Michigan Evaluates Its Competitiveness

Earlier this week, the Michigan Economic Development Corporation (MEDC) and the Michigan Business Roundtable released a benchmarking study that used 140 indicators across seven areas to compare the state's competitiveness with 17 other states.

Entitled Benchmarks for the Next Michigan: Measuring Our Competitiveness, the study reveals Michigan ranks 2nd among Midwest/northern states and 9th in terms of overall competitiveness. Colorado, Texas, Minnesota, Virginia and California are the top five states overall. Using a Competitiveness Foundations Web Model developed by SRI International, the study reveals that high business costs continue to be Michigan's greatest competitive weakness, ranking 42nd of all 50 states.

According to the report, the states included in the analysis were selected by the following criteria:

States where innovative economic development organizations operate state-of-the-art business attraction and assistance initiatives; States with high growth in innovative, technology-based New Economy industries; States strong in the industry clusters that Michigan is focusing on; States that compete with Michigan for establishment/relocation of company headquarters, manufacturing plants, or critical research laboratories; States to which former Michigan-based firms migrate; and States similar to Michigan in size, diversity, and economic potential.

The seven target areas were innovation resources, human investment, globalization and vitality, business costs, quality of life, financial resources and infrastructure. Michigan's highest scores came in the areas of quality of life, globalization and business vitality and innovation resources.

A copy of Benchmarks for the Next Michigan is available through: http://medc.michigan.org/