"In an era of just-in-time supply chains, proximity is everything." That's what UPS' CEO Mike Eskew told delegates at the U.S. Commerce Department's inaugural Americas Competitiveness Forum in Atlanta in June. Eskew said that trade with Central and South American countries is "at a crossroads" with geographic convenience being impeded by complicated customs and security policies which make it sometimes easier to source goods from Asia or Europe.

Closer to home, a recent Wall Street Journal report pointed out that more small businesses are locating in the Memphis, Tenn. area to gain access to FedEx's shipping hub (see photo). The Journal says "small businesses are realizing that having a centralized distribution center in a city like Memphis can give them a competitive advantage." According to the Memphis Regional Chamber, more than two dozen small businesses have relocated to the Memphis area in the past two years.

FedEx’s Memphis hub is attracting small businesses to the region.