american cities of the future 2013 and 2014

7/27/2019 American Cities of the Future 2013 and 2014

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REGIONSAmERIcAN cItIES OF tHE FUtURE

www.fDiIneigene.o Apri/may 2013

NEw YORk cItY HAS ONcE AGAIN clAImED tHE tItlE AS tHEtOp cItY IN tHE AmERIcAS FOR AttRActIvENESS FOR INwARDINvEStmENt, bUt tHE FASt-RISING SO pAUlO IS pROvING AFIERcE cOmpEtItOR.Jacqueline Walls REpORtS

American Cities of theFuture 2013/14Wr

Uncertainty characterises the currentglobal economic climate. With a 16%decline in FDI in 2012, investment agen-

cies are facing greater competition to attractFDI projects. Yet New York has remained a topglobal destination for FDI, and was named asfDi Magazines American City of the Future2013/14, with So Paulo coming in second andToronto in third.

New York, the global hub of internationalbusiness and commerce, grabbed the title for thesecond time in a row. Despite a knock or two, thecity has continued to show its strength in surviv-ing disasters both economic (Wall Street bail out)and natural (Hurricane Sandy). The city remainsone of the worlds top destinations for investors,attracting 1.08% of global FDI. The total numberof FDI projects into New York increased in 2012with figures up 10.4% on the previous year.

But a South American competitor is nippingclosely at its heels. For the first time in fDiMaga-zines bi-annual rankings, the Brazilian city of

So Paulo has not only entered the top 10, but itranked second overall, just ahead of Toronto. SoPaulo is a key player in the global FDI arena,reaching sixth place worldwide in 2012, andattracting 1.19% of FDI projects. FDI into the cityhas increased year on year since 2004, accordingto greenfield investment monitor fDi Markets,which is part of the same division of the Finan-cial Times as fDiMagazine, fDi Intelligence.

Canadian cities Toronto, Montreal and Van-couver ranked third, fourth and fifth, respec-tively, and performed particularly well in theattraction of knowledge-intensive FDI. All threelocations were among the top 20 key destina-

tion and source cities for FDI. With the excep-tion of New York, Montreal-based companiesinvested in more FDI projects than other city inthe Americas region.

US cities made up the remainder of the top10, with Houston, Atlanta, San Francisco, Chi-

cago and Miami ranking sixth to 10th, respec-tively. San Francisco and Houston experiencedthe largest growth in FDI projects behind SoPaulo and New York. Relative to population size,Atlanta and Miami were in the top five forattracting FDI.

S Pal wns n Latn AmraSo Paulo has been named the Latin AmericanCity of the Future 2013/14, pushing the previ-ous winner, Santiago (Chile), into second posi-tion, and leaving fellow Brazilian metropolisRio de Janeiro ranking third.

According to fDi Markets, So Paulo and Riode Janeiro have been the top two destinations forFDI in the Latin American region since 2011.Combined, the cities attracted a total of 16% ofall FDI into the region in 2012. As Brazil preparesto play host to two major upcoming sportingevents, the FIFA World Cup in 2014 and the Riode Janeiro Olympic Games in 2016, the countrysgovernment has pledged that 2013 will be a year

of major infrastructure development which, inturn, should act as a catalyst in enabling SoPaulo, Rio de Janeiro and other Brazilian cities tobuild on their FDI success.

One disadvantage for investors locating inSo Paulo is the relatively high costs, with Bra-zils corporation tax rate viewed as unattractivecompared with neighbouring countries. Chile,for example, has been able to combine lowercosts with a stable and prosperous business envi-ronment. One of the few global success stories of2012, Chile is proof of the strong link betweentax rates and FDI. In 2012, FDI into Chileincreased by 25%, and the countrys 20% corpo-

ration tax rates makes it one of the lowest in theregion. Chiles capital city, Santiago, also bene-fits from significantly lower rental costs in con-trast with many major cities, which contributedto its gaining second position in the Latin Ameri-can Cities of the Future list.


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ToP 10 OvERAll AmERIcAN cItIES OF tHE FUtURE 2013/14RANK ciTy STATe couNTRy

1 nw York nw York us

2 So pauo So pauo brazi3 torono Onario canada4 monrea Quee canada5 vanouer briish couia canada

6 Houson texas US7 Aana Georgia US8 San Franiso caifornia US9 chiago Iinois US10 miai Forida US

ToP 10 OvERAll NORtH AmERIcAN cItIES OF tHE FUtURE 2013/14RANK ciTy STATe couNTRy


2 torono Onario canada3 monrea Quee canada4 vanouer briish couia canada5 Houson texas US

6 Aana Georgia US7 San Franiso caifornia US8 chiago Iinois US9 miai Forida US10 cagary Aera canada

ToP 10 OvERAll lAtIN AmERIcAN cItIES OF tHE FUtURE 2013/14RANK ciTy STATe couNTRy

1 so Po so Po Brz

2 Saniago Saniago chie3 Rio de Janeiro Rio de Janeiro brazi4 buenos Aires buenos Aires Argenina5 bogo caia Disri cooia6 monerrey Nueo leon mexio7 San Jos San Jos cosa Ria8 mexio ciy Federa Disri mexio9 panaa ciy panaa panaa10 moneideo moneideo Uruguay

so Po, Brz

Five new entrants featured in this yearsLatin American top 10 cities: Rio de Janeiro, Bue-nos Aires, Mexico City, Panama City and Monte-video. Buenos Aires climbed to fourth position,attracting investments from the Canadian com-pany Research In Motion (RIM) the developerand manufacturer of the Blackberry smart-phone and the German vehicle manufacturerDaimler. RIMs new innovation centre is thecompanys first such facility in Latin America,while carmaker Daimlers $170m expansion ofits manufacturing facility will produce vehiclesunder the Mercedes-Benz brand for the LatinAmerican market.

