services



Recreation and Tourism


Five
-
Year Vision Plan for the Economy of the AdvantageWest Region 2004
-
2009
-

identifies “recent growth
clusters” in the Asheville metro, comprised of Buncombe,

Haywood, Henderson, Madison and Transylvania
Counties, which include:



Food
-
related

o

Wine and culinary arts

o

Food horticulture, processing, and packaging, including organic foods




Life sciences and agribusiness
-
related

o

Native plant commercialization, includi
ng biotechnology

Appendices




o

Nutraceuticals

o

Biomanufacturing

o

Sylviculture and horticulture

o

Nontoxic pest management




Health care
-
related

o

Health care delivery (hospitals, laboratories, and specialized medical services)




Recreation and tourism
-
related

o

Tourism/hospitality, including ecotourism

o

Heritage tourism

o

Outdoor attractions and services.

Hub Project Plan
-

which focuses

on Asheville metropolitan area and Buncombe County identifies the
following seven clusters for the area:




Rejuvenation (health and
wellness, traditional medicine, complementary and alternative
medicine, application of biotech tools to native medicinal plants)



Sustainability (making Asheville a national model for community sustainability development)



Technology (climate change, visuali
zation, support of technology entrepreneurs, expansion
of broadband Internet access, etc.)



Creativity (visual arts, performing arts, and arts venues)



Land
-
agriculture (land preservation and supporting farming)



Advanced manufacturing (support of the Economi
c Development Coalition for Asheville
-
Buncombe County, which spearheads growth in this cluster.




Appendices




2007 Growing Local


Expanding the Western North Carolina Food and Farm Economy
-

details that there is
significant market potential for expanding the locally

grown and produced products industry. The research suggests
that strategies to increase access to consumer outlets should be a priority for the region. The following table
highlights the large scale market potential and consumer outlets for the local go
ods industry:

Market Outlet

Current Spending
*

Desired Spending
*

Maximum Spending
*

Full
-
service groceries

$5.4 million

$189.2 million

$236.6 million

Specialty food stores

$105,000

$3.3 million

$13.2 million

Full
-
service restaurants

$122,850

$13.0 million

$51.9 million

Summer camps

$28,875

$336,000

$1.1 million

Public schools

$19,950

$2.4 million

$3.4 million

Colleges/Universities

$19,373

$1.6 million

$4 million

Hospitals

$26,880

$5.6 million

$6.4 million

Totals (wholesale)

5,722,928

$215.4 million

$316.6 million

Totals (retail equivalent)

$11,445,856

$430.9 million

$633.2 million

*Current spending is estimated to reflect actual spending on locally
-
grown food; desired spending equals the
amount interested organizations could buy given availability

and improvements to local food distribution and
processing infrastructure; and maximum spending reflects improvements in infrastructure plus changes in tastes
and preferences such that every organization in each category has high interest in buying loc
ally
-
grown food.

2006 Expanding the Natural Products Economy in Western North Carolina
-

suggests the following
strategies to expand the natural products economy in Western North Carolina:




Recruit and leverage existing businesses



Develop new businesses



Attract federal agencies, associations and corporate partners



Focus on branding and ecotourism



Appendices




Common Goals

The five counties that comprise the GroWNC region clearly understand the value of accessing human and natural
resources in order to nurture new
businesses and diversify the economy. Examples of this include the attention paid
to expanding the food and farm economy and expanding the natural products economy, as described in reports on
the same subject. In addition, other local, emerging industries
have been targeted for expansion/
attraction/retention.

Conclusion

Several jurisdictions within the region have identified target industry clusters, many of which fall under the category
of specialty manufacturing. Target industries cited by several jurisd
ictions in the region include auto part
manufacturing and distribution, medical devices and products manufacturing and distribution, and a whole range of
“clean energy” products. The common theme to these industries is the need for distribution of products

to
customers, many of whom presumably are outside of the region, and even outside of the country. Therefore,

in
addition to the aforementioned clusters,

“logistics” (management of the flow of goods between a point of origin and
a point of destination) sh
ould be strongly considered as a regional, stand alone target industry.

The
GroWNC

region should consider the development of a strategically located logistics center which could create
the potential to open up export markets to locally processed agricultur
al products and locally manufactured goods. A
key feature of this facility may consist of an intermodal transfer facility to move shipping containers between trucks
and rail cars. Ability to receive a broad range of commodities by rail and truck will be in
strumental to the success of
attracting and retaining value added operations (e.g. manufacturing, assembly, processing). The presence of both
north/south and east west routes of the Norfolk Southern Railroad not only provides access to domestic markets,
bu
t import markets as well, through the ports of Norfolk, VA; Morehead City, NC; Charleston, SC, and; Savannah,
GA.




