Business Interview Summaries - Eastern Maine Development

Appendix V
Business Interview Results
One hundred and four businesses located in Hancock, Penobscot, Piscataquis, and Waldo
counties were asked a series of questions to better understand their perception of opportunities
and perceived barriers within their industry and the region where they do business. The results
of these interviews are provided below (note that all interviewees did not respond to all
questions).
I.
Organizational and Interviewee Background/General
When was the company founded?
Companies Founded by Era
Before
1900
2010-Present
19008%
14%
1950
9%
1950-1980
27%
1980-2010
42%
Why did you start your company? Why here? Why Maine?
Companies
Advantageous Location
23
Founder lived locally
19
Spinoff from other companies
10
Family Business
6
Outside Assistance
2
Suitable Workforce
1
© 2016 Eastern Maine Development Corporation. All Rights Reserved
About how many people work for your company?
Employees Per Company
300+ Workers
101 to 300
9%
Workers
8%
0 to 10 Workers
24%
51 to 100
Workers
15%
11 to 20 Workers
24%
31 to 50 Workers
11%
21 to 20 Workers
9%
What does your organization do?
Companies
% of Total
Agriculture/Food Industry
14
19
Boat-Building
5
7
Bioscience/Healthcare
11
15
Construction
4
6
Forestry/Wood Products
6
8
Hospitality/Tourism
17
24
Manufacturing
4
6
Transportation/Logistics
11
15
2
II.
Locational Aspects and Regional Assets
From a business standpoint, what is advantageous about our region?
Companies
% of Total
Proximity to Higher Education
2
3
Scenic Beauty/Location
34
48
Cost of Doing Business Here
4
6
The Maine Lifestyle
8
11
Emerging Growth in Maine
7
10
High-Quality Workforce
11
16
Regulatory Climate
4
6
From a business standpoint, what is disadvantageous about our region?
Companies
% of Total
Energy Costs
11
14
Deficient Digital Infrastructure
4
5
Remote Location
18
22
Harmful Regulatory Climate
9
11
Low Population of Customers & Workers
23
28
Poor Roads and Transportation Infrastructure
13
16
Lack of Collaboration between Businesses
3
4
3
What two things would you like to change regarding the business climate?
What should we change about our business
climate?
Rail
Broader Marketing
Affordable Housing
The Weather
High-Speed Internet
Increase Federal Aid
Lower Energy Costs
Improve Access to Cheap Capital
Improve Attitude towards Business
Year-Round Tourism
Increase Critical Mass of…
Streamline Regulation and Lower Taxes
0
5
10
15
20
25
30
What opportunities exist for economic development in the region?
Emerging Opportunities for Economic
Development in our Region
Emerging/Computer Technology
TransportationInfrastructure
Wood Composites
Tourism
Service Industry
Manufacturing
Education/Workforce Development
Public/Private Partnership to Assist Start-…
East/West Highway
Market the State
Biotechnology
Eliminate Regulations
Urban/Downtown Revitalization
0
1
2
4
3
4
5
6
III.
Value Chain: Markets, Competitors, and Suppliers
What is your growth strategy and how do you think it compares to the industry? Does this
reflect the growth potential of the primary industries you operate in?
Diversification—6 mentions
Budgeting for Growth—1 mention
Networking—3 mentions
Collaboration—1 mention
Quality/Identify Consumer Demand—18 mentions
Marketing—11 mentions
Innovation—1 mention
None—10 mentions
Growth Strategies
None
20%
Diversification
12%
Budgeting for
Growth
2%
Networking
6%
Innovation
2%
Collaboration
2%
Marketing
21%
Quality/Identify
Consumer Demand
35%
5
Where is your primary customer located?
Location of Customers
Maine
Tourism/Global
U.S., Outside Maine & New England
New England, Outside Maine
Federal Government
Canada
# Responses
40
13
8
3
1
0
% of Total
62%
20%
12%
5%
1%
0
What challenges arise because of your location?
Location-Related Challenges
18
16
14
12
10
8
6
4
2
0
Unsatisfactory
Poor
Labor Pool
Transporation
Infrastructure
Weather and
Related Costs
6
Small Market
Size
Energy costs Less Developed
How do your suppliers deliver their goods?
Boat Air
3% 3%
Rail
1%
Mail
13%
Truck
80%
How do you transport your goods to market?
7
# Companies
Truck
57
Mail
9
Boat
2
Air
2
Rail
1
How do you transport your goods to market?
