Hispanic Business Ownership and Industry Concentration in Michigan: A Comparison to National Patterns


Rene Rosenbaum

Document Id: CIFRAS-03

This statistical brief presents data that examines Hispanic business ownership in Michigan. Census data on the stock of Hispanic-owned firms (HOFs) are combined with population data to compare the patterns of Hispanic business ownership in the state to those of the nation. State and national patterns are examined for all HOFs, for women and male-owned HOFs, and for HOFs categorized by Hispanic subgroup. The state and national patterns in the concentration of HOFs in several industries are also examined. Of the country’s 422,373 HOFs in 1987, 2,654 or 0.63% were listed in Michigan. These Michigan firms represent a 64% increase in the number of HOFs in the state since 1982. This growth compares to an 81% increase in HOFs over the same period for the nation as a whole. In 1987, men owned nearly three quarters of U.S. HOFs and over 67% of Michigan’s HOFs. Women-owned HOFs accounted for over 27% and 32% of U.S. and Michigan HOFs respectively. Computed business ownership rates for Michigan Hispanics suggest there were 24.81 HOFs per 1,000 Hispanics over age 19. For U.S. Hispanics the rate was 31.46 HOFs per every 1,000 Hispanics over age 19. The majority of HOFs in Michigan are owned by people of Mexican origin. However, Central and South Americans in Michigan registered the highest business ownership rate among the different Hispanic subgroups. In 1987 over three-fourths of HOFs in both Michigan and the U. S. were concentrated in three industry divisions: services, retail trade, and construction.

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