2011 Business Confidence Index Report
The Anchorage Economic Development Corporation (AEDC) contracted with McDowell Group, an Alaska research and consulting firm, to conduct the third annual AEDC Business Confidence Index Survey. This year, 198 Anchorage, Eagle River and Chugiak businesses and organizations participated in the on-line survey. The purpose of the survey was 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 1, 2010 to January 5, 2011.
The AEDC Business Confidence Index for 2011 is 56.5, indicating that the business community overall has a moderately positive outlook for 2011. (An index between 51 and 100 indicates an optimistic outlook; below 50 indicates a pessimistic outlook.) Businesses expressed slightly more confidence in the upcoming year than they did at this time last year. The 2010 AEDC Business Confidence Index was 53.6, up from the 2009 index of 51.8. Respondents forecast small increases in several aspects of their own business or organizational activity. Expectations of gross sales in 2011 produce a confidence index of 60.2. The confidence indices for net profits, employment and capital expenditures are 58.9, 53.5, and 55.3 respectively. Survey participants expect the Anchorage economy will fare slightly better in 2011 (confidence index is 54.7).
When compared with 2010 and 2009 results, businesses are overall more optimistic about the year ahead. In 2010, Anchorage businesses had a confidence index of 58.5 for gross sales and 58.0 for net profits; indices for gross sales and net profits were 56.4 and 54.6 respectively in 2009. In 2010, the confidence index for employment was 53.0, similar to an index of 53.8 in 2009. The outlook for capital expenditures had a measure of 51.9 in 2010 and 49.3 in 2009. Businesses were more pessimistic about the Anchorage economy in 2010 and 2009 (confidence indices of 46.7 and 44.9 respectively).
Download the full report (PDF file) sponsored by Premera Blue Cross Blue Shield of Alaska here: 2011 AEDC Business Confidence Index Report