Download - Norway
Norway
Team 4: Becky Tibbenham
Charlotte Windberg
Taylor Jameson
Matt Byler
Summary Introduction to Norway History Demographics Culture Culture and Business Government The Economy Business Schools
Norway: Climate
Varies from north to south and depends on elevation
January JulyOslo 19 62Sognefjellhytta
13 42
Tromsø 25 53
Tromsø
Oslo
Sognefjellhytta
Natural Resources
Richly endowed with natural resources Petroleum Hydropower Fish Forestry Minerals and mining
Highly dependent on petroleum sector Accounts for half of all exports and 30%+ of total state revenue Third-largest gas exporter in world Down to 7th globally in crude oil exporter as production declined
Environment
Environmental Problems Water pollution Acid rain Air pollution
Government Response “Norway is to be an international leader in environmental
policy” Working to achieve international agreement on climate change Seeks global emissions cut 85% by 2050 Wants to ensure polar regions monitored closely
History
1814 Part of Denmark Naval Blockade by King of Sweden Declared an independent country Joined with Sweden in union later in year
1905 Union was dissolved Norway became fully independent
History
Remained neutral in both WWI and WWII, but occupied by German forces for most WWII
1960’s Discovery of Oil and Gas reserves Became very rich Fund extensive social welfare system
Demographics Death Rate: One of lowest in world(8.6 for 1,000)
Women Average Life: 83.1 years Men Average Life: 78.6 years
Birth Rate:10.9 births for 1,000 people Growth Rate: 0.33%
Demographics: Population
United States
Norway
0 200000000 400000000
MenWomen
(in millions)
Demographics: Population
By Age
Age 0-14Age 15-64Age 65+
Demographics: Ethnic Groups
Five largest immigrant groups: Polish, Swedish, Pakistani, Iraqi, Somali
Other immigrant groups: Armenians, Greeks Ethnic Issues
Integration: language problems Employment: unusual names do not get interviews Crime
Demographics: Class Structure
Welfare state Equitable distribution of wealth Responsibility for the less fortunate Equal health care, pension, education
Norwegian values: people, environment More equitable than in other countries
Demographics: Family Structure and Roles
Number of children: 75% have 1 or 2 siblings, 20% have 0 Waiting longer: Average age 26 (up 3 years from 1970) Children live with biological parents
Not necessarily married 46% of children born to unwed parents (1995)
Parents more physically present Maternity/Paternity Leave Ten days of leave per year to care for child Work-Life balance (less work hours)
Demographics: Religion
When born, automatically added to list of Protestant Christians unless “sign out” of the church.
When baptized, registered as members of Church of Norway
Many remain in church to use services, which have strong cultural standing Baptism Confirmation Marriage Burial
Demographics: Religion
Christianity: Evangelical Lutheran Church (82.7%) Other religious or philosophical communities (8.6%)
Roman Catholics Orthodox Christians Jews Hindus Buddhists Sikhs
Non-religious (8.7%)
Demographics: Religion
Least religious country in Western Europe Statistics:
29% Believe in a church or deity 70% Say they have faith 32% Practice their faith 12% Attend church services each month 26% Atheist
Demographics: Education
Graduation Rates Elementary: 100% High School: 90% (within 5 years) University: 70% attend, 41% graduate
Literacy Rate: 99% Public education is free, so very few private schools
Demographics: Education
Higher Education: Admissions: General University Admissions Certificate Types of Colleges
Universities University Colleges Private Schools
Demographics: Education
Universities: 70 total institutions 7 universities 9 specialized universities 24 university colleges Various private university colleges
Higher Education: 90% Public Institutions 10% Private Institutions
Demographics: Education
Private Institutions Primarily in courses that have limited spots in public
schools Most are foundations, either autonomous or religious Pay school fees equivalent to entire cost of education
Norwegian Loan Fund System Apprenticeship Programs
Demographics: Employment
1980: less than half of Norwegian women were employed or active job seekers.
