Quote:
Originally Posted by hughfb3
LA tends to play the incubator... it has an atmosphere of creating something new or cultivating an existing idea; developing it, and moving on to create something else once its gotten mainstream. Most F500 companies that started in LA have either sold or moved on and the talent pool is there to incubate the next thing. Texas is the place to just get big and seems like a vacuum sucking all the F500 from the rest of the country, but doesn't seem to be creating any new F500's
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The problem with LA is that the F500 companies that moved to Texas and DC/NoVa had no reason to stay put, whereas it makes sense for financial services, tech, and oil companies to remain in NYC, the Bay Area, and Houston, respectively. Then you are left with regional hubs like Chicago, Dallas (also corporate friendly), and Atlanta, and places like DC, Boston, and Seattle with a large amount of educated, white-collar professionals.
I don’t ever see LA being the headquarters of a major, publicly traded financial services institution like JP Morgan Chase or Bank of America, but it can be a hub for fintech, private equity, and venture capital. But we are home to the Capital Group Companies, PIMCO, and TCW.
LA’s best bet is to double-down on aerospace and biotech. Between UCLA, USC, Caltech, and UCI, we produce lots of engineers. Plenty of talent to poach from the Bay Area and SD, the latter being a top-three biotech cluster despite not a single major Fortune 500 company in that space. Instead, it has a shit ton of start-ups and mid-size companies.