News Column

Hispanic Business 500: Healthy Performance

Page 5 of 6

CONTRACTING SHIFTS
Government contracting dollars increased 18.8 percent this year, and the public sector´s percentage of total 500 revenues has increased, too. Government contracts now account for $5.1 billion, or 14.7 percent of the 500´s revenues. However, the take from federal and local sources has decreased, offset by a gain in state contracts of 32.1 percent since last year.

TOP BARRIERS TO GROWTH
AS THE ECONOMY HEATS UP, MORE FIRMS CITE LABOR SHORTAGES AS BARRIERS. FEWER POINT TO COMPETITION & MARKET CONDITIONS.
  2005 2004
Market Conditions 33.4% 36.4%
Competition 16.4% 22.2%
Labor Shortage 14.0% 8.8%
Lack of Capital 8.6% 8.8%
Other 7.4% 9.4%
Did Not Disclose 20.2% 14.4%
Source: HispanTelligence


THE CAPITAL ACCESS EDGE
The big-and-small theme resonates throughout this year´s 500 coverage. Sector profiles on the pages following the directory compare the challenges and resources available to large and smaller companies in each sector. Consensus result: Large companies have better access to capital and can weather slow times better than smaller companies. But for both big and small, growth tends to produce further growth.

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