Texas and the Northeast have economic conditions foreign companies prefer.
Despite the recent economic events that turned the United States upside down, America is still considered a solid investment platform for foreign businesses.
In a recent study, the Brookings Institute said that 5 percent of American employees worked for foreign-owned businesses in 2011, representing 5.6 million people.
The foreign investment is widespread, but there are areas of the country where foreign companies do seem to settle.
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The top five metropolitan areas for foreign investment stretch from the East Coast to the Southeast to Texas. Looking at the report – Global Cities Imitative – created jointly by the Brookings Institute and JP Morgan Chase, these are the top five areas for foreign investment (with data collection included from 24/7 Wall Street):
No. 1 – Bridgeport, Conn. – Foreign-owned businesses represented 14 percent of private employment in Bridgeport in 2011, a jump of 6 percent in 20 years. Bridgeport has one of the nation’s highest productivity numbers, with GDP per worker reaching $132,000 in 2011. Two key banks have set up shop in the area – UBS AG and the Royal Bank of Scotland. Also in Bridgeport is the financial news and data firm Thomson Reuters.
No. 2 – Greensboro, N.C. – Businesses headquartered in Greensboro include Ralph Lauren manufacturing, Volvo and Mack Truck. In 2011, foreign-owned jobs represented 9 percent of total employment. Much of the foreign-owned businesses have moved into the Greensboro area in the last 10 years.
No. 3 – Worchester, Mass. – Worchester is undergoing a change, transforming from a manufacturing center to a leader in information technology, biotech, and healthcare. As a result, the share of foreign business involvement rose by 4 percent on average for 12 years up to 2011. Like Greensboro, a majority of the foreign-owned businesses have moved into the Worchester area since 1991.
No. 4 – El Paso, Texas – This area is growing like crazy, at an annualized pace of 2.7 percent of growth per year. El Paso is becoming a center for export business, which is attractive to foreign-owned companies. El Paso is an area with a large number of foreign data and call centers, as well as automotive manufacturing companies.
No. 5 – Houston – The area’s energy cluster is responsible for much of the foreign investment in the Houston area, where more than 178,000 workers had foreign-owned employers in 2011. Houston employees were listed as some of the most productive in the nation, with a Gross Domestic Product per employee of nearly $125,000 in 2011. Houston is also one of the nation’s largest exporter, attractive to foreign companies
Ranked sixth through 10th among metropolitan areas with foreign-owned employment are Detroit, Providence, R.I., San Jose, Charleston and Allentown, Pa.
Kent McDill is a staff writer for Millionaire Corner. McDill spent 30 years as a sports writer, working for United Press International and the Daily Herald of Arlington Heights, Ill. From 1988-1999, he covered the Chicago Bulls for the Daily Herald, traveling with them every day through the nine-month season. He also covered the Bulls for UPI from 1985-88, and currently covers the team for www.nba.com. He has written two books on the Bulls, including the new title “100 Things Bulls Fans Should Know And Do Before They Die’, published by Triumph Books. In August 2013, his new book “100 Things Bears Fans Should Know And Do Before They Die” gets published.
In 2008, he resigned from the Herald and became a freelance writer. The Herald hired him to write business features and speeches for the Daily Herald Business Conferences and Awards presentations.
McDill also writes a monthly parenting column for the Herald’s Suburban Parent magazine.
McDill is the father of four children, and an active fan of soccer, Jimmy Buffett and all things Disney.