The Strategic Imperative of Proximity: Fueling Economic Growth from Peach County to Global Markets
July 8, 2025
Development Authority of Peach County
This in-depth report examines the profound economic advantages inherent in Peach County, Georgia, primarily driven by its strategic proximity to Hartsfield-Jackson Atlanta International Airport (ATL). The analysis will demonstrate how this geographic advantage provides a critical competitive edge for large industries, enabling optimized logistics and expanded global market access. Concurrently, the report underscores the indispensable role of small businesses as the bedrock of local, regional, and national economies, illustrating how supporting local enterprises creates a powerful multiplier effect that fosters sustainable community development. By examining key data points and comparative analyses, this report presents a holistic view of how strategic location, coupled with a vibrant local economy, drives comprehensive prosperity.
Hartsfield-Jackson Atlanta International Airport: A Global Economic Powerhouse
Hartsfield-Jackson Atlanta International Airport (ATL) stands as a monumental global aviation hub, consistently recognized as one of the world's busiest and most efficient airports. In 2024, ATL served over 108 million passengers, marking its second-busiest year in history, just shy of its 2019 record of 110 million travelers. This immense passenger volume, coupled with 796,224 aircraft operations in 2024, highlights its unparalleled connectivity, offering nonstop service to more than 150 U.S. destinations and 70 international destinations across over 50 countries.
Beyond passenger traffic, ATL is a critical node for global commerce. In 2024, the airport handled 645,834 metric tons of cargo, with international cargo alone experiencing a 7% increase to 354,974 metric tons. This robust cargo operation is supported by major carriers such as Amazon Air, FedEx Express, UPS Airlines, and international freight operators including Lufthansa Cargo and Cathay Pacific Cargo, linking Atlanta to vital logistics centers worldwide.
ATL's economic influence extends far beyond its runways and terminals, acting as a critical catalyst for regional and even multi-state economic growth. A study found that ATL generates over $82 billion in annual economic impact for the Piedmont Atlantic Megaregion (PAM), an area encompassing all or parts of six states: Alabama, Georgia, Tennessee, South Carolina, North Carolina, and Florida. For the metro Atlanta region alone, the airport contributes over $51.5 billion in economic impact. This substantial financial contribution is not merely direct revenue generated at the airport but represents a profound ripple effect, encompassing direct, indirect, and induced impacts that power economies across these states. This broad, interconnected economic influence creates a stable and fertile ground for diverse industries, reducing regional economic volatility and increasing opportunities for ancillary business growth. As Georgia's largest employer, ATL directly supports over 63,000 workers on-site and nearly half a million jobs throughout the wider region, underscoring its foundational role in the state's economy.
The region's competitive advantage is further solidified by ongoing, substantial infrastructure investments at ATL and across Georgia's broader logistics network. ATL has embarked on a multibillion-dollar capital improvement program, ATLNext, which includes modernizing the Domestic Terminal, extending concourses, constructing parking decks, adding a sixth runway, and expanding cargo facilities. These improvements are designed to handle increased air traffic and enhance overall operational efficiency. These are not merely upgrades but forward-looking strategic decisions aimed at accommodating future growth, with officials preparing for 125 million annual passengers within the next five years. This commitment provides businesses with confidence in the long-term viability and efficiency of their supply chains and market access from Peach County, making it a more attractive location for sustained investment and expansion.
Beyond the airport, Georgia has made significant statewide investments in logistics infrastructure. In 2024, Governor Brian Kemp and the legislature approved a $1.5 billion infusion for roadwork improvements and a new freight infrastructure program, enhancing efficiency, safety, and reliability for goods transportation across the state. Complementing this, the opening of the Mason Mega Rail Terminal, North America's largest on-dock rail facility, and the addition of 2,100 new grounded container slots at the Port of Savannah further bolster Georgia's position as a logistics sweet spot. The logistics technology sector in Georgia alone has an estimated $14.3 billion economic impact, growing by 37.5% since 2020. Furthermore, the growth in international cargo and passenger traffic at ATL, with international cargo up 7% and international passenger traffic up 14% in 2024 , indicates a deepening global market connection for the region. This means businesses in Peach County are not just connected to the U.S. market but increasingly to a wider array of international destinations and talent pools, facilitating easier access to international suppliers, diverse customer bases, and potential foreign direct investment, which is crucial for high-tech and other globally-oriented sectors.
