boost north carolina economic growth! - clt...

A NEWPacesetting

Feet-on-the-Ground CAMPAIGN!

BOOST North Carolina Economic GROWTH!Enlist and Engage NC Ambassadors for Business

Recruitment, Economic Development & FDI

John Paul Galles | 704-576-0477 | www.CLT.biz | © 2017 1

Video:https://www.youtube.com/embed/CP-

TcDtSFDI?rel=0&autoplay=1

Global Ship Traffic as Seen from Space

24/7/365

The world has changed drastically in the last 10 years!


https://www.youtube.com/embed/CP-TcDtSFDI?rel=0&autoplay=1

How the Tesla Model S Is Made

Video: http://www.youtube.com/embed/8

_lfxPI5ObM?rel=0&autoplay=1

3,000 employees; 160 robots

How we make things has changed drastically in the last 10 years!


http://www.youtube.com/embed/8_lfxPI5ObM?rel=0&autoplay=1

3D Printing of Functional Organs

Even we have changed drastically in the last 10 years!

Video: https://www.youtube.com/embed/pee

WHtYsmdM?rel=0&autoplay=1

3D printing mimics real organs;even bleed when cut.


https://www.youtube.com/embed/peeWHtYsmdM?rel=0&autoplay=1

NC Economic Development Frustration For 10 Years

2007 – 2009The Great Recession

2010 – 2012Slow and Desperate Recovery2013 – 2014Reorganization of NC Commerce into EDPNC and the Defunding of Regional Partnerships2015 – 2016Re-authorization and modification of JDIG incentives

2016 – 2017HB2 and its fallout

However, North Carolina’s economic development efforts have faced significant challenges.


Companies LOST to Competition from Neighboring States

In fact, North Carolina’s economic development efforts lag significantly behind those of other states.


North Carolina rural communities are falling further behind urban communities

North Carolina’s significant urban/rural divide has been noted in national headlines.


http://www.ncjustice.org/sites/default/files/PW 26-3 Rural counties experience employment decline (3).png

North Carolina Gross State Product $499 BAs of November 2016 At a Glance

• Population: 10,097,400

• Governor: Roy Cooper

• Median Household Income: $47,830

• Job Growth (2016): 2%

• Cost of Doing Business: 10.3% below nat'l avg

• College Attainment: 29.4%

• Net Migration (2015): 63,300

• Moody's Bond Rating: Aaa

Forbes Lists

#2 Best States for Business • #2 in Business Costs

• #12 in Labor Supply

• #7 in Regulatory Environment

• #22 in Economic Climate

• #9 in Growth Prospects

• #13 in Quality of Life

http://www.forbes.com/sites/kurtbadenhausen/2016/11/16/the-best-and-worst-states-for-business-2016/#1ce2af49112b

North Carolina as ranked by Forbes in 2016

However, North Carolina has SIGNIFICANT potential to be the absolute BEST port of entry for doing business in the United States and participating in the U.S. economy and the absolute BEST location for manufacturing goods for transport in any direction around the globe. Let’s take a look at what North Carolina has to offer.

North Carolina Gross State Product $499 BAs of November 2016 At a Glance

• Population: 10,097,400

• Governor: Roy Cooper

• Median Household Income: $47,830

• Job Growth (2016): 2%

• Cost of Doing Business: 10.3% below nat'l avg

• College Attainment: 29.4%

• Net Migration (2015): 63,300

• Moody's Bond Rating: Aaa

Forbes Lists

#2 Best States for Business • #2 in Business Costs

• #12 in Labor Supply

• #7 in Regulatory Environment

• #22 in Economic Climate

• #9 in Growth Prospects

• #13 in Quality of Life

http://www.forbes.com/sites/kurtbadenhausen/2016/11/16/the-best-and-worst-states-for-business-2016/#1ce2af49112b



In fact, North Carolina is Site Selection’s TOP Competitive State in the Nation for 2017!

