In Focus Sweden 2018

Sweden 2018

SPIRIT OF IMMEDIACY, DEVELOPMENT AND PROSPERITY H.E. LARS SCHMIDT Swedish Ambassador

NIKLAS JOHANSSON

State Secretary to the Minister for Enterprise and Innovation

KATARINA FULIR

President of the Swedish Business Club in Croatia

01

02

04

06 2

07 Focus

SWEDEN 2018

01 TOP IN INNOVATION

Sweden is one of the most innovative countries in the world. Innovation is closely linked to research and development, and Sweden is one of Europe’s top three spenders in this area, investing 3.7 per cent of GDP in R&D.

02 SWEDES LOVE NATURE

As much as 97% of Sweden is uninhabited, more than half of the country is covered in forests, and there are about 100,000 lakes and 270,000 islands.

Due to the large climatic differences (from -53°C to +36°C) nature in Sweden is incredibly diverse.

03 GENDER EQUALITY IS A NORM FOR ALL DECISION MAKING

03

The aim of Sweden’s gender equality policies is to ensure that men and women enjoy the same opportunities, rights and obligations in all areas of life. In 13th century, Sweden had the first law on violence against women, in 19th, equal inheritance rights for women and men are introduced.

04 MUSIC

Sweden is the third largest music exporter in the world with music accounts for about 2% of the total Swedish export and around 0.02% of the total Swedish GDP. ABBA, the 4th best-selling band of all time, and then it continued with the Cardigans, Roxette, Lykke Li, Icona Pop, Zara Larsson...

05 7 UNICORNS LIVE IN SWEDEN

There are seven unicorns living in Sweden – start-up companies worth more than one billion dollars. In 2016, over €1 billion was invested in Swedish startups, and over the last three years, the investment grew by almost 50% per annum. Only in Stockholm there are more than 20,000 technology companies.

05

06 ENERGY IS IN THE NATURE

More than half of the energy in Sweden comes from renewable sources. Step by step, since 1990, gas emissions by were reduced by 22% and at the same time GDP increased by 55%.

07 EVERYTHING CAN BE REUSED

Almost 100% of household waste in Sweden is recycled in different ways, and 50% is converted into gas that city buses and taxis use as fuel, and households use for heating. Sweden also imports waste from other countries to have something to burn.

08 THANK YOU, SWEDEN

08

Some of the innovations coming from Sweden are: Bluetooth; adjustable wrench; three point seatbelt; Tetra Pak beverage packaging; rear-facing car safety seat; marine propeller; safety match; colour screen graphics for computers; AGA lighthouse; modern refrigerator; household vacuum cleaner, Skype Free Internet call service; Spotify – Online music streaming service; ultrasound; pacemaker; dialysis machine; Metro, free daily newspaper; zipper and many more.

SWEDEN 2018

Focus

3

Sweden www.diplomacyandcommerce.hr

2018

WANT TO POOL OUR TO CHANGE AND ADAPT 06 WETALENTS 23 ABILITY H.E. LARS SCHMIDT

Economy

Swedish Ambassador

10

WE EMBRACE CHANGES WITH TRUST

NIKLAS JOHANSSON

State Secretary to the Minister for Enterprise and Innovation

14

OUR MAIN GOAL IS BOLSTERING COOPERATION MARKO BABIĆ

Assistant Director of the Department for International Affairs and EU Affairs at the Croatian Chamber of Commerce

16

WE HAVE SET AMBITIOUS GOALS FOR OURSELVES

KATARINA FULIR

President of the Swedish Business Club in Croatia

20

FOR BUSINESSES TO THRIVE TOGETHER

22

DIGITALIZATION IS NOT A MATTER OF CHOICE

SWEDISH BUSINESS CLUB

27

THE MODEL ECONOMY

30

THE NEUTRAL VIKINGS

Cooperation

Longstanding peace after many wars

32

SPIRIT OF IMMEDIACY, DEVELOPMENT AND PROSPERITY

Spirit

34

DYNAMIC, CHALLENGING AND INDEPENDENT CULTURE

Culture

36

COUNTRY WITH CLOSE TO 28 MILLION VISITORS PER YEAR Tourism

MILAN DRAGIĆ

General Manager of Bisnode for Southern Markets BOBAN SPASOJEVIĆ

”Color Media Communications” LTD, 21132 Petrovaradin, Štrosmajerova 3 TIN 107871532 • Matriculation number 20887303 Phone: +381 21 4897 100 • Fax: +381 21 4897 126 Office: Ilica 49 , 10000 Zagreb • 091 2886677