Proximity as a Competitive Edge for Large Industries
The strategic location of a business is a fundamental determinant of its success in today's interconnected global economy. Geography, encompassing not only physical distance but also infrastructure quality, accessibility, and regional economic conditions, profoundly impacts logistics operations. Efficient logistics, driven by strategic location, directly influences a company's success by optimizing operations, reducing costs, and enhancing customer satisfaction. Transportation networks—including roads, railways, ports, and airports—form the critical infrastructure that dictates delivery speed and reliability.
Optimizing Logistics and Supply Chains
Proximity to a major international airport like ATL facilitates highly efficient multimodal transportation. Airports serve as vital transportation hubs, seamlessly connecting air, road, and rail networks, thereby enabling the rapid movement of goods over both short and long distances. Cargo arriving at ATL can be swiftly transferred to trucks or trains for domestic distribution, significantly enhancing overall logistics efficiency. This multimodal approach allows companies to optimize their supply chain processes, particularly as airports are strategically located near major markets. Georgia's ongoing investments in road and freight infrastructure, including a $1.5 billion infusion for roadwork and a new freight program, further solidify this multimodal advantage, improving efficiency, safety, and reliability for goods transportation across the state.
A key strategic advantage enabled by rapid air cargo and reliable ground transport is the effective implementation of Just-in-Time (JIT) inventory systems. JIT is a supply chain management strategy designed to minimize waste and reduce storage costs by ensuring that inventory is ordered and received only precisely when needed for production or sale. This system allows businesses to significantly lower costs, improve efficiency, and respond more quickly to changes in demand by maintaining lean operations. While JIT inherently carries risks such as dependency on reliable suppliers and the potential for stockouts if deliveries are delayed , proximity to a highly efficient hub like ATL transforms this strategy into a more reliable and optimized operational advantage. ATL's robust infrastructure, sophisticated cargo handling systems, and advanced tracking capabilities directly mitigate these inherent risks, making JIT a more viable and powerful strategy for businesses. This enhanced JIT capability allows businesses in Peach County to achieve superior market responsiveness and competitive pricing, translating into a significant strategic advantage in dynamic global markets, particularly for industries with high product turnover or perishable goods.
The ability to reduce transportation costs is a direct outcome of strategic proximity, leading to substantial benefits in profitability and market responsiveness. Transportation costs, which encompass fuel, labor, and maintenance, are a significant portion of a business's operating expenses and directly impact supply chain efficiency. Reduced costs translate into faster deliveries, improved responsiveness, and less waste. By optimizing routes, consolidating loads, and leveraging advanced technology—such as AI-powered planning and Transportation Management Systems—businesses can achieve shorter mileage, increased fuel economy, reduced labor costs, and decreased fleet wear. This reduction in logistics costs directly enhances profitability, provides a competitive advantage, and supports scalability and growth. Furthermore, continuous investment in logistics infrastructure, as evidenced by Georgia's substantial funding for roads and freight , is not merely about facilitating trade but is a fundamental driver of regional economic growth and competitiveness. These investments proactively shape the economic landscape, attracting and retaining businesses by reducing transportation costs, improving delivery times, and enhancing overall supply chain resilience. This commitment signals a robust and forward-thinking economic environment, which can attract further private investment and foster long-term sustainable growth, creating a positive feedback loop for the entire regional economy.
Expanding Global Reach and Investment
Direct access to international markets and talent pools is a profound benefit of proximity to a global aviation hub. The air transport network opens new sales markets and provides vital support for a firm's sales, with an average of 25% of sales dependent on good air transport links. This dependence is even higher in the High Tech sector, where nearly 40% of sales rely on air services. ATL's extensive connectivity to over 70 international destinations in more than 50 countries directly translates into access to larger customer markets and a wider range of potential suppliers.
The economic value of air transport extends beyond direct freight movement, significantly influencing a firm's sales, production efficiency, and investment decisions, thereby creating a comprehensive competitive advantage for businesses near major hubs. Air transport allows firms to improve production efficiency and reduce costs, with 80% of firms reporting that air services are important for their production efficiency. It enables businesses to exploit economies of scale by serving bigger markets, a benefit reported by nearly 70% of firms, and helps reduce costs from suppliers for 56% of firms. These are not isolated benefits but interconnected drivers of overall business performance. Air transport is a strategic enabler that allows firms to access larger markets, exploit economies of scale, reduce supplier costs, and attract capital. This creates a compounding effect, where locating near ATL provides a holistic competitive advantage that permeates multiple facets of a business, from market penetration and operational efficiency to capital attraction, making Peach County a prime location for businesses seeking integrated growth. Furthermore, the accessibility to global markets provided by air transport significantly boosts investment decisions, both outward by domestic firms and inward by foreign firms, with 63% of firms stating it is vital or very important for their investment strategies. Research indicates that a 10% increase in air transport connectivity can lead to a 1.1% increase in long-run GDP for countries, underscoring the macro-economic impact of such hubs.
