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CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology KTH/CESIS Working Paper Series in Economics and Institutions of Innovation

No 244:
Large firm dynamics on the Nordic-Baltic scene Implications for innovation and growth

Pontus Braunerhjelm, Torbjörn Halldin, Torben Pedersen, Mika Pajarinen, Pekka Ylä-Anttila, Per Heum and Tarmo Kalvet

Abstract: This paper investigates the role of the 30 largest firms in the respective Nordic country and in Estonia over the last decade and for some variables between 1975 to 2006. The analysis confirms that the largest firms play a critically important role for industrial dynamics in the Nordic countries. Statistics are presented with regard to e.g. ownership, the distribution of employment between home country and foreign units, internationalization, R&D, the share of overall employment and value-added, and the dynamics over time. Both firms in the manufacturing and the service sectors are included. Even though large firms differ in terms of size and industry distribution, they do still play a dominant in all Nordic countries, albeit somewhat diminished over the investigated time period. From a policy point of view it seems of vital concern for the Nordic countries to retain their increasingly foot-loose and globally oriented large firms.

Keywords: Large firms; internationalization and industrial dynamics; (follow links to similar papers)

JEL-Codes: F23; L20; O30; (follow links to similar papers)

157 pages, January 1, 2011

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