EXECUTIVE EDITOR boban@diplomacyandcommerce.hr

NIKICA MILOŠ

EDITOR-IN-CHIEF nikica@diplomacyandcommerce.hr

TANJA BANKOVIĆ

EDITORIAL MANAGER office@diplomacyandcommerce.hr

4

Focus

SWEDEN 2018

ILIJA PETROVIĆ INDIGOCHILD

ART DIRECTOR indigochild.ilija@gmail.com

SVEN DARRER

ADVERTISING MANAGER sven@diplomacyandcommerce.hr

ZORAN CVIJIĆ

ADVERTISING MANAGER marketing@diplomacyandcommerce.hr

RUŽA RISTANOVIĆ MAGAZINE DIRECTOR

VANJA KOVAČEV

PR&EVENT SUPPORT NORD COMMUNICATIONS vanja.communications @gmail.com

ROBERT ČOBAN DIRECTOR

PHOTOS

GORAN ZLATKOVIĆ GETTY IMAGES TOMISLAV SMOLJANOVIĆ TRANSLATION AND LECTURER

MRP EDITORIAL TRANSLATION

SNEŽANA BJELOTOMIĆ

INTERVIEW

H.E. LARS SCHMIDT Swedish Ambassador

WE WANT TO POOL OUR TALENTS 6

Focus

SWEDEN 2018

We welcome the deepening of bilateral relations, and we are interested in furthering partnership in the fields of trade, innovation, and sustainable development. Croatia has a lot of talent to offer in these segments; creating jobs for the future

“S

weden wants to foster a strong spirit of cooperation between our two societies”, this is how H.E. Lars Schmidt, the Swedish Ambassador to Croatia briefly explains the goals on his country in the cooperation with Croatia.

How would you rate the bilateral relations between Croatia and Sweden?

— I have been living in Croatia for nearly five years, monitoring its transformation into a modern EU Member State, promoting modern values, diversity and reconciliation in a regional context.

I’m pleased to see Croatia out of recession and focused on structural reforms – fully utilizing EU Cohesion Funds and implementing recommendations from EU mechanisms for financial stability.

We already cooperate a lot, in many fields of interest. Around 50 Swedish companies operate in the Croatian market, employing over 6,000 people and having an annual turnover of around 500 million euro.

The value of total Swedish investments in Croatia, since the beginning of the 1990’s, is 700 million euro, just over 2% of all total foreign investments in Croatia.

Furthermore, around 300,000 Swedish tourists visit Croatia every year, and the well-integrated Croatian diaspora in Sweden, which numbers close to 30,000 people, contributes immensely to the excellent bilateral ties between our countries.

There were more mutual visits of the two countries' officials in the last year or so. What would you say was the most important outcome of these more frequent visits?

— Croatian Ministers and Government rep-

resentatives visit Sweden regularly and vice versa. H.M. Carl XVI Gustav visited Croatia 2013, and Sweden played host to H.E. President Kolinda Grabar-Kitarovic in 2017. They were both accompanied by strong business delegations.

However, recently we have had more visits than usual. During 2017, Sweden welcomed the Croatian Prime Minister, the Deputy Minister of Defence and the Minister of Foreign Affairs. From the Swedish side, the Speaker of the Parliament, Minister of Defence, Minister for Upper Secondary Education; Minister of Health and Social Affairs, and the State Secretary to the Minister for Enterprise and Innovation visited Croatia.

SWEDISH AND CROATIAN SOCIETIES ARE SIMILAR IN MANY WAYS, BUT MOST IMPORTANTLY, SHARE THE SAME FUNDAMENTAL VALUES I am happy to see such an active interaction between our countries.

As the most important outcome I would mention the Swedish Business Club, which was initiated at the meeting between the Croatian President and the Swedish Prime Minister during the official visit in 2017.

Which areas are most appealing to the two countries in terms of cooperation?

— We are interested in furthering partnership in the fields of trade, innovation, and

sustainable development.

Our experience is that synergies generated by close connection between Swedish universities, research institutes, public sector and private sector leverage the R&D output and make us more competitive. We also see that international innovation collaboration is becoming increasingly important for a small and export-oriented economy such as Sweden’s. This is why we are always putting effort in developing opportunities for international cooperation.

I would also like to mention the interest expressed by the Wallenberg Group in using Croatia as a hub for promoting excellence in software engineering. This project is supposed to engage Croatian stakeholders, including the Government, to further develop modern R&D and help with alleviating the brain drain.

How would you assess the security situation in the region and the cooperation between the two countries in the field of security?

— Croatia and Sweden are EU member states. We both believe in continued EU enlargement as a prerequisite for regional stability. Croatia plays an important role in the region, being an EU Member State able to lead by example and share experiences.

Croatia’s has modern infrastructure and thorough knowledge about South Eastern Europe. Hence, Sweden considers Croatia a key partner for cooperation in the field of security policy.

What can the countries in the region learn from the cooperation between the Nordic countries?

— Nordic co-operation is one of the most extensive forms of regional co-operation

STABILITY

CROATIA AND SWEDEN ARE EU MEMBER STATES. WE BOTH BELIEVE IN CONTINUED EU ENLARGEMENT AS A PREREQUISITE FOR REGIONAL STABILITY SWEDEN 2018

Focus

7

anywhere in the world. It had been institutionalised since 1952, with the establishment of the Nordic Council. Its primary goal is to create the best possible conditions for people and business to move freely between the countries. Functionality, design and simplicity are markers of Nordic cohesion, parallel to our consensus-based philosophy, which constitutes a fundamental value in our societies.

