Salisbury University study indicates local businesses are gaining confidence
SALISBURY, Md – A new study released Friday found that businesses on the Eastern Shore are significantly more optimistic right now than they were 6 months ago.
For 35 years, Salisbury University’s BEACON–Business, Economy, and Community Outreach Network–has provided students, businesses, and local government with economic research opportunities. “We try to serve as both a learning lab for students and faculty here at Salisbury University, and a resource for business and governmental entities,” said BEACON Director John Hickman.
According to Hickman, their work is valuable because it can be hard to find research that’s dedicated to the Eastern Shore: “A lot of [research] is done at–the most granular is state level, and oftentimes just on a national level. And that doesn’t give a feeling like ‘is there something different that’s happening here on the Eastern Shore? Are there issues of interest to our businesses, you know, and how do they feel?'”
BEACON’s biannual Business Sentiment Survey found that, compared to June of last year, there was a 31% increase in businesses who believed their economic conditions would improve in the next 12 months, 66% of respondents total.
Bill Christophe, Dorchester County Chamber of Commerce President, said that slowing inflation has a lot to do with it: “To the extent that inflation starts to level off, which is what we’re seeing, then these businesses will be in a much better position to predict what 12 and 18 months out will look like. It was really hard to do that in the last three or four years, basically.”
The survey also indicated that more businesses are optimistic about the eastern shore’s standard of living, something that Christopher attributes to overall improvement and growth in the workforce: “We’re starting to see, you know, local workforce improvements slowly. Obviously, it doesn’t break it overnight–like we fixed it overnight. But I think they’re starting to witness some of the efforts that are being put in by those organizations.”
“Workforce gets better, inflation goes down, businesses are happy,” said Christopher.
The survey also found that the increasing cost of insurance had the largest impact on on businesses over the past 6 months.
Both Hickman and Christopher attributed this to national trends, with insurance companies seeing big payouts in the wake of more frequent natural disasters and weather events.
