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Outsourcing Functions to Economic Development Corporations: Exploring the Perceptions of Officials in Ontario, Canada

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Abstract

In some communities in the Province of Ontario, Canada, economic development functions have been outsourced from departments within the city structure to external organizations such as economic development corporations (EDCs). This study takes an in-depth look at the activities of EDCs, with a focus on the rationale for outsourcing, EDCs’ policies and strategies, cooperative efforts, and the challenges EDCs face. The paper is based on extensive interviews with 21 CEOs/presidents of these corporations. The findings indicate that EDCs are typically private–public partnerships that exist at local and regional levels, that this approach is part of a comprehensive strategy to deal with the changing field of economic development and the uncertain global economy.

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Notes

  1. In some cases (e.g., with the St. Thomas Economic Development Corporation, about 99 % of the funding comes from the municipality. In other instances, the contribution may be 50 %–50 % split between the municipality and businesses.)

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Acknowledgements

This research was conducted with financial support from the Social Sciences and Humanities Research Council of Canada (SSHRC). Special thanks to Catherine Oosterbaan and Margaret Milczrek who provided various assistance throughout this study. Finally, the author wishes to thank all interviewees who participated in the interviews. Your time and perspectives on the topic are greatly appreciated.

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Correspondence to Godwin Arku.

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Arku, G. Outsourcing Functions to Economic Development Corporations: Exploring the Perceptions of Officials in Ontario, Canada. Public Organiz Rev 13, 49–70 (2013). https://doi.org/10.1007/s11115-012-0193-8

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