Except for the mapping of the environment, the conclusions of which can be found on the Business environment barometer 2021 tab, the BE and local economy mapping also relies on available statistical data. These data are necessary for a better understanding of the state of the local economy in the Czech Republic. The CzechInvest agency is often not the primary source of these data but receives them from various sources such as the Czech Statistical Office, the Ministry of Labor and Social Affairs, the Ministry of Finance, and the Ministry of Transport. However, our employees further analyze this primary data and seek correlations to provide additional insights into the real state of affairs in the Czech Republic.

This report presents visualizations of data on the status and development of employees, self-employed people, and companies over the past five years. We also utilize the original indicators from the CzechInvest agency. While these indicators are briefly described in the PowerBI report, we provide a more detailed explanation here:

Self-sufficiency of the labor market:

This quantity represents the maximum capacity of a territory to offer enough job opportunities for its population. A value of 100 indicates that theoretically every adult citizen aged 20-64 can find a job in their place of residence. Higher values indicate an abundance of job opportunities, while lower values imply that a subset of the population needs to seek work outside their place of permanent residence, necessitating better public transport links and increased transport infrastructure capacity.

Labor market vulnerability:

This value indicates the percentage of all employment positions in a given area that would be lost if the largest non-critical employer (e.g., hospitals, universities, power plants) were to depart. Employment positions cannot be equated with population numbers in a given area, as people often commute to work in other municipalities, districts, or regions. Additionally, a significant percentage of employees may consist of foreign commuters or agency workers. A higher vulnerability value signifies a greater impact on the labor market in the region.

Location economy stability:

This indicator consists of 14 data sets divided into two groups: economic data and socio-demographic data. Points located near the upper right corner of an x-y graph represent prosperous territories, while points in the lower left corner indicate regions that likely face economic and demographic challenges. We also use the stability axis, which determines whether the economic performance of a territory aligns with its social base. If there is alignment, even an area not performing well can remain stable without significant decline in the following years. However, when one value significantly exceeds the other, these territories become our primary focus. They offer opportunities to elevate the local economy to a higher qualitative level or, at the very least, prevent its decline with less effort from the state, region, or institutions.