Prosperity PointsFollowing are the criteria used to arrive at final scores determining the competitiveness ranking of the states. The first six criteria are based on project data resident in Site Selection’s Conway Projects Database:• Total new and expanded facilities in 2016• Total new and expanded facilities in 2016 per 1 million population• Total capital investment in new and expanded facilities in 2016• Total capital investment in new and expanded facilities per 1 million population in

2016• Total new jobs created in 2016• Total new jobs created in 2016 per 1 million population• Rank in the corporate real estate executive portion of the 2016 Site Selection

Business Climate Ranking• State tax climate as ranked by the Tax Foundation• Performance in the Beacon Hill Institute’s State Competitiveness Index• Number of National Career Readiness Certificates per 1,000 residents aged 18-64,

according to ACT – Workforce Development Division, administrator of the ACT Certified Work Ready Communities initiative

NC Has Easy Access to Global Markets

North Carolina is now part of a GLOBAL marketplace where Location and Logistics play major roles.


The Emerging Megaregions

North Carolina has a significant presence in the emerging Piedmont Atlantic megaregion.


Richard Florida: Southeast USA Population Growth between 2009 and 2060!

2009 2060

As part of the Southeast USA region, North Carolina can expect to benefit from the intense population growth anticipated over the next decades.


The mega-region dubbed Char-lanta is known for its combined business product from along the Piedmont Atlantic region which totals about $1.3 Trillion…about the size of the total product from South Korea.

Southeast USA: PremiereAdvanced Manufacturing Region

As part of the Southeast USA region, North Carolina can expect to benefit from the huge growth anticipated in Advanced Manufacturing over the next decades.


North Carolina is part of a GLOBAL marketplace which is growing in every direction.


Companies Choose to Export Because…

North Carolina is part of a GLOBAL marketplace with mammoth opportunities for growth by exporting.


The State of North Carolina is logistically centered on the East Coast of the United States midway between the Northeast, Midwest and Southeast markets.

Within 650 miles of North Carolina are 164 million U.S. and Canadian consumers and 55 of the country’s top 100 metropolitan areas.

North Carolina business can reach 60% of the U.S. population within two hours by air and 24 hours by truck.

Location, Location, Location

North Carolina is uniquely situated from a geographic and logistics perspective to compete in the GLOBAL marketplace.


Major Highways Provide Corridors of Commerce

North Carolina’s well-connected highway system provides essential connections to compete in the GLOBAL marketplace.


Norfolk Southern Railways

Intermodal Network

Haulage Extensions

Intermodal Terminals

On-Dock Access

Interchange Gateways

Harrisburg

Atlanta

Charlotte

Chicago

Columbus

Detroit

Savannah

CincinnatiInland Virginia

Norfolk

New Orleans

Memphis

Dallas

Huntsville

Jacksonville

Charleston

GeorgetownKansas CitySt Louis

Louisville

Baltimore

Greensboro

ToledoCentral Illinois

ScrantonCleveland

Pittsburgh

Boston

AlbanyBuffalo

Central Florida

New York / New JerseyBethlehem

Philadelphia

Shreveport

Birmingham

Greencastle

Miami

Inland South Carolina

North Carolina’s railways—Norfolk Southern and CSX—provide essential rail freight transportation and connections across the Eastern U.S.


Charlotte

CSX Transportation Major Rail Terminals

North Carolina’s railways—Norfolk Southern and CSX—provide essential rail freight transportation and connections across the Eastern U.S.


Southeast USA Logistical Advantages

Choice of ports and choice of carriers—shippers, railways and freight lines—will provide valuable lower cost alternatives in the transportation and distribution of goods.

North Carolina strategic advantages on the East Coast, situated midway between Canada and Mexico and North and South America, and distribution capabilities to the rest of the United States is HUGE and will only increase with post-Panamax shipping.


The Panama Canal

EXPANDEDOpen For Business

The Panama Canal EXPANDED and is open for business; the Suez Canal has also undergone expansion.


The Port of Virginia in Norfolk.


The Port of Wilmington in North Carolina.


Doubling in Size by 2020

The Port of Charleston in South Carolina.


PORT OF SAVANNAH

The Port of Savannah in Georgia.


