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Economic Gardening: 
Using Information to Help Your Entrepreneurs Grow 
Entrepreneurs create jobs and wealth, not economic 
developers. From this realization, an entrepreneurial 
approach to economic development called “economic 
S P R I N G 2 0 0 7 Economic Development America 11 ★★★ 
By Christian Gibbons 
Director of Business/Industry Affairs 
City of Littleton, Colorado 
How did we do it? A look at the context in which the pro-gram 
originated would be a good place to start. 
Born in a crisis 
In 1987, Littleton was in a recession due to the oil bust. 
Martin Marietta Aerospace, the community’s major employ-er, 
also laid off several thousand employees that year. Nearly 
a million square feet of commercial space was vacant, and 
the downtown vacancy rate was approaching 30 percent. 
The Littleton city council, concerned about the lack of 
local power over the community’s future, directed city staff 
“to work with local businesses to develop good jobs.” From 
that simple charge, we set out on a journey to discover how 
to build an entrepreneurial economy, thereon focusing all 
our efforts on helping local companies grow. 
Early on, the city made several significant policy changes: 
1. We quit recruiting, cold turkey. In retrospect, it was the 
most productive change we made. During the 1970s and 
early to mid-1980s, we focused on recruitment and 4,000 
jobs were created. In the following 18 years, 15,000 jobs 
were created – nearly four times the previous rate, and 
during a time period that included two recessions. 
2. We were no longer concerned about being a low-cost 
place to do business.We were not interested in businesses 
that would move out as soon as the standard of living 
started to rise or the incentives ran out.We were a 
community with a highly paid workforce, scarce and 
valuable land and a moderate (but not low) tax rate. Our 
focus shifted to innovative knowledge companies that 
would create new wealth. 
3. After much discussion, we concluded that the only 
real choice a community had was to grow its own 
entrepreneurs, or try to get other communities’ 
entrepreneurs to come in and save them.We chose 
the former as a smarter, more sustainable approach. 
4. We then set out to identify the role of the public sector. 
Over the years, we have identified at least three legitimate 
roles: information, infrastructure and connections. From 
these roles, the economic gardening program was born, 
which is run by the city of Littleton’s Business/Industry 
Affairs Department. 
Providing competitive information to 
high-growth companies 
This article focuses primarily on the information component 
of economic gardening – which also constitutes the majority 
of the program – but the infrastructure and connections 
pieces deserve brief mention. Building infrastructure is a 
typical part of the public sector’s responsibility, and as a city, 
we construct streets, water lines and sewer lines. However, we 
also provide quality-of-life infrastructure (including parks, 
trails in every major drainage channel, downtown beautifica-tion, 
river preservation) and intellectual infrastructure 
gardening” was created in Littleton, 
Colorado, over 20 years ago. Since 
that time, the city of Littleton has 
not spent a penny on incentives, 
while the number of jobs has dou-bled 
(from 15,000 to 30,000); sales 
tax revenues have tripled (from $6 
million to $20 million); and the 
city’s population grew 23 percent. 
In addition to its economic gardening program, the city of Littleton, 
Colorado, considers quality-of-life infrastructure — such as parks, 
trails, and festivals like that shown above — to be integral to the 
city’s economic development strategy.
CITY OF LITTLETON 
Business/Industry Affairs 
Geographic Information Systems 
LEGEND 
In addition to database capabilities, the city of Littleton has GIS expertise that enables it to plot 
the locations of a business’s existing customers and map a color-shaded density pattern. 
(working with colleges and universities to create courses and 
training programs), which we consider to be key to economic 
development as well. 
Connections are not simply after-hours networking meet-ings. 
For us, it is more structured activities such as 
“Peerspectives,” a CEO-to-CEO roundtable for growth com-panies. 
Research has shown that CEOs of high-growth com-panies 
prefer to learn from other CEOs who are experiencing 
growth issues.We also connect industry with academia in 
organizations like the Colorado Center for Information 
Technologies. 
But it is the information component of the program 
where we have developed high levels of competence that have 
intrigued much of the country. In the late 1980s, we discov-ered 
database services and the powerful world they unlocked. 
Long before the arrival of the Internet, we were developing 
database-searching skills to find new markets for high-growth 
Littleton companies, to conduct competitor intelli-gence 
on their behalf and to produce insightful industry 
trend reports. 
