Social Factors Also Important to Luring Japanese Investment

Southeastern states have been successful in attracting automotive manufacturing away from its traditional home in the Midwest through economic factors, including incentives and lower labor costs, according to Japanese auto manufacturers at last week's Japan-Southeast U.S. Joint Meeting in Osaka, Japan.

But social factors, including the availability of Japanese schooling and supportive legislators, have also played an important role in the attraction and maintenance of Japanese companies to the region, they said.

Kentucky was quick to learn the importance of "service after the sale" when it succeeded in attracting Toyota Motors North America Inc.'s first solely owned U.S. plant, according to Barbara McDaniel, media relations manager with the company.

The state established the Japan Business Advisory Council of Kentucky, which brings 10 Japanese companies with operations together with state officials each year to discuss economic issues.

Midwestern states, like Ohio, have learned exactly the same thing in working successfully with Japanese companies.

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