Q&A With GDEcD Deputy Director of Global Commerce Tom Croteau: Why are Companies Choosing Georgia?

Stefanie Paupeck Harper

Thursday, August 20th, 2015

Continuing our series with the Georgia Department of Economic Development, Deputy Director of Global Commerce Tom Croteau talks about what makes Georgia stand out for companies who are looking to relocate or expand.

What separates Georgia from other U.S. states for companies who are looking to re-locate or expand is our strategic geographical location to thriving key markets?

Companies can reach 80 percent of the U.S. population within a two-hour flight or two-day truck drive, as well as utilize the second busiest, fourth-largest and fastest growing Port of Savannah. This is a huge plus for companies who need to meet with customers and clients or manufacturers that need to reach suppliers on a daily or weekly basis. 

Another key factor about Georgia’s pro-business climate is found in the many assets companies find here to get their business up and running. 

Our skilled talent, including access to the No. 1 workforce training program in the U.S., Georgia Quick Start, as well as talent from top state universities, two of which are in the top 20 public universities in the U.S. 

Remaining competitive is vital to economic development and I can’t say enough about the importance of our partnerships with the communities across Georgia. 

Supporting existing industry in Georgia remains crucial for economic development - our partnerships and project managers in each of Georgia’s 159 counties work daily with the companies in those regions to make sure they have the resources they need to grow. 

Our strong international presence also helps strengthen our business climate. Within the year, we have seen 11 Germany-based companies re-locate or expand. In addition, we have seen five Japanese companies re-locate or expand in the state. Collectively, investment from Germany and Japan has totaled more than $460 million and created more than 1,700 new jobs in the state. 

We have international representatives in 11 strategic markets, including Germany and Japan, who meet with companies in these regions to promote Georgia as an excellent location for a new expansion. 

A final factor that supports economic development in Georgia is the quality of life and low cost of living and working in Georgia. The diverse population and dynamic landscapes, from the coast to the historic heartland and our vibrant cities, create an ideal place to both grow a family and build a business.  

When automotive companies move manufacturing operations and HQ to Georgia, what is the ripple effect (what other businesses/industries tend to follow and why)? 

Georgia's ability to maintain its thriving business climate is due in part to our team of economic development partners around the state.  We now have 20 Fortune 500 companies operating in the state.  

Over this fiscal year, we continue to see growth in automotive manufacturing, technology and companies based outside the U.S. locating and expanding in Georgia. 

For automotive manufacturing specifically, companies such as Mercedes, Porsche and KIA have become flagship companies. They put Georgia on the radar for global manufacturers who are looking to expand to the U.S. and they are attracting many suppliers to the region. 

Kubota is an excellent example of this. Kubota’s presence in Georgia has helped with attracting Japan-based suppliers, creating more jobs and investment opportunities here. 

In Hall County, Tatsumi, employing 70, located to Georgia to provide logistics support for Kubota exports to Europe, Asia, South America, Australia and Africa. 

Etori, employing 80 Georgians, produces components for Kubota Corporation’s assembly lines in Gainesville and Jefferson. 

Shintone also supplies to Kubota Corporation’s two assembly lines, employing 80 Georgians. 

More recently, Yahata came to Gwinnett County to supply original equipment manufacturers (OEMs) in Georgia, including Kubota.

Kubota regularly meets with Japanese companies that are looking at Georgia, highlighting the strength of our qualified workforce, logistics infrastructure, low unionization rates and other pro-business incentives.

In addition, KIA has successfully attracted close to 30 automotive suppliers to Georgia, reporting that it currently supports 11,000 automotive supplier jobs in the region.

These companies are also heavily investing in their respective communities.

When Porsche USA held its grand opening, the company donated $500,000 to the Atlanta Beltline initiative. 

KIA has heavily supported Troup County’s THINC College and Career Academy, an entity that is helping to prepare high school students with the right skills, such as health science, mechatronics, science, technology, engineering and business, before they enter college.  

KIA has also partnered with SAE International to foster engineering and science within primary and secondary schools with a program called “A World in Motion.”

In sum, we’re seeing leading global companies not only help attract other suppliers and companies to the region, but we’re also seeing these companies supporting and growing the communities that they are located in, creating more job and investment opportunities, as well as a better quality of life for Georgians. 

What do you like to do in your spare time?

Our family enjoys outdoor activities.  We like to camp, hike, fish, swim and ride bikes.  There are so many great places in Georgia to explore and with three children ages 8 through 13, my wife Suzanne and I try to make sure we get them ‘unplugged’ as much possible, which means getting them out of the house and into the mountains or to the Coast.  There are so many great state parks and things to see.