The Chemical and Pharmaceuticals cluster was forecast to grow from its 9777 jobs in 1995 at 1.3 percent annually through 2005, before the Pharmacia-Upjohn merger. This was positive compared to the period 1989 to 1995, during which this cluster declined by 1.7 percent annually in the region. The region's forecast growth is already much higher than for the nation as a whole, although the Pharmacia-Upjohn merger alters this outlook somewhat. If this broad region-from Kalamazoo to Allegan County-is capable of enhancing the inputs available to the chemical and pharmaceutical industry cluster, the region may be capable of achieving this growth, the merger notwithstanding. Employers believe better recruitment of professional employees will result in increased competitiveness and decreased costs-particularly if they are able to secure personnel for research and development and improvement of manufacturing processes. Furthermore, improvements in transportation access may also enhance company competitiveness by enabling firms to retain and grow employment regionally, rather than having to locate operations and spin-offs in other metropolitan centers. Better access will help companies in this cluster manage their distribution channels, customer service and client relations.