Southeast Port 2013 TEUs 2013 Share

1. Savannah 2,375,746 30%

2. Norfolk 1,842,406 24%

3. Charleston 1,296,736 17%

4. Miami 718,661 9%

5. Pt. Everglades 690,412 9%

6. Jacksonville 316,873 4%

7. Wilmington, NC 222,760 3%

8. Mobile 168,417 2%

9. West Palm Beach 162,977 2%

10. Tampa 27,452 0.4%

SOUTHEAST USA PORTS-GROWTH POTENTIAL

THE PANAMA CANAL EXPANSION IS EXPECTED TO ADD VALUE TO SOUTHEASTERN PORTS AND REALIZE ENORMOUS POTENTIAL TO SERVE THE REGION.

27

38

35

41

23

4

10

SAVANNAH

JAX

MIA

28

PEV

CHA

WIL

NFK

NY/NJ

8BAL

With the expansion of the Panama Canal, the East Coast deep water ports will see substantial increases in post-Panamax commerce; Charleston is expected to catch up to Savannah.


Norfolk SouthernNS Intermodal Facility - Charlotte

Increases in port traffic will increase the importance of North Carolina’s intermodal facilities—pictured here, Norfolk Southern.


The Carolina Connector Galaxy

$310 Million Investment by CSX

The CSX Carolina Connector Galaxy includes two intermodals—one in Charlotte that’s already in place and one in Rocky Mount that is under construction.



The reach of the CSX Carolina Connector Galaxy is to a substantial portion of the U.S. population.



The CSX Carolina Connector Galaxy points in all directions, delivering containers to and from the ports along the Southeast coast.


North CarolinaBusiness Strengths

▪ Population Growth▪ Central East Coast Location▪ Proximity to 5 Major Ports▪ CLT – RDU – GSO – ILM

International Airports▪ Two Grade 1 Freight

Railroads – NS & CSX▪ Two Major Intermodal Locations

– NS & CSX▪ Networked Highways▪ Logistical/Distribution▪ Low corporate and personal taxes▪ Low cost of doing business▪ Low cost of living

▪ Clean Air / Clean Water▪ First-Class Universities▪ Workforce Education and Training▪ Advanced Manufacturing▪ Innovative & Entrepreneurial ▪ Energy Sector▪ Quality Health Care▪ Right to work▪ Low Unionization▪ Duke Energy▪ Piedmont Gas▪ Ocean Beaches▪ Blue Ridge Mountains

North Carolina business strengths places our state ahead of the competition.



The U.S. is the biggest recipient of Foreign Direct Investment (FDI) in the world!

WHY IS FDI IMPORTANT TO THE U.S.?• The US is the biggest recipient of FDI in the world. In 2016, foreign companies

invested more than $385B in the US, more than twice the amount invested in the UK (#2) and almost 3X more than was invested in China (#3)

• According to the Brookings Institution, FDI accounts for more than 5% of total US employment.• Foreign-owned companies on average pay employees 20-30% more than

domestic companies.• Foreign-owned companies account for more than 15% of total US capital

investment, 19% of total R&D.• Brookings reports that the Greenville/Spartanburg metro area has the highest

per capita rate of FDI in the entire US.

Foreign Direct Investment in North Carolina

Here’s what foreign direct investment looks like across North Carolina.



Foreign Direct Investment (FDI) flourishes in the Carolinas!

WHY IS FDI IMPORTANT TO THE CAROLINAS?The Organization for International Investment reports that, in the Carolinas, FDI accounts for more than 375,000 jobs, almost 8% of total private sector employment, and more than 50% in high-paying manufacturing jobs (manufacturing = 3X+ jobs multiplier)

NC

SC

Foreign-owned firms have successfully been recruited to rural towns in South Carolina, helping to alleviate an urban/rural divide .


BEST Workforce Education & TrainingNetwork of Community Colleges and Universities

http://www.cnn.com/video/data/2.0/video/cnnmoney/2014/11/14/ivory-apprentice.cnnmoney.html

North Carolina has both quality educational institutions and quality training programs and initiatives.

These students

are paid to go

to college!

Apprenticeship

2000 has a new

model for higher

education. It's a

hybrid program

in which

students are

paid to work.


http://www.cnn.com/video/data/2.0/video/cnnmoney/2014/11/14/ivory-apprentice.cnnmoney.html

Inexpensive Electricity

North Carolina has inexpensive electricity.


Low Cost Natural Gas

North Carolina has low natural gas prices as well.


We have the Best of Both Worlds!