Colombias capital, Bogot, claimed fifthposition in the Latin American ranking, and thecity enjoyed some of the highest FDI growthacross North and South America. Colombiasstrategy to rebrand the country and build a posi-tive international image to potential investorsappears to be paying off, and FDI into Bogot hasincreased year on year since 2008. Having signed

a free-trade agreement with the US in 2012,Colombias aim should be to capitalise on thisopportunity, which could boost the potential forfuture exports and investments.

Monterrey (Mexico) and San Jos (CostaRica) were ranked in sixth and seventh place,respectively, with new appearances from Mex-ico City, Panama City and Montevideo complet-ing the top 10 Latin American Cities of theFuture 2013/14.

S Pals nm ptntal rsSo Paulo has snatched the top position fromNew York to claim the title of Best Major

American City for Economic Potential .According to data compiled byfDi Benchmark(a location assessment tool also owned byfDiIntelligence), So Paolo performed better thanNew York in regards to both GDP and FDIgrowth. Although FDI into Brazil declined,


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ToP 10 mAJOR AmERIcAN cItIES OF tHE FUtURE 2013/14 OvERAllRANK ciTy STATe couNTRy


2 So pauo So pauo brazi3 torono Onario canada4 monrea Quee canada5 Houson texas US6 Aana Georgia US7 San Franiso caifornia US8 chiago Iinois US9 miai Forida US10 Saniago Saniago chie

ToP 10 mAJOR AmERIcAN cItIES OF tHE FUtURE 2013/14 EcONOmIc pOtENtIAlRANK ciTy STATe couNTRy

1 so Po so Po Brz

2 Ne Yor Ne Yor US3 San Franiso caifornia US4 torono Onario canada5 Houson texas US6 boson massahuses US7 Aana Georgia US8 miai Forida US9 Rio de Janeiro Rio de Janeiro brazi

10 bogo caia Disri cooia

ToP 10 mAJOR AmERIcAN cItIES OF tHE FUtURE 2013/14 HUmAN RESOURcESRANK ciTy STATe couNTRy

1 Boo Mh us

2 Ne Yor Ne Yor US3 washingon Disri of couia US4 Aana Georgia US5 los Angees caifornia US6 chiago Iinois US7 San Franiso caifornia US

8 San Diego caifornia US9 Houson texas US10 torono Onario canada

ToP 10 mAJOR AmERIcAN cItIES OF tHE FUtURE 2013/14 cOSt EFFEctIvENESSRANK ciTy STATe couNTRy

1 lm lm Pr

2 Saniago Saniago chie3 Quio pihinha Euador4 puea puea mexio5 Guayaqui Guayas Euador6 Guadaajara Jaiso mexio7 monerrey Nueo leon mexio8 la paz la paz boiia9 Sana cruz Sana cruz boiia10 mexio ciy Federa Disri mexio

mAJOR AmERIcAN cItIES OF tHE FUtURE

nw York

So Paulo witnessed a 4% increase in 2012 andattracted 10% more FDI than New York.

Demonstrating its entrepreneurial instincts,an increase in patents granted to inventorshelped place San Francisco third in economicpotential among major cities. The year 2012 sig-nified Torontos best for FDI since fDi Marketsrecords began in 2003. Ranking fourth for eco-nomic potential, Toronto was a key destinationin the region, with FDI up 40% in 2012.

San Jose, California, the largest city withinthe world-renowned Silicon Valley, was namedBest Large American City for Economic Poten-tial. Home to some of the worlds most cutting-edge companies, San Jose continues to attractglobal investors, and exhibits strong patent andGDP growth f igures. Canadian cities Vancouverand Calgary followed in second and third,respectively, registering the top FDI figuresamong large cities. Both locations have main-tained a year-on-year growth since 2009.

This year, fDi Magazine introduced a newMid-Sized City category. Saltillo in Mexico wasthe top-performing mid-sized city for economicpotential across North and South America, withstrong GDP growth helping to entice investors.Automotive-related investments included a new

manufacturing plant by the US-based IMMI, anda $500m expansion of existing manufacturingfacilities by the Chrysler Group. Mississauga inCanada, which is home to more than 60 of theFortune 500 companies, ranked second in eco-nomic potential in the mid-sized category, withSalt Lake City (the US) placing third.

Sunnyvale, California, is named as the BestSmall City for Economic Potential again this year.Also located within the Silicon Valley area, Sun-nyvales attraction as a destination is enhancedby the presence of global companies such asYahoo! and Advanced Micro Devices, which areheadquartered in the city. With strong R&D capa-

bilities and high GDP growth, the city is posi-tioned ahead of Durham in North Carolina.

