As a thriving hub in the South East, Charlotte, NC, has become a focal point of economic growth and innovation. Known for its vibrant business environment and rich cultural heritage, the city offers unique opportunities for companies looking to expand and connect across the region.
BACoS interviewed Michel Vanesse to uncover some of the factors that make Charlotte a key player in the Southeast’s dynamic business landscape and a compelling destination for Belgian and other international businesses. Michel Vanesse originally comes from Brussels but has been based in Charlotte for almost 20 years now, where he works as partner at Parker Poe. Because of his knowledge of the social, economic, and financial environment in both the US and Belgium, Michel also serves as an advisor in economic diplomacy for Belgium.
Michel, thank you for taking the time to share your views with us. If you could choose 3 words to describe why Charlotte is an attractive city for Belgian businesses looking to expand into the US market, what would they be?
First, I would say that the economy in Charlotte is growing, and this is not an obvious thing because there are pockets of the US where the economy is clearly shrinking. In Charlotte, however, what is happening is an ongoing influx of people that creates a need for more jobs and a large portion of the jobs that are open create a population with a certain level of disposable income. There are quite a few people - including young people - who make enough money to keep the economy growing by going to bars, concerts, and restaurants. This growing economy and the jobs being offered definitely give a sense that there is a certain level of well-being here.
At the same time, Charlotte has been diversifying more and more. Not only in terms of the types of businesses that are here, but also in terms of nationalities. This means that the food scene is also diversifying! Having grown myself in Brussels, where we had just about everything, this is something that I value.
Finally, Charlotte is a business-friendly city. There are cities that, because of where they are at in their stage of development, may claim to be business-friendly but have a hard time accommodating everyone because of density, pricing, etc. Charlotte, however, is at a level of growth that still offers space. I believe that the city will continue to grow for the decades to come. First, because it has no geographical element (like an ocean, for example) that limits how far it can go, but also because of its affordability (relative to other regions of the US). The environment feels business-friendly because you have the space to invest and you can take your people with you or hire locally, and not necessarily spend a fortune. For a typical Belgian company, there is also a sense that the city’s size is large enough but manageable, compared to other cities in the region. For these reasons, people from other areas of the US are attracted to Charlotte, and that should also convince Belgians and other Europeans to come!
Can you highlight some of the key industries in Charlotte that are thriving and driving economic growth?
Charlotte is a bank town, first and foremost. It is one of the largest US cities in terms of assets under management. That explains why there are hourly flights connecting New York and Charlotte. Of course, there are also suppliers-type of businesses that gravitate around the financial industry (for instance the cybersecurity industry). Charlotte is also building itself as an energy hub with Duke Energy and the likes. So, those are very big and mature industries that provide a lot of jobs to Charlotteans.
Beyond that, the industries are more diversified. One aspect that should be taken into account when a Belgian company asks about what industries are already in Charlotte is that it is very easy to go in and out of the city. You hop into your car and you are out of Charlotte in 30 minutes, which is not necessarily true of other cities! To tell a Belgian story: Lotus ended up in the Carolinas because they needed access to I-don't-know-how-many thousands of eggs per day to produce their cookies. The region has that type of supply and good connectivity to go and distribute the cookies everywhere. This is a completely different thing than financial services or energy, and yet a renowned Belgian company decided to come nearby. It’s not Charlotte, but it's not far. There is really something about the Carolinas, where nothing is really all that far and where you have hyper sophisticated industries coexisting with older economy (like a company needing eggs). Of course, you also have a lot of car-related manufacturing and the new economy that is more located around Raleigh and the Research Triangle Park. The Carolinians might think of it as a totally different place but if you’re a Belgian company looking in, you're bound to conclude that it really is not that far.
Are there strategies/incentives in place to attract international companies looking to establish a presence here?
