Summary
Magnificent execution was perceived as poised for eternal growth in the stock markets. The price for these inflated expectations followed a few years later, in July 2000, when Nokia's shares fell 25 percent and investors dumped Nokia's shares after a warning about third-quarter results. The decline was not due to fundamental weakness. Rather, Nokia fell short of the "exceptional results" the market had come to expect.
In the past, Finland had been about "trees" (natural resources, comparative advantage). In the future, it would be about "people" (human capital, competitive advantage). "To us, the Finns, internationalization is not an alternative to something else," Kairamo used to say. "Finland has quite a few resources. There are just two of them: the people and the trees. The greatest risk facing the Finns is the small amount of international business experience.""This is a very dynamic industry, and we must continue to change with it," says Olli-Pekka Kallasvuo, Nokia's CEO-designate. "The competition is now more intense than before, and our rivals are more vocal."See the full content of this document
Extract
The Secret of Nordic Mobile Power
"Wherever two or three Norwegians, Swedes, Danes or Finns are congregated," wrote A.R. Bennett already in 1895, "you may be certain that, in addition to a church and a school, they always will construct a telephone switchboard."
Since the 1980s, the Swedes and the Finns have played key roles in the Nordic wireless pioneership with their mobile operators and equipment manufacturers. While the Norwegians and the Danes have not developed such world-class flagship firms as Ericsson and Nokia, they have been close to the frontier of wireless innovation as well."Scandinavia emerges as a new international innovation center," wrote Harvard Business School's Professor Michael E. Portern in the 1990s. "Denmark and Finland have made major gains in innovative capacity since the mid-1980s, joining Sweden in establishing a region of world class innovation.""The F...See the full content of this document
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