In the Nordic countries, we aim to be fantastic neighbours to each other, and our tradition of cooperation has fostered a secure environment contributing to prosperity and economic development.

There are many Swedish companies operating in Croatia. Which segments have the greatest potential for bolstering economic cooperation?

— Our economic cooperation is diverse, and we are keen to invest in many fields of modern technology, but we are especially interested in spurring the cooperation in the areas of research and development, where Sweden can provide an added value – e.g. digital transformation and sustainable solutions in a globalized economy, where operating within a functioning market economy is essential.

We are also interested in developing a cross-section between private sector, academia and the public sector, also called the Triple Helix model. Mostly because we understand that we, as a small country, need to collaborate with others to succeed and to develop competences – for the sake of the future, for attracting talent, and for supporting European competitiveness in the long run.

In this regard, I would like to mention a successful joint venture - Ericsson Nikola Tesla, which shows how cutting-edge development can be implemented in Croatia.

Moreover, I have to mention the arrival of Tele2 in the Croatian market, which provided sound competition in the mobile communication market. There are many other examples - Ikea, Saab and Securitas have all seen potential in Croatian business and at the same time, proved that Sweden has a lot offer Croatia.

tian origin living in Sweden. They are usually people that have adapted very well to the Swedish society and they really combine the best of the two worlds. This helps a lot in terms of our countries better understanding each other, in cultural aspect and otherwise.

What are the cultural ties between the two countries like and how much does the diaspora contribute to better mutual understanding?

— We have about 30,000 people of Croa-

Swedes love nature. In terms of the attitude towards nature, what can the Croatians learn from the Swedish and vice versa?

— We are outdoor people enjoying our

8

Focus

SWEDEN 2018

BILATERAL DEFENCE COOPERATION SHOWS A GREAT POTENTIAL, INCLUDING MODERN SOLUTIONS FOR LONGTERM POOLING AND SHARING OF MILITARY RESOURCES

unique habitat in the vast territories in the North where the EU’s only indigenous people – the Sami - live. The Sami constitute a national minority in Sweden.

Would you believe it if we told you that 97 per cent of Sweden is uninhabited? Many factors contribute to Sweden’s access to its abundant nature. Most importantly, Sweden’s constitutionally guaranteed right of public access (Allemansrätten) assures that the land is open to everyone. This concept, deeply ingrained in every Swede, creates a sense of collective stewardship of the land.

They understand that with rights come responsibilities. The rule of thumb is “Don’t destroy, and don’t disturb”.

While recognising the need to protect nature and its resources, Sweden was the first country to establish an environmental protection agency in 1967. Nowadays, more than half of our energy comes from renewable sources. Almost 100% of household waste is recycled and since the mid-1990’s, we have actually been one of very few industrialised countries that have managed to pair a growing economy with falling emission levels.

CORPORATE

GLOBAL, SCIENCE-LED BIOPHARMACEUTICAL COMPANY Veeva ID HR-0117, 03/2018, expire 03/2019

Astra Zeneca focuses on the discovery, development and commercialization of prescription medicines, primarily for the treatment of diseases in three therapy areas - Oncology, Cardiovascular & Metabolic Diseases and Respiratory

T

he Company was founded in 1999 through the merger of the Swedish Astra AB and the English Zeneca Group, operates in over 100 countries and its innovative medicines are used by millions of patients worldwide.

AstraZeneca Croatia Ltd was established in 2004 as the marketing company based in Zagreb, with a highly educated workforce with a wide range of expertise in different areas including sales, marketing, medical & regulatory affairs, market access, communications, finance and administration. AstraZeneca Croatia was pioneering in establishment of precise diagnostics (molecular lung and woman cancers testing) in main University hospital centers. Ahead of many other leading markets in EU Company launched first targeted ovarian cancer treatment, bringing chance for better survival to BRCA mutation positive women in Croatia. Through named patients program Company helped better survival of patients with lung cancer in Croatia. As a part of national innovative pharma organization, IFI, Company is making efforts on improving transparency in HCP-pharma relationships. Transparency builds understanding of this important collaboration and addresses public concerns about interactions between the medical community and the pharmaceutical industry.

In Oncology, AstraZeneca has a

deep-rooted heritage and offers a quickly-growing portfolio of new medicines that has the potential to transform patients’ lives and the Company’s future.

With a broad pipeline of small molecules and biologics in development, Company is focused on lung, ovarian, breast and blood cancers. By harnessing the power of four scientific platforms – Immuno-Oncology, Tumor Drivers and Resistance, DNA Damage Response and Antibody-Drug Conjugates – and by championing the development of personalized combinations, Company has the vision to redefine cancer treatment and one day eliminate cancer as a cause of death.

