George and Bruce- those were fantastic posts
The question of 'why' is the best question.
I don't have a one answer for that, but here are some points that might lead to that answer, for my potential scenario at least;
-I think it could bring a good amount of commerce to Sooke, which by all accounts is actually pretty 'uppity', (read; a large, monied, demographic that fits the custom knife consumer pretty closely from what I can tell). One of the most dense populations of university educated people in Canada, per capita. Plus, there is a HUGE art community here, and perhaps a custom knife show could ride the coat tails of the big art show we have here every year
-I'm selfish and want to have a regular show in my town
-It would be cool and a great way to promote my town from a tourism perspective, (could get financial support from the town, business association etc for promotion). This would help my bicycle business, too by the way
-Sooke is a great venue for other events, (mostly mainstream events though) partly because the climate is so temperate and also because there is enough to do here, activity-wise, regardless of anything else going on
-I think there is a region of amazing knife makers who could make the show go off, (Pacific Northwest)
-Personally, I would like to see the Canadian cutlery industry grow, especially the custom side
-There are a lot of great Canadian knife makers who might make good use of the show and the town, (family vacation type thing, paid for with knife sales!)
-I love handmade custom knives, and really knives in general are just awesome, so the more surrounded I am by them, the happier I am, (unless they're being brandished by an angry mob

)
-The social aspect of the community is something that mobilizes my interest
I was talking with Ray Richard yesterday, and he pointed out the fact that the border might pose some problems for American makers. Great point!
The thought of teeing something up with an established organization, like the Canadian Knifemaker's Guild or whatnot crossed my mind as well, but I don't know. I kind of think it would be better to have an independent show. However, partnering up with someone who knows what they're doing would be something I'd want to explore.
Personally, the glory of having my name attached is not remotely as significant as actually having a show. If someone else made it happen, I'd be happier as an attendee and volunteer. But since nobody else around here has an interest in making it happen, I might end up being the guy. IF something ever comes of the idea...
As for size, I would think that a small show would be good. But going about gauging interest is probably a good start, once all of George's points have been ruminated on and addressed in some fashion.
Great timing with all these threads about shows. I've really learned a lot from them, but I've also been learning how little I know. Which is why it would be great to partner up with someone who knows what they are doing.