The Small-Town Economic Mistake That Hurts Growth

Many small towns fall into the trap of chasing the latest economic trends. They often aim to attract trendy industries like tech startups or unrelated manufacturing. Yet, these efforts frequently fail because they don't align with the town's unique strengths. Instead, towns should build on what they already have. St. Catharines–Lincoln offers a shining example of success by embracing its urban culture and rural craft beverages. Let's explore why an identity-based approach leads to more sustainable growth.

The Pitfalls of Trend-Chasing Economic Development

It's tempting for towns to pursue the industries that are in vogue. Tech startups and large manufacturing plants promise jobs and growth. However, when these industries don't align with local resources, problems arise. Rural areas, in particular, face high costs for new infrastructure. Their limited tax bases can't sustain these developments. The challenges are compounded by infrastructure cost burdens from the 1990s reforms. Without structural funding, these efforts become unsustainable.

For example, some towns have built expensive facilities for industries that never arrived. The result? Empty buildings and wasted resources. Instead of temporary solutions, towns need structural funding and development plans that match their core assets.

Case Studies of Successful Identity-Based Development

St. Catharines–Lincoln excelled by leveraging its existing strengths. This town combined urban culture with rural craft beverages and agriculture. This approach created a thriving economic partnership. Their success lies in understanding and amplifying what already makes their community unique.

Rocky View County offers another successful example. In 2023, they focused on agriculture, logistics, and clean energy. Their strategy emphasized land-use alignment and collaboration with stakeholders. This focus on existing strengths led to sustainable growth.

Northern Ontario, too, has adopted an identity-based approach. By prioritizing critical minerals, the bioeconomy, and tourism, they've built resilience in single-industry towns. These case studies show that growth aligns best with local strengths and collaborative efforts.

Framework for Authentic Community Economic Growth

How can other towns replicate this success? Here's a straightforward framework for building on authentic strengths:

1. Identify Core Assets: Begin with a thorough assessment of your town's unique strengths. This could include natural resources, cultural heritage, or existing industries.

2. Engage Stakeholders: Collaboration is key. Involve local businesses, community groups, and residents in the planning process. Their insights will help shape a strategy that everyone supports.

3. Develop a Strategic Plan: Align your economic goals with your identified strengths. Focus on industries that naturally complement your community's assets.

4. Seek Government Support: Advocate for targeted investments and infrastructure improvements. Government support can amplify local efforts and drive growth.

5. Sustainable Funding Models: Establish funding mechanisms like St. Catharines–Lincoln's Municipal Accommodation Tax. This ensures long-term growth and resilience.

By following these steps, towns can achieve sustainable economic development. They can transform their unique strengths into thriving industries.

Aligning economic development with local strengths is crucial for sustainable growth. Chasing trends often leads to failures, but identity-based strategies foster success. Community leaders should focus on authentic, asset-based development. This approach promises a more prosperous future for small towns. Let's prioritize what's real and achievable over what's merely fashionable.

Sources to Include

• Rocky View County Economic Development Strategy:

• FedNor Prosperity Strategy 2025–2030:

• Rural Economic Development in Canada:

• ROMA Policy Highlights:

• St. Catharines and Lincoln EDCO Award:

• Canada and Ontario Investment in Agribusiness:

By focusing on these strategies and learning from successful towns, small communities can find their unique path to economic prosperity.