Of the micro cities analysed, Heredia inCosta Rica had the best economic potential.Heredia attracted 24 FDI projects between 2006and 2012, of which more than one-third were


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ToP 10 mAJOR AmERIcAN cItIES OF tHE FUtURE 2013/14 INFRAStRUctURERANK ciTy STATe couNTRy


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San Franiso caifornia US3 Houson texas US4 los Angees caifornia US5 boson massahuses US6 torono Onario canada7 phiadehia pennsyania US8 miai Forida US9 washingon Disri of couia US10 monrea Quee canada

ToP 10 mAJOR AmERIcAN cItIES OF tHE FUtURE 2013/14 FDI StRAtEGYRANK ciTy STATe couNTRy

1 Mor qb cd

2 torono Onario canada3 managua managua Niaragua4 chiago Iinois US5 Guadaajara Jaiso mexio6 phoenix Arizona US7 buenos Aires buenos Aires Argenina8 barranquia Anio cooia9 Rio de Janeiro Rio de Janeiro brazi

10 cai vae de caua cooia

ToP 10 lARGE AmERIcAN cItIES OF tHE FUtURE 2013/14 OvERAllRANK ciTy STATe couNTRy

1 Vovr Brh comb cd

2 cagary Aera canada3 Ausin texas US4 Oaa Onario canada5 Edonon Aera canada6 porand Oregon US7 charoe Norh caroina US8 San Jose caifornia US9 Orando Forida US10 las vegas Neada US

lARGE AmERIcAN cItIES OF tHE FUtURE

ToP 10 mAJOR AmERIcAN cItIES OF tHE FUtURE 2013/14 bUSINESS FRIENDlINESSRANK ciTy STATe couNTRy


2 torono Onario canada3 monrea Quee canada4 Saniago Saniago chie5 Houson texas US6 Aana Georgia US7 miai Forida US8 San Franiso caifornia US9 bogo caia Disri cooia10 mexio ciy Federa Disri mexio

involved in manufacturing activities. Waterlooin Canada experienced the greatest growth inFDI of the micro cities, placing it second, withthe US city of Wilmington, Delaware, in third.

Bstn t stnt magntBoston ranked as the Best Major American Cityfor Human Resources 2013/14. Given its closeproximity to world-class universities such asHarvard and the Massachusetts Institute ofTechnology, Boston has branded itself as a stu-dent magnet. New York followed Boston in sec-ond, with Washington, DC, and Atlanta claim-ing third and fourth place respectively. Nine ofthe top 10 consisted of US cities, with the onlyCanadian city, Toronto, placed in 10th position.

Minneapolis had the best offering of humanresources among the large cities analysed, with

the highest proportion of its labour force edu-cated to tertiary level (53%), followed by Austinin second. Portland, Seattle and Denver com-pleted the top five.

Salt Lake City topped the human resourcescategory among mid-sized cities. Salt Lake Cityenjoys a highly educated workforce, thanks tothe local University of Utah, which ranks amongthe worlds top 100 universities. Its attractivelabour market combined with good quality oflife should continue to attract investors. Secondplace belongs to the city of Raleigh, North Caro-lina. Lying in close proximity to the ResearchTriangle that is home to R&D-related organisa-tions such as IBM and Cisco Systems, Raleigh isviewed as an attractive destination due to itsquality of life, educational offerings and the clus-ter of highly reputable companies in the region.

Ann Arbor, Michigan, has been awarded theBest Small City for Human Resources. Of the 422cities analysed byfDiMagazine, it was shown tohave one of the most educated workforces, ofwhich almost three-quarters have reached ter-tiary level education. The University of Michiganemploys about 30,000 people, and is a major key-stone of the city. Investors are attracted to thearea as a result of the universitys R&D activitiesand its graduates. According to fDi Markets,almost two-thirds of FDI into Ann Arbor was

invested in R&D. Irvine, California, and Fort Col-lins, Colorado, followed Ann Arbor, in secondand third place among small cities.

Of the micro cities, Waterloo, Canada, hastopped the human resources category. Sitedwithin Canadas Technology Triangle, Waterlooboasts the largest presence of students out of themicro cities analysed. According to fDi Markets,Waterloo has attracted R&D investments fromboth Google USA and Mahindra Satyam, India.Gahanna, Ohio, and Bismarck, North Dakota,took the respective second and third spots.

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The Peruvian capital of Lima has been named asthe Best Major American City for CostEffectiveness 2013/14. Figures from fDiBenchmark indicate that wage costs in Limaare among the lowest of major American cities,cementing its top position. Following a dec-


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ToP 10 lARGE AmERIcAN cItIES OF tHE FUtURE 2013/14 EcONOmIc pOtENtIAlRANK ciTy STATe couNTRy

1 s Jo cfor us

2

vanouer briish couia canada3 cagary Aera canada4 Ausin texas US5 charoe Norh caroina US6 porand Oregon US7 Oaa Onario canada8 San Jos San Jos cosa Ria9 Edonon Aera canada10 baiore maryand US

ToP 10 lARGE AmERIcAN cItIES OF tHE FUtURE 2013/14 HUmAN RESOURcESRANK ciTy STATe couNTRy

1 Mpo Mo us

2 Ausin texas US3 porand Oregon US4 Seae washingon US5 Dener coorado US6 Orando Forida US7 S louis missouri US8 Nashie tennessee US9 charoe Norh caroina US10 San Jose caifornia US


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ToP 10 lARGE AmERIcAN cItIES OF tHE FUtURE 2013/14 INFRAStRUctURERANK ciTy STATe couNTRy

