State, Provincial, & International Reviews
Tuesday, May 29 2018
From Zero Emission Vehicles to Artificial Intelligence
Today, California is the 5th largest economy in the world behind only the United States, China, Japan and Germany. The state’s economic growth rate is nearly double the U.S., and the Golden State continues to lead the nation in several key metrics, including job growth, foreign direct investments and venture capital deals. In addition, California has the largest corporate tax credit program in the country, the largest film credit, the largest tourism marketing budget and was the first state to offer online applications for business incentives. Moreover, Governor Brown’s climate action and sustainability goals are spurring innovation in emerging technologies that will reduce greenhouse gas emissions and energy consumption while laying the foundation for California’s ‘green’ economy.
Leading California’s activities to encourage private sector attraction and expansion is the Governor’s Office of Business and Economic Development (GO-Biz). GO-Biz is the one-stop shop for investors, businesses, site selection consultants and all economic development stakeholders interested in accessing resources or learning more about financing opportunities and incentives in California. The list of services offered at GO-Biz ranges from navigating federal, state and local incentives and permit requirements, connecting foreign investors with California projects, overseeing the state’s 14 Innovation Hubs (iHubs), and managing the state’s highly-successful California Competes Tax Credit program.
Thursday, June 01 2017
California has the most innovative economy in the world. The state is home to legendary tech giants such as Apple ($635 billion) and Google ($561 billion) that have consistently dominated the list of most valuable companies, as well as 51 Fortune 500 companies and seven of the 20 highest ranking global brands. Thanks to a prestigious talent pool, a mass of resources, and a social climate geared toward progressive thinking, California provides the perfect breeding ground for innovation at its finest.
The first concern that most business owners have about relocating to California is that it is one of the most expensive states in the country. Taking California state taxes and regulations into account, California is still the most profitable state in the country and is 2156 percent more profitable than Texas, 38 percent more profitable than New York, and 291 percent more profitable than Philadelphia.
But what if you’re not a technology behemoth bringing in billions in revenue a quarter? Even if you remove technology and telecommunications companies from the equation, California is still the most profitable in the country.
Monday, May 23 2016
By Barry Broome, President and CEO, Greater Sacramento Area Economic Council
The perception of California is that costs are too high and the rules are too rigid. Businesses in California succeed on a grand scale. California is the most profitable state to do business in the United States. With fifty-three Fortune 500 headquarters, the state has among the highest number in the country. Even without technology and telecom companies included, (which, as one would imagine, account for a sizable percentage of the state’s GDP), California businesses are still 91 percent more profitable than Texas, 81 percent more profitable than Illinois, and remain on par with New York. When adding tech and telecom back into the mix, profitability over these competitive markets turns into a triple- digit advantage for California.
Profitability takes into account the difference in cost between states. California’s cost of doing business is higher than some competitive markets. Both New York and Massachusetts, however, have a higher average cost of doing business than the Golden State. California companies are so much more profitable than the rest of the nation that any difference in expense is significantly offset by profitability.
Wednesday, May 20 2015
By Tim Johnson
California has slowly pulled itself back from the economic brink of collapse caused by the Great Recession. Latest economic rankings show that its economy has increased to the 7th largest in the world.
One of the efforts to accomplish this economic vitality came from public policy makers, economic development professionals and academicians that have worked to formulate a new direction for manufacturing in the state.
Over the last decade, the debate in California was mostly over how to rescue and retain manufacturing. California saw its manufacturing sector dwindle due both to the Great Recession and global competition.