Concerns about the economy and a steep drop in plans for hiring led to a steep decline in the confidence of distribution and wholesale companies during the fourth quarter of 2007, according to the latest Small Business Research Board report.

The study indicated that the Distribution &Wholesale Small Business Confidence Index dropped to 31 during the fourth quarter or 10 points (nearly 25%) from the 41 recorded during the prior quarter.

The third quarter 2007 report was the first wholesale and distribution industry confidence index issued by the Small Business Research Board.

Declines in two of the three major categories comprising the confidence index contributed to the lower fourth quarter results.

Of the respondents, 24% said they believed the …