By Virginia Crowley, TNECD Director of Business Development, Italy and Spain
Behind every foreign direct investment decision are people.
Companies may evaluate markets based on workforce, infrastructure, taxes and access to customers. But when they are considering international expansion, they are also deciding where they can build relationships, find trusted partners and create the right conditions for long-term success.
That human element has become increasingly important in today’s complex geopolitical environment, where businesses are navigating uncertainty and making long-term decisions against a constantly changing backdrop.
In my role representing TNECD in Italy and Spain, I have seen how effective economic development goes beyond presenting a compelling business case. It requires understanding a company’s ambitions, building trust and identifying opportunities that may not be immediately apparent.
Beyond the Numbers
Industry statistics provide an essential starting point for investment decisions, but they are only part of the story.
One significant shift in my approach has been maintaining consistent engagement with prospective investors, even when they may not yet be ready to make an investment decision.
In the current climate, many companies are taking the time to gather information, analyze their options and better understand the opportunities that may lie ahead while waiting for greater stability and predictability.
That is why staying engaged matters. By continuing the conversation, understanding changing priorities and helping companies explore possibilities beyond their immediate objectives, we can build credibility and trust long before a concrete investment decision is made.
Companies may initially approach Tennessee with a specific objective in mind, yet, through conversations that explore its capabilities and long-term ambitions, other opportunities may emerge like complementary industries, new supply-chain connections or partnerships with local institutions.
One example I consistently share with prospective investors, regardless of their industry, is Tennessee’s Tile Valley success story.
This naturally developed industrial cluster is a relatively rare example in the United States of a concentration of specialized manufacturers and is very similar to the European industrial district model.
The cluster’s success is encouraging, but what makes its story especially valuable is the way Tennessee responded to the challenges its companies faced.
When Governor Bill Lee met with leading manufacturers in the cluster, workforce development emerged as a key concern. The state responded by helping create a specialized ceramics workforce training program that was introduced across multiple Tennessee Colleges of Applied Technology campuses.
To me, this illustrates the human dimension of economic development.
TNECD’s value is not limited to presenting opportunities or providing support through predefined programs. It also lies in listening to companies, working alongside them and bringing the right people together to develop practical solutions.
For a foreign company evaluating a new market, this ability to listen, collaborate and respond to real business needs can be an enormous advantage. It demonstrates that behind Tennessee’s investment proposition is an ecosystem of people and institutions willing to work together to help businesses succeed throughout every phase of a project.
Beyond Industry Labels
Tennessee has clear industry strengths, and presenting where the state is particularly competitive is an essential part of my work. However, I have always been cautious about limiting conversations with prospective investors to the sectors they are traditionally associated with or assuming that certain industries naturally belong in specific regions of the United States.
The movement of companies across the country is a useful reminder that businesses continually reassess where they can find the right conditions to grow. Research tracking company relocations identified at least 12 moves from California to Tennessee since 2020, although that figure should not be interpreted as an official count of headquarters relocations alone.
This kind of mobility reflects a broader principle: Opportunity is not necessarily confined to the places or sectors with which a business has traditionally been associated.
International expansion involves different considerations and challenges, but the underlying question remains the same:
Where can a company find the right conditions to realize its ambitions?
I believe the answer often lies at the intersection of industries, capabilities and resources.
That means encouraging companies to make full use of the resources and expertise TNECD can offer. Our role is to help companies assess the market, understand the local ecosystem and identify a strategic position that goes beyond the most obvious choice.
Rather than simply presenting Tennessee’s strengths, the goal is to help each company understand how those strengths might translate into an opportunity for its own business.
For me, this is where economic development becomes more than a matter of matching industries to locations. It becomes an exercise in listening, connecting the dots and looking creatively at how a company’s capabilities can find the right place within a wider ecosystem.
That is the human side of foreign direct investment, and it is often where the most meaningful opportunities begin.