1 s Whgo us

2 San Jose caifornia US3 vanouer briish couia canada4 baiore maryand US5 taa Forida US6 Jasonie Forida US7 Saraeno caifornia US8 Orando Forida US9 Oaa Onario canada10 cagary Aera canada

ToP 10 lARGE AmERIcAN cItIES OF tHE FUtURE 2013/14 bUSINESS FRIENDlINESSRANK ciTy STATe couNTRy

1 Vovr Brh comb cd

2 cagary Aera canada3 Edonon Aera canada4 Oaa Onario canada5 Ausin texas US6 Seae washingon US7 cininnai Ohio US8

las vegas Neada US9 Asunin Asunin paraguay10 San Jose caifornia US

ToP 10 lARGE AmERIcAN cItIES OF tHE FUtURE 2013/14 cOSt EFFEctIvENESSRANK ciTy STATe couNTRy

1 Pm cy Pm Pm

2 Asunin Asunin paraguay3 San luis poos San luis poos mexio4 Juarez chihuahua mexio5 Aguasaienes Aguasaienes mexio6 Zaoan Jaiso mexio7 torren coahuia mexio8 leon Guanajuao mexio9 tijuana baja caifornia mexio10 Eaee mxio mexio

ToP 10 lARGE AmERIcAN cItIES OF tHE FUtURE 2013/14 FDI StRAtEGYRANK ciTy STATe couNTRy

1 Ow Oro cd

2 Edonon Aera canada3 las vegas Neada US4 cagary Aera canada5 pisurgh pennsyania US6 San Jos San Jos cosa Ria7 kansas ciy missouri US8 San Saador San Saador E Saador9 Jasonie Forida US10 Ausin texas US

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ade of record-high growth, Perus economy hasremained strong and resilient despite theglobal economic difficulties. Asian demand forcopper and gold, combined with increased con-sumer spending from the emerging middleclass, has aided an annual GDP growth in Peruof 6.7% (October 2012). Lima has been a keyplayer driving this economic growth. Accordingto its American Cities of the Future submission,the private investment promotion agencyProinversin states that Lima is now responsi-ble for 50% of Perus total production.

The Chilean capital, Santiago, claimed sec-ond place in cost effectiveness. Its performancein this years rankings is boosted by the coun-trys low corporation tax rates, as well as lowcosts associated with importing and exporting.It was followed in third place by Quito, Ecuador,whose low office rental costs, low wages andcheap petrol prices have contributed to its rise inposition from the previous ranking.

The title of Best Large American City for CostEffectiveness 2013/14 has gone to Panama City.By comparison with other large cities across theAmericas region, Panama City enjoys both lowwages and low costs for imports and exports. Akey driver of the success experienced in the cityis the Panama Canal, which links the Pacific and

Atlantic oceans. A project to expand the canal,combined with the 2012 enforcement of thefree-trade agreement with the US, is expected toboost and extend economic growth in PanamaCity for some time.

Asuncin in Paraguay ranked second behindPanama City, with San Luis Potosi, Mexico,claiming third. The remainder of the large citiesin the cost-effectiveness category was made up ofMexican cites, enforcing the countrys positionas a low-cost production haven. In 2012, Mexicoranked fourth globally for manufacturing FDIprojects after the US, China and India, attractingalmost 5% of global manufacturing FDI.

Among the mid-sized cities in the cost-effec-tiveness category, Peru, Chile and Mexico domi-nated, with Perus Piura at the top, followed byChiles Valparaso and Trujillo, Peru, in secondand third, respectively. Cuenca in Ecuador wasthe best small city in terms of cost effective-


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ToP 10 mID-SIZED AmERIcAN cItIES OF tHE FUtURE 2013/14 OvERAllRANK ciTy STATe couNTRy

1 Mg Oro cd

2 london Onario canada3 Haion Onario canada4 Quee ciy Quee canada5 virginia beah virginia US6 Ne Oreans louisiana US7 Surrey briish couia canada8 braon Onario canada9 Auquerque Ne mexio US10 Rihond virginia US

ToP 10 mID-SIZED AmERIcAN cItIES OF tHE FUtURE 2013/14 EcONOmIc pOtENtIAlRANK ciTy STATe couNTRy

1 so coh Mxo

2 mississauga Onario canada3 Sa lae ciy Uah US4 Ne Oreans louisiana US5 Joinie Sana caarina brazi6 chander Arizona US7 london Onario canada8 Raeigh Norh caroina US9 virginia beah virginia US10 wihia kansas US

ToP 10 mID-SIZED AmERIcAN cItIES OF tHE FUtURE 2013/14 HUmAN RESOURcESRANK ciTy STATe couNTRy

1 s lk cy uh us

2 Raeigh Norh caroina US3 chander Arizona US4 Honouu Haaii US5 coorado Srings coorado US6 Oaha Nerasa US7 Sain pau minnesoa US8 Auquerque Ne mexio US9 Anhorage Aasa US

10 Oaand caifornia US

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mID-SIZED AmERIcAN cItIES OF tHE FUtURE

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ness. Atlacomulco in Mexico came top amongthe micro cities.