WE PUT PATIENTS FIRST

ASTRAZENECA CROATIA IS ADDRESSING THE NEED FOR KNOWLEDGE AND BETTER ACCESS TO MEDICINES THROUGH PARTNERSHIPS WITH MAIN CROATIAN PROFESSIONAL AND PATIENTS’ ASSOCIATIONS, IN ITS EDUCATIONAL ACTIVITIES, ENCOURAGING DISEASE EDUCATION ON ALL LEVELS

Cardiovascular, renal and metabolic diseases (CVRM) together form one of AstraZeneca’s main therapy areas and platforms for future growth. By following the science to understand more clearly the underlying links between the heart, kidney and pancreas, AstraZeneca is investing in a portfolio of medicines to protect organs and improve outcomes by slowing disease progression, reducing risks and tackling co-morbidities. AstraZeneca’s ambition is to modify or halt the natural course of CVMDs and even regenerate organs and restore function, by continuing to deliver transformative science that improves treatment practices and CVMD health for millions of patients worldwide.

Respiratory disease is one of AstraZeneca’s main therapy areas, with a growing portfolio of medicines that reached more than 18 million patients in 2016. Our aim is to transform asthma and COPD treatment through inhaled combinations at the core of care, biologics for the unmet needs of specific patient populations, and scientific advancements in disease modification. The Company is building on a 40-year heritage in respiratory disease and capability in inhalation technology including Aerosphere Delivery Technology. AstraZeneca’s research is focused on addressing underlying disease drivers focusing on the lung epithelium, lung immunity and lung regeneration.

SWEDEN 2018

Focus

9

WE EMBRACE CHANGES WITH TRUST Sweden has been very successfully implementing the triple helix model in which business, academia and government institutions work together on innovation, promoting change, and making sure that we can take on new things. We believe that good ideas should be considered regardless where they come from, Sweden or Croatia

INTERVIEW

NIKLAS JOHANSSON

State Secretary to the Minister for Enterprise and Innovation

W

e are working very hard on developing different skills in Sweden but we are also aware that we cannot find them all in our country, so we are ready to search for them elsewhere in order to make better things together. This is how, in short, Niklas Johansson, the Swedish State Secretary to the Minister for Enterprise and Innovation, explains the interest of Swedish companies working in Croatia (and elsewhere) in establishing closer cooperation with the domestic economy and its business and talent resources.

You're coming from a country that is here a synonym for an organized society and business, where everything is in accordance with the laws and rules. What is the secret of Sweden’s success?

— There are many important things (for Sweden’s success) with transparency certainly being one of them. You know, we have many laws about transparency, which in my opinion, is necessary for an organized and functional society. However, it takes some time to build the system and establish trust in it.

Nowadays, a big part of Swedish success

10

Focus

SWEDEN 2018

is making sure that good ideas should be considered regardless where they come from. We have very low power barriers between the decision makers and the rest of the society, and we are open to new ideas while management and work force often discuss things together in order to come to an agreement.

Trust is certainly crucial! Trust is an important part in creating a situation of trust, where everybody feels that they have some-

WE HAVE VERY LOW POWER BARRIERS BETWEEN THE DECISION MAKERS AND THE REST OF THE SOCIETY, AND WE ARE OPEN TO NEW IDEAS WHILE MANAGEMENT AND WORK FORCE OFTEN DISCUSS THINGS TOGETHER IN ORDER TO COME TO AN AGREEMENT

thing to contribute but also that we are all in this together.

From the Swedish point of view, what was necessary to create a conducive business environment?

— One thing that entrepreneurs have to embrace is change and adapting to new developments.

We live in a market economy, and that means that competition has to be present all the time and we should all be open to international competition. Of course, that also means that some industries will lose, like the Swedish shipbuilding industry back in the 1970s when it became unproductive and couldn't compete anymore. Basically what happens is that you have to realize that this can and will influence some companies, individuals and maybe even some cities quite severely. And you have to make sure that you offer an opportunity for something else. You cannot shield everyone from this.

I have a great quote to illustrate what we are talking about. Back in the 1970es, when SKF, then one of the biggest companies in the word, was introducing the new machinery, the then president of the trade union at SKF, Göran Johansson, was asked

by the journalist: “Aren't you afraid that this new technology will take jobs away from your members?” And his response was: “I'm not afraid of new ideas. I'm afraid of old technology that was terribly obsolete because if you don't upgrade all the time and if you don't make sure you're competitive, you will lose out.”

Societies and governments have to be aware that we need these changes all the time and we therefore we need to create a society that embraces change. For those people who will not benefit from change, we try to make sure to help them to have a new education, or to find them a new job in some other sector. But we don't protect the companies. We rather help people and companies to change over time.

How much is Sweden investing in innovation? Why is innovation important?

