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Tuesday, January 27, 2004

Being pro-local isn't an anti-growth stand

By Jack Wolcott
Gazette-Times columnist

The members of the Corvallis Independent Business Alliance have made a fundamental decision, and we have based our well-being on it. We have chosen to tie our prosperity to the economic health of our community. We are here for the "long haul" and have repeatedly demonstrated our commitment to weather the inevitable downturns of a local economy.

We do this by looking at the long-term view and not automatically grasping at short-term "fixes" that may present themselves and appear to fill the gaps that our customers are pointing out. It may take a bit longer, but it is a foundation that we can all depend on to still be here when our children may need it.

Our community began a healthy dialogue recently over two proposed "big box" home improvement warehouse centers. The letters to the editor and discussions at the Planning Commission hearings have raised some fundamental questions and identified priorities for our common welfare. In general, they were strongly in favor of local businesses and our quality of life. I see Corvallis at a juncture that many other communities of our size have faced: Do we just accept whoever wants to develop something on their terms, or do we identify our needs and then look for the best fit for ourselves and a qualified developer?

CIBA believes the latter choice is fundamentally a better option for Corvallis , but it needs two other things to make it work: affordable housing and "traded sector" businesses that pay living wages. A traded sector business is one that brings revenue from outside our community into it. Footwise (with its Internet business), most software firms and Peoria Gardens are all excellent examples. Other such companies may or may not be locally owned, but they are a sound foundation for a local economy, create high-paying jobs and provide good customers for locally owned businesses.

This is much more desirable than focusing only on low-cost and convenient suppliers without regard to the long-term effects on the local business community. Once a small business closes, it is very difficult to convince another, similar business to take the risk of competing against a large national retailer. Beyond keeping our existing businesses and helping them satisfy their customers' interests, we need to work with the other business organizations to encourage new entrepreneurs and strengthen our current business mix.

A common practice among national retailers is to discount certain products to give the appearance of a general, storewide discount. If 100 people buy a $5 product for 10 percent less and then spend an additional $5 on other products available from a local vendor at a similar price, they may save 75 cents each, but the local vendor is deprived of more than $1,000 in sales. A future article will discuss the deceptive and temporary nature of these loss leaders.

One of CIBA's primary missions is to educate the public on the values and significance of locally owned, independently operated businesses. We hope that local residents who do have a need to shop at national retailers will consider their purchases, examine the price and buy only what they can't get from a local business.

CIBA is not opposed to responsible growth; we believe the local option should be given a realistic first opportunity to fulfill the needs of our community. Local owners know what their neighbors want, they are willing to work through slow economic conditions and they are more committed to supporting community needs. They deserve your support.

Jack Wolcott is a co-owner of Grass Roots Books & Music and sits on the board of directors of the Corvallis Independent Business Alliance . His column appears on the fourth Monday of the month.

Copyright © 2004 Corvallis Gazette-Times

 

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