2011 3 16 int'l attraction


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As part of Team NEO’s ongoing international business attraction efforts, an International Session was held on March 16, 2011. The presentation provides an update on activities from Cleveland Plus Business Europe.

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2011 3 16 int'l attraction

  1. 1. International Business Attraction Update March 16, 2011
  2. 2. Agenda• Welcome• About Team NEO• International Business Attraction Update• Cleveland Plus Europe Results & Plans• What’s new in 2011• Q&A
  3. 3. About Team NEORegional Business Attraction Agent
  4. 4. Our BrandA collaboration of the business community, local chambers of commerce, government, non-profits, and colleges and universities committed to advancing the economy of Northeast Ohio
  5. 5. Team NEO: Regional Business Attraction The Sales Force for Northeast Ohio MissionTeam NEO advances Northeast Ohios economy by attractingbusinesses worldwide to the 16-county Cleveland Plus region Team NEO’s Strategic Focus Generate Execute Promote Regional Leads Leads Teamwork
  6. 6. Partners/Funders: The Greater Team 7
  7. 7. International Business Attraction Team NEO Strategic Choice• International business attraction; a key strategic choice within our 2009-2012 Team NEO Strategic Plan• Proactive international business attraction effort funded by grant provided by The Cleveland Foundation• Crafted a 3-year International Business Plan• Engaged Consulting Firm in Europe: “Cleveland Plus Europe” in February 2010• Retained International Business Attraction Director, Bernardine van Kessel in May 2010 8
  8. 8. Another Recent Win For The RegionRoechling – Plastic injection molding plant for auto industry – 123 jobs, $5.2 M payroll, $28.5 M capital investment – Parent company – Mannheim, Germany – Have existing facilities in US – Company has operations (another division) in NEO (Cleveland area)
  9. 9. Team NEO: Helping to Build the Business Case Services Provided by Team NEO to Roechling: – Regional site search – Tax comparison denoting operating and balance sheet impacts between the State of Ohio and Michigan – Quantitative research depicting the existing workforce (depth, location, commute patterns, training, compensation) – Quantitative research depicting the current trends for organized labor in the region – Quantitative and qualitative (direct dialogue with local industry leaders) story for the polymer and plastics industry – Coordinated assembly of state incentives – Assisted assembly of local incentives for Akron, Stow, Hudson
  10. 10. Many Contributors Help Make Success• City of Akron (Congrats!)• Cities of Stow and Hudson (making it a tough choice for Roechling)• Greater Akron Chamber• Summit County• State of Ohio• University of Akron• PolymerOhio• NEOTEC• Team NEO11
  11. 11. International Business Attraction Update 2010 Results 2011 Plan
  12. 12. Team NEO International Strategy• Support and leverage existing international economic development efforts in the region• Leverage State of Ohio‟s 11 Trade & Investment Offices worldwide• Proactively promote Northeast Ohio in select international markets while continuing to nurture opportunities that come to us through traditional lead generators
  13. 13. Team NEO International StrategyTarget Industries:• Consistent with domestic strategy: – Medical Devices – Advanced Energy – Aerospace – Polymers – Adding “mechatronics” (instruments & controls, metalworking or: “advanced manufacturing”) in 2011Target Geography:• Europe: source of more than 60% of current FDI• China: emerging, large market that cannot be ignored• Canada: largest US trading partner and close proximity to Ohio
  14. 14. International Efforts in China• Participated in the State of Ohio Business Development Mission to China (June 2010) – Met with 8 companies (advanced energy, automotive) – Generated 2 site visits – One lead has located in NEO --- Boneng (Twinsburg)• Participated in high-level, government-led China Delegation to Cincinnati (May 2010) - Resulted in one lead• Hosted Tianjin Province advanced energy mission to NEO (Aug. „10)
  15. 15. International Business Attraction Results 2010• FDI interest in Northeast Ohio is growing: 14 International leads in 2008 27 International leads in 2010 (+92%)• Half of all 2010 Team NEO wins were foreign-owned companies: • Ambaflex (Netherlands) • Ni Medical (Israel) • Genae (Denmark) • Boneng (China) • Green Processing (Canada) • Ardent (Taiwan)
  16. 16. Ambaflex: A Case Study• A Dutch manufacturer of conveyor belts for food & beverage industry• Lead came to Team NEO from the Ohio Brussels‟ Office – April 2010• Company also contacted NOCC• Met with company during NEO site visit to determine needs• Shared site information requests with Team NEO partners
  17. 17. Ambaflex: A Case Study (continued) • Visited Ambaflex Netherlands‟ headquarters – August 2010 • Specific requirement: Ambaflex needed to co-locate with a wet- coating company • Stark Development Board responded to region-wide inquiry with suitable partner opportunity • Ambaflex made partner selection in fall of 2010
  18. 18. Ambaflex: A Case Study (continued)• Currently employs 6 people and is expanding• Current investment: $600,000• Projected employment in 3 years: 15-17 people• Planning construction of 20,000 SF facility in Canton in 2012• Sources most of its components locally in NEO!
