Regional Arts, Entertainment, Recreation, and Visitor (AERV) Cluster

The table below presents data on the regional arts, entertainment, recreation, and visitors (AERV) industry cluster. It includes Ashtabula County, which has 12.2% of the 5-county region’s total AERV cluster’s total establishments and about 7.1% of the regional AERV cluster’s total employment.

Harvard University Professor Michael Porter defines a cluster as “… geographic concentrations of interconnected companies and institutions in a particular field.”

LQ stands for location quotient, which is a useful way of quantifying how concentrated a particular industry or cluster is in a local area as compared to the nation. It can reveal what makes a particular region “unique” in comparison to the national average.

In terms of AERV establishments, Ashtabula County has an LQ of 1.22, which means it is 22% more concentrated in AERV businesses than the nation. It has the highest AERV business LQ of the 5 counties analyzed.

From an employment standpoint, Ashtabula County has an LQ of 0.55, which means it is 45% less concentrated in AERV employment than the nation.  Ashtabula has the 3rd highest AERV employment LQ among the 5 counties.

Erie County, PA is by far the most dominant player in AERV in the region, followed by Lake County.

What’s important about this analysis? First, it is important to consider Ashtabula County’s significance in industries or industry clusters from a regional perspective. Ashtabula County is a part of the regional AERV market.

Second, the LQ values provide insight into how important an industry or cluster is to the county’s economy relative to the importance of the same industry or cluster is to the nation.

In the future, we will be looking in more depth at the AERV cluster and other clusters that have importance to Ashtabula County’s economic base.

Arts, Entertainment, Recreation & Visitor Industry Cluster
Area Businesses Business LQ Employ Employ LQ Wages
5-County Region 616 0.91 9,274 0.67 $223,263,039
Ashtabula 75 1.22 655 0.55 $12,396,368
Erie  PA 214 0.98 4,630 0.94 $103,550,694
Geauga 67 0.79 687 0.54 $12,626,697
Lake 148 0.79 2,198 0.59 $63,608,116
Trumbull 112 0.87 1,104 0.4 $31,081,164
Source: U.S. Bureau of Labor Statistics, 2013

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