I would encourage all to read the Brookings study on cities mistakenly investing in convention centers. Blair Humphreys links to this study on his imagiNATIVEamerica.com. (You can find the report at
Space Available: The Realities of Convention Centers as Economic Development Strategy - Brookings Institution) Here is part of a comment I made on Blair's site, and will repeat here because I believe it to be relevant to this thread:
The primary question is whether the National Convention Business is even a business OKC wants to be in. This question is so basic and fundamental that we run the risk of ignoring it in our haste to focus on future MAPS spending. The Brookings report highlighted is incredibly insightful and, from a business perspective, outlines the National Convention Business as:
- Having significant overcapacity of supply
- Having significantly decreasing demand
- Requiring huge fixed costs to enter
- Generating ongoing operating losses for almost all participants
Question: What business person would want to enter a market with these characteristics?
I’m concerned that people are starting to equate being a Big League City with making the traditional Big League Mistakes. As the Brookings Report points out, these mistakes have been made consistently by our counterpart cities. Rather than imitating these actions, let’s try to learn from them.
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