Waikato regional economic profile - Waikato Regional Council

Figure 111: Entry rate (percentage of new firms to existing firms) (2011) 370Larger regions also tend to have a larger proportion of firms 5 years old or younger.Again, Waikato more closely resembles smaller regions, as shown in figure 112.Figure 112: Distribution of enterprise age by regional council (February 2010) 3719.3 Location quotientsLocation quotient is a measure of how employment in the region compares with thenational average. If a higher proportion of the regional labour force is employed in aparticular industry than the national proportion employed in that industry the locationquotient will be greater than one. Conversely, if employment in an industry is underrepresentedin the region it will have a quotient less than one.Using a 48-sector aggregation, the sectors with the highest location quotients in theWaikato region are dairy cattle farming (3.27), dairy product manufacturing (3.24) andforestry and logging (2.86). These sectors are also significant contributors to GRP and370Data sourced from the Statistics New Zealand Business Demography tables 2011.371Ministry of Economic Development (2011h, p. 31).Page 118 Doc # 2069885