INDUSTRY CLUSTER ANALYSIS FOR THE COASTAL BEND WORKFORCE DEVELOPMENT AREA Final Report Prepared for Prepared by Jim Lee Professor of Economics Texas A&M University-Corpus Christi Corpus Christi, Texas 78412 361.825.5831
[email protected] February 2010 TABLE OF CONTENTS Page EXECUTIVE SUMMARY iv I. INTRODUCTION 1 Objective 1 Data Sources 1 Area Profile 2 II. INDUSTRY CLUSTER ANALYSIS 11 Methodology 11 Results of Economic Base Analysis 15 SOCRATES Analysis 20 Identifying Industry Clusters 23 III. DETAILS OF INDUSTRY CLUSTERS 27 Major Employers 27 Occupations and Wage Earnings 27 Potential of Clusters as Industry Targets 31 Existing Target Industries 34 IV. FINAL OBSERVATIONS 36 REFERENCES 37 APPENDICES Appendix A: Coastal Bend Employer List and Details A.1 Appendix B: Coastal Bend Industry Staffing Patterns B.1 ii LIST OF EXHIBITS Page Exhibit 1: Counties of the Coastal Bend WDA. 3 Exhibit 2: Coastal Bend WDA Economic Profile. 5 Exhibit 3: Employment Composition by Sector. 7 Exhibit 4: Sector Composition by Output, 2008. 9 Exhibit 5: Average Hourly Wages, 2008. 10 Exhibit 6: Hypothetical Industry Clusters. 12 Exhibit 7: Location Quotients and Shift-Share Ratios. 16 Exhibit 8: Performance of Sectors. 17 Exhibit 9: Comparison of Employment and Wages. 19 Exhibit 10: SOCRATES Shift-Share Analysis, 2003-08. 22 Exhibit 11: Employment of Coastal Bend Industry Clusters. 24 Exhibit 12: Firms and Wages in Coastal Bend Industry Clusters, 2008. 28 Exhibit 13: Largest Employers in Coastal Bend Industry Clusters. 30 Exhibit 14: Strengths and Weakness of Industry Clusters. 32 Exhibit 15: Existing Target Industries. 35 iii EXECUTIVE SUMMARY The objective of this study is to describe the economic base of the Coastal Bend Workforce Development Area and to identify the leading industry clusters that will help drive future employment growth in the region.