Chattanooga, Tennessee Case Analysis

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Economy of Chattanooga, Tennessee
The Chattanooga metropolitan area has economic specializations in two industries: manufacturing, and transportation and warehousing. The manufacturing industry accounts for 12.7% of employment in the Chattanooga metropolitan area, this share is 3.4% above the U.S. national average of 9.3%. Transportation and Warehousing comprise 10.1% of employment in the Chattanooga metropolitan area, a share much higher than the 3.5% U.S. national average (refer to Appendix A for complete comparison) (U.S. Census Bureau, 2015). This paper will examine why these two industries have become economic specializations. Major employers in the area will be discussed to better understand the factors that contributed to the growth of these industries. The location, history, infrastructure, and workforce of the Chattanooga metropolitan area are other considerations that will help uncover why manufacturing and transportation and warehousing have become economic specializations.
There are major employers in the Chattanooga metropolitan area that manufacture a variety of products (refer to Appendix B for the complete list). Most of these employers manufacture products that focus on three areas: food and beverages,
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Manufacturing is present throughout Chattanooga’s history. Beginning with the Roane Iron Company in the 1860’s, the iron industry flourished and by 1871 when it was worth approximately 1 million dollars. In 1899, Ben F. Thomas and Joseph Brown Whitehead introduced a new manufacturing industry to Chattanooga. After receiving rights to bottle Coca-Cola, they established a bottling plant that continues to operate today. In the 20th century, the manufacturing industry was Chattanooga’s largest employer; this was aided by new textile mills that provided many jobs (Eichenthal & Windeknecht,
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