CONTACT: Scott Warner
Qorvis Communications
703-744-7824
swarner@qorvis.com

FOR IMMEDIATE RELEASE

New Qorvis Survey:
Vast Majority of DC Region's Small/Mid-Size Businesses
“Optimistic” About Local Economy

Washington, DC - August 8, 2006 - According to a new survey released today by Qorvis Communications, in spite of rising interest rates, high oil prices, and the war in the Middle East, 64% of Washington-area executives at small to mid-size businesses are “optimistic” about the region’s business climate and a large number of them plan to hire more workers and expand operations over the next year. 

The survey was conducted at the end of July and polled 106 senior executives of Washington area businesses with sales ranging from $10 million to $250 million annually.  According to  Bill Cullo, who heads “iQ Research & Consulting,” Qorvis’ polling and survey arm, “The degree and depth of optimism revealed by the poll indicates that the demand for employees, office space, and contractors is likely to be high and that prices and wages could rise as a result.”   Cullo added that an overwhelming 90% of the survey respondents said their businesses are doing better or about the same than last year. 

The optimists’ upbeat view is largely based on local and regional issues, while the pessimists are driven by national and international issues.  Among the most influential factors cited by the optimistic executives were strong government spending (24%), the region’s healthy economy (13%), and increased spending by other businesses (10%).  The pessimists attributed their more downbeat view to the situation in the Middle East and the impact it may have on energy costs (26%) and the national economy and federal deficit (also 26%).

The Qorvis survey clearly indicated that job and economic growth in the Washington area are likely in the year ahead.  Of the executives who expressed optimism, 43% said they plan to step-up marketing efforts, 41 % said they will make additional hires, 29% said they will expand office space, and 21 % said they will make capital investments.

Among the pessimists, 19% said they will delay expansion plans, 13% said they will defer capital investments, 11% do not expect to make new hires, and 10% said they plan to downsize. 

About the Survey

The Qorvis survey, which was conducted between July 24 and 27 included the views of 106 executives. Those who met the Qorvis criteria-- a “C”-level executive of a business with between $10 million and $250 million in annual revenues with decision-making authority for retaining outside consulting services -- were sent an e-mail invitation with a link to the online survey. 

Almost half (46%) of the participants came from Northern Virginia, 42% from suburban Maryland, 8% from Washington, DC, and 5% from Delaware.  The vast majority of the respondents were men (80%); 43% were between the ages of 35 and 49 and 39% were 50 to 64.  A very large number (62%) have post graduate degrees. 

Full results of the survey can be found online at:  http://www.qorvis.com/qm/Qorvis_DC_Market_Outlook_TOPLINES_060727.pdf

About Qorvis Communications and iQ Research & Consulting

Qorvis Communications, one of the largest independent communications agencies in the United States, has offices in Washington, DC, and McLean, VA.  It provides its clients with expertise in the areas of investor and financial relations, public affairs, grassroots campaigns, public and media relations, marketing communications, Internet-based campaigns and research and opinion surveys. 

iQ Research & Consulting is a full-service market research firm that specializes in highly customized primary research engagements.  Qorvis Communications regularly undertakes research for itself and its clients and shares the findings when significant trends or opinions of general interest are uncovered.

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