Since 1972, weekly work time for men has decreased by five hours (a.k.a. they work less)
1970s to 1983/1984 recession, unemployment near 2%
2009: unemployment was 3.2%
Demographic: Employment
Majority of adult population in Norway is employed. 70% women work 80% men work 2.3 million person
labor market
United States
Norway0%
10%20%30%40%50%60%70%80%
WomenMen
Culture: DimensionsKluckhohn & Strodtbeck
Culture: DimensionsHofstede
Norway U.S. U.K. China0
1020304050607080
Power Distance
Norway U.S. U.K. China0
102030405060708090
100
Individualism
Culture: DimensionsHofstede
Norway U.S. U.K. China0
10
20
30
40
50
60
70
Masculinity
Norway U.S. U.K. China05
101520253035404550
Uncertainty Avoidance Index
Culture: DimensionsHofstede
Norway U.S. U.K. China0
20
40
60
80
100
120
Long Term Orientation
Culture: DimensionsTrompenaar & Hampden-Turner
Culture: DimensionsTrompenaar & Hampden-Turner
Norwegian Culture
Specific
Individualism
Achievement
SychronicInternal
Universalism
Mostly Neutral
Culture: Values
Individualistic society: comparable to U.S. Value Hard work, honesty, modesty Environment-friendly Value animal protection Health conscious
Culture: Values
Geographic position: Scandavia Jante Law
High success and achievement negatively portrayed Emphasis on collective success Gives sense of modesty; Egalitarian outlook Negative light on those who do not conform Ironic because individualistic society
Culture: Customs
Greet with handshake, eye contact, smile Gift giving only at Christmas or closing deal Tipping not expected, but not uncommon Holidays
Constitution Day: May 17 Christmas New Year’s Eve Midsummer’s Eve (Summer Solstice) Easter (non-religious)
Culture: Communication
Language Norwegian: 95% first language Most fluent in English Many speak Swedish, Danish, German, French, and
Spanish
Topics Avoid: government, culture, salary, family, personal
background, complaints high cost of living Okay: Norwegian culture, politics, nature, environment,
current events, travel
Culture: Leisure & Arts Sports
Skiing: National Sport Handball Soccer
Fishing: Deep sea, Freshwater Hiking (autumn, late summer) Dog Sledding (winter) Scuba Diving Mountain Climbing
Handball
Culture: Leisure & Arts Landscape Painters:
Dahl, Kielland, Baker, Thaulow
Karveskurd (chip carving)
Rosemaling (rose painting)
Most Famous Artist: Edvard Munch “The Scream”
Culture: Food & Eating
Be punctual No business discussion during casual dining Table manners: use utensils Toasts Offer to help clean up Reciprocate invitation
Culture and Business:Conflict & Negotiation
If possible, avoid conflict If not possible, deal with directly or have mediator Decisions by consensus Cost-driven Straight-to-the-point No bargaining No discounts Commitments must be honored
Culture and Business: Ethics
2010 Freedom Score: 69.4 (37th most free in world) Transparency International Corruption Perception Index: 14th of
179 countries 2010: 10th least corrupt country in world (above US!) Corrupt activity: criminal offense Freedom to start, operate, and close a business
Starting business: average of 7 days (world average: 35) Obtaining license: less than world average of 18 procedures
Bankruptcy: Simple and straightforward
Culture and Business: Impressions of Americans
Hollywood-like OR fat and lazy Friendly but loud Only interested in America Convenient: Drive-thru restaurants Shopping These views are similar to what other European
countries believe
Culture and Business: Impressions of American Businesses
Efficient Individuality, imagination, initiative, inventive,
independence of mind Often approving: brainstorming Mecca High regard
Students go to study in the US Business schools going to American-style curriculum
Culture and Business:Business Relationships
Member of the European Free Trade Association (EFTA) Founding member of General Agreement on Tariffs and
Trade (GATT) G10 group within WTO Traditionally strongest trade relationships with closest
geographic neighbors
Culture and Business: Business Relationships
Casual leadership culture Low power distance Less formal Employees’ input valued
Egalitarian Promotions: achievement Leader’s Role: Harness talent of employees
Culture and Business:Management Practices
Values hard work Motivating employees
Give challenging tasks Benefits other than salary (tuition)
