Page 52 - FDI Alliance International Magazine, July 2019 Interactive Issue_Neat

ECONOMIC
DIVERSIFICATION
HOW COMMUNITY COLLEGES SUPPORT COMMUNITY INITIATIVES
BY THE INTERNATIONAL ECONOMIC DEVELOPMENT COUNCIL
& THE AMERICAN ASSOCIATION OF COMMUNITY COLLEGES

brick-and-mortar business incubator or a virtual
incubator. Rural communities face challenges in
this, as the funding for SBDCs is often limited
outside of metropolitan centers.
The opportunity to collaborate, and potentially
explore multiple funding opportunities can put
all partners in a better position to aggregate
limited resources.

SUPPORTING THE GROWTH OF NEW
INDUSTRIES
Asheville, North Carolina, has in recent years
found itself repeatedly at or near the top of various
national rankings related to beer brewing, beer
quality, and beer “friendliness.” The city plays
host to several beer festivals, and the Asheville
Brewers Alliance boasts a membership of 57
breweries. The North Carolina Craft Brewers
November 2017
ECONOMIC DIVERSIFICATION STRATEGIES Guild reports that the number of craft breweries
has tripled in the state since 2010 and that the
industry provides an annual economic impact
of $1.2 billion. Asheville Buncombe Technical
In communities where single industries have hobbyists through the transition to business Community College recognized this as an
dominated the economic wellbeing (coal in owneroperators can be productive (albeit opportunity for the college and for the region
Appalachia, timber in the northwest and not at the scale of recruiting established retail and put in place a set of workforce initiatives that
northeast, large manufacturers in the midwest), businesses). Despite the inherent risk of starting would respond to the opportunity. In June 2013,
there is a growing recognition of the value of up a small business, the owners tend to have local the Craft Beverage Institute of the Southeast
economic diversification. In communities where a ties and roots that support business retention, at Asheville Buncombe Technical Community
single industry or employer has been responsible and patience in development. This does require College began accepting registrations for a
for much of the employment and tax base, that EDOs, community colleges, and CDFIs two-year degree in brewing. Today, the institute
the consequences of an industry downturn or work with local banks and other funders to provides academic and noncredit coursework in
employer departure have been damaging, if ensure that “patient capital” is available. These brewing, distilling, fermentation and the business
not catastrophic. small business owners typically do not follow the skills necessary to work in the industry, including
model of business development that includes an an Associate in Applied Science in Brewing,
As communities rebuild, many are eschewing immediate exit strategy in order to move on to Distillation and Fermentation. The program
the strategy of seeking a single large employer the next opportunity. is limited in admissions due to classroom and
and looking instead at diversifying the laboratory space, and students must meet a
employment and tax base. In economies that There are many other ways that community number of criteria in order to be considered for
are natural resourcebased, diversification of colleges support small business development. admission. In addition to the degree, the college
the resource usage by developing value-added With the support of the Charles Stewart Mott offers a Brewing Methods and Operations
manufacturing is a common approach. Foundation, AACC worked with colleges in 11 Diploma, a Distillation Methods and Operations
states, the National Association for Community Diploma, and a Craft Beverage Lab Certificate,
Community colleges alone cannot implement College Entrepreneurship (NACCE), and the in addition to assorted workforce development
economic diversification strategies; however, they U.S. Small Business Administration to create and and continuing education programs within the
can act as effective partners with other entities convene a Virtual Incubation Network (VIN) of discipline (e.g., toward brewery and distillery
to ensure a coordinated effort, particularly in colleges offering business incubation outside of operations and management, distribution,
the preparation of the workforce and in the a traditional incubator. The VIN offers a flexible sales and marketing, customer service, and self-
development of business skills among the delivery system of in-person and technology- employment. As with the culinary program at the
population. While EDOs typically are responsible based support to existing small businesses and college, the Institute has a national reputation for
for the identification and recruitment of new aspiring business owners. excellence and is the envy of many colleges. One
employers, community colleges can and further example of how economic diversification
should be effective partners in these efforts. At One of the key deliverables of this work was can be supported by community colleges comes
a minimum, they can address questions of talent a toolkit that was nationally disseminated and from White Mountains Community College. It
availability and workforce development capacity is available for use by anyone. EDOs and is based on a model created in West Virginia
for needed skills, and at a more robust level, be community colleges may also wish to look at by New River Community and Technical
active participants in the efforts. existing brick and mortar or virtual efforts already College, which provided initial support to its
in place. In Appalachia, the work of Eastern West New Hampshire counterparts. The college
ENTREPRENEURSHIP AND SMALL BUSINESS Virginia Community and Technical College is recognized early on that the development of
DEVELOPMENT notable for significant success in a small, rural a federal prison in New Hampshire provided
The significance of the role community colleges community, and NACCE is actively working in not only significant employment opportunities,
play in small business development cannot be Appalachia with community colleges seeking to but also provided significant opportunities for
emphasized enough. Colleges offer business deliver entrepreneurship education. local small businesses to become vendors to
incubation (including specialty incubation, e.g., the prison.
kitchen incubators), business support services, As well, community colleges are more frequently
market development and marketing, rapid developing formal relationships with Small The approach was to develop the Northern
prototyping, and a host of activities intended to Business Development Centers (SBDCs) that New Hampshire Talent Team. The Talent Team
grow the business landscape. in some cases include co-location. These began by bringing all of the potential service
Particularly in rural communities, support for relationships may include the establishment of a providers, political representatives, state and

52 FDI ALLIANCE | JULY ISSUE 2019