New Hampshire officials have been trying to lure Massachusetts businesses over the border for years by touting the state's low taxes and high quality of life, but in this economic downturn, recruiters are turning to wining and dining, and some local businesses have been swayed.

The New Hampshire Division of Economic Development introduced the "Open Invitations" program Tuesday, which offers a limo ride, free lunch and other perks to Massachusetts business owners interested in relocating.

Steve Boucher, communications and legislative director for New Hampshire Division of Economic Development, said the program is a way of attracting Massachusetts businesses that are in expansion mode. Though there isn't a particular region that they're targeting, Boucher said it's an easier sell for the greater Merrimack Valley because of its proximity to the border.

Two local companies are touted in the testimonials section of nhopeninvitation.com: Enpro Services, Inc., a Newburyport-based environmental service company that has expanded to Pembroke, N.H., and Appli-tec, an adhesive manufacturer, relocated from Haverhill to Salem, N.H.

"Business recruitment is a very slow dance," Boucher said. "We don't tell businesses where to go. Our goal is to plant the seed, get awareness out there and give the best case for New Hampshire."

Interested business owners are picked up by Capitol City Limousine at the state line, treated to lunch at the Common Man restaurant, given a tour of available properties and then are sent to ski at Cannon Mountain or take in a Manchester Monarchs game before crashing in a complimentary room at the Radisson Hotel in Nashua.

"To the best of our knowledge, this is the first program like this in the nation. That's how we like to be, innovative," Boucher said. "It's an attention-getter and shows the business community that New Hampshire is serious."

Susan Houston, executive director of the Massachusetts Alliance for Economic Development, said though the program may get companies' initial attention, it's only a welcome mat, not a deal-closer.

"I think it's a clever program, but I think, though, that it takes more than a limo ride to entice companies across the border," Houston said. "Having an environment that says 'we want your business' is important, but there are fundamental drivers that go beyond the wining and dining that are important to relocation decisions."

In addition to touting no sales, income, use or inventory taxes, Boucher said there are plenty of reasons for Massachusetts business owners to expand or move north.

"New Hampshire has been ranked the 'most livable' state in nation for five years and was ranked the safest state in the nation this year," Boucher said. "The quality of life here is unparalleled, with a low-tax business atmosphere and a very skilled and educated work force."

Conflicting studies

New Hampshire officials may be showing off the state's advantages, but Massachusetts economic analysts say their state has advantages of its own.

A study released on Wednesday from the Beacon Hill Institute at Suffolk University ranks Massachusetts as the most competitive state for business in the country. It scored high marks for its highly educated work force and the amount of money banks and venture capitalists are willing to invest in business.

In the study, New Hampshire ranked 17th, down from ninth last year and third the year before. The state dropped because of expensive electricity, an increase in crime and a raise in the minimum wage. One area it trumped Massachusetts was on the tax burden.

"We're living in a highly competitive global economy. Many regions are targeting Massachusetts' internationally recognized companies and talent," said Kofi Jones, spokeswoman for the Massachusetts Executive Office of Housing and Economic Development. "We have stepped up our efforts to reflect that growing competition and remain dedicated to nurturing the Commonwealth's business base, skilled work force and unparalleled educational institutions."

As part of that nurturing, Houston said the Massachusetts Alliance for Economic Development recently honored companies from the Merrimack Valley. She said in terms of business recruiting, the alliance hosts trade shows and has a business resource team.

"We are competitive as a business location but take nothing for granted in terms of any other states, including New Hampshire. This initiative in New Hampshire comes at exactly the point in time when Massachusetts government is prioritizing its resources around reaching out to existing businesses and making certain that if they have challenges and issues, that we address them," wrote Bob Halpin, president of the Merrimack Valley Economic Development Council. "So if only indirectly, state and regional economic development officials are responding to the competition from New Hampshire and other states by stepping up contact with employers and businesses who are already here."

Boucher said New Hampshire continues to nurture relationships with companies based there, even working with them to develop the Open Invitation program, which is almost entirely privately funded. He said the program cost the state less than $2,000, which was spent on radio ads and invitations that were sent to about 800 companies.

"New England as a region is very strong, but at the end of the day, business recruitment is a very competitive business," Boucher said. "This is not an anti-Massachusetts program, it's a pro-New Hampshire program. We love our neighbors in Massachusetts and that state has done a fine job with its economic development efforts. We just want to show what the Granite State has to offer."