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New York has once again been named BestMajor American City for Infrastructure. Itsmajor airports connect passengers to morethan 127 international destinations, itsrenowned subways carry over 1.5 billion com-muters each year, and it is home to one of thebiggest ports in the world. Although aspects ofthe citys infrastructure struggled in the wakeof Hurricane Sandy in late 2012, according tothe American Cities of the Future submissionby the New York City Economic DevelopmentCorporation, the city has adopted an aggressiveseries of strategies to transform its physicalinfrastructure to maintain global competitive

advantage. In the latest adopted budget, NewYork made five-year capital commitments toinfrastructure, totalling about $40bn. SanFrancisco and Houston took second positionamong major cities in the infrastructure cate-gory, with both cities benefiting from major airand sea transport links.

The coastal sea port of Seattle topped the cat-egory for best infrastructure among large cities.Home to the ninth largest port in North Americain terms of container handling, Seattle contin-ues to be a major gateway for trade with Asia. SanJose, California, and Vancouver, Canada, fol-lowed Seattle in second and third position,respectively. Although ranked sixth in this yearsinfrastructure category, Jacksonville, Florida, hasimplemented a strategy that focuses on its keystrengths in logistics. In its American Cities ofthe Future submission, Jacksonville has adoptedthe strap line: Americas logistic centre, promot-ing its strategic geographic location with itsaccess to major ports, three major interstates,three major railroads and an international air-port in anticipation of increased port traffic asa result of the Panama Canal expansion.

Of the smaller city winners in the infrastruc-ture category, most are located in close proxim-ity to major ports and airports in neighbouringcities. Oakland and Long Beach both in Califor-

nia claimed the top two positions in the


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ToP 10 mID-SIZED AmERIcAN cItIES OF tHE FUtURE 2013/14 INFRAStRUctURERANK ciTy STATe couNTRy

1 Okd cfor us

2 long beah caifornia US3 Norfo virginia US4 mississauga Onario canada5 virginia beah virginia US6 chesaeae virginia US7 Surrey briish couia canada8 braon Onario canada9 Haion Onario canada10 Honouu Haaii US

ToP 10 mID-SIZED AmERIcAN cItIES OF tHE FUtURE 2013/14 bUSINESS FRIENDlINESSRANK ciTy STATe couNTRy

1 Mg Oro cd

2 braon Onario canada3 laa Quee canada4 Quee ciy Quee canada5 london Onario canada6 Surrey briish couia canada7 winnieg manioa canada8 Haion Onario canada

9 Haifax Noa Soia canada10 Gaineau Quee canada

ToP 10 mID-SIZED AmERIcAN cItIES OF tHE FUtURE 2013/14 FDI StRAtEGYRANK ciTy STATe couNTRy

1 Hmo Oro cd

2 Quee ciy Quee canada3 buffao Ne Yor US4 mississauga Onario canada5 london Onario canada6 Surrey briish couia canada7 Anhorage Aasa US8 pereira Risarada cooia9 Oregon Sonora mexio10 tusa Oahoa US

Okd, cfor

mid-sized category, benefiting from the trans-

portation links offered by Los Angeles and thesurrounding area. New Jerseys Elizabeth andNewark and New Yorks Yonkers ranked as thetop three small cities with the best infrastruc-ture; all are situated within a 32-kilometreradius of New York. Wilmington, Delaware, hadthe best infrastructure of the micro cities, bene-fiting from its position within the metropolitanarea of Philadelphia.

Bsnss-rnl canaaA sound financial system, relatively low corpo-ration tax rates and an open and affluent econ-omy have resulted in Canadian cities dominat-ing the category for business friendliness acrossall city sizes. However, a high concentration oftop global companies, top world banks and con-tinued expansion of existing FDI activities havehelped New York win the award of Best MajorAmerican City for Business Friendliness 2013/14.Of the Financial Times Global 500 companies,25 were headquartered in New York, along with14 of the worlds top 1000 banks, according toThe Banker magazines annual ranking.

Coming in second, Torontos business-friendly environment is encapsulated in InvestTorontos American Cities of the Future submis-sion, which states: When stable, transparentfinancial and regulatory systems combine with

a society that enjoys some of the most advancedfreedoms in the world, it creates an environ-ment for success. Placed in third, Montrealssuccess lies in retaining and developing relation-ships with existing investments data from fDiMarkets shows that one in five FDI projects since2003 were expansions.

With virtually no restrictions on foreigninvestment, low corporation tax rates and highlevels of economic freedom, Santiago in Chilewas ranked the fourth most business-friendlycity across the Americas region, and the top inLatin America among major cities. Santiago uti-lises this advantage to encourage potential

investors, as is evident in its American Cities ofthe Future submission: Santiago is viewedtoday as a haven for foreign capital in times ofcrisis due to its characteristics: security andtransparency, as well as its competitiveness andexcellent business projections.

