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Western Tennessee

Bounded by the Mississippi and Tennessee Rivers, Western Tennessee is known for its rich farmland and diversified economic base. Metals, machinery, rubber, plastics, pharmaceuticals, food products, paper, printing and publishing are among the region's primary manufacturing industries.

In the 1990s, Memphis (population 600,000) has become known as North America's distribution center. Thanks largely to the success of FedEx, which is based in Memphis and operates a world hub there, Memphis International Airport is the largest air cargo airport in the world. United Parcel Service (UPS) has also established a hub at Memphis, and the U.S. Postal Service has a large-scale bulk mail center.

Memphis is also served by more than 200 motor carriers, a cluster of railroads and barge traffic on the Mississippi River. In fact, the Port of Memphis is the second largest riverport on the nation's inland waterway system, allowing for low-cost transport of bulk cargoes.

"Memphis has a lot of advantages from a logistics standpoint," says John J. Bradley, senior vice president, economic development, Memphis Area Chamber of Commerce. "We have all modes of transportation here, giving companies different delivery options. Being a hub city allows companies to take orders later in the day -- up to midnight in some instances -- and still deliver products the next day. That's a real competitive advantage."

Memphis is also a regional medical center, led by St. Jude Research Hospital, which recently announced a $1 billion expansion. The presence of other healthcare facilities stimulates the area's medical manufacturing industry.

Memphis also attracts heavy manufacturing facilities to riverfront and inland sites. Birmingham Steel recently chose Memphis for a new mini-mill, followed by two support companies, Philips Metals and Praxair.

In 1999, Memphis set a record for new capital investment, as

23 major companies announced $490.8 million in new capital investment in addition to 63 major expansion projects totaling $1.16 billion.

"In terms of quality of life, Memphis has something for everybody," says Bradley. "We're the home of the blues and the birthplace of rock 'n' roll. We have a revitalized downtown, and midtown neighborhood, or you can own a couple of acres in a rural area with a 30-minute commute. It all goes back to options."

Outside Memphis, Jackson (population 48,000) has attracted manufacturers, including Korea-based Ecotube Corp., which has opened a metal products plant. In Dyer County, Caterpillar makes transmission components for heavy machinery, and Canada's Royal Group Technologies Ltd., opened a PVC building products facility. Says Mark Badger, Royal Group's vice president of corporate communications, "We're quite happy with our choice, and we are seeing excellent work done at the site. We look forward to a long and productive future in Tennessee."