Penzance Chamber of Commerce

Develop With Care

Amid the excitement over the latest development proposals for Penzance and Newlyn - plans which, for once, have the ring of feasibility about them - a cautionary note should be sounded. Not that the Chamber or this column would want to douse such developments with cold water, just to inject the hint of realism and guide the eyes of concerned citizens towards other schemes elsewhere in the country.

Recent newspaper reports about the proposals for a marina and associated development at Whitby in North Yorkshire provide suitable pause. The local district council and the people of that famous whaling port are at loggerheads over plans to turn a car park into a marina. A car park! What is clear is that real consultation and inclusion at every stage of the development will be needed if future conflict is to be avoided.

Some campaigners are urging the developers to place fishing at the centre of the Newlyn plans. This has great sentimental appeal but we should be clear about what kind of fishing industry we want. There is a gulf wider than Mount's Bay between a viable working fishing industry and "FishWORLD™" - some kind of nautical theme park with picturesque boats, nets and crusty old salts for the entertainment of tourists.

The principal problem with a great deal of the emphasis being placed on tourism is that it once again falls into the trap of using tourist income to develop more tourist infrastructure but little else of real economic, social or material value to the district. All the new tourists we attract to our lovely new marina, our new facilities to land day trippers from cruise ships, our improved road links and expanded capacity at regional airports can come to Penzance and find… what? A few shops that they don't have at home? Some scenery? A thriving down and out culture?

The point is that unless we develop other aspects of the town and the area there can be no compelling reason to come to the area other than the lovely countryside and, unless (heaven forfend) local businesses can find a way to charge for the view the beneficiaries of the schemes are likely to be both few and not local. We need to develop local businesses in ways that can exploit the new opportunities in parallel with the developments themselves. Local businesses need to engage in the process and identify the possibilities, to adapt and expand to meet what is coming and most of all to guide the process into what the town needs and not just what a few developers would like. The Chamber of Commerce should be the focal point for that business engagement.

Paupers in Paradise

While on the subject of real economies, some interesting observations were thrown up by the TUC this month on low wages in this region and the reason why so many workers settle for them.

Voiced in the shape of an accusation levelled at the employers of the county, it appears that the reason why wages in Cornwall are 20% lower than the rest of the country is that living here is so pleasurable workers will take less money in return for living in this environment. The TUC report went on to claim that "low skill levels" were an additional factor in depressing wages in the county. If only there was more skilled labour, there would be higher wages and we'd all be happier.

Once again we are forced to reflect that every complex problem has a simple solution and it's always wrong. While there doubtless are people who are willing to settle for less money to enjoy the Cornish way of life (that includes most incomers, surely?) and we do have a preponderance of low skills employment the reasons for the lack of economic activity in Cornwall are as much historic and cultural as they are the result of the scenery. They are a result of a small population, topography, isolation, lack of investment, single source enterprise and a drain of our best people toward the cities. On an optimistic note these are all things that are becoming less relevant with 21st century communications.

Of course local employers would like to pay better wages. Higher wages mean better staff and ultimately a better local economy.

If we can stimulate a real economy in the county - rather than seasonal and cyclic tourism with its dependence on the whims of people far away from here - we can begin building a better life for businesses and workers in the area. If people earn more, they can spend more, and if there is enough local activity, they can spend more locally. The cycle of an internal economy is a kind of equilibrium which, like most closed systems, benefits little from external meddling.

Improving the financial well being of the people of the county is best left to the enterprising spirit of the people themselves. We don't need more and more schemes, reports and suggestions telling us why we're not doing so well. Just give us the tools and we'll finish the job of developing a better economy. And if all else fails, there's more to life than money! Just look at the colour of that sea!

Prepare for Son of Objective One

Come 2006, Objective One will be retired to the pasture for former grant aid schemes and replaced with Something Else (Objective Two the Sequel - This Time it's Personal?) The new scheme will be funded from national government coffers and the current incumbent at number eleven Downing Street assures us that the funds will be not less than those allocated from the EC-funded scheme. Which will be nice. What will be less pleasant will be if the successor scheme uses the same paper-intensive approach to allocating funds, designed to make us a one-stream economy in precisely the same mould as O1.

What we need is an easy access to seed capital to develop new and exciting business opportunities in the region. That's not to say exclude tourism ventures, simply to argue that we shouldn't exclude everything else. Paperwork approaches should be streamlined and simplified, with the burden for assessment and allocation placed on those charged with distributing the fund rather than foisted on the poor beleaguered businesspeople who want nothing more than some financial help but instead are asked to jump through administrative hoops before being told that their business is unsuitable because they are not a hotel.

The criteria for grant aid should be along the lines of: does this business stand a chance of growing and in doing so employing people, so contribute to the real future of Cornwall's economy? Do those managing the company appear to know what they are doing? Can we be confident that the money will make a real and lasting difference to the future of the business and, through it, promote growth?

Proving that you can write (or employ someone to write) a 100-page business plan is irrelevant.

Money should also be available to help businesses from elsewhere to establish here - whether to exploit our low wages, take in the view or simply for the managing director to park his yacht in the new marina, we don't care as long as businesses base their operations here and generate real wealth in the community. Using grant aid to attract more "high-class" (their phrase) business to the county is one aspect of the TUC report we can agree with!

With just two years to go before the new scheme takes over now is the time to begin lobbying for its successor to be all that it could be. If, in 2007, you can't extract any help from The Return of Objective One's Dumber Brother it will then be too late to take action. Write some letters now!

Farewell from the Chamber's Correspondent

On a personal note, this is the twenty-second Chamber of Commerce News Page that Mark Curtis has prepared and it will, for the time being at least, be his last. Both the Chamber and the Editors of Penzance OnLine appreciate all his hard work and offer him their collective thanks.