— Innovation and research have long been at the core of the Swedish economic and social development. They have boosted the strong international competitiveness of the Swedish enterprises. In Sweden, total investment in R&D constitutes 3.3% of the national GDP, of which the public stands for 1%.

If you look at how much we are investing in knowledge and innovation, we are ranking high internationally and in the EU. We invest from the business side and from the public side. We do it together in many different ways.

It's very important to look at how we can work together - government and private business - in order to make this work. We have been working for a long time on this kind of cooperation. This has been sustained and achieved by the very successful triple helix model in which business, academia

and government institutions work together on innovation, promoting change, and making sure that we can take on new things.

We have a number of big, very successful multinational companies and we also have the most vibrant start-up scene, second only to Silicon Valley. Small companies need big companies, and vice versa. The small ones are more suitable for fast changes but the big ones have knowledge and infrastructure.

There is a great innovative strength in startups but they may not dispose of sufficient finances or have an organisation in place.

Also, sometimes you need to get more innovation in large companies and sometimes you have to do it in different ways.

SOCIETIES AND GOVERNMENTS HAVE TO BE AWARE THAT WE NEED THESE CHANGES ALL THE TIME AND WE THEREFORE WE NEED TO CREATE A SOCIETY THAT EMBRACES CHANGE The government's role is to detect the challenges that the society is facing and support the infrastructure to find the solutions for tomorrow.

Innovation can help to solve the challenges facing society and contribute to building a modern and sustainable society by combining knowledge in new ways or by using a completely new thinking. And in order to achieve that, we have to cooperate and co-create.

What is the role of science and business incubators in the Swedish society?

— Basically, the Science Parks and incubators are important because they are the focal point for this kind of cooperation. These are the places where the Triple Helix segments work together. Also, cross-sectoral cooperation is becoming increasingly important.

For instance, one sector can have a really great idea and when you mix different disciplines, you realize that idea can be used in other businesses.

For example, the National Strategic Innovation Programme brings all stakeholders together to facilitate the next generation mobility services, based on connected and automated vehicles.

We have 4G Internet connection in and self-driving automated vehicles in the mines.

A digital wireless mine with autonomous vehicles and no people underground might sound like science fiction but it is becoming a reality that is saving energy, peoples´ lives and increasing production.

So, what you need is to see ideas that people in different academic disciplines get but you also have to look how the industry can use this idea, because if you don't put research to use, it is only research and nothing else. We do need to shorten the time between discovering new ideas and getting new research into a marketplace.

Some of the science parks, like Lindholmen in Gothenburg, have been especially good at creating an environment where large companies meet small, where they spur innovation and inspire our industry, while adapting to global trends. Together with the industry, we are finding ways to help with financing. We know that competition is fierce and although we are at the forefront of innovation, most research and

DIGITAL

I ACTUALLY THINK THAT DIGITAL TRANSFORMATION IS A GREAT OPPORTUNITY FOR COUNTRIES, ALSO FOR THOSE WHICH MIGHT BE NOT FINANCIALLY ADVANCED AS SWEDEN SWEDEN 2018

Focus

11

50 Swedish companies operating in the country (with companies like ABB, Astra Zeneca, Bisnode, IKEA, H&M, Ericsson Nikola Tesla, Oriflame, Securitas, SAAB and Tele2) and our bilateral trade is growing steadily.

I will also be visiting Ericsson Nikola Tesla and I will meet with the Minister of Education and Science, the Minister of Economy and the Prime Minister. We want boost the trade relations between our countries.

Also, considering the fact that the UK is leaving the European Union, we need to make more connections between the different countries in a global economy.

International trade and open and free trade are extremely important to Sweden. We know that that creates better societies and more jobs. We want to join forces with others to create the future. We don't believe in exclusion or sheltering ourselves; we believe in collaboration and doing this together.

development takes place outside our small country. This is why we are always putting effort into searching for areas of international cooperation.

What is digital transformation? Do you think that digital transformation is possible also for counties that are economically weaker than Sweden?

— I actually think that digital transformation is a great opportunity for countries, also for those which might be not financially advanced as Sweden. This is due to the fact that the physical economy has a lot of fixed investments; while once you have invested in digital transformation, it becomes cheaper.

Sometimes you have systems which have been working in a certain way for a very long time. It is difficult to break them down, or to change them into something else.

For example, Sweden has the highest number of robots in the world, but at the same time, the highest employment in Europe. That shows that robots are not taking jobs from people.

When it comes to digital transformation, I think that it should be part of the societies and I know that you know this is a great opportunity. We can be somebody here, we can do something great and we should recognize that. One of the great things about this is to be involved whether you feel threatened

12

Focus

SWEDEN 2018

I WARMLY WELCOME THE ESTABLISHMENT OF THE SWEDISH BUSINESS CLUB AS I SEE ROOM FOR MORE SWEDISH COMPANIES TO COME TO THE CROATIAN MARKET, TO THE MUTUAL BENEFIT OF BOTH OUR COUNTRIES or not. You have to put pressure on incumbents. You cannot let the existing structure just remain there. They are not there forever.