Rail
1%
Electronically
1%
Mail
1%
Air
3%
Boat
7%
Not Applicable
50%
Trucks
37%
IV.
Labor Market and Workforce
Where do you find your employees?
8
Where do you find your employees?
Career Centers and
Employment
Agencies
6%
Referrals
8%
Family
3%
Other Companies
2%
Internships
1%
Advertising
38%
Colleges/Job Fairs
14%
Word-of-Mouth
28%
What is the biggest challenge your firm faces related to workers?
9
Workforce-related Challenges
16
14
12
10
8
6
4
2
0
Where are your workers trained? What training, education, and employment requirements
exist for your workers?
On the Job—53 companies
We only hire experience workers—7 companies
Colleges/Universities—6 companies
None—4 companies
Vocational Schools—3 companies
Off-Site Programs—1 company
10
Where do your workers train?
Prior Job
Experience
10%
Off-Site Programs
1%
None
5%
College
8%
Vocational Schools
4%
On the Job
72%
Do you have partnerships with educational institutions or workforce development programs
that train your workers? If so, what organizations or institutions?
No—28 companies
Yes—22 Companies
Entities mentioned: ADT in New Hampshire, EMTC, Husson, UMaine, EMDC Career Center,
Skill Path with Fred Meyer, Coastal Counties Workforce, HCTC, Adult Ed, Job Corps, Beal
College, Pennsylvania Medical School, EMMC, UNE, UConn, University of Arizona, the Maine
Restaurant Association, Coca-Cola, IGA
11
Do you have partnerships with educational
institutions or workforce development
programs?
Yes
44%
V.
No
56%
Innovative Activities
How important is research and development to your firm’s success?
Very Important—27 companies
Important—19 companies
Somewhat Important—10 companies
Not Important—17 Companies
12
How important is research and
development to your firm’s success?
Not Important
23%
Somewhat
Important
14%
Very Important
37%
Important
26%
How important are connections and networks through industry groups (trade
associations), universities, or other organizations?
Although not displayed, the data indicate that the business owners and entrepreneurs
surveyed almost unanimously view these entities as vital partners in the continuation of their
businesses. Going forward, it would be wise to bring these players to the table and leverage
their support into action on both the R&D side of business and fostering collaborative among
firms.
13
What resources/assets do you feel would be potentially beneficial to your R&D activities,
whether located in the region or outside?
External Financial Support—12 mentions
Entrepreneurship Advisory Infrastructure—7 mentions
Colleges/Education—4 mentions
Networking Opportunities—4 mentions
Unified Marketing—2 mentions
Digital Infrastructure—2 mentions
A boat-building school—1 mention
Property Management Systems—1 mention
East/West Highway—1 mention
14
Job Banks—1 mention
Employee Care—1 mention
Shipping port in Bucksport—1 mention
New Technology—1 mention
Quality Truck Drivers—1 mention
What resources/assets would benefit your
R&D activities?
14
12
10
8
6
4
2
0
VI.
Networks and Linkages
What partners in your industry and supporting institutions (trade groups, etc.) have you
engaged or worked with in the past 12 months?
EMDC, Pine Tree Development Zone, State and Regional Chambers of Commerce, Regional
Tourism Offices, Maine Arts, Maine Association of Nonprofits, Downeast Nonprofits,
Downtown Ellsworth, the Maine Wine Guild, Maine Woods Consortium, Maine Woods
Discovery, Youth Outdoor Network, North Forest Canoe Trail, rafting association, local
snowmobile clubs, Maine state, Katahdin Woods and Water, Maine Winter Sports, MMTA,
MBTA, DNS, International Association of Venue Managers, Maine Market Association,
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Innkeepers Association of Maine, Husson College, Maine Visitors Bureau, the National
Business Aviation Association, Air Craft Owners and Pilots Association, MTI, Maine
Transportation Association, Northeast Logging Association, Banair, the University of Maine,
informal networking, Downtown Business Partnership, City of Bangor’s Arts and
Beautification Committee, Greater Bangor CVB, BRLI, the University of Maine Innovation
Center, the Climate Institute, St. Germain, Truck Loaders Association, ATA, Maine Built
Boats, National Fisheries Institute, EMCC, the National Conference for Caterers, WHCA,
Rotary Club, North Country Associates, Maine Wood Products Association, Maine Forest
Products Council, the University of Pennsylvania, the Maine Health Information Network,
NAWLA, NELMA, AALAS, Scientific Exchange, PCEDC, Foxcroft Academy, Maine State
Florist and Grower’s Association, American Institute for Floral Designers, ACO, PCHC, St.
