2010 Business Confidence Index Report
The Anchorage Economic Development Corporation (AEDC) contracted with McDowell Group, an Alaska research and consulting firm, to conduct the second annual AEDC Business Confidence Index Survey. This year, 213 Anchorage businesses and organizations participated in the on-line survey. The purpose of the survey is to assess factors that affect Municipality of Anchorage businesses and the overall economy, and derive a statistical measure of business confidence. The survey was conducted from December 8, 2009 to January 8, 2010.
The AEDC Business Confidence Index for 2010 is 53.6, indicating that the business community has a slightly positive outlook for 2010. (An index between 51 and 100 indicates a positive outlook, while an index below 50 shows a negative outlook.) Businesses expressed somewhat more confidence in the upcoming year than they did at this time last year. In 2009, the AEDC Business Confidence Index was 51.8.
Respondents forecast small increases in several aspects of their own business or organizational activity. Expectations of gross sales in 2010 produce a confidence index of 58.5. The confidence indices for net profits, employment and capital expenditures are 58.0, 53.0 and 51.9 respectively. In contrast, survey participants expect the Anchorage economy will fare slightly worse in 2010 (confidence index is 46.7).
When compared with 2009 results, businesses are generally more optimistic about the year ahead. In 2009, Anchorage businesses had a confidence index of 56.4 for gross sales and 54.6 for net profits. Employment was viewed slightly more positively last year with a 53.8 index. The outlook for capital expenditures was more negative last year with a measure of 49.3. Businesses also were more pessimistic about the Anchorage economy (confidence index is 44.9).
Download the full report (PDF file) sponsored by Premera Blue Cross Blue Shield of Alaska here: 2010 AEDC Business Confidence Index Report