THE EPICMRA
REPORT
SPECIAL ECONOMIC STUDY IN GREATER LANSING SURVEY OF
BUSINESS PLANS
APRIL 2003
Prepared
by Ed Sarpolus This
study is based on a telephone survey of
300 businesses in the Greater Lansing area.
The
survey was conducted April 21 – 28, 2003,
and has a margin of error of ±5.7 percent.
OVERVIEW
Majority
Satisfied with Local Economy Overall,
how satisfied are you with the condition of the
economy as it affects your business?
19% very satisfied
37% somewhat satisfied 56%
Total SATISFIED
33% somewhat dissatisfied
8% very dissatisfied 41%
Total DISSATISFIED
3% Undecided/don’t know
Six-month
business outlook looks good Over
the next six months, would you say that your business
outlook is good or bad?
23%
very good
50% somewhat good 73% Total GOOD
10% Some ways good/some ways bad (volunteered)
11% somewhat bad 1% very bad
12% Total BAD 5% Undecided/don’t know
Improvement
seen in six-month bottom line Over
the next six months, do you expect your bottom
line to improve with profits growing over expenses,
will your bottom line worsen with costs taking
a larger share of profits, or do you think your
bottom line will pretty much remain the same?
22%
improve a lot
31% improve somewhat 53% Total IMPROVE
2% Costs will exceed profits
(volunteered) 27% Costs will remain the same
(volunteered)
5% worsen somewhat 5% Total WORSEN
13% Undecided/don’t know
Most
will maintain current number of employees
Over
the next six months, do you plan to hire more
employees, maintain the number of employees you
have, or do you expect that you might have to
lay off some of your employees?
23%
Plans to hire more employees
60% Will maintain number of employees
3% May have to lay off employees
1% Will lay off employees (volunteered)
13% Undecided/don’t know
Just
more than one-third plan pay increases for employees
This
year, do you plan to increase wages for your employees?
36%
Yes
44% No
3% Will seek a decrease/wage concessions
(volunteered)
17% Undecided/don’t know
Most
see no change in employees’ benefits
In the
next six months, do you anticipate that the benefit
package for your employees will stay the same
or change?
70%
Benefits will stay the same
9% Benefits will change
21% Undecided/don’t know
More
will absorb higher health care costs; plurality
undecided
Specifically,
based on any expected increased cost for health
care for your business, do you expect to absorb
those costs, increase employee premiums or decrease
healthcare benefits?
27%
Absorb the costs
10% Increase employee premiums
2% Decrease healthcare benefits
1% Combination of increased premiums and decreased
benefits (volunteered)
2% Combination of all options (volunteered)
18% No increase in costs (volunteered)
40% Undecided/don’t know
Few
plan new office equipment expenditures
Do you
plan to spend money in the next six months by
either purchasing or leasing any office equipment?
12%
Yes
85% No
3% Undecided/don’t know
More
than half plan no new advertising expenditures
Do you
plan to purchase advertising in the next six months?
38%
Yes
56% No
6% Undecided/don’t know
Most
will maintain current number of locations
Do you plan to expand your business by adding
one or more new locations in the next six months,
do you expect to consolidate your business by
closing one or more locations, or will you be
keeping the same number of locations?
14%
Will add location
2% Will consolidate
67% Will keep the same number of locations
17% Undecided/don’t know
Most
have no plans for product/service expansion
Do you plan to expand your business with a new
product line or a new service in the next six
months?
21%
Yes, a new product line
11% Yes, a new service
60% No, will not expand either
8% Undecided/don’t know
Just
under one-quarter plan education/training expenditures
Do you plan to spend any funds on employee education
and training over the next six months? [IF “YES”] How much do you
expect to spend?
23%
Yes, will spend $________
Mean: $5,704.17 Median: $2,000.00
60% No, will not spend anything
17% Undecided/don’t know
Most
have no business travel plans
Do you plan to travel or have any of your employees
travel for business purposes in the next six months?
20%
Yes, respondent
9% Yes, employees
65% No, don’t plan to travel
6% Undecided/don’t know
MRA
REPORT
