HQ Economy
A decade after first identifying the Twin Cities’ thriving "Headquarters Economy," new research from Minnesota Carlson confirms the region’s ultimate superpower — talent retention. Offering a diverse mix of industries, the business ecosystem also serves as a hotspot for dual-career households. Yet, shifting quality-of-life perceptions signal potential critical challenges ahead. Discover what keeps local professionals here, and why regional leaders cannot afford complacency.
Access the White PaperKey Findings From the Study:
Retention Over Attraction: While the region struggles to attract outsiders, it excels at keeping those who arrive. When presented with hypothetical job scenarios, respondents — including Minnesota transplants — reported a preference for switching industries rather than relocating away from the Twin Cities. About 75% of respondents stated they would not prefer to live elsewhere, which is about a 3-percentage-point increase from 2015.
The Dual-Career Capital: The percentage of married respondents in dual-career households increased by 11 percentage points since 2015 (from 69% to 80%). The prevalence of dual-careers was high in 2015; the continued growth bodes well for talent retention, as respondents in dual-career households reported being less willing to look for job opportunities outside of the region. National survey data show that the Twin Cities area is a leader among large metropolitan areas in the proportion of college-educated households with both partners employed in the labor market.
Quality of Life Priorities: Respondents ranked safety, job availability, high-quality healthcare, outdoor activities, and a strong local economy as the top five most important factors when choosing where to live. Not surprisingly, job availability for a spouse was a top-ranked priority for dual-career households, on par with job availability for oneself for these respondents. Conversely, professional sports — often used in talent attraction marketing — ranked second to last.
Some Top Factors Saw Ratings Drop: The Twin Cities received high ratings on many of the top-rated factors in respondents' location decisions. However, compared to 2015, the Twin Cities scored less favorably on some top factors: a strong economy, favorable cost of living, quality of public schools, and a good place to raise children. These shifts suggest potential headwinds on the horizon for the region.