  19. 19. Ambaflex:Welcome to Northeast Ohio!
  20. 20. Investment Promotion Program for Northeast Ohio in Europe Approach of CLE+ Europe March 2011
  21. 21. Overall Objectives Creation of well-paid jobs Attraction of new technologies Filling gaps in Northeast Ohio`s local added value chain Strengthening the industrial and service infrastructure in the region Diversification of existing industries Leveraging technology and marketing synergies between foreign and local companies Potential for local universities and research institutes to cooperate with foreign companies and research institutes Qualitative growth for Northeast Ohio
  22. 22. ObjectivesThis we achieve through:  Identification and follow-up of corporate investment leads and projects.  Identification and follow-up of cooperation projects for companies.  Identification and follow-up of R&D cooperation from companies, universities, and research institutes.  Networking with public and private officials.  Preparation of delegation trips from Europe to Northeast Ohio as well as from Northeast Ohio to Europe.  Increase the image and awareness of Northeast Ohio as an attractive investment target.
  23. 23. Strategy and Approach of CLE+ Europe A long term CRM is the key success factor for investment promotion On average a mid-sized company invests every 5 years in new subsidiaries. Typical process of an investment decision (Example)
  24. 24. Strategy and Approach of CLE+ Europe Careful identification of the companies to be approached. Development of company individual business scenarios that present a successful implementation in Northeast Ohio. Repeated and systematic contact approach to the right companies and right people. Follow-up of potential projects - very professional and intensive is critical. Direct marketing is key – integrated into a comprehensive marketing program: trade shows, events, networking, etc.
  25. 25. Investment Promotion Program for Northeast Ohio in Europe 1. The Marketing Mix Direct Marketing Cooperation Trade Fair Matchmaking Visits Identification NortheastIntermediaries of Investors Ohio/Ohio Business Networking Delegation Visits to Europe Arranging Meetings for European Northeast Delegation Visits Ohio/Ohio to Northeast Officials in Ohio/Ohio Europe
  26. 26. Investment Promotion Program for Northeast Ohio in Europe 2. Direct MarketingIdentification of potential Investors through a systematic direct marketing approach • Development of Company Lists 1 • Individual Mailing 2 • Telephone Follow-up 3 • Sending Additional Information 4 • In-house Presentations 5 • Information fromTeam NEO 6 • Proposal / Negotiations 7 SUCCESS
  27. 27. Investment Promotion Program for Northeast Ohio in Europe 5. Trade Fair VisitsWell-prepared visits at trade shows generate contacts to potential investors There are many trade shows in Europe related to the target industries of Northeast Ohio. CLE+ Europe visited the following trade fairs in 2010 and will visit in 2011:  Hannover Fair 2010  BAU 2011  PowTech 2010  Ferroforma 2011  Waste to Energy 2010  Hannover Fair 2011  Intersolar 2010  Solarexpo – Greenbuilding 2011  ILA 2010  Interpack 2011  Husum WindEnergy 2010  EuroPCR 2011  K-Fair 2010  Laser World of Photonics 2011  Medica 2010  Intersolar Europe 2011  SPS/IPS/Drives 2010  Salon de L‟Aéronautique et de l‟Espace 2011  … CLE+ Europe identified most identified investment projects through contacts at trade shows.
  28. 28. Investment Promotion Program for Northeast Ohio in Europe 6. Intermediaries Networking Intermediaries are a high-value source of contacts to FDI projects. FINANCE / M&A SECTOR COMMUNITIES Investment Banks Industry Associations Other Banks Sector Experts / Consultants International Lawyers Sector Journalists Venture Capital companies Sector Magazines Auditors / Tax Advisory Companies Sector Event Organizers OTHER BUSINESS CONSULTANTS COMMUNITIES Chambers of Commerce Location Consultants Export Promotion Organisations Management Consultants Business Clubs Human Resources Consultants Online Communities Real Estate Consultants Other IPAsCLE+ Europe has access to PM&P’s comprehensive network and data bank of intermediaries in Europe
  29. 29. Investment Promotion Program for Northeast Ohio in Europe 3. Cooperation Matchmaking Type of cooperation projects  Distribution agreements Companies from your region  Production agreements targeting partnerships with firms  R&D agreements in foreign markets  Cross licensing outgoing  Financial investments General Aspects of the Incoming as well as Outgoing incoming cooperation services:  Pro-active promotion of these services abroad is Foreign companies targeting essential partnerships with firms from your region  Concentrate on selected clusters  Individual search for each project  Go-between services necessary – e.g. exchange of information, arranging meetings, first visit support, etc.  Support tools: e.g. data bank, questionnaires, standard letters, etc.