Navigating Georgia's Landscape: Proximity vs. Rural Connectivity
Peach County, home to Byron and Fort Valley, benefits from a significantly closer and more efficient connection to Hartsfield-Jackson Atlanta International Airport compared to many other parts of Georgia. Driving from Fort Valley to Atlanta typically takes approximately 1 hour and 57 minutes. This relatively short drive time via the direct I-75 corridor positions Peach County favorably for businesses requiring frequent and reliable access to ATL's global logistics network.
In contrast, many other rural areas in Georgia face considerably longer travel times to Atlanta, which highlights the distinct logistical advantage enjoyed by Peach County. For instance, Waycross, located further south in Georgia, is approximately a 4-hour and 28-minute drive from Atlanta , more than double the travel time from Peach County. Other examples include Athens, which is about 1 hour and 20 minutes from Midtown Atlanta, but can extend to 1 hour 39 minutes depending on traffic and specific routes. Rome, in northwest Georgia, is approximately 1 hour and 39 minutes from Atlanta, while Milledgeville, east of Peach County, is about 1 hour and 48 minutes away. Blue Ridge, in North Georgia, also entails a drive of about 1 hour and 45 minutes. Even LaGrange, southwest of Atlanta, while closer at approximately 1 hour, does not offer the same direct interstate access to ATL as Peach County.
The seemingly minor differences in drivetime between Peach County and more rural areas translate into substantial, compounding competitive advantages in logistics costs and supply chain responsiveness for businesses. Longer drivetimes directly lead to higher operational costs, including increased fuel consumption, greater labor costs for drivers, and accelerated wear and tear on vehicles. This is not just a one-time cost but a recurring operational burden for businesses situated in less accessible areas, directly impacting their gross margin and pricing strategy. For industries reliant on Just-in-Time (JIT) inventory or time-sensitive deliveries, extended transit times pose substantial risks of delays, stockouts, and increased costs. The cumulative impact of these factors creates a structural competitive disadvantage for rural businesses compared to those in Peach County, making the latter inherently more attractive for logistics-intensive operations and contributing to a more robust local economy.
Furthermore, proximity to a major hub like ATL not only reduces logistical costs but also enhances a business's capacity for rapid market adaptation and resilience against supply chain shocks. The reduced transit times allow businesses to implement strategies like JIT more effectively, enabling them to pivot quickly to shifts in consumer demand or supply disruptions. This enhances overall agility and resilience in operations. In an increasingly volatile global economy, where supply chain disruptions can cascade and amplify economic shocks , Peach County's strategic location offers not just cost savings but a crucial strategic advantage in adaptability and risk mitigation, positioning businesses there for greater long-term stability and growth. From a broader economic development perspective, enhanced regional accessibility and robust logistics infrastructure are positively correlated with higher GDP per capita and overall economic growth. Regions with underdeveloped transport infrastructure face significant constraints on logistics performance, impacting their competitiveness. Peach County's advantageous location minimizes these constraints, fostering a more competitive and attractive environment for businesses seeking efficient market access and reduced transportation overhead.
Small Businesses: The Foundation of Local and National Economies
Small and medium-sized enterprises (SMEs) are not merely contributors to the economy; they are its fundamental engines, driving progress across local, regional, and national scales. These businesses, typically employing between 10 and 250 people, are vital for both economic growth and social advancement. In the U.S., small businesses (defined as firms with 249 or fewer employees) accounted for an astounding 99% of all firms covered under Unemployment Insurance in the first quarter of 2023. Their impact on job creation is particularly significant: over the past decade or so (2013-2023), small businesses contributed 55% of the total net job creation in the U.S.. Over a longer span of 25 years, they generated 12.9 million jobs, accounting for 66% of all employment growth. Beyond employment, small businesses contribute a substantial 44% of the U.S. Gross Domestic Product (GDP). In emerging economies, their role is even more pronounced, contributing a staggering 33% of GDP and creating 45% of formal jobs.
Small businesses also serve as disproportionate drivers of innovation and community engagement, contributing intangible yet critical value beyond their direct economic output. They are not just job creators but significant innovators, producing 16 times more new patents per employee compared to large patenting firms. This contribution to innovation fuels future economic growth and maintains a dynamic economy. Furthermore, small businesses are deeply embedded in their communities, demonstrating a strong commitment to local causes. Research shows that 66% of small business owners donate to charity , and they donate almost 2.5 times more per employee to local charitable causes than large, national competitors. These contributions represent qualitative benefits that, while harder to quantify in GDP, are vital for a healthy, dynamic community. Charitable giving and community engagement build social capital, foster trust, and contribute to a unique local character. This culture of creativity and mutual support attracts talent and enhances overall quality of life, which can indirectly attract larger businesses seeking a vibrant local ecosystem.