Organizational structure: Depends on size Large: Hierarchy Small: Flat
Culture and Business:Women in the Workplace
Strong presence: 50% of workforce Government positions: 50% women
President of Parliament Commissioner of Oslo Police President of University of Oslo
Business positions: Executives: 3.5% women Middle Managers: 7.5% women
Work conflicts with “home duties”
Culture and Business:Human Resources Practices
Not well trained prior to employment Classes very lecture-oriented Few presentations compared to USA
Laws No national minimum wage Working Environment Act: Safety + Benefits
Recruiting: Interviews (similar to United States) Promotions: Based on individual achievement
Culture and Business:Human Resources Practices
Compensation Base salary Vacation time: 21 days Public Holidays Sick time & Maternity leave Disability Extras: bonuses, company car, cell phone, newspaper
Pension National: Required contribution from employer and employee Company: Required defined benefit or defined contribution New Law 2006: Based on years and salary
Culture and Business:Business Practice Norms
Similar to United States Clothing dependent on individual company Generally less formal Business cards: given, but no distinct tradition
Work week 40 hours per week 9 hours per day Overtime: 40%+ normal hourly rate Sundays and Public Holidays are statutory holidays
Culture and Business:Business Practice Norms
Meetings Plan early Be on time! Very little small talk Very straightforward At beginning, shake hands Build trust: Don’t change project Emphasize facts, benefits, and profitability Show usefulness and technical quality Keep deadlines
Culture and Business:Business Practice Norms
Dos & Don’ts Do be on time Do keep to your project’s schedule Be careful about culture-related humor Don’t give gifts excessively Don’t give the hard sell Don’t misinterpret their less expressive body language Don’t interrupt the speaker Don’t complain about the cost of living Don’t smoke without asking
Government
Norway is a unitary constitutional monarchy Parliamentary system
King of Norway is the head of state Prime Minister is the head of government Similar to UK
Welfare state
Government
Rights for people: Free public health care free Both parents get 12 months paid parental leave Pension for everyone All children right to kindergarten All 16-19 year olds right to 3 years of high school
Government: Legal System
Main Crime: Economic Constitution
1814 Three branches: legislative, executive and judicial
Also mixture of: Customary Law Civil Law Common Law
Government and Business
US and Norway friendly association Foreign Policy Magazine ranks Norway last in its Failed
States Index for 2009, so Norway is the world’s most well-functioning and stable country
Norway will remain among the richest countries in world for foreseeable future
Government and Business
Infrastructure Domestic & International travel: airlines, buses, trains, car
ferries to other European countries Communications: mobile phone coverage, Internet usage
Technology One of most advanced networks in Europe Domestic Satellite System Advancements in petroleum sector Several higher education schools devoted to science and
technology
Government and Business: Infrastructure Issues
Energy requirements Electricity generation
99% from 27 million kilowatts of hydroelectric capacity 850 hydroelectric plants Often exports electricity to western Europe
Top consumer of electricity in the world (per person) Renewable Development (soil, biomass, wind) Wind Farm Development
Off western coast Invested $4 billion 4 major wind farms online in last 10 years
Government and Business: Infrastructure Issues
Road network most dense on east coast Building roads and railroads difficult and expensive
Rugged terrain Water traffic important in many places
Merchant Marine Merchant Marine: 1831 vessels, one of largest in world Oslo is the main port
Government and Business: Infrastructure Issues
Tariffs: Rating of 10 in 1996, down to 4 in 2008
The Economy
Economy is a developed mixed economy with heavy state-ownership in strategic areas
Almost half of the GDP goes back to the national treasury and is distributed through the state budget. So through taxes, the government distributes money to the society through the state budget.