Appendices




A2. Top 25 Employers by County, Land
-
of
-
Sky Region








Buncombe County
Rank
Year
Period
Company Name
Industry
Employment Range
1
2011
3
Memorial Mission Hospital Inc
Education & Health Services
1,000+
2
2011
3
Buncombe County Board Of Education
Education & Health Services
1,000+
3
2011
3
Ingles Markets Inc
Trade, Transportatioon & Utilities
1,000+
4
2011
3
Veterans Administration
Public Administration
1,000+
5
2011
3
County Of Buncombe
Public Administration
1,000+
6
2011
3
Wal-Mart Associates Inc
Trade, Transportatioon & Utilities
1,000+
7
2011
3
City Of Asheville
Public Administration
1,000+
8
2011
3
The Biltmore Co (A Corp)
Leisure & Hospiatlity
1,000+
9
2011
3
Asheville Buncombe Technical
Education & Health Services
1,000+
10
2011
3
Eaton Corporation
Manufacturing
500-999
11
2011
3
Community Carepartners Inc
Education & Health Services
500-999
12
2011
3
The Grove Park Inn Resort & Spa
Leisure & Hospiatlity
500-999
13
2011
3
Unc Asheville 18173
Education & Health Services
500-999
14
2011
3
State Of Nc Dept Of Health & Human
Public Administration
500-999
15
2011
3
Asheville City Schools
Education & Health Services
500-999
16
2011
3
Arvato Digital Services Llc
Manufacturing
500-999
17
2011
3
Kendro Laboratory Products Lp
Manufacturing
500-999
18
2011
3
Sitel Operating Corporation
Professional & Business Services
500-999
19
2011
3
Borgwarner Turbo Systems
Manufacturing
500-999
20
2011
3
U S Postal Service
Trade, Transportatioon & Utilities
500-999
21
2011
3
Mission Medical Associates Inc
Education & Health Services
250-499
22
2011
3
Us Airways Express
Trade, Transportatioon & Utilities
250-499
23
2011
3
Kearfott Guidance &
Manufacturing
250-499
24
2011
3
Lowes Home Centers Inc
Trade, Transportatioon & Utilities
250-499
25
2011
3
State Of Nc Dept Of Correction
Public Administration
250-499
Appendices






Henderson County
Rank
Year
Period
Company Name
Industry
Employment Range
1
2011
3
Henderson Co Board Of Public Ed
Education & Health Services
1,000+
2
2011
3
Margaret R Pardee Memorial Hosp
Education & Health Services
1,000+
3
2011
3
Park Ridge Hospital
Education & Health Services
1,000+
4
2011
3
Charter Hr Inc
Professional & Business Services
500-999
5
2011
3
County Of Henderson
Public Administration
500-999
6
2011
3
Ingles Markets Inc
Trade, Transportatioon & Utilities
500-999
7
2011
3
Wilsonart International Inc
Manufacturing
500-999
8
2011
3
Wal-Mart Associates Inc
Trade, Transportatioon & Utilities
500-999
9
2011
3
Meritor Heavy Vehicle Systems Llc
Manufacturing
500-999
10
2011
3
Continental Automotive Systems Inc
Manufacturing
250-499
11
2011
3
Ge Lighting Solutions Llc
Manufacturing
250-499
12
2011
3
Blue Ridge Community College
Education & Health Services
250-499
13
2011
3
Mountain Bean Growers Inc
Natural Resources & Mining
250-499
14
2011
3
U P M-Raflatac Inc
Manufacturing
250-499
15
2011
3
Carolina Village Inc
Education & Health Services
250-499
16
2011
3
Four Seasons Hospice
Education & Health Services
250-499
17
2011
3
City Of Hendersonville
Public Administration
250-499
18
2011
3
Fayetteville Ind Maint Corp
Professional & Business Services
100-249
19
2011
3
Van Wingerden International Inc
Trade, Transportatioon & Utilities
100-249
20
2011
3
Borg Warner Thermal Systems
Manufacturing
100-249
21
2011
3
Lfc Agricultural Services Inc
Natural Resources & Mining
100-249
22
2011
3
Kimberly Clark Corp
Manufacturing
100-249
23
2011
3
Flavor 1st Growers & Packers, Inc.
Natural Resources & Mining
100-249
24
2011
3
Mcdonalds Restaurants
Leisure & Hospiatlity
100-249
25
2011
3
Manual Woodworkers And Weavers Inc
Manufacturing
100-249
Appendices