The power of local spending creates a profound "local multiplier effect," a fundamental mechanism through which local spending actively builds and sustains community wealth and public services. When money is spent at local businesses, a significantly larger portion recirculates within the local economy. Studies consistently show that for every $100 spent at a locally-owned business, approximately $50 to $68 remains and recirculates within the local community. In stark contrast, only about $13 to $15 of every $100 spent at a national chain stays in the local economy. This disproportionate recirculation means that local spending generates three times the jobs, income effects, and tax benefits compared to spending at chain stores. This cascading effect of additional economic activity directly fuels local tax bases, which in turn fund essential public services like schools, transportation, and emergency response.
Local business owners are key contributors to the tax revenue that fuels cities and towns. Businesses collectively paid $1,096.2 billion in state and local taxes in fiscal year 2023, accounting for 44.7% of all state and local tax revenue. Property taxes, a major component of local government revenue, are primarily paid at the local level by businesses, representing 75.8% of all local business tax collections. This robust tax base directly translates into improved public services for residents. Beyond economic metrics, local businesses contribute immeasurably to the unique character and vibrancy of a community, offering diverse products and personalized service that chain stores cannot replicate.
The choice to "shop local" is a powerful, accessible form of economic development policy that directly empowers communities to control their economic destiny and build greater self-reliance. Supporting local businesses helps build trust and credibility within the community, leading to higher customer loyalty and word-of-mouth referrals. It fosters personal connections between businesses, employees, and customers, boosting morale and retention. Local businesses often source products locally, promoting environmental sustainability by reducing long-distance transportation and associated carbon emissions. Ultimately, a strong local business community makes a region more self-reliant and resilient, attracting entrepreneurs and skilled workers who are invested in the community's future. Widespread local purchasing creates a virtuous cycle where increased local revenue strengthens public services, attracts more entrepreneurs, and builds a more resilient community capable of weathering economic fluctuations and maintaining its distinct identity, thereby reducing dependency on external economic forces.
Conclusion: A Holistic Approach to Economic Prosperity
The analysis presented unequivocally demonstrates that Peach County, Georgia, possesses a significant competitive advantage due to its exceptional proximity to Hartsfield-Jackson Atlanta International Airport. This strategic location provides large industries with unparalleled access to global markets, enabling highly efficient supply chains, optimizing Just-in-Time inventory systems, and substantially reducing transportation costs. The sheer economic power of ATL, coupled with ongoing state-level infrastructure investments, creates a robust and forward-looking environment for large-scale enterprise.
Crucially, this regional strength is complemented and amplified by the foundational role of small businesses. As detailed, small businesses are not merely components but the very backbone of local, regional, and national economies, driving job creation, contributing significantly to GDP, fostering innovation, and providing the bulk of local tax revenue. Their unique ability to recirculate capital within the community through the "local multiplier effect" directly translates into improved public services and a more resilient, self-reliant local economy. The prosperity of a region like Peach County is thus a testament to this symbiotic relationship: large industries leverage global connectivity for efficiency and growth, while a thriving small business sector ensures that the wealth generated is retained, circulated, and reinvested locally, creating a vibrant and sustainable community.
To maximize this dual advantage and ensure sustained growth, Peach County and similar regions should continue to:
- Promote and invest in logistics infrastructure: Ensuring continued seamless connectivity to ATL and other transportation networks is paramount for attracting and retaining large industries that benefit from efficient supply chains.
- Strategically market the proximity advantage: Highlighting the quantifiable benefits of reduced transportation costs, enhanced JIT capabilities, and global market access to prospective businesses will be key in attracting new investment.
- Actively champion and support local small businesses: Implementing initiatives that encourage local purchasing, providing resources for small business growth and innovation, and celebrating their contributions to community character and well-being are essential for a thriving local economy.
- Educate the public on the local multiplier effect: Fostering awareness that shopping local is a direct investment in community jobs, services, and overall economic resilience will empower residents to contribute directly to their local prosperity.
By embracing this holistic approach, regions can leverage their unique geographic assets to attract global players while simultaneously nurturing the local enterprises that form the very fabric of their economic and social identity, ensuring sustained and equitable prosperity for all.
Sources:
Supply Chain Resilience and the Effects of Economic Shocks | Richmond Fed