While the Internet continues to explode in its uses, it is 
still inferior to database searching when looking for business 
information.Whereas a typical search term on the Internet 
might produce millions of hits, that flood of undifferentiated 
information is of little use to someone looking for a specific 
answer to a specific question. Database searching, while 
expensive, drills deep in a specific area and provides a high 
level of actionable information. 
★★★ 12 Economic Development America S P R I N G 2 0 0 7 
We subscribe to a number of servic-es 
that provide wide ranges of business 
information, including general business 
portals such as Lexis-Nexis, Dialog and 
Dun & Bradstreet, as well as lesser 
known companies such as Plunkett (for 
industry stats), SkyMinder (for infor-mation 
on companies in nearly every 
country in the world) and SRDS Direct 
Marketing (which provides direct mar-keting 
lists for everything from people 
with psoriasis to people who shop at 
Neiman Marcus). Each service has a 
number of databases and each database 
has a number of publications and even 
more articles.We are able to sort 
through literally hundreds of thousands 
of highly related articles to find well-documented 
answers for our customers. 
Most businesses want targeted mail-ing 
lists, which we are able to provide 
quickly. Need a B-to-B (business-to-business) 
list of all medical instrument 
companies west of the Mississippi with 
20 or more employees, sales of at least 
$20 million and a growth rate exceed-ing 
10 percent? We can provide that 
within the hour, often with the CEO 
name, address and phone number.Want 
a B-to-C (business-to-consumer) list of 
everyone who makes over $100,000, belongs to a PTA, drives 
an SUV and reads Martha Stewart Living? You’d be talking 
about the lifestyle known as “Turbo Boomers,” and we know 
they are found only in select neighborhoods in nine major 
American cities. 
For a company that sells church furniture and supplies 
nationwide, we developed a competitor intelligence report 
that identified 15 major competitors, noted their sales levels, 
number of employees, business strategy, financial stress rat-ing 
and their D&B Paydex rating (how late they paid bills). 
We analyzed competitor Web presence, their page rank on 
Google and how long they had been in business.We identi-fied 
key opportunities and threats for each competitor, such 
as companies that were struggling due to big box competi-tion, 
mission statements that focus on social values, slow-loading 
Web sites and whether they were associated with a 
major church denomination. 
Another example of information assistance is the industry 
trend report we prepared for a biometrics company. (The 
biometrics industry identifies fingerprints, iris scans, walking 
gaits, facial features and other biological markers that make 
positive identification for security purposes.) Since the ter-rorist 
attacks of September 11, 2001, this industry has 
exploded – but as we found out, it was also fairly disorgan-ized. 
Common standards don’t exist, and office buildings 
were having so much trouble with fingerprint readers they 
had to abandon the system. Still, the U.S. government 
intends to collect biometric data for every visitor who enters 
the country, and this alone will create a huge industry.
S P R I N G 2 0 0 7 Economic Development America 13 ★★★ 
In addition to database searching, we have GIS expertise 
that enables us to plot the locations of existing customers and 
turn that map into a color-shaded density pattern. At the 
retail level, we can plot competitor locations and draw trade 
area circles to see where overlaps and gaps exist. For many 
local businesses, we can create expenditure patterns for sever-al 
hundred consumer products, ranging from computers to 
clothes to cars.We can tell you how much ketchup is bought 
in the neighborhood next to you, should you want to know. 
More recently, we have developed expertise in search 
engine marketing, which increases the visibility of a Web site 
in the results pages of search engines such as Google and 
Yahoo.We have tools to determine the number of people 
using a specific search term and the number of sites that 
have that term.We can analyze Web sites to determine if they 
are optimized for search engines. If you have “frames” or 
“flash” on your home page, for example, you are invisible to 
the search engines – no matter how much you paid for the 
site’s development. 
Not just another name for business retention 
There are numerous business assistance programs, run by 
organizations from the SBA’s Small Business Development 
Centers to local chambers to city economic development 
offices. But we believe that several characteristics distinguish 
economic gardening from traditional business assistance 
programs: 
• Growth, not movement: Both recruiting and business 
retention programs focus on movement – moving a busi-ness 
in or keeping a business from moving out. Economic 
gardening, on the other hand, is about tools and concepts 
that support entrepreneurial growth, not movement. 
