Good economic strategy attracts investment. Great strategy identifies and attracts the best growth prospects. But how do you do this? Tax breaks may be necessary, but they are not sufficient. What is more important is to figure out the city’s competitive advantages and then construct a winning offer to businesses that also makes economic sense for the city. For example, cities can support businesses by connecting them to distinctive talent and critical business resources. Some cities in the American Southeast, for example, attracted foreign carmakers not only because of lower labor costs but by pointing to specific strengths: talent, proximity to centers of innovation, and good transport. As part of the package, targeted public investment can be useful. The US state of Georgia built a job-training facility for would-be autoworkers; South Carolina has established an apprenticeship program in cooperation with manufacturers. In a different context, Dubai has created the infrastructure to make itself the world’s largest port, as well as an international business and tourist center.
Good economic strategy attracts investment. Great strategy identifies and attracts the best growth prospects. But how do you do this? Tax breaks may be necessary, but they are not sufficient. What is more important is to figure out the city’s competitive advantages and then construct a winning offer to businesses that also makes economic sense for the city. For example, cities can support businesses by connecting them to distinctive talent and critical business resources. Some cities in the American Southeast, for example, attracted foreign carmakers not only because of lower labor costs but by pointing to specific strengths: talent, proximity to centers of innovation, and good transport. As part of the package, targeted public investment can be useful. The US state of Georgia built a job-training facility for would-be autoworkers; South Carolina has established an apprenticeship program in cooperation with manufacturers. In a different context, Dubai has created the infrastructure to make itself the world’s largest port, as well as an international business and tourist center.
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