If you'll indulge him for a moment, he would like to take the opportunity to thank everyone who has contributed to these pages in his time and wish all of the businesses we have featured the very best of good fortune. Businesses like those we have featured are the engine of growth for this district. Everyone has a vested interest in their success and if this page has made some small contribution to that then it has been time well spent.

Approaching a Third Century of Quality Furnishings

Alfred Smith & Son is a firm that can claim another distinction for Penzance. The Clarence Street furnisher is the oldest independent furniture retailer in the UK with a continuous history stretching back to 1811. In almost two hundred years, styles and tastes in furniture may have developed in all kinds of ways, including retrospectively on more than one occasion. The constant through that time has been quality - there has always been a market for the best.

With so much history to choose from, here's a potted guide to Alfred Smith's story. Originally founded close to its present site as Olver and Son in the reign of George III, between Trafalgar and Waterloo, the company became Criddle and Smith in 1880 before Alfred Smith (not related to the former owner) joined as manager in 1909 and took over the company in 1912.

The company traded through two World Wars, the austerity of the 1950s when utility furniture was the order of the day and on into the 1960s when furniture collided with futurism.

The store at the corner of Clarence Street and Alverton was always smaller than the company's needs but there was little scope for expansion. Fate, however, took a somewhat tragic hand in 1963 when a fatal boiler explosion in the adjoining premises rendered the row of small cottages there unsafe. Within three years Alfred Smith & Son was able to acquire the site and add an extension to its building which makes up the main showroom today.

As competition increased in the 1970's the company decided to specialise in high-quality reproduction furniture, a market which proved highly successful through the 1980s. By the mid '90s, tastes had shifted once again and, in keeping with its tradition, Alfred Smith diversified into more contemporary styles, while always endeavouring to stay at the higher quality end of the market. These standards have underwritten the company's story at every stage.

Continuity is important if historic standards are to be maintained. According to manager Marcus Wilkinson, Alfred Smith's staff are remarkably loyal for the current times. Most of the 16 staff have been with the company for more than five years and the longest-serving member of the team joined in 1966!

If the staff are loyal then similar fidelity can be demonstrated among customers. As well as long standing individuals, the company has provided furniture to generations of families in the district. Recognition of the values on which the company is founded seem to pass on like an heirloom.

Word of mouth remains the business's principal marketing tool although the company also advertises in the Cornishman and the West Briton. A company website (www.alfred-smith.co.uk) serves as a shop window and introduction to the company. On the subject of shop windows, the display along Alverton Street is one of the firm's most important means of attracting new business and is a visible source of pride.

The company has always operated as a funeral director as well as a furnisher. Originally this second string business grew from the manufacturing operation - excess wood from cabinet making and soft furnishing materials would be used for coffins. Long after the company ceased making its own furniture the funeral service has been retained and is known to many local families.

Recent trends in consumer taste have been influenced by the ubiquity of television interior design shows such as Changing Rooms have had a profound effect on the way people view buying furniture. "People change their furniture more often now," Marcus asserts, "and move house more often."

Alfred Smith tries to be accommodating and competitive on price without compromising standards of quality or service. Joining a group buying scheme - Associated Independent Stores - has helped the firm to negotiate keener deals from manufacturers which can be passed on to customers.

Alfred Smith's range encompasses carpets, soft furnishings (countless cushions) and bed linen as well as fine furniture. It's not unknown for the company to furnish an entire house - particularly for the second home buyer. "We've been known to let ourselves in to a second home with a set of keys and put everything in place for the new owner ready for them to arrive," reports Marcus. "All they have to do is make the bed."

This total service approach is indicative of one of the key differences that Alfred Smith takes to the furniture business. "We try to give sound advice and guidance," Marcus says, "and to do more than just deliver a commodity."

The store has recently added a new leather gallery featuring top quality swivel and reclining chairs. For the future - looking towards the third century - the company plans more expansion - Marcus indicates some exciting plans in the early stages. Among the more concrete is to increase the range of beds, Marcus confides, "but to do that we'll need more showroom space."

As Alfred Smith's new liveried vans which can already be seen on the town's streets bear testament, this is a company that's proud of its history but far from willing to rest on its laurels!

Alfred Smith and Son is at 31 Clarence Street, Penzance TRTR18 2NX. Tel: 01736-363134

Join the Chamber

The Chamber of Commerce represents the interests of local business with the County, District and Town Councils, Government agencies and public bodies. It actively campaigns on issues affecting the business community as well as issues affecting the community as a whole. This requires finances and direct involvement by committed people, and deserves the support of every business in the region.

Our Chairman is coordinator of the West Cornwall Group of Chambers and the Cornwall Business Partnership. He is a member of the Priority Management Group 3, which approves Objective One funding in the area of Learning and Skills development He is also a member of the Penzance Regeneration Steering Group that has worked on the submission of an Objective One bid to greatly enhance the prosperity of the town and its inhabitants. Other members represent the Chamber on such bodies as the Police Consultative Committee and Tourism Committee.

All businesses have problems from time to time, and it has been proved that representation from a Chamber Officer on behalf of the member concerned can greatly enhance the prospect of a satisfactory conclusion. With major issues, such as the Penzance Regeneration Project, West Cornwall Hospital, Objective One and so on needing input from the business community there has never been a better reason for all businesses to become Chamber members - the greater our membership, the bigger our voice. JOIN NOW!

We invite membership applications from individuals and businesses large or small. For further information, visit the Membership Enquiry or Membership Application pages on this site.

Forthcoming Meetings

The next monthly Chamber Meeting will be held on Tuesday, July 6th at 7.30pm at the Pirates Rugby Club, Alexandra Road, Penzance.

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PENZANCE - THE PLACE TO BE

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