They shouldn't be let alone and say that they are sacred in some way. Everything has to be questioned to some extent. Well, maybe we should do it in another way. You have to be ready to pick up on these great new ideas that people have and see that this will be more productive and more successful.

What is the purpose of your visit to Zagreb? Who are you going to meet with?

— The purpose of my visit is, of course, to promote the bilateral trade relations between our countries. Croatia has been an important trading partner to Sweden for quite some time. Today, we have over

Could you tell us more about the Swedish Business Club, which was recently established in Croatia? What is the goal of this Club?

— We believe in international supply chain.

You cannot do everything in your own country. It is extremely important that we talk about international markets.

When I meet with Swedish businesses in Sweden the main problem they have today is that they need more skilled employees. I know that some of these companies are very interested in the skills that can be found in Croatia. The Swedish missions abroad have an important job of detect skills, that are in demand in the Swedish industry, in the local markets, while promoting not only export of goods but also attract talent.

This morning I attended the inauguration of the Swedish Business Club in Croatia, an initiative that was originally discussed between the Swedish Prime Minister and the Croatian President last year during the Croatian State visit to Sweden. Having the opportunity to be here and see it become a reality is really rewarding.

The goal of the Swedish Business Club is to boost the exports from Sweden to Croatia, while widening the economic partnership and strengthening the cooperation with the Croatian business environment.

I warmly welcome the establishment of the Swedish Business Club as I see room for more Swedish companies to come to the Croatian market, to the mutual benefit of both our countries.

SWEDEN 2018

Focus

13

OUR MAIN GOAL IS BOLSTERING COOPERATION

Out of all Nordic countries, Croatia has the most developed cooperation with Sweden

INTERVIEW

MARKO BABIĆ

Assistant Director of the Department for International Affairs and EU Affairs at the Croatian Chamber of Economy

A

lso, the figures relating to Croatia's export of services to this country are quite encouraging.

All segments have been recording growth, while engineering, food industry, and IT are singled out as sectors that have the potential for an even bigger cooperation - says Marko Babić, Assistant Director of the Department for International Affairs and EU Affairs at the Croatian Chamber of Economy (CCE).

Croatian President, Kolinda Grabar-Kitarović went on a five-day official visit to Sweden a year ago, which was the first visit of the Croatian president since 2003. What European and bilateral issues were set as priorities in regard to boosting the cooperation between the two countries?

— During the official visit of the Croatian President, Kolinda Grabar-Kitarović, as a part of the economic delegation, the Croatian Chamber of Economy visited Göteborg's technology parks, Lindholmen and Johanneberg. During the visit, the Swedish-Croatian Economic Forum and B2B meetings between Croatian and Swedish

14

Focus

SWEDEN 2018

business people also took place. A total of 11 Croatian and around 30 Swedish companies participated in the forum, as did the representatives of the local and regional authorities. Taking into account a fact that construction companies that are already present in Sweden for a certain period of time were part of the business delegation, it must be said that besides talks held with Swedish business community, their representatives exchanged experiences and tried to explore potential for future cooperation when operating on the Swedish market.

THE WALLENBERG FOUNDATION IS SERIOUSLY INTERESTED IN INVESTING IN THE CROATIAN MARKET, WHILE SAAB WILL LAUNCH AN INNOVATION PROGRAMME HERE

Croatia has repeatedly confirmed that it wanted to improve the neglected bilateral relations with the Nordic countries, and not just maintain a connection with them in European institutions and at meetings in Brussels. How would you rate the progress made after a year of more frequent high-level visits?

— On behalf of the CCE, I would definitely have to disagree with the statement that Croatia's relations with Sweden and other Nordic states are neglected. In the past twenty years, the Croatian Chamber of Economy has organized or participated in the realization of twenty business meetings and conferences in Croatia and Sweden that covered a certain topic or followed the visits of senior officials. These were organized with the aim of intensifying bilateral economic relations.

These relations have still not reached their full potential but are definitely ascending. Out of all Nordic countries, Croatia has the most developed cooperation with Sweden, which is evident according to indicators that suggest the rising trade of goods and services and the number of Swedish tourists and investments in Croatia.

During the said official visits, President Grabar Kitarović underlined that Croatia was particularly keen to strengthen the economic cooperation with Sweden as the European leader in innovation. How many Swedish companies in Croatia are considered the backbone in this segment?

— There are about fifty Swedish companies operating in various business segments in Croatia, with the R & D sector being the best example. We would like to single out Ericsson Nikola Tesla dd, with their Research and Development Centre, which is also the largest software development centre in the region.

It employs around 1,000 people and it continues to invest significant financial resources in the field of innovative information and communication solutions in various areas.

To what extent did Croatia utilize the benefits of EU membership in terms of increasing the presence of its companies in Sweden?