ToP 10 mID-SIZED AmERIcAN cItIES OF tHE FUtURE 2013/14 cOSt EFFEctIvENESSRANK ciTy STATe couNTRy

1 Pr Pr Pr

2 vaaraso vaaraso chie3 trujio la lierad peru4 Arequia Arequia peru5 mazaan Sinaoa mexio6 Durango ciy Durango mexio7 moreia mihoan mexio8 tuxa Guirrez chiaas mexio9 merida Yuan mexio10 Saio coahuia mexio


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ToP 10 SmAll AmERIcAN cItIES OF tHE FUtURE 2013/14 cOSt EFFEctIvENESSRANK ciTy STATe couNTRy

1 c azy edor

2 Guayas Sonora mexio3 coia coia mexio4 Nogaes Sonora mexio5 Anofagasa Anofagasa chie6 poosi poosi boiia7 Neuquen Neuquen Argenina8 coodoro Riadaia chuu Argenina9 Sora cear brazi10 Aosford briish couia canada

ToP 10 SmAll AmERIcAN cItIES OF tHE FUtURE 2013/14 EcONOmIc pOtENtIAlRANK ciTy STATe couNTRy

1 syv cfor us

2 Durha Norh caroina US3 Irine caifornia US4 chaanooga tennessee US5 Saford conneiu US6 Gueh Onario canada7 For lauderdae Forida US8 cary Norh caroina US9 Ann Aror mihigan US10 Freon caifornia US

ToP 10 SmAll AmERIcAN cItIES OF tHE FUtURE 2013/14 HUmAN RESOURcESRANK ciTy STATe couNTRy

1 a arbor Mhg us

2 Irine caifornia US3 For coins coorado US4 Naerie Iinois US5 pasadena caifornia US6 Sunnyae caifornia US7 Eugene Oregon US8

proo Uah US9 Aexandria virginia US10 cary Norh caroina US

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Canadian cities were awarded top posi-tions for business friendliness in various citysize categories: Vancouver ranked top of thelarge cities, with Mississauga top of the mid-sized cities. Victoria came top among small cit-ies, and Waterloo was positioned just ahead ofDelta in the micro cities.

Mntral tps stratg lstThe prize for Best Major American City for FDIStrategy 2013/14 is awarded to Montreal. Itbeat 126 competitors across North and SouthAmerica who submitted information regard-ing their FDI strategies. In its American Citiesof the Future submission, economic develop-ment agency Montral International statedthat its economic development strategy hascentred predominantly around high-tech clus-ters, and in particular aerospace, life sciencesand health technologies, as well as informa-tion and communications technology (ICT).Elie Farah, vice-president of InvestmentGreater Montral, says: The year 2011 was oneof the best for Montral International in termsof attracting FDI since 2005. This is partiallyexplained by the investments from Europewhich, in the past two years, have become themain source of FDI in the region.

Toronto has taken second place for FDI strat-

egy, and its submission points to the citys role asa major player in the North American market. Itsaid: Toronto is the financial services capital ofCanada, and the fastest growing financial centrein North America... the Toronto region boastsNorth Americas third largest ICT cluster.

The Nicaraguan capital Managua rankedthird for FDI strategy among major cities. In itssubmission, investment agency PRONicaraguarevealed the strategies that are currently beingimplemented to convince potential investorsthat Nicaragua and Managua in particular is adestination worth considering. One such strategyis the creation of a special public-private commis-

sion that will work closely with the World Bankto develop initiatives and policies to improve thecountrys business climate and foster the inflowof investment. The top 10 major cities with thebest FDI strategies also featured Chicago andPhoenix in the US, Guadalajara in Mexico,

SmAll AmERIcAN cItIES OF tHE FUtURE

ToP 10 SmAll AmERIcAN cItIES OF tHE FUtURE 2013/14 OvERAllRANK ciTy STATe couNTRy

1 Vor Brh comb cd

2 Sunnyae caifornia US3 Rihond briish couia canada4 pasadena texas US5 Rihond Hi Onario canada6 Irine caifornia US7 lafayee louisiana US8 Near Ne Jersey US9 S Johns Nefoundand & larador canada10 Sherrooe Quee canada

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ToP 10 SmAll AmERIcAN cItIES OF tHE FUtURE 2013/14 INFRAStRUctURERANK ciTy STATe couNTRy

1 ezbh nw Jry us

2 Yoners Ne Yor US3 Near Ne Jersey US4 Saford conneiu US5 Jersey ciy Ne Jersey US6 paerson Ne Jersey US7 pasadena texas US8 Freon caifornia US9 Hayard caifornia US10 vaejo caifornia US

ToP 10 SmAll AmERIcAN cItIES OF tHE FUtURE 2013/14 bUSINESS FRIENDlINESSRANK ciTy STATe couNTRy

1 Vor Brh comb cd

2 caridge Onario canada3 marha Onario canada4 Rihond Hi Onario canada5 buringon Onario canada6 Oaie Onario canada7 Anofagasa Anofagasa chie8 Rihond briish couia canada9 Sherrooe Quee canada10 Gueh Onario canada

37Apri/may 2013 www.fDiIneigene.o


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ToP 10 mIcRO AmERIcAN cItIES OF tHE FUtURE 2013/14 OvERAll

RANK ciTy STATe couNTRy

1 Frdro nw Brwk cd

2 Greenie Souh caroina US3 Rihardson texas US4 piering Onario canada5 kaoos briish couia canada6 waeroo Onario canada7 wooser Ohio US8 Idaho Fas Idaho US9 wiingon Deaare US10 Greenie Norh caroina US

mIcRO AmERIcAN cItIES OF tHE FUtURE

Frdro, nw Brwk

ToP 10 SmAll AmERIcAN cItIES OF tHE FUtURE 2013/14 FDI StRAtEGYRANK ciTy STATe couNTRy

1 lfy lo us

2 windsor Onario canada3 Rihond Hi Onario canada4 Sherrooe Quee canada5 vioria briish couia canada6 Rihond briish couia canada7 S caharines Onario canada8 bronsie texas US9 Guayas Sonora mexio10 Nogaes Sonora mexio