Joseph’s Hospital, AmCor, MACSp
VII.
Post Interview Comments and/or Observations
Is there anything pertaining to this project that you would like to add that we did not
cover?
“Laws in the state such as with service animals. They have to let almost any animal stay in
the hotel if the person says they are a service animal. There should be a license for it. She has
talked to a lobbyist.”
“Business is not all about money for them. They try to do the right thing but find very
difficult and doesn't make sense amount of money they have to spend for compliance,
regulation, code enforcement, etc; This also slows the building process. Expected as a
business to provide a lot but not appreciated and the cost of doing business is so high. He is
still proud of what they have accomplished. His employees are like an extended family.”
16
“A lot of people in the region are afraid of their piece of the pie getting smaller. They don't
support other businesses and don't seem to realize that the better off each business is will
improve the entire area and all businesses. They don't see the big picture. She is constantly
trying to promote the state of Maine all over the country. She promotes other activities in Bar
Harbor and when she has gone to other businesses in Bar Harbor with her brochure or free
tickets she has been told by business owners that they will not promote her business. She
thinks they do not understand that the more friendly all of the businesses and people are that
are in tourism, the better off all businesses will be. She is all about upgrading the tourist
experience and giving them an excellent experience. She calls it the second happiest place on
earth as they can't compete with Disney.”
“Your letter seemed doom and gloom and had insular thinking. Maybe you could talk to
areas that have rebounded and rebranded themselves out of state. Travel to other parts of the
country (Rochester, NY) and see how those areas have dealt with these problems and how
they have reinvented themselves.”
“Connect business with similar interest and pooling resources.”
“Data is data so companies that can wade through would be helpful.”
“More woods related industry.”
“Got to find a balance between social programs and helping businesses. Where to get cheap
energy? Need larger customer base. Taxes and electricity are too high for businesses. Over
taxing of businesses. Stop putting it all on the shoulders of business. Welfare and Social
Security needs to be reduced. Tough working environment for businesses in the state of
Maine.”
“Need east west highway; need to help people who are laid off get back to work.”
“Coming from Bucksport, she feels that the mills won't reopen and that we need new industries.”
“Tourism season has shifted where June is not a good month but September and October are
much better months. However, this leads to challenges with hiring and schools go back in
August/September. There is a tremendous need to bring in foreign workers.”
“The logging industry needs help to stay viable. We need to attract young people to go into
logging.”
“This is an interesting business and it's challenging to be one of the first doing it. It's not going to
be widespread fast. Starting this business would be challenging anywhere but it would have been
easier to start in a less expensive area.”
17
“Broadband and Internet...can’t get it at home need to come to town to do business I live 4 miles
from my work.”
“Young people are leaving Maine. This makes it hard to hire and hard to innovate as older folks
are not as interested in innovation. We need more businesses and jobs in the region so young
people won't leave. The cost of living here is so high and the jobs and what people can make in
the area is much less than the cost of living.”
“Convince them to get along in Augusta and at Federal level. There are so many mandates that
businesses have to respond to. There is nothing positive coming out of Augusta. Legislature has
no idea how to run a business or what it is like to run a business.”
“Having run two businesses in Dover-Foxcroft, the town double taxes you and they over
estimate commercial property.”
“They are now trying to accommodate drivers now which is something they did not do before.
The East Coast is also expensive. There are a lot of tolls, the energy costs are high, diesel fuel is
more expensive, and there is a lot of plowing. Pottle's also lost a lot of money when Great
Northern Paper went bankrupt. Verso closed but they were still able to pay them unlike Great
Northern. Most of their drivers are older which can cause higher medical bills. Insurance
companies are now measuring the driver's necks and testing for sleep apnea.”
“Maine should find companies looking to start up in the U.S. Advertise what Maine has to offer
and approach companies that have light weight (logistics).”
Are there any other people, firms, or organizations that you can think of that would be
a good resource to speak with related to this project?
The Ellsworth American, Tom Sobell, David Vale, Daigle Oil, Pike, Dead River, RH
Foster, The Collins Center for the Arts, Waterfront Concerts, Treeline Truck Service,
Nautel, Puritan.
18