• Cutting-edge tools: Economic gardening uses high-level 
corporate tools that small businesses don’t typically use, 
or may not even know exist. It should be noted, however, 
that economic gardening is not the tools themselves; it is 
an approach to economic development through the sup-port 
of entrepreneurial activity. The tools we use in our 
program today are not those that we started with 20 years 
ago and they will probably be different still in another 20 
years. 
• Cutting-edge theories: The business world is flooded 
with “flavor of the month” business concepts and new 
books with the latest examples of winning business strate-gies. 
Our focus, however, is fundamental theories that 
affect businesses, people and economies in all times and 
situations, not just this month. Visit our Web site, men-tioned 
at the end of this article, for more information on 
how we incorporate leading thinking in areas such as 
complexity science, network theory, technology adoption 
curves and more into our work. 
• Open source: Many people contribute to the conversation 
about an entrepreneurial economy. “Econ-dev” is an 
Internet mail list run by the City of Littleton for discus-sion 
about economic gardening. Over 600 participants 
use the list to debate ideas and theories, to uncover new 
research and to post requests for help from other profes-sionals. 
Like the computer operating system Linux, the 
value of an “open source” idea is distributed intelligence. 
Many people are working on the problems and issues of 
an entrepreneurial economy and are constantly contribut-ing 
better tools and theories. 
• Best practices: How do we make sure we are using the 
best cutting-edge tools without opening up the entire 
program for every ephemeral idea that comes along? 
Under the best practices concept, there is a certain 
amount of seasoning that must occur before newer ideas 
enter the arena. At the same time, best practices allow 
necessary adaptation to changing markets, ideas and 
tools, and keeps economic gardening from ossifying. 
• Entrepreneurial organization: In economic gardening, 
the support organization must reflect the entrepreneurial 
companies with which they work. Both are fast and inno-vative, 
quality conscious and customer-service driven. In 
picking staff for an economic gardening operation, pas-sion 
for entrepreneurship is the overriding factor. 
When it comes to growing jobs, economic gardening may 
not be the right approach for every community. But in 20 
years of developing the concept and putting it into practice, 
economic gardening has grown an impressive track record of 
success in Littleton, and we see more and more communities 
using the approach to foster the development of high-growth 
companies. By no means have we solved the economic devel-opment 
riddle, but we are confident that two things – 
increasing connections and the flow of information to grow-ing 
entrepreneurial companies – are key. ★ ★ ★ 
More information about economic gardening is available on the 
City of Littleton Web site at 
http://www.littletongov.org/bia/economicgardening/default.asp. 
Note the list of databases and GIS datasets, and the “Free and 
Low-Cost Resources” PDF document. Questions can be directed 
to Chris Gibbons at cgibbons@littletongov.org. 
In economic gardening, 
the support organization must 
reflect the entrepreneurial 
companies with which they work. 
Both are fast and innovative, 
quality conscious and 
customer-service driven.

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Economic Gardening Using Information

  • 1. Economic Gardening: Using Information to Help Your Entrepreneurs Grow Entrepreneurs create jobs and wealth, not economic developers. From this realization, an entrepreneurial approach to economic development called “economic S P R I N G 2 0 0 7 Economic Development America 11 ★★★ By Christian Gibbons Director of Business/Industry Affairs City of Littleton, Colorado How did we do it? A look at the context in which the pro-gram originated would be a good place to start. Born in a crisis In 1987, Littleton was in a recession due to the oil bust. Martin Marietta Aerospace, the community’s major employ-er, also laid off several thousand employees that year. Nearly a million square feet of commercial space was vacant, and the downtown vacancy rate was approaching 30 percent. The Littleton city council, concerned about the lack of local power over the community’s future, directed city staff “to work with local businesses to develop good jobs.” From that simple charge, we set out on a journey to discover how to build an entrepreneurial economy, thereon focusing all our efforts on helping local companies grow. Early on, the city made several significant policy changes: 1. We quit recruiting, cold turkey. In retrospect, it was the most productive change we made. During the 1970s and early to mid-1980s, we focused on recruitment and 4,000 jobs were created. In the following 18 years, 15,000 jobs were created – nearly four times the previous rate, and during a time period that included two recessions. 2. We were no longer concerned about being a low-cost place to do business.We were not interested in businesses that would move out as soon as the standard of living started to rise or the incentives ran out.We were a community with a highly paid workforce, scarce and valuable land and a moderate (but not low) tax rate. Our focus shifted to innovative knowledge companies that would create new wealth. 3. After much discussion, we concluded that the only real choice a community had was to grow its own entrepreneurs, or try to get other communities’ entrepreneurs to come in and save them.We chose the former as a smarter, more sustainable approach. 