Carolina Atlantic Ocean Beaches Blue Ridge Mountains

Superior Quality of Life

North Carolina’s superior quality of life spans the mountains to the beaches.


So how exactly should we use this information to recruit businesses and attract economic development and foreign direct investment to North Carolina? Let me tell you a story about a small town—Columbus, Indiana—Mike Pence’s hometown, in fact.

A staggering 50.6 percent of Columbus’s GDP is generated from exports, mainly of vehicle engines, by far the most nationwide. Columbus has a remarkable concentration of auto manufacturing for a city of its size; one in six American jobs in engine equipment manufacturing is located there.

Chuck Corbin, representing his real estate business and Columbus’s economic development board, has helped bring foreign-owned firms to the community personally, making dozens of trips to Japan over the past three decades.


Area Development statistically analyzes around 400

MSAs/cities across 21 key economic indicators every

year. The combined results identified the top 100

MSAs who are moving in the most upward projection

as measured by GMP, job creation, wages and other

key economic indicators and whose strengthening

economies should be attractive to potential new

investment going forward. Once again, Columbus,

Indiana, is ranked in the top ten among all U.S.

metros, ranking #1 Small City and #4 overall in 2016.

Columbus, Indiana – Model City for FDIColumbus, Indiana (population 44,000) is ranked

sixth in the nation for architectural innovation and

design by the American Institute of Architects, right

behind Chicago, New York, San Francisco, Boston

and Washington, D.C.Other Notable Rankings:

•#1 U.S. Metro for Advanced Manufacturing

Specialization (July/August 2015)

•#1 U.S. Metro for Exports (July/August 2015)

Chuck Corbin, a former economic development board

member and owner of a real estate business, began his

first of two dozen trips to Japan to attempt to bring

investment to town. Today, 9,000 people are employed by international companies with a presence in Columbus.

Columbus, Indiana—and Chuck—were written about in The Wall Street Journal for their relatively straight-forward and effective approach to attracting foreign direct investment to a town of only 44,000 people.


NC business leaders from across the entire state are uniquely qualified to become ambassadors—“feet on the ground”—for bridging North Carolina’s urban/rural divide by communicating North Carolina’s superior business strength, unique accessibility, state-of-the-art workforce development, and extraordinary quality of life to prospective recruits from other states and other countries.

The members of the Global Vision Leaders Group, and all NC business leaders, are uniquely situated to become ambassadors—feet on the ground— for economic development and foreign direct investment in North Carolina.


Campaign: BOOST North Carolina GROWTHThrough a Feet-on-the-Ground Campaign

Mission: To create a regional campaign to BOOST Economic Development throughout North Carolina

1. Enlist all NC business leaders to become NC Ambassadors2. Conduct Regional Meetings to Collaborate and Collect Inputs3. Determine Targeted Businesses for Contact4. Arm NC Ambassadors with an FDI Pocket Guide5. Identify Events, Conventions, Trade Shows for Outreach6. Report Contacts and Results for Collective Benefit

All NC business leaders are uniquely situated to become ambassadors—”feet on the ground”— for business recruitment, economic development and foreign direct investment in North Carolina.


➢ Content creates a succinct and compelling case for economic development and foreign direct investment in the NC region.

➢ Attractive, inviting and informative tables, charts and graphs showing what makes the region outstanding for foreign direct investment, corporate expansion and relocation.

➢ Larger map of North Carolina with airports, highways, railroads, intermodal centers, coastal ports, educational facilities, medical facilities, military installations, foreign trade zones, population density, etc.; smaller maps showing accessibility.

➢ Excellent for business prospects, meetings, seminars, trade shows, foreign visits, etc.➢ Pocket for business card; translatable into foreign languages.➢ Engages business leaders as “ambassadors” for North Carolina, making it clear that

there is no better place in the nation for foreign direct investment to enter the United States and participate in the U.S. economy than the state of North Carolina, and there is no better location for manufacturing goods than North Carolina for transport in any direction.

Global NC Investor’s Guide

Ambassadors armed with Global NC Investor’s Guides!


John Paul Galles

Galles [email protected]

www.CLT.biz

Anyone wishing to have a copy of this presentation is welcome to leave their business card!


boost north carolina economic growth! - clt...

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