Madison County
Rank
Year
Period
Company Name
Industry
Employment Range
1
2011
3
Mars Hill College, Inc
Education & Health Services
500-999
2
2011
3
Madison County Schools
Education & Health Services
500-999
3
2011
3
Madison County
Public Administration
250-499
4
2011
3
Ingles Markets Inc
Trade, Transportatioon & Utilities
100-249
5
2011
3
Printpack Inc
Manufacturing
100-249
6
2011
3
Hot Springs Health Program (A Corp)
Education & Health Services
100-249
7
2011
3
Stacie's Personal Care Service Inc
Education & Health Services
100-249
8
2011
3
Nursing Home
Education & Health Services
100-249
9
2011
3
Elderberry Health Care
Education & Health Services
100-249
10
2011
3
Blue Ridge Group Homes
Education & Health Services
50-99
11
2011
3
French Broad Electric
Trade, Transportatioon & Utilities
50-99
12
2011
3
N C Department Of Transportation
Public Administration
50-99
13
2011
3
Old Edwards Management Llc
Professional & Business Services
50-99
14
2011
3
Mars Hill Retirement Living Inc
Education & Health Services
Below 50
15
2011
3
Crothall Healthcare Inc
Leisure & Hospiatlity
Below 50
16
2011
3
Hot Springs Resort & Spa Inc
Leisure & Hospiatlity
Below 50
17
2011
3
Honeywell International Inc
Manufacturing
Below 50
18
2011
3
Deringer Mfg Co (A Corp)
Manufacturing
Below 50
20
2011
3
National Telecommuting Institute
Education & Health Services
Below 50
20
2011
3
Madison Manufacturing Co (A Corp)
Manufacturing
Below 50
22
2011
3
Mountain Adventure Guides Llc
Leisure & Hospiatlity
Below 50
22
2011
3
U S Postal Service
Trade, Transportatioon & Utilities
Below 50
24
2011
3
Wolf Laurel Country Club Inc
Leisure & Hospiatlity
Below 50
24
2011
3
Advanced Tool Inc
Manufacturing
Below 50
25
2011
3
Town Of Mars Hill
Public Administration
Below 50
Appendices




Transylvania County
Rank
Year
Period
Company Name
Industry
Employment Range
1
2011
3
Transylvania County Schools
Education & Health Services
500-999
2
2011
3
Transylvania Community Hospital Inc
Education & Health Services
500-999
3
2011
3
Transylvania County
Public Administration
250-499
4
2011
3
Ingles Markets Inc
Trade, Transportatioon & Utilities
250-499
5
2011
3
Brevard College Corp
Education & Health Services
100-249
6
2011
3
Town Of Brevard
Public Administration
100-249
7
2011
3
Wal-Mart Associates Inc
Trade, Transportatioon & Utilities
100-249
8
2011
3
M B Industries Inc
Manufacturing
100-249
9
2011
3
Tvs, Inc
Education & Health Services
100-249
10
2011
3
Ivy Hill Health & Retirement
Education & Health Services
100-249
11
2011
3
Gaia Herbs Inc
Natural Resources & Mining
100-249
12
2011
3
Lowes Home Centers Inc
Trade, Transportatioon & Utilities
100-249
13
2011
3
Brian Ctr Health & Retirement
Education & Health Services
50-99
14
2011
3
Pisgah Inn
Leisure & Hospiatlity
50-99
15
2011
3
College Walk Retirement Community
Education & Health Services
50-99
16
2011
3
U S Department Of Agriculture
Public Administration
50-99
17
2011
3
Rnw Inc
Trade, Transportatioon & Utilities
50-99
18
2011
3
Excelsior Packaging
Manufacturing
50-99
19
2011
3
Citizens Telephone Co
Information
50-99
20
2011
3
Bi Lo Llc
Trade, Transportatioon & Utilities
50-99
21
2011
3
Lake Toxaway Country Club Inc
Leisure & Hospiatlity
50-99
22
2011
3
K Mart Corporation Intl Hdq
Trade, Transportatioon & Utilities
50-99
23
2011
3
Connestee Falls Property Owners Ass
Other Services
50-99
24
2011
3
Mcdonalds Restaurants
Leisure & Hospiatlity
50-99
25
2011
3
Eagles Nest Foundation Inc
Leisure & Hospiatlity
50-99
Appendices