Economic Statistics(as of July 2010)
United States Norway-2.00%
0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
InflationUnemployment
Economic Statistics(GDP Comparison)
2000 2005 20100
2,0004,0006,0008,000
10,00012,00014,00016,000
USA (GDP)
(in billions)
Economic Statistics(GDP Per Capita Comparison)
2000 2005 20090
100002000030000400005000060000700008000090000
United StatesNorway
(in billions)
Economic Statistics(GDP Sector Comparison)
Norway
AgricultureIndustryServices
United States
Economy: Taxes
Income tax: 28% Applies to all forms of income of the corporate bodies;
Generally lower than EU average
VAT tax: 25% standard 14% for food and drinks 7% for move theater tickets and public transportation Largest source of government revenue
Economy: Currency
Currency: Norwegian Kroner ($1 = 5.85 NOK) Oslo Stock Exchange
Main market for trading in shares of Norwegian companies Petro exchange: driven by oil
Economy: Main Industries
Shipping Forestry Petroleum Fisheries Agriculture has declined Public sector among largest as percentage of GDP
Economy: Relationship with EU
Largest Trade Partner: EU Growing stronger Diminished trade barriers EU becoming stronger
EU’s 4th largest import partner €91.85 billion Behind only China, Russia, and United States
EU’s 6th largest export partner €43.58 billion Behind United States, Russia, Switzerland, China, and Turkey
Economy: Imports and Exports
Imports Machinery and equipment, chemicals, metals, foodstuffs Main partners (2008): Sweden 14.3%, Germany 13.4%,
Denmark 6.8%, China 6.4%, UK 5.9%, USA 5.4% Netherlands 4.1%
Exports Petroleum and petroleum products, machinery and
equipment, metals, chemicals, ships, fish Main partners (2008): UK 27%, Germany 12.8%, Netherlands
10.4%, France 9.4%, Sweden 6.5%, US 4.5%
MBA Students
Marius Sebastian Ramnæs Kine Sofie Espedal Knudsen Frikk Aleksander Brynestad Stokke Ann Sofi Grantangen Strysse
MBA Students: Business Schools
Norwegian University of Science and Technology (NTNU)
Norwegian School of Economics and Business Administration
Norwegian School of Management (BI) Buskerud University
Norway vs. USA MBA StudentsPart-Time/Full-Time
Norway USA
Marius Full-time Full-time Matt
Kine Full-time Full-time Taylor
Frikk Full-time Full-time Becky
Ann Full-time Full-time Charlotte
Norway vs. USA MBA StudentsNumber of Languages
Norway USA
Marius2
Norwegian & English
2Spanish & English
Matt
Kine2
Norwegian & English
2 Portuguese & English
Taylor
Frikk2
Norwegian & English
1(basic Arabic
& Chinese)Becky
Ann2
Norwegian & English
2 Norwegian
& EnglishCharlotte
Norway vs. USA MBA StudentsWork Experience
Norway USA
Marius Grocery store cashier
4 years veterinarian technician
Matt
Kine3 years in Shipping industry
3 years Agriculture Taylor
Frikk Part-time, self-employed
3 years HR1 yr teaching 1 yr Bus Intern
Becky
Ann 1 year as accountant
Charlotte
Norway vs. USA MBA StudentsConcentration
Norway USA
Marius Control Theory
General Business Matt
Kine International Business
General Business Taylor
Frikk Finance Management Becky
Ann General Business
Charlotte
Norway vs. USA MBA StudentsJob Post-Graduation
Norway USAMarius Management Medical School Matt
KineContinue in
shipping industry
Sales and Finance
(international)Taylor
FrikkEntrepreneurial Creative/Dynam
ic Job
HR or Educational
AdministrationBecky
Ann Business Manager
Charlotte