Chicago: A recent survey has revealed that be it computers, hospitality industry or medical/physician sector, Asian Indian-owned businesses are having a strong economic impact in many states across the US. Agencies
According to the Survey of Business Owners, 2007, released on April 26 by the US Census Bureau, there are an estimated 308,514 Asian Indian-owned businesses in the United States with USD 152 billion in revenue, employing 850,191 people with an annual payroll of USD 26 billion.
"Among minority and immigrant communities, Asian Indian entrepreneurs stand out in both the size of their businesses as well as profitability and business sectors they can be found. The survey captures this economic footprint at a very detailed industrial sectoral level," Bruce Corrie, Dean, College of Business and Organisational Leadership at Concordia
University, St Paul, Minnesota and a board member of the India Chamber of Commerce, said.
The survey gives a detailed landscape where these businesses are located both geographically as well as in terms of industrial sector. The US Census Bureau conducts the survey every five years.
"The survey paints a vivid portrait of the economic footprint of Indian Americans in the United States. It is the most detailed profile of Indian American entrepreneurship and
allows us to see the important job creating and wealth producing engine of economic growth all across the United States," Corrie added.
In comparative terms, the receipts of Asian Indian-owned firms is larger than the state GDP of 21 states, including Kentucky and Iowa and almost as large as the GDP of the wealthiest state in India – Maharashtra.
In terms of employment, Asian Indian-owned firms as a group employ more people than most of the largest Fortune 500 companies. For example, McDonald's employed 385,000 people according to Fortune Magazine, 2010.
The top three sectors for these businesses were computer systems design and related services, office of physicians and traveler accommodations. However, in terms of aggregate
revenue, the largest sector was gasoline stations.
In terms of employment, the largest sectors were traveler accommodations, computer systems design and related services and limited service restaurants.
The top states for Asian Indian-owned businesses were California, New York, Texas, New Jersey, Illinois, Florida, Georgia, Virginia, Pennsylvania and Maryland.
Even in a small state like Minnesota, Prakash Puram, who is president and CEO of iXmatch was on President George W Bush's Export Council. Mahendra Nath, another businessman was inducted into the 2002 Minnesota Business Hall of Fame.
In 2007, while the sector of computer systems, design and related services generated an annual payroll of USD 5 billion with 79,839 employees, traveller accommodations (motels,
hotels) generated USD 2 billion with 161,129 employees, gasoline stations generated USD 6 billion with 43,072 employees, and grocery stores generated USD 4 billion with 29,415 employees.
California generated the maximum payroll at USD 4 billion followed by New York at USD 2 billion and Illinois at USD 1 billion.
On the future, Corrie was positive. "Domestically in the USA, Indian firms will continue to serve as an engine of growth and innovation. At the same time, they will be an important resource and partner as India moves into the next phase of economic growth," he added.
Chicago: A recent survey has revealed that be it computers, hospitality industry or medical/physician sector, Asian Indian-owned businesses are having a strong economic impact in many states across the US.