— Croatia's membership of the EU contributes to a more balanced trade in goods and an increase in export of services to the other EU Member States, including Sweden, but also to generating additional interest in continuing and increasing investments in Croatia, as well as having more Swedish tourists coming to Croatia.

The data that the Croatian Bureau of Statistics collated for 2017 shows that Croatia's export of goods amounted to Sweden to EUR 113.5 million, representing a 9.2% decline compared to 2016, while imports from Sweden amounted to EUR 126.6 million, a 3.3% decrease also relative to 2016.

Of course, I would like to underline a more significant trade in services between Croatia and Sweden. According to the 2016

data collated by the Croatian National Bank, the revenue from service exports to the Kingdom of Sweden was EUR 316.9 million, while EUR 65.9 million was the value of import in the same period. In the first three quarters of 2017, the export of services to Sweden amounted to EUR 264.5 million, while at the same time, the value of import was EUR 37.2 million.

How many Swedish companies are currently doing business in Croatia and how many of them have announced their arrival to this market? How many workers do Swedish companies here have and how much did they invest so far?

WE PLAN TO ORGANIZE THE CROATIAN-SWEDISH FORUM AND B2B MEETINGS AND THUS FURTHER BOOST THE BILATERAL ECONOMIC COOPERATION — There exist around fifty Swedish companies operating on the Croatian market through greenfield and brownfiled investments and through their subsidiaries. They have mostly invested in telecommunications, wholesale trade, and in brokerage services in a variety of products and real estate.

The Wallenberg Foundation is seriously interested in investing in the Croatian market. Consequently, we may observe the announcement made during their visits at

the end of 2017 and few days ago that the Swedish defence and security company SAAB will launch the Innovation Programme in Croatia. To this end, the CCE is absolutely ready to support the realization of this project, including providing the best possible infrastructural support.

What has the CCE been doing in order to attract more investors from the North?

— The CCE implements important activities on identifying investment potential in individual counties, identifying and promoting projects that are either in the development phase or ready for implementation, establishing links between investors and Croatian companies / project managers, mediating in communication with relevant institutions at national and local level, obtaining all relevant information on procedures that have to be carried out, as well as about legislative procedures that have to be carried out when implementing an investment, and organizing individual programmes for investors.

What role does the diaspora play in promoting bilateral relations between the two countries?

— The role of the Croatian diaspora is extremely important in every sense, including the economy. The CCE cooperates with representatives of Croatian community who are successful business people in Sweden, and who are also focused on cooperating with Croatian companies within the scope of their business activities. I would like to point out an extraordinary cooperation with companies that sell Croatian food products on the Swedish market in the Swedish market and those which collaborate with Croatian companies in the construction sector on the implementation of projects in Sweden.

COMPANIES

ABOUT FIFTY SWEDISH COMPANIES ARE PRESENT ON THE CROATIAN MARKET THROUGH GREENFIELD AND BROWNFIELD INVESTMENTS AND THROUGH THEIR SUBSIDIARIES SWEDEN 2018

Focus

15

WE HAVE SET AMBITIOUS GOALS FOR OURSELVES In 2018, the SBC wants to present itself to the most important players among the Croatian policy makers and in the business community, and create a launch pad for future projects and initiatives by the end of the year

INTERVIEW

KATARINA FULIR

President of the Swedish Business Club in Croatia

T

he story of the newly established Swedish Business Club (SBC) began with an initiative from the Swedish Prime Minister, Mr. Stefan Löfven at the meeting with the Croatian president, Ms. Kolinda Grabar Kitarović in March 2017. A few months later, ABB, Astra Zeneca, Bisnode, Ericsson Nikola Tesla, Ikea, Oriflame, Saab, Securitas and Tele2, as well as the Embassy of Sweden became the first members of the SBC. The decision was made quickly - says Katarina Fulir, President of the Swedish Business Club in Croatia, as „we all share the business culture that is deeply rooted in our Swedish identity – we all do our best to contribute to raising business standards in terms of innovation, we are all concerned with creating a sustainable economy, and we all “live” by the principles of equality and meritocracy”.

What was your main motive and goal when planning to launch the Club?

— The foundation for such an organization was already set by the development of “Team Sweden” – a promotional platform that joins a number of Swedish public au-

16

Focus

SWEDEN 2018

thorities and agencies with Swedish companies, and aims at coordinating promotional activities of Sweden.

The SBC is really the manifestation of Team Sweden in Croatia. Its purpose is to promote mutual benefits, closer industrial and economic cooperation, and to establish additional links between Sweden and Croatia. Simultaneously, the Club will aim at consolidating “Brand Sweden”. According to a research, public perception of Sweden in Croatia is very favourable and

THE FOUNDING MEMBERS OF THE CLUB ARE ABB, ASTRA ZENECA, BISNODE, ERICSSON NIKOLA TESLA, IKEA, ORIFLAME, SAAB, SECURITAS AND TELE2, AS WELL AS THE EMBASSY OF SWEDEN

Swedish companies benefit a lot from the country/of/origin effect. This perception is based on the values that Sweden, and in our case the Club, uphold, so the other members of the SBC can feel these favourable effects as well. In order to boost the benefit, the SBC also aims to strengthen the overall Swedish presence in Croatia.

