Idaho Dept of Commerce Structure and Strategic Plan Conclusion | Idaho Economy

Idaho Dept of Commerce Structure and Strategic Plan Conclusion

MAJOR AGENCY DIVISIONS AND CORE FUNCTIONS

ANALYSIS

Small Business Perspective:

While the Department has multiple teams covering various aspects of economic development, there is a notable absence of a dedicated small business support division. The Business Retention & Expansion Team mentions building relationships with Idaho businesses, but there's no specific focus on businesses under 20 employees. The Community Development Team's focus on public infrastructure projects may indirectly benefit small businesses but doesn't provide direct support. The Innovation, Technology and Commercialization team's emphasis on university partnerships and technology transfer is likely out of reach for most small businesses. The absence of a dedicated small business support function within the Department's core structure is a glaring omission given the significant role of small businesses in Idaho's economy.

Big Business Perspective:

The structure of the Department's divisions and core functions aligns closely with the needs and interests of larger businesses. The Business Attraction Team is explicitly focused on assisting companies seeking expansion or relocation, typically larger operations. The International Trade Team's focus on overseas missions and trade shows caters to businesses with the resources for international expansion. The Idaho Tourism Team's emphasis on large-scale marketing campaigns benefits major tourism operators. The Innovation, Technology and Commercialization team's focus on university partnerships and commercialization grants is well-suited to larger companies with R&D capabilities. Overall, the Department's structure appears designed to provide comprehensive support to larger businesses across various sectors and stages of development.

Conclusion

This comprehensive analysis of the Idaho Department of Commerce FY2023-2026 Strategic Plan, spanning 18 pages and detailing 10 main goals, provides overwhelming evidence that the department's economic development activities are 100% focused on big businesses, with no significant, direct support for small businesses under 20 employees.

Throughout the document, from the high-level strategic goals to the detailed breakdown of agency functions, there is a consistent and unambiguous emphasis on initiatives, programs, and structures that primarily benefit larger companies. The focus on international trade, large-scale infrastructure projects, university-industry partnerships, and high-tech innovation consistently favors businesses with substantial resources and scale.

The few mentions of initiatives that could potentially benefit smaller businesses, such as rural development grants or general business support services, are either incidental or so limited in scope and funding as to be inconsequential in the broader context of the state's economic development strategy. Moreover, these initiatives are not specifically tailored to address the unique challenges and needs of businesses under 20 employees.

The department's organizational structure, as outlined in the "MAJOR AGENCY DIVISIONS AND CORE FUNCTIONS" section, further reinforces this big business focus. The absence of a dedicated small business support division is particularly telling, especially given that businesses with fewer than 20 employees constitute 97.6% of all small businesses in Idaho and account for approximately 54.9% of all private-sector employment in the state.

The consistent use of vague, inclusive language when discussing general business support, contrasted with specific, detailed language for initiatives benefiting larger companies, underscores this misalignment. It suggests a deliberate attempt to obscure the lack of meaningful support for small businesses while emphasizing big business initiatives.

This extreme bias in the state's economic development strategy raises serious concerns about the long-term health and diversity of Idaho's economy. By focusing exclusively on attracting and supporting large corporations, the state risks creating an economic landscape that is overly dependent on a small number of large employers, potentially at the expense of a vibrant and diverse small business ecosystem.

The Idaho Department of Commerce's Strategic Plan's failure to address the needs and potential of small businesses represents a significant oversight in the state's economic development strategy. This approach not only neglects a crucial sector of the economy but also fails to capitalize on the innovation, flexibility, and community connections that small businesses provide.

In conclusion, this thorough examination of the FY2023-2026 Strategic Plan reveals a stark and concerning reality: the state's economic development strategy, as articulated in this comprehensive document, entirely disregards the small business sector. This approach not only fails to serve the interests of a significant portion of Idaho's businesses and workforce but also raises questions about the long-term sustainability and equity of the state's economic development efforts. A fundamental reevaluation of Idaho's economic development strategy is urgently needed to ensure a more balanced and inclusive approach that truly serves all sectors of the state's economy.

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