  30. 30. Investment Promotion Program for Northeast Ohio in EuropeActivities and Results of CLE+ Europe in 2010/2011 March 2011
  31. 31. Overall Results of our Activities Results March 2010 – January 2011Number of generated investment projects 1(Leads) 0 2Number of cooperation projects identified 1(Matchmaking Projects) 114Number of companies in our active company portfolioNumber of companies contacted 11 K
  32. 32. Our ApproachCLE+ Europe approached those Industry and Service Sectors …  …which expect high growth rates  …which show already high investment levels in the US  …which benefit from the Northeast Ohio location  …which fit into the added value chain in Northeast Ohio  …which are strong in the target country of our investment promotion
  33. 33. Our Approach Target groupsIn 2010, CLE+ Europe mainly focusedon the following sectors: Alternative energy, with focus on Rubber Medical Aerospace photovoltaic, bio- and wind and Plastics energy
  34. 34. Our Approach Trade Fair VisitsPersonal meetings at the following trade fairs: Trade Fair Month Hannover Fair 2010 April 23, 2010 Hannover Fair - the world‟s most important technology event PowTech 2010 International trade show for mechanical processing technologies April 29, 2010 and instrumentation Waste to Energy 2010 May 4, 2010 International trade show for bioenergy Intersolar 2010 June 09-11, 2010 International trade show for photovoltaic ILA 2010 June 10-11, 2010 International trade show for aerospace Husum WindEnergy 2010 September 22-24, 2010 International trade show for wind energy K-Fair 2010 October 27-29, 2010 International trade show for rubber and plastics Medica 2010 November 17-19, 2010 International trade show for medical SPS/IPS/Drives November 23, 2010 International trade show for automation BAU 2011 January 17, 19-20, 2011 International trade show for architecture, material and systems
  35. 35. Our Approach Intermediary NetworkingFederal Business Development Organizations bw-i Baden-Wurttemberg International wvib – Business Association of companies BadenCluster and Network Organizations Cyberforum (largest IT-Network in Germany)Industry Associations LVI – National Industry Association of the State of Baden-Wurttemberg
  36. 36. Our Approach Delegations/VisitsExample of the outcomes ofdelegations and visits in 2010August 2010 | Lucerne, SwitzerlandCleveland Orchestra Event:  7 Companies  3 Multipliers  5 Leads  2 Site visits completed  2 Site visits scheduled
  37. 37. Our ApproachSummary Results of Company Matchmaking Companies identified Team NEO Counties  21 completed Questionnaires  248 total potential partner companies identified  Companies located in 14 Counties
  38. 38. Our Approach Number of companies in our active company portfolio In 2010, CLE+ Europe created a portfolio of 114 companies which could have the potential for investments in Northeast Ohio in the future. CLE+ Europe will maintain Active contacts to this group of company companies by tracking the portfolio development of their individual businesses.
  39. 39. OurIn 2011 Approach Continued contact with high quality, new investment prospects throughout Europe. Follow up with existing leads and prospects. Intensive networking with multipliers on a European level, Trade Associations, Government Agencies and Economic Development Agencies. Continuous approach of existing target sectors throughout Europe, but also additional sectors such as Mechanical Engineering. Attending 10 trade shows throughout Europe. Reception at Medica 2011 in Dusseldorf, Germany in cooperation with State of Baden-Wurttemberg. Marketing and Networking event with the Cleveland Orchestra in Baden- Baden, Germany.
  40. 40. What’s new in 2011
  41. 41. What’s New in 2011• Complete international updates to our Team NEO website• Expand our European strategy to more countries• Utilize Cleveland Plus Europe for US Domestic trade fairs – MD&M- East -- NYC – BIO 2011 -- Wash. DC• Develop relationships with International Trade Development entities in the US -- Multipliers – GACC in Chicago – NFIA Chicago – Flemish Trade & Invest. – Etc.
  42. 42. What’s New in 2011• Attend the following International Trade Fairs: – MD&M East – NYC – InterSolar, Germany – Bio 2011 – Wash. DC – Off-Shore wind Fair, the Netherlands – Medica 2011- Germany• Cleveland Orchestra Event in Baden-Baden, Germany• Canada Outreach: – Invest in America Mission to Canada (Feb. 2011) – Participate in OH Sales Partnership Mission to Canada (April 2011)• Host in-bound trade mission from Antwerp, Belgium• Host more international site visits
  43. 43. How you can help us…..
  44. 44. Marketing Support: Tools AvailableOne Regional Brand• Video• Wallet Cards• Northeast Ohio Marketing brochure• Industry-specific 2-pagers: – Medical Devices – Polymers – Advanced Energy – Automotive 45
  45. 45. Questions?