Tourism is one of 12 industry clusters widely considered to be driving the Arizona economy according to the Governor’s Strategic Partnership for Economic Development (GSPED). The term "cluster" refers to a geographic concentration of interdependent companies, suppliers, products, labor pool, and institutions that together constitute an important competitive advantage for a region. In northern Arizona, tourism ranks as the predominant industry cluster. This paper provides a profile of the tourism cluster in Coconino County, with special focus on the Flagstaff area. It examines the cluster’s composition, relative size and importance to the regional economy. It addresses the cluster’s dynamics and requirements for growth. It reviews important national and worldwide trends affecting tourism in Arizona, as well as the special characteristics of gateway communities. And, finally, it presents a menu of actions to choose from for strengthening the cluster in both Flagstaff and Coconino County.

For most of the past 50 years, Pinal County hasn't had to think much about its image, choices, or growth. But now, Pinal County is changing faster than anyone ever imagined. Will Pinal become a distinguishable destination or simply a McMega drive through? If Pinal rises to the occasion, the result can be a vibrant, sustainable, and competitive place that takes advantage of its location. If Pinal fails to choose wisely, its bedroom community future is already visible in the East Valley and subdivisions north of Tucson. Which will it be?

When Arizona's economy depended on the 4Cs – copper, cotton, citrus, and cattle – Pinal County was a leader in 2 of them. These historic sources of wealth and touchstones of heritage still play a role in the county's economy, but dramatic population growth and new economic drivers make this a different, distinctive time. This new era demands new vision, new ideas, and new ways of thinking, even as past strengths are kept in mind.

A series of 51 individual “stakeholder” interviews and two focus groups conducted with members of the Pima County business community in fall, 2001, documented significantly divided opinion about the likely economic impacts of the county’s Sonoran Desert Conservation Plan (SDCP). The results of the stakeholder inquiries were striking. Only one major finding reflected consensus, while several others revealed sharp differences of opinion in the business community about the potential economic impacts of the SDCP and associated initiatives.

The Governor's Strategic Partnership for Economic Development has identified 12 industry clusters in Arizona that collectively drive the economy. The term "cluster" refers to a geographic concentration of interdependent companies, suppliers, products, labor pool, and institutions that together constitute an important competitive advantage for a region. Tourism is recognized as one of Arizona's 12 industry clusters. In northern Arizona it ranks as the dominant cluster.

Much of the analysis in this report is based on the concept that industry clusters act as primary growth influences on local economies. Strong clusters produce goods or services that can be sold to consumers outside the region, creating a flow of revenue into the region. This influx of revenue stimulates economic activity in other areas of the local economy such as the retail, real estate, or constructions sectors.

This report profiles the tourism cluster in Coconino County with special focus on the Page area. It examines the cluster's composition, relative size, and importance to the regional economy, and it addresses the cluster's dynamics and requirements for growth. In its conclusion, it presents a menu of options for strengthening the cluster in the Page area.