Why Buy Local?

By Noa Kornbluh, Fall Fellow

One often hears the slogan “buy local,” but I was never really convinced that buying local made a significant impact.   Why buy local when local goods are often more expensive and less convenient than products from national chains?   Not too long ago I came across a powerful economic argument for buying local.  I was told that for every dollar spent at a national store 13% goes back into the local economy and if that same dollar was spent at a locally-owned business 43% returns to the community.  That is a 30% difference made with each dollar I spend, and that is a significant impact. 

This statistic comes from a study done by Civic Economics in Austin, Texas comparing the economic impact of local versus national book stores.  Civic Economics repeated a similar study in the San Francisco area.  The San Francisco study produced the same striking results, indicating that local businesses contribute much more to the local economy than national chains.  Economists found three aspects of local versus national businesses that create a profound difference in the impact on the local economy.  First, due to scale, local businesses have a higher ratio of jobs per market share.  National chains have corporate offices where they employ accountants and other administrators who work for the whole company.  Local businesses staff these jobs locally.  Second, local enterprises source more of their goods locally than national chains.  Due to convenience and scale, local business owners are more likely to buy from other local businesses instead of global suppliers.  Lastly, in local businesses a larger percentage of profits stay in the community.  Profits from small local businesses are spent by business owners in their neighborhoods on goods and services such as rent or going out to eat.  National and international businesses have stock holders located all over the world who share in profits.  Buying local may at times be more expensive or less convenient but it is an investment in the neighborhood we live in.  In the long run, the choices we make on a daily basis will shape the economic future of our community.

Women’s Initiative graduates work towards starting locally-owned businesses and in doing so they strengthen local economies.  Graduates open store fronts, provide jobs and invest in their communities.  When you purchase goods or services from a Women’s Initiative graduate you are not just supporting an incredible woman and entrepreneur, you are also investing in the local economy. 

To support both local businesses and Women’s Initiative graduates purchase tickets to the Love Local event happening at the Caine Shulte Contemporary Art Gallery in San Francisco on Friday November 16th.

First Open Air Marketplace Attracts Visitors from All Over Concord

Author: Guest blogger, Mechthild von Knobelsdorff, SuccessLink Fellow

Sharon Plousha selling her delicious cookie

Sharon Plousha could not even take a small break – she had just celebrated her graduation from Women's Initiative's Simple Steps program the evening before when she sold her own cookies at the Open Air Market Place in Concord. She was one of 22 local women to exhibit the products of her local business. The range of products was accordingly broad. Visitors could buy products as diverse as sweets, wine, jewelry, special barbecue sauce or a photographer's service. Entering one of the rows of nicely decorated stands, they could already smell the beautiful bees wax candles Jan Schubert crafted. On the other side, Perry's Catering helped to keep bellies full and minds happy as the time passed by. Visitors lined up to taste some of the barbecue and potato salad prepared by the graduate. The next stand invited visitors to enjoy delicious desert of fruit salad and Mexican ice creams.

Barbeque from Perry's Catering

People from all over Concord came to attend this special event, and business people around Water World California used their lunch break to buy a nice gift for Mother's Day, wander around, and eat something. They enjoyed the experience of the market as all vendors were extremely friendly and they had the special feeling that their money would stay in their community. Moreover, the sun broke its way through the morning clouds and warmed people's souls. For Jan's bees wax candles, it almost got too hot, causing them to sweat slightly. “This will give them a nice polish tomorrow,” Jan said.

Jan Schubert's beeswax candles

Surprisingly for many visitors, the open air marketplace was the first of its kind. Very well organized and well attended, the event was a huge success. Sharon sold almost all of her cookies. Her new clients are surely waiting for the next market place already.