Business owners in South County are more optimistic

By Ashly McGlone, UNION-TRIBUNE

Wednesday, April 13, 2011 at 3:09 p.m.

SOUTH COUNTY — South County business owners are more optimistic in 2011 than they were last year,
according to a recent survey by the San Diego South Chamber of Commerce.

Of the 98 business owners or representatives surveyed from Dec. 3 through Feb. 3, 60.2 percent believed
they would see greater profit growth this year than last.

Nearly half, or 48.17 percent, saw at least a 5 percent increase in profits in 2010, and almost the same
percent felt the trend would continue.

More than 74 percent of those surveyed spent money on advertising in 2010, while 72 percent said they
planned on investing more in their marketing and promotional budgets.

More than one-third said they were planning on bringing back at least one employee in 2011.

Some 86 percent indicated they planned on becoming more involved in business courses, seminars and
apprenticeship programs.

However, about 91 percent of those surveyed indicate they have no business or strategic plan in place,
while more than 96 percent said they had no exit strategy.

Those plans “could have assisted those businesses in avoiding many pitfalls,” said Ed Herrera, chief
executive officer of the San Diego South Chamber of Commerce.

More than one-third of those surveyed work in the retail industry, another third work in the professional,
finance or other services field, 19 percent work in educational and health services and 2 percent work in
hospitality and leisure.

Nearly 20,000 businesses are based in South County, according to a 2008 U.S. Census Bureau report.
Chula Vista is home to nearly 13,000 businesses, or 65 percent, followed by National City with about 3,000
business.

Other regions, like San Ysidro and South Otay Mesa within the City of San Diego, as well as Imperial
Beach, Coronado, and unincorporated communities such as Bonita and Spring Valley, are home to less than
1,500 businesses.

Herrera says the results overall are encouraging.

“Whether the economy is ready or not, business owners are fatigued from cost cutting and are prepared to
increase expenses,” Herrera said. “These trying times, as difficult for many as they have been, has also
been a huge entrepreneurial motivator, which has ignited more people to start their own business.”

“Although, South County struggles to fend off the ‘bedroom community’ title, there is much potential in
having a large workforce for future industry development and a more balanced retail per capita ratio for the
South County market,” he added.

ashly.mcglone@uniontrib.com • (619) 293-1725 • Twitter @newswriter_gal