August 30, 2016
How Exporting Goods And Services Benefits The Local Economy
The Amarillo area is quickly becoming a "go-to" marketplace for businesses around the country. The goods produced here and the services provided by a skilled workforce are benefiting companies and communities from coast to coast. In turn, the revenues generated by sales and services significantly strengthen Amarillo's economy.
Food For Thought
Some of Amarillo's largest employers are Tyson Foods, Affiliated Foods, Hilmar Cheese and Pacific Cheese. These companies process, manufacture and ship everything from beef to ice cream and cheese throughout the country. Their operations in Amarillo sell to grocery stores, warehouse clubs and distributors who sell these products. Each product they sell generates revenue for the company.
This revenue is used by the company to pay salaries, and provide benefits such as healthcare, retirement packages, etc. Thus, the money companies make by selling to businesses across the country ends up in the pockets of the company's Amarillo employees. Of course, most of it doesn't stay there. It's spent on mortgage payments, music lessons, and purchases at local stores.
Companies And Economies Grow By Expanding Markets
Economies are fluid, and the marketplace is constantly changing. Companies that don't expand their operations into new markets are vulnerable to economic conditions that can sink their ships when the economy changes direction. Thus, they use revenues to seek out new markets. In doing so, they create a stable foundation that protects the company and its employees from changes in the marketplace.
This provides a buffer that helps protect the employees in Amarillo from job losses and salary cuts. In turn, this insulates the local economy and creates stability for the area businesses that are dependent on the income and expenditures of area residents.
It Works... And It Keeps People Working
Amarillo's unemployment rate is the lowest rate in the State of Texas. Moreover, the city is seeing growth in a wide variety of industries that rely on outside economies for their operations. These sectors include information, professional services, transportation, and trade. The growth in these sectors is facilitating growth in areas dependent on the strength of the area economy, including leisure and hospitality, agriculture, education, health services, and government.
Indeed, Amarillo is a shining example that highlights the ways large anchor businesses such as Bell Helicopter, Western National Life Insurance Company, and Ben E. Keith strengthen the local economy. The size and growth of these companies along with many others has strengthened the area economy significantly. Their success and growth creates employment for teachers, gas station attendants, cashiers, building contractors, doctors, nurses, and so many others.
Business growth in the area has also helped the City of Amarillo increase the local tax collections and city budget from $295 million in 2015, to $328 million in 2016. This money provides more services, better public facilities, and a better quality of life for area residents.
Want to learn more about what the Amarillo EDC does for our community? Contact us today.
See who Amarillo's top employers are by downloading our free infographic!
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