Of course, when we use the term ‘Swedish companies’, we mean Croatian companies whose founding companies are Swedish and which bring with them the strong corporate culture and values that can be used as a model for successful operations.

We believe that there is a lot of untapped potential when it comes to creating synergies in the activities of the Swedish companies operating in Croatia, especially because we have many things in common – our Swedish identity and the values that are at the core of who we are and how we do business. This then translates into similar general goals that we have. We are all dedicated to being socially responsible companies, offering same opportunities to all regardless of their gender, ethnical background or any other characteristic.

How many members does the Club have and what is their structure?

— There are in total ten founding members which have only recently established the Club. As a next step, we plan to expand the membership to include other Swedish companies in Croatia, but also to other companies, institutions and individuals that are dedicated to and share the values that the SBC is based on.

The founding members of the Club are ABB, Astra Zeneca, Bisnode, Ericsson Nikola Tesla, Ikea, Oriflame, Saab, Securitas and Tele2, as well as the Embassy of Sweden. As you can see, our areas of operation, or our respective sectors, so to speak, are very diverse. Actually, they do not even overlap… However, we all share the business culture that is deeply rooted in our Swedish identity – we all do our best to contribute to raising business standards when it comes to innovation, we are all concerned with creating a sustainable economy, and we all “live” by the principles of equality and meritocracy.

When you talk about the Swedish investments in Croatia, do you have any information about their value so far and how many employees do Swedish companies in Croatia have? What is the structure of their investments?

— In the period of the last 25 years, total Swedish investments in Croatia have amounted to close to €700 million. According to the relevant estimates, Swedish companies in Croatia employ over 6,000 people and have an annual turnover of approximately €500 million. Sectors that Swedish companies have invested in so far are diverse and range from ICT, telecoms, medicine and medical equipment, furniture

to wood industry, cosmetics, infrastructure and many others.

How do your members rate the overall business environment here and where they see the potential for improving the existing institutional framework?

— The most important thing for both new and current investors is having a stable and predictable regulatory environment. Reducing uncertainty to a minimum is essential for creating a conducive business environment, because it enables companies to develop long-term plans with a high degree of certainty. In such an environment the success or failure of your investment will

IN THE PERIOD OF THE LAST 25 YEARS, TOTAL SWEDISH INVESTMENTS IN CROATIA HAVE AMOUNTED TO CLOSE TO €700 MILLION depend on your own abilities and business prowess and not on the possible glitches in the system. The predictability of the work done by the official authorities is especially important because it often varies in terms of speed and clarity of implementation of rules. The rules, timelines and responsibilities must be clear, regardless of who implements them or where. This applies to the tax authorities, the local administration, as well as to the judiciary, which is still swamped with backlogs that slow the system down and do not contribute to a favourable business environment that is capable of attract-

ing investments.

Also, procedures should be streamlined and para-fiscal fees should be reduced to make it easier for the investors to enter the market. Attracting investments is a competitive game that countries play against each other and investments flow to the areas of the lowest resistance. Therefore, it is in everybody’s best interest to have a simple and clear system that regulates investments and ensures a level playing field. When you have a competition-conducive environment, it will bring out the best in everyone while contributing to the prosperity.

How would you rate the overall economic situation in Croatia?

— The economic situation is certainly better than it was several years ago. Croatian economy is growing, unemployment is decreasing, inflation is low, exports are on the rise and tourism is breaking records. State finances are also improving with the public debt continuing on a downward slope and the budget deficit gap closing. These are excellent developments, especially taking into consideration the fact that not too long ago Croatia was under the European Commission’s excessive deficit procedure.

What is more important, most experts agree that this positive trend will continue over the coming years. It is very important that reforms are not neglected, especially in the pension insurance system and in the health care, which are facing some serious potential problems considering that Croatia has an aging population and a negative population growth. This is the flip side of things as these problems will determine the long-term sustainability of the economy. Sweden has faced such problems in the past, because it too had a well-educated population that

RECORDS

CROATIAN ECONOMY IS GROWING, UNEMPLOYMENT IS DECREASING, INFLATION IS LOW, EXPORTS ARE ON THE RISE AND TOURISM IS BREAKING RECORDS SWEDEN 2018

Focus

17

migrated to other countries to look for higher paying jobs. Yet today, the country is one of the European countries with the highest birthrate, having the population exceeding the 10 million mark last year. Only a decade ago the Swedish population numbered only 8 million.

Therefore, it is important to continue developing an open and agile economy, while at the same time, investing into education and R&D that will enable Croatia to develop new industries and products to be sold in the global markets. This is what Sweden realized a long time ