Economic Development in the World's Fourth Largest Economy
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 Spring 2014

  
 Features


2014 SB&D 100 Edition

SB&D 100 Feature

Big Fish Keep Alabama's Economy Humming


Southern Economic Development Roundtable

The Best Greenfield Data Center Sites in the South

The Most Southern Place on Earth

Ensuring a resilient Delta Region by training a skilled workforce

Driving toward success in Alabama's Black Belt

Arkansas's Big River Steel has found its home in the heart of America's Delta Region

Building a healthy economy and a healthy workforce in Illinois

Innovation and collaboration are building a Work Ready Kentucky

Louisiana's industry off to a fast start

Perfected in Mississippi

Certifying Southeast Missouri and beyond

Select Tennessee sites offer competitive edge

Reshoring and its potential effect on the Mississippi River Delta region

10 TOP TENS

 Ten People Who Made a Difference in the South

Top 10 Stories in the American South

Ten Exceptional Southern markets to Locate your Reshored Traditional
Industry


If you are looking to relocate your HQ to the South, here are 10 Outstanding
Cities for your Operation that might not show up on your Radar


Ten Low Cost Manufacturing Locations to Reshore your Plant near Major
Southern airports


If these Southern Market Economies were Stocks, they would be the Ten Best
to Invest in over the next Decade


Ten Highly Creative Places to Live in the South where you can Reshore your
Manufacturing Operation


Ten more Shining Examples of Economic Development that's working in the
South


Five Outstanding Supplier Sites for Airbus and Five for Boeing

Ten Supplier Locations in the Southern Aerospace Corridor that can serve
both Airbus and Boeing

FDI Surges in the South

Tennessee: Moving in the right direction

The Northeast Tennessee Valley Comes Back Strong

The Southern Auto Corridor

It's down to the Southern Auto Corridor and Mexico for automakers

Mississippi Enters Second Decade of Assembly

BMW in South Carolina: Two decades and thriving

Nissan and Tennessee: A 30-year partnership unlike any other in North America's automotive sector

20 years of Mercedes-Benz in Alabama: A defining moment in the Heart of Dixie

The tremendous success of the Hyundai-Kia model in the Southern Auto Corridor

Ford's resurgence in Louisville

2013 Motor Vehicle Parts Supplier Guide

Community preparedness is about vision


 Florida: A sleeping giant awakes!

2013 SB&D 100 Edition

2013 SB&D 100 Feature: Are we there yet?

Top 100 Jobs

Top 100 Investments

2013 SB&D 100 Top Deals and Hot Markets

2013 State Summary

Southern Business and Development 2013 Annual Directory

2013 Person of the Year - Nashville Mayor Karl Dean

Manufacturing Rules Again

20th Anniversary Edition


  
 Features

Rural unemployment rate in Virginia dropped a point in 2011

By Lee Burlett

ICF International, a global professional services firm, will establish its first operations center for Business Process Management (BPM) in rural Henry County, Va. The $15 million center will create 539 new jobs. Va. Gov. Bob McDonnell (pictured) said, "This project is truly transformational for Henry County.” ICF International is a Virginia-headquartered company that was seeking a location for its first operations center for BPM. Also pictured to the right of Gov. McDonnell is Sudhakar Kesavan, ICF Chairman and CEO.The rural regions of Virginia are some of the most stable in all of the rural American South. But don't tell that to leaders in Virginia. Historically, economic development officials and politicos in The Commonwealth have displayed a consistent air of insecurity about their rural regions over the years. It is something that we have never understood considering rural regions in Virginia typically outperform rural regions in all but one or two Southern states in overall employment rates.

On the surface the fact that rural Virginia has consistently outperformed states such as Alabama, South Carolina and Tennessee defies logic. The aforementioned states all have burgeoning automotive clusters. The automotive industry is the 800 pound gorilla in the room so to speak when it comes to rural development. No industry employs more people in Small Town South than the automotive industry.

Virginia, on the other hand, has a small automotive cluster, but nothing like that found in Alabama, Kentucky, South Carolina or Tennessee. Like all states in the Southern Automotive Corridor (www.SouthernAutoCorridor.com), Virginia would do everything possible to land the biggest prize in economic development in the South; a major automotive assembly plant.

Virginia has also historically been the home to industries that have been hammered, such as the furniture, textiles, tobacco and other manufacturing and agribusiness sectors that have left in droves over the last 15 years. So, what's up with the rural economy in Virginia where in 2011 it shed a point off of its unemployment rate from 7.84 percent in November 2010 to 6.85 percent in November 2011? That's right, rural unemployment in Virginia's counties was below 7 percent in November, compared to 10.2 percent in Alabama, 11.4 percent in Tennessee and 13.7 percent in South Carolina, three of the four-largest automotive states in the Southern Automotive Corridor.

Rob McClintock, Director of Research for the Virginia Economic Development Partnership, has an idea why Virginia's rural areas regularly outdo other Southern rural economies. "Virginia has a number of small, medium and large-sized MSA's sprinkled all over the state which have close proximity to areas that are truly rural such as the Middle Peninsula, Northern Neck, the Piedmont and Southside. This allows employees to be mobile and travel relatively easily to places of employment. Virginia's highway system helps reinforce this case of transit in the rural/edge communities. This helps keep the employment rates higher than places that are more remote. More distributed metros lead to statewide economic diversification and relative prosperity," McClintock said.

McClintock went on to say that the rural areas of Virginia have been helped in recent years by massive state and federal investments in broadband capability. "This has spawned a number of non-traditional, service and information technology-sector jobs" in rural regions of Virginia.

Linwood Wright, a former mayor of Danville, Va., which is located in the Southside region, weighed in on the issue. "I would make the argument that Virginia has a lower rural unemployment rate than other Southern states because it has historically dealt with economic development in rural areas for three decades with the realization that these traditionally high manufacturing areas were going to be hammered by the movement of textiles, tobacco and furniture to off-shore manufacturers. The Commonwealth did not wait for the demise of these industries to create a crisis, although the sudden loss of large segments of employment in southern Virginia certainly created major problems. There are still pockets of high unemployment in sections of rural Virginia and the economic development activity is feverish in those areas," Wright said.

He also supported McClintock's assertion: "Virginia benefits from major federal government employment, which in many areas of the state spills over to more rural jurisdictions as people commute further to work. Realistically, rural Virginia is more difficult to define than in other states in the South because of these commuting patterns," Linwood said.


  
 Southern Auto Corridor

Southern Auto Corridor.com

Steering the Automotive Industry to the World's Fourth-Largest Economy

www.southernautocorridor.com


  
 SmallTownSouth

SmallTownSouth.com

Opportunities in the South's Rural and Urban Small Towns

www.smalltownsouth.com


  
Southern Business & Development Southern Auto Corridor Small Town South Randle Report