7.0 ICT use
by Norwegian Business Summary
Arguably, Norway’s largest information and communications technology
issue is their lower usage of ICT by Norwegian businesses than other Nordic
countries[1].
Internet diffusion among Norway’s population is high; however a lower business
acceptance of ICT is beginning to reveal trends that may warrant some concern
for companies competing in the Nordic region. ICT business trends are the
following:
·
ICT use by
Norwegian businesses is generally less than that of other Nordic countries (see
graph 7.1.1).
·
A lower Norwegian
business acceptance rates has resulted generally fewer Norwegian businesses
online than their other Nordic competition (see graph 7.1.2).
·
Norwegian
businesses utilize homepages less frequently as means presence on the internet
(see graph 7.1.3).
·
The percentage of
Norwegian businesses with internet sales is generally less than other Nordic
countries (see graph 7.1.4).
One possible conclusion from these
statistics is that Norwegian businesses may be slower in implementing many
proven e-business methodologies that can yield both cost reductions and productivity
gains. By in large though, Norwegian businesses are just beginning to use the
internet for their strategic initiatives.
Although high-end ICT use by domestic
companies is just picking up steam, Norway has no real fundamental deficiencies in its ICT
business landscape. All the building blocks are already in place for successful
business ventures. Norwegian internet access is widely available in for companies
and consumers. Network access is widely
available and can be acquired using one or more connection media, including
leased lines, ISDN, 3G, wireless, PSTN, cable, and/or satellite. Network access
is generally not an issue around major population centers; however the more
rural areas can be link via satellite.
One significant portion of Norway’s National ICT policy is a commitment to getting a
terrestrial based high-speed infrastructure installed by the end of 2002. If the Norway can accomplish this aggressive, but attainable goal,
network access costs should be reasonable. The legal environment in Norway is generally supportive to most ICT initiatives since
Norway supports most of EU’s ICT
specific laws. Therefore, any business currently operating the in the EU should
find Norway a familiar market.
Truth be told, I could find little problem with Norway’s ICT environment for businesses. Some possible
issues may be the following:
·
High wages –
Norwegians have a very high standard of living, therefore salaries may need to
be higher than some companies would like.
·
The Market is
small – Norway has roughly 4.5 million people.
·
Possible workforce
shortage – There was some information about an ICT skill-set shortage although
I could find very little evidence from recent sources (with in the last year).
Other than these basic
concerns, I feel that Norway is good viable market to support ICT business
initiatives. Explanations of Norway’s lag in the graphs described in section 7.1 can be
attributed to their late implementation of a comprehensive national ICT policy
that included the privatization of their telecommunications industry. In short,
Norway has implemented a lot of changes to better support
ICT and has executed their ICT plans in a short amount of time. From my
research, Norway already has the framework in place to support modern
ICT initiatives.
7.1 Graphs
and Statistics on ICT use by Norwegian Businesses
The following graphs compare Norway’s business use of ICT to other Nordic countries.
Overall trends indicate that Norway use of ICT by business is high by world standards;
however Norway lags behind other Nordic countries in most ICT
business trends.
·
Norway is ranked 4th among business use of ICT
among Nordic countries; however their growth rates remain roughly 8%.
·
Again, Norway ranked 4th among internet diffusion among
business; however this is improving steadily
·
Norwegian
businesses are just beginning to establish a presence on the internet. Note:
the increase from 2000 to 2001 was 33%, the highest of all Nordic countries.
·
Only 8% of
Norwegian enterprises take in some form of sales from the internet. This number
is expected since Norwegian enterprises have only recently beginning to embrace
the internet.
