Mississippi landed a Nissan truck plant and is in the running for a Hyundai car factory because its governmental leaders made pursuing big industry a priority, officials say.

Economists say Mississippi looks at tax incentives and state financial help as investments for the future -- and that Arkansas must do the same if it ever hopes to branch out from an economy based on farms, forests and fowl.

"We here in Arkansas have tended to focus on nondurable good manufacturing and agricultural economic development, which is not a long-term solution for the state," said Kathy Deck, a research associate with University of Arkansas' Center for Business and Economic Research at Fayetteville.

Over the past 50 years, Arkansas moved beyond agriculture by attracting small plants that made items like shoes, gloves, jeans and rugs. Several have closed in recent years as companies turned to plants overseas to make goods for less money.

Deck said the state needs to turn toward more specialized industries, such as technology jobs, and retain its college graduates.

House Speaker Shane Broadway, D-Bryant, says Arkansas must learn from Mississippi and review its incentives and infrastructure -- including highways, water transportation, airports and utility services -- to see what it should highlight and what needs work to land big projects.

"They made it a priority. That's what we have to do as a state," Broadway said. "We also have to make the decision that we're going to go after them. It's not going to be overnight."

The Legislature last year ordered a study of how Arkansas' economic stimulus packages compare with those offered by neighboring states. Results of the study, which also will recommend improvements for the 2003 General Assembly, are due out in the next month or two.

"That study showed us that for most projects we are competitive," said Jay Chesshir, who tracks legislative affairs for the Arkansas Economic Developers and has reviewed an early draft of the study. "For super projects, at this point in time, we are not."

The state has had some recent successes, including a Frito-Lay plant expansion, Nestle USA's decision to build a frozen-foods plant in Jonesboro and a Xerox Corp. expansion in Hot Springs.

Arkansas is also home to the world's largest retailer, the world's largest meat company, one of the world's leading rice millers, a major communication company and a top electronic database company. But when it comes to landing big business, Arkansas is at a loss to understand how it can lose to Mississippi.

"They don't have that many more skilled laborers," said Sen. Bill Gwatney, D-Jacksonville, who initiated the economic development study. And considering railroad access, the Mississippi River and a steel plant near Blytheville, "when you look at Arkansas versus Mississippi, you would think they'd want to come here."

"Maybe we can identify some things where we can better attract that kind of industry," he said.

Arkansas economic development officials also didn't make inquiries into the Hyundai plant until nearly a year after the South Korean automaker announced its intent to build in the United States. Now, it could be too late, as the company has said its "short list" includes Alabama, Kentucky, Mississippi and Ohio.

Mississippi offered a $295 million incentive package to attract the Nissan North America plant, and some have questioned whether Arkansas could or should invest that much for such a business.

"Incentives are not the only thing that drives a plant location," Economic Development Director Jim Pickens said. He said companies also must consider geographic location and infrastructure.

"It's very difficult for me to say what it might take" for Arkansas to land a project of that size, he said.