4. We then set out to identify the role of the public sector. Over the years, we have identified at least three legitimate roles: information, infrastructure and connections. From these roles, the economic gardening program was born, which is run by the city of Littleton’s Business/Industry Affairs Department. Providing competitive information to high-growth companies This article focuses primarily on the information component of economic gardening – which also constitutes the majority of the program – but the infrastructure and connections pieces deserve brief mention. Building infrastructure is a typical part of the public sector’s responsibility, and as a city, we construct streets, water lines and sewer lines. However, we also provide quality-of-life infrastructure (including parks, trails in every major drainage channel, downtown beautifica-tion, river preservation) and intellectual infrastructure gardening” was created in Littleton, Colorado, over 20 years ago. Since that time, the city of Littleton has not spent a penny on incentives, while the number of jobs has dou-bled (from 15,000 to 30,000); sales tax revenues have tripled (from $6 million to $20 million); and the city’s population grew 23 percent. In addition to its economic gardening program, the city of Littleton, Colorado, considers quality-of-life infrastructure — such as parks, trails, and festivals like that shown above — to be integral to the city’s economic development strategy.
  • 2. CITY OF LITTLETON Business/Industry Affairs Geographic Information Systems LEGEND In addition to database capabilities, the city of Littleton has GIS expertise that enables it to plot the locations of a business’s existing customers and map a color-shaded density pattern. (working with colleges and universities to create courses and training programs), which we consider to be key to economic development as well. Connections are not simply after-hours networking meet-ings. For us, it is more structured activities such as “Peerspectives,” a CEO-to-CEO roundtable for growth com-panies. Research has shown that CEOs of high-growth com-panies prefer to learn from other CEOs who are experiencing growth issues.We also connect industry with academia in organizations like the Colorado Center for Information Technologies. But it is the information component of the program where we have developed high levels of competence that have intrigued much of the country. In the late 1980s, we discov-ered database services and the powerful world they unlocked. Long before the arrival of the Internet, we were developing database-searching skills to find new markets for high-growth Littleton companies, to conduct competitor intelli-gence on their behalf and to produce insightful industry trend reports. While the Internet continues to explode in its uses, it is still inferior to database searching when looking for business information.Whereas a typical search term on the Internet might produce millions of hits, that flood of undifferentiated information is of little use to someone looking for a specific answer to a specific question. Database searching, while expensive, drills deep in a specific area and provides a high level of actionable information. ★★★ 12 Economic Development America S P R I N G 2 0 0 7 We subscribe to a number of servic-es that provide wide ranges of business information, including general business portals such as Lexis-Nexis, Dialog and Dun & Bradstreet, as well as lesser known companies such as Plunkett (for industry stats), SkyMinder (for infor-mation on companies in nearly every country in the world) and SRDS Direct Marketing (which provides direct mar-keting lists for everything from people with psoriasis to people who shop at Neiman Marcus). Each service has a number of databases and each database has a number of publications and even more articles.We are able to sort through literally hundreds of thousands of highly related articles to find well-documented answers for our customers. Most businesses want targeted mail-ing lists, which we are able to provide quickly. Need a B-to-B (business-to-business) list of all medical instrument companies west of the Mississippi with 20 or more employees, sales of at least $20 million and a growth rate exceed-ing 10 percent? We can provide that within the hour, often with the CEO name, address and phone number.Want a B-to-C (business-to-consumer) list of everyone who makes over $100,000, belongs to a PTA, drives an SUV and reads Martha Stewart Living? You’d be talking about the lifestyle known as “Turbo Boomers,” and we know they are found only in select neighborhoods in nine major American cities. For a company that sells church furniture and supplies nationwide, we developed a competitor intelligence report that identified 15 major competitors, noted their sales levels, number of employees, business strategy, financial stress rat-ing and their D&B Paydex rating (how late they paid bills). We analyzed competitor Web presence, their page rank on Google and how long they had been in business.We identi-fied key opportunities and threats for each competitor, such as companies that were struggling due to big box competi-tion, mission statements that focus on social values, slow-loading Web sites and whether they were associated with a major church denomination. Another example of information assistance is the industry trend report we prepared for a biometrics company. (The biometrics industry identifies fingerprints, iris scans, walking gaits, facial features and other biological markers that make positive identification for security purposes.) Since the ter-rorist attacks of September 11, 2001, this industry has exploded – but as we found out, it was also fairly disorgan-ized. Common standards don’t exist, and office buildings were having so much trouble with fingerprint readers they had to abandon the system. Still, the U.S. government intends to collect biometric data for every visitor who enters the country, and this alone will create a huge industry.