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ToP 10 mIcRO AmERIcAN cItIES OF tHE FUtURE 2013/14 INFRAStRUctURERANK ciTy STATe couNTRy

1 Wmgo Dwr us

2 Norh vanouer briish couia canada3 Sana Fe Srings caifornia US4 Souh Gae caifornia US5 Dea briish couia canada6 piering Onario canada7 langey briish couia canada8 Reenigny Quee canada9 Sain-Jean-Sur-Riheieu Quee canada10 Rihardson texas US

ToP 10 mIcRO AmERIcAN cItIES OF tHE FUtURE 2013/14 cOSt EFFEctIvENESSRANK ciTy STATe couNTRy

1 aomo Mxo Mxo

2 Heredia Heredia cosa Ria3 Sana Ana San Jos cosa Ria4 Aajuea Aajuea cosa Ria5 caana buenos Aires Argenina6 Iaiaia Rio de Janeiro brazi7 Sain-Jean-Sur-Riheieu Quee canada8 Nanaio briish couia canada

9 langey briish couia canada10 kaoos briish couia canada

ToP 10 mIcRO AmERIcAN cItIES OF tHE FUtURE 2013/14

HUmAN RESOURcESRANK ciTy STATe couNTRy

1 Wroo Oro cd

2 Gahanna Ohio US3 bisar Norh Daoa US4 meridian Idaho US5 Rihardson texas US6 beoi wisonsin US7 Greenie Souh caroina US8 Greenie Norh caroina US9 pasurgh Ne Yor US10 poaeo Idaho US

Buenos Aires in Argentina, Rio de Janeiro in Bra-zil, and Barranquilla and Cali in Colombia.

Of the large cities, Ottawa in Canada rankedtop of the FDI Strategy category. Invest Ottawa

stated that the city is innovating, collaboratingand moving at the speed of industry to achievesustainable economic growth. According to itssubmission, Ottawa is already reaping therewards of initiatives launched in 2012, withmany multinational expanding their presencein the city. Edmonton was placed second, andsummarised its appeal as Canadas economicand entrepreneurial powerhouse.

Even though Las Vegas in the US was one ofthe areas hardest hit by the economic downturn,the city was ranked third for FDI Strategy amonglarge cities. In its submission, Las Vegas pointedto signs of recovery, with the city centre experi-

encing a renaissance and an abundance of busi-ness activity. It also stated: More than $754min projects came to fruition in 2012 alone.Rounding off the top 10 were Canadas Calgary,along with San Jos in Costa Rica, San Salvadorin El Salvador, and the US cities Pittsburgh, Kan-sas City, Jacksonville and Austin.

Hamilton, Canada, was awarded the BestMid-Sized American City for FDI Strategy2013/14 title. One of Hamiltons key goals is thediversification of its industrial base in favour ofhigh-growth sectors, including food and bever-age manufacturing, clean technology, healthsciences and creative industries. Positioned sec-ond, Qubec International claims that diversi-fying its economy and developing various sec-tors of excellence have ensured Quebec City anenviable position on the world stage. Of thetop 10 small cities, only Pereira in Colombiaand Obregn in Mexico featured from the LatinAmerican region.

Using its marketing slogan Innovation withan accent, Lafayette in Louisiana was awardedthe prize for top small city with the best FDIStrategy, with Windsor and Richmond Hill both in Canada taking second and third place,respectively. Among the micro cities, CanadasKamloops ranked top. In a more competitive cli-mate, Venture Kamloops is gearing up for future

opportunities to attract FDI by mapping outhigh-speed fibre networks, airport developmentand fostering of international linkages.Wooster, Ohio and Greenville, Southern Califor-nia complete the top three best micro cities inthis years FDI Strategy category.

In a weakened global economy, US, Brazilianand Canadian cities continue to attract the lionsshare of FDI into the Americas region. However,cities in Mexico, Colombia and Chile are offeringa more competitive deal than ever to enticepotential investors, and many governments andinvestment agencies are implementing initia-tives to improve infrastructure, business regula-

tions and financial incentives. With global FDIfigures declining, investment promotion agen-cies will need to understand the changing FDIlandscape and offer investors information onadvantages unique to their location in order tostand out from the crowd.

ToP 10 mIcRO AmERIcAN cItIES OF tHE FUtURE 2013/14 EcONOmIc pOtENtIAlRANK ciTy STATe couNTRy

1 Hrd Hrd co R

2

waeroo Onario canada3 wiingon Deaare US4 pasurgh Ne Yor US5 Greenie Souh caroina US6 Frederion Ne brunsi canada7 Iaiaia Rio de Janeiro brazi8 Sana Ana San Jos cosa Ria9 Rihardson texas US10 Aajuea Aajuea cosa Ria


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ToP 10 mIcRO AmERIcAN cItIES OF tHE FUtURE 2013/14 bUSINESS FRIENDlINESSRANK ciTy STATe couNTRy

1 Wroo Oro cd

2

Dea briish couia canada3 Sana Fe Srings caifornia US4 Norh vanouer briish couia canada5 Frederion Ne brunsi canada6 langey briish couia canada7 piering Onario canada8 branford Onario canada9 Red Deer Aera canada10 Sarnia Onario canada

