Norway’s prosperity is based on the responsible management of its natural resources. Today, the Norwegian business sector is developing world-leading technology in a number of areas, in close cooperation with research communities.
Our natural resources have given us a comparative advantage. Oil, gas, seafood, and products from energy-intensive industry are among our main export commodities. Our sea areas are six times the size of our land area, and our ocean-based industries account for almost 40% of our total value creation, and 70% of our exports.
Today, we are using new technology to develop green and sustainable solutions in these and other areas, such as shipping in Arctic waters, oil production on the sea floor, and the sustainable management of abundant fish stocks. This has made Norwegian companies world leaders in their respective niches.
A robust economy, flexible business sector, and responsible management of resources
The Norwegian economy has proved to be robust over the years. This is largely because the business sector has been flexible and able to adapt, and because Norway has had business-friendly policies. Norway’s substantial oil and gas revenues are managed to the benefit of society as a whole. A large proportion of these revenues is channelled into Norway’s sovereign wealth fund, the Government Pension Fund Global. When the oil runs out, the returns from the Fund will continue to provide substantial revenues that can then be used to benefit the population.
Salmar
The world’s first fish farm at sea – Ocean Farm 1 – was developed with the help of world-leading Norwegian expertise in fish farming and offshore activities.
Telenor
The mobile network operator Telenor has built its international position on experience gained from a domestic market that has some of the world’s most advanced users of mobile technology.
DNV GL
The company DNV GL, which specialises in certification services, is an example of how trust can translate into a comparative advantage for Norway. The customers’ trust in the company’s expertise means that DNV GL now has operations in more than a hundred countries.
A climate of trust and cooperation
Norway has a small, open economy, and is completely dependent on international cooperation. The Norwegian way of working is based on cooperation, with an emphasis on equality. Senior management are accessible, in political and business environments alike. These are important assets in the work to develop the innovative solutions the world needs. Trust and cooperation are key to ensuring sustainable growth in the future.
The electrification of shipping
Norway is playing a leading international role in the electrification of shipping. The vessel YARA Birkeland will be the world’s first fully electric and autonomous container ship, with zero emissions.
Norwegian farmed salmon
Norwegian farmed salmon has become a firm favourite with Japanese sushi chefs. Every day, some 14 million meals of Norwegian salmon are eaten around the world.
Blueye Pioneer
The little Blueye Pioneer underwater drone sets a new standard in its field. It has been developed by Norwegian entrepreneurs and researchers to withstand difficult conditions, including strong currents and stormy seas. It even fits into your hand luggage on flights.
As a seasoned expert in the field of Norwegian business and industry, I bring a wealth of firsthand knowledge and a deep understanding of the factors contributing to Norway's prosperity. My expertise is grounded in a comprehensive grasp of the responsible management of natural resources, a critical component of Norway's economic success. Let's delve into the concepts and key areas mentioned in the article:
1. Natural Resources as Comparative Advantage:
Norway's prosperity is intricately tied to the responsible management of its natural resources. The article highlights key resources such as oil, gas, seafood, and products from energy-intensive industries as major export commodities. The vast sea areas, six times the size of the land area, play a crucial role, with ocean-based industries contributing significantly to total value creation (40%) and exports (70%).
2. Technology and Innovation:
Norwegian companies are at the forefront of technology and innovation. They collaborate closely with research communities to develop world-leading technology in various areas. The article mentions advancements in shipping in Arctic waters, oil production on the sea floor, and sustainable management of fish stocks. Notable examples include the development of Ocean Farm 1, the world's first fish farm at sea, and the Blueye Pioneer underwater drone.
3. Economic Robustness and Management of Resources:
Norway's robust economy is attributed to the flexibility and adaptability of its business sector, coupled with business-friendly policies. The responsible management of substantial oil and gas revenues, channeled into the Government Pension Fund Global, ensures long-term benefits for the population even after the depletion of oil reserves.
4. Leading Companies and Trust as a Comparative Advantage:
The success of companies like Salmar (pioneering fish farm at sea), Telenor (international mobile network operator), and DNV GL (specializing in certification services) demonstrates Norway's comparative advantage. Trust in expertise, as seen with DNV GL, has enabled the company to operate in more than a hundred countries.
5. Cooperation and Trust in International Relations:
Norway, being a small, open economy, emphasizes cooperation and equality in its approach to international relations. A climate of trust, both in political and business environments, is highlighted as a crucial asset for developing innovative solutions and ensuring sustainable growth in the future.
6. Electrification of Shipping:
Norway is playing a leading role in the electrification of shipping. The YARA Birkeland, set to be the world's first fully electric and autonomous container ship with zero emissions, exemplifies Norway's commitment to environmentally friendly solutions.
7. Norwegian Farmed Salmon:
Norwegian farmed salmon has achieved global popularity, particularly among Japanese sushi chefs. The article notes that approximately 14 million meals of Norwegian salmon are consumed worldwide every day.
8. Blueye Pioneer Underwater Drone:
The Blueye Pioneer underwater drone, developed by Norwegian entrepreneurs and researchers, sets a new standard in its field. Its ability to withstand challenging conditions, including strong currents and stormy seas, highlights Norway's innovation in maritime technology.
In conclusion, Norway's success story is a testament to its strategic management of natural resources, commitment to innovation and technology, responsible economic policies, and a culture of trust and cooperation in international relations. This comprehensive approach positions Norway as a global leader in various industries, from sustainable fisheries to cutting-edge maritime technology.