  • 3. S P R I N G 2 0 0 7 Economic Development America 13 ★★★ In addition to database searching, we have GIS expertise that enables us to plot the locations of existing customers and turn that map into a color-shaded density pattern. At the retail level, we can plot competitor locations and draw trade area circles to see where overlaps and gaps exist. For many local businesses, we can create expenditure patterns for sever-al hundred consumer products, ranging from computers to clothes to cars.We can tell you how much ketchup is bought in the neighborhood next to you, should you want to know. More recently, we have developed expertise in search engine marketing, which increases the visibility of a Web site in the results pages of search engines such as Google and Yahoo.We have tools to determine the number of people using a specific search term and the number of sites that have that term.We can analyze Web sites to determine if they are optimized for search engines. If you have “frames” or “flash” on your home page, for example, you are invisible to the search engines – no matter how much you paid for the site’s development. Not just another name for business retention There are numerous business assistance programs, run by organizations from the SBA’s Small Business Development Centers to local chambers to city economic development offices. But we believe that several characteristics distinguish economic gardening from traditional business assistance programs: • Growth, not movement: Both recruiting and business retention programs focus on movement – moving a busi-ness in or keeping a business from moving out. Economic gardening, on the other hand, is about tools and concepts that support entrepreneurial growth, not movement. • Cutting-edge tools: Economic gardening uses high-level corporate tools that small businesses don’t typically use, or may not even know exist. It should be noted, however, that economic gardening is not the tools themselves; it is an approach to economic development through the sup-port of entrepreneurial activity. The tools we use in our program today are not those that we started with 20 years ago and they will probably be different still in another 20 years. • Cutting-edge theories: The business world is flooded with “flavor of the month” business concepts and new books with the latest examples of winning business strate-gies. Our focus, however, is fundamental theories that affect businesses, people and economies in all times and situations, not just this month. Visit our Web site, men-tioned at the end of this article, for more information on how we incorporate leading thinking in areas such as complexity science, network theory, technology adoption curves and more into our work. • Open source: Many people contribute to the conversation about an entrepreneurial economy. “Econ-dev” is an Internet mail list run by the City of Littleton for discus-sion about economic gardening. Over 600 participants use the list to debate ideas and theories, to uncover new research and to post requests for help from other profes-sionals. Like the computer operating system Linux, the value of an “open source” idea is distributed intelligence. Many people are working on the problems and issues of an entrepreneurial economy and are constantly contribut-ing better tools and theories. • Best practices: How do we make sure we are using the best cutting-edge tools without opening up the entire program for every ephemeral idea that comes along? Under the best practices concept, there is a certain amount of seasoning that must occur before newer ideas enter the arena. At the same time, best practices allow necessary adaptation to changing markets, ideas and tools, and keeps economic gardening from ossifying. • Entrepreneurial organization: In economic gardening, the support organization must reflect the entrepreneurial companies with which they work. Both are fast and inno-vative, quality conscious and customer-service driven. In picking staff for an economic gardening operation, pas-sion for entrepreneurship is the overriding factor. When it comes to growing jobs, economic gardening may not be the right approach for every community. But in 20 years of developing the concept and putting it into practice, economic gardening has grown an impressive track record of success in Littleton, and we see more and more communities using the approach to foster the development of high-growth companies. By no means have we solved the economic devel-opment riddle, but we are confident that two things – increasing connections and the flow of information to grow-ing entrepreneurial companies – are key. ★ ★ ★ More information about economic gardening is available on the City of Littleton Web site at http://www.littletongov.org/bia/economicgardening/default.asp. Note the list of databases and GIS datasets, and the “Free and Low-Cost Resources” PDF document. Questions can be directed to Chris Gibbons at cgibbons@littletongov.org. In economic gardening, the support organization must reflect the entrepreneurial companies with which they work. Both are fast and innovative, quality conscious and customer-service driven.