ToP 10 mIcRO AmERIcAN cItIES OF tHE FUtURE 2013/14

FDI StRAtEGYRANK ciTy STATe couNTRy

1 Kmoop Brh comb cd

2 wooser Ohio US3 Greenie Souh caroina US4 Frederion Ne brunsi canada5 piering Onario canada6 Idaho Fas Idaho US7 Janesie wisonsin US8 Greenie Norh caroina US9 Rihardson texas US10 Aaouo mexio mexio


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ecOnOMic POtentialPopulationgrowthforecastGDPGDPpercapitaGDPgrowth(2009-10)Unemploymentrate

OutwardFDIOutwardFDIper100,000people InwardFDI InwardFDIper100,000peopleGrowthinthenumberofinwardFDI

rojesGrowthinthenumberofpatentsNumberofpatentsper100,000people InwardFDIinresearchand

deeoen, and design, deeoenand esing

InwardFDIinmanufacturingMegaprojectsbycapitalexpenditure(morethan$100m)

Megaprojectsbycapitalexpenditureper100,000people(morethan$100m)

Megaprojectsbyjobs(morethan1000jobs)

Megaprojectsbyjobsper100,000people(morethan1000jobs)

Globalcompetitivenessindex

InflationHuMan ResOuRcesNumberofstudentsTop500universitiesTop500universitiesper100,000

eoeQualityoftop500universitiesNumberofbusinessschoolsinglobal

MBArankings(2012)Numberofinternationalbaccalaureate

shoosLabourforce(%ofpopulation)Labourforcewithtertiaryeducation(%)Braindrain

fDbenhars Quaiy of life raningcOst eFFectiVenessGlobalgrade5salary($)Globalgrade10salary($)Globalgrade14salary($)AnnualrentforprimegradeAofficespace($persquaremetre)

AnnualrentforprimegradeAindustrialspace($persqm)

Electricity(UScentsperkilowatthour)Three-andfour-starhotelsincitycentre

oaionPetrolpricesMinimumwageCosttoexportCosttoimportCostofestablishingabusinessCorporationtaxrateinFRastRuctuRe

Uploadspeed(kilobytes/second)Downloadspeed(kilobytes/second)Numberofairportsservingthecity(withinan80-kilometreradius)

DistancetonearestairportNumberofinternationaldestinations

seredNumberoflargeports(within100kilometres)

Numberofverylargeports(within100kilometres)

Numberofmediumports(within100kilometres)

NumberofTop100portsbycargooue

NumberofTop100portsbycontainerraffi

LogisticsperformanceindexNetworkreadinessindexEnvironmentalperformanceindexBusiness FRienDlinessNumberofcompaniesinthe

noedge-ased seorProportionofcompaniesinthe

noedge-ased seorNumberofcompaniesinthe

noedge-ased seor er 100,000eoe

JobscreatedbyinwardFDINumberofexpansion/co-locationFDI

rojesTop1000worldbanksCorporationtaxrateDaystakentostartabusinessFiringcosts

EaseofdoingbusinessEconomicfreedomCorruptionperceptionStrengthofinvestorprotectionCreditratingNumberofFinancialTimesGlobal500

oanies

Inforaion oeed y fDbenhar.

LiST of dATAPoiNTS

JudGiNGPANeL

dANieL MALAchuKIndeendenonsuan, usinessdeoyen and FDI

MiGueL NoyoLAparner, baer &mkenzie llp

doN A hoLBRooKmanaging arner,sie oaion andui inenies,the verias Grou

Joe PhiLLiPSmanaging onsuan,

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JAcqueLiNe WALLSSenior inesenanays, fD Ineigene

MeThodoLoGyTo create the shortlist forfDis American Cities of theFuture 2013/14, fDisresearch team collecteddata using the specialistonline FDI tools fDi Bench-mark and fDi Markets, aswell as other sources.

Data was collected for

422 cities under five cate-gories: Economic Potential,Human Resources, CostEffectiveness, Infrastruc-ture and Business Friendli-ness. A sixth category wasadded: FDI Strategy. In thiscategory, 127 cities submit-ted details about their cur-rent strategy for FDI pro-motion and this was scoredbyfDis judging panel. Cit-ies scored up to a maxi-mum of 10 points undereach datapoint, which wasweighted by importance tothe FDI decision-makingprocess in order to compile

both the subcategory rank-ings as well as the overallAmerican Cities of theFuture 2013/14 ranking.

PoPuLATioNcATeGoRieSFor the 2013/14 ranking,fDi introduced new popu-lation category parameters.

To categorise cities,fDi

took into account both thepopulation of the immedi-ate city area and that of themetropolitan area.

Majr (49 ts)The cities in this categoryhad an immediate city pop-ulation of more than750,000 people plus a met-ropolitan area of more than2 million, or a metropolitanarea of more than 4 million.

Larg (52 ts)This category includedthose cities with an imme-

diate city population ofmore than 500,000 plus ametropolitan area of morethan 1 million, or a metro-politan area of more than 2million people.

M-sz (80 ts)The cities in this categoryhad an immediate city

population of more than200,000 people plus a met-ropolitan area populationof more than 750,000, oran immediate city popula-tion of more than 350,000people.

Small (196 ts)Cities categorised as smallhad an immediate city pop-ulation of between 100,000and 350,000.Mr (43 ts)Micro cities had an imme-diate city population offewer than 100,000.


american cities of the future 2013 and 2014

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