* Early Automobile Development: Several pioneering figures in the automobile industry, including Henry Ford, established their companies and manufacturing plants in Michigan, primarily in and around Detroit. This early concentration created a critical mass that spurred further growth.
* Abundant Resources: Michigan had readily available resources like iron ore (from the Upper Peninsula) and timber, crucial for early automotive manufacturing.
* Skilled Workforce: The concentration of automotive manufacturing led to the development of a highly skilled workforce specializing in automotive design, engineering, and production. This expertise has been passed down through generations.
* Supportive Infrastructure: The state developed a transportation infrastructure (roads, railways) suitable for the industry, supporting the movement of materials and finished products.
* Favorable Business Climate (Historically): For a significant period, Michigan offered a business environment that attracted automotive manufacturers and their suppliers.
* Unionization: The strong presence of labor unions played a significant role in the state's automotive history, shaping employment practices and worker compensation.
Because of this historical development, Michigan remains a major center for automotive design, engineering, manufacturing, and research, even though the industry has significantly changed and globalized. Detroit is still often referred to as the "Motor City."