Something I find interesting is that the greater Charlotte is selling this region the way I remember Brussels was selling itself in the 1990s. We would talk to foreign companies (mostly US companies) coming in and the plan was absolutely clear: “Why would you go to London, Paris, or Berlin? Those places are either decentralized or expensive… or both. Come to Belgium instead.” We were selling ourselves as business-friendly folks and a flexible environment. We had an airport and a massive highway system, meaning you could get your distribution centers in Belgium, shoot in all kinds of directions and be all over Europe in no time. The Carolinas are sending exactly the same message: “Why New York, Miami, or California? How centralized is that, California? Come over here, where everything is much denser, and the cities are much closer. We also have a great airport that is not as congested as JFK or O'Hare.” I think all of this should resonate with Belgians since we are talking the same language, only in reverse.
Beyond that of course, the Charlotte region and the state of North Carolina (much like other states) have many things to offer in terms of tax incentives and Belgians should seek to meet with the state representatives and the counties which they elect as potential sites. In this matter, the states are competing. So, in all objectivity, the strategy for a Belgian company looking to expand in the US should be all about leveraging and seeing what state and local governments can do for them.
How would you describe Charlotte’s business climate compared to other major US cities?
You can really sense that the Charlotte business climate, because it is growing, is not cutthroat. People are not playing elbow here because there is enough space. Of course, competition exists as it is what a capitalistic country is built upon, but there is a sense that there is space. I can talk about that in my very own profession, as a lawyer. I have friends in other markets where the legal industry is shrinking because the companies are leaving. So, developing your practice as a lawyer becomes much more cutthroat and your friends might become your direct competitors in an environment that is shrinking. We don't seem to have that here. The business climate is not one of harsh competition and we are welcoming newcomers because it only helps the city grow. So, I would describe Charlotte maybe as more welcoming than other areas that exist in the US where the general economy and ecosystem are shrinking. And I would encourage any Belgian wanting to prospect somewhere else to really try to figure out where the numbers are going, because it varies dramatically from one place to another.
Outside of business, how can Charlotte’s quality of life (in terms of affordability, cultural offerings, and environment) play into the decision-making process for international businesses and their employees?
I personally grew up in Brussels, which was great because I had everything I wanted there in terms of visual arts, music, culturally-diverse friendships, restaurants that don't necessarily cater to the Belgians but that cater to their own nationalities. So, when I went to a Portuguese restaurant, I actually had Portuguese food. Charlotte is not a mature city like Brussels yet, but it is maturing and every year new restaurants open and suddenly you get a new experience. However, I'll tell you this anecdote: I don't know how many times I tried to go to the lyric opera when I lived in Chicago. It's a very renowned opera, so it was incredibly hard and expensive to actually see a production. In Charlotte, I can't count how many operas I have seen. There are always seats to score at the last minute. So, there is an ease in the way you live your work week that I very much enjoy!
And then, what I would absolutely point out is that the weekends here are glorious: you can go to the ocean in a couple of hours, you can go to the mountains in two hours, you can literally escape your world radically with just a couple of nights out. You can hike like you've never hiked in Europe because the nature is so massive. You can bike like you've never biked. This, to me, is a reality that never really existed in Belgium. Of course, Belgium has a lot of beautiful nature sights, but it is very dense and much smaller. So, that is definitely something that I enjoy today in my family life.
I can only agree with that point. In my experience of travelling to North Carolina on the weekends, I’ve particularly enjoyed its nature sights and the atmosphere around its many breweries.
Yes, these new breweries are a huge culture in Charlotte and in the Carolinas in general. When I have Europeans coming in, I take them to these breweries because it is very laid back, you can bring your dog, and have great food at a very low price. And even though we’re in an urban environment, they typically offer space to sit outside and enjoy some music. The climate is great for this – we're going to be outside until December, and then we're going to be outside again in February. But to add a touch of humor to finish this interview, I must say that having so many breweries is very nice, but I bet you most Belgians will say “Yeah but…we do better.” [laughs]
Thank you, Michel, for providing us with such a detailed and insightful picture of Charlotte, NC. I think that – perhaps beer aside – those will be very convincing arguments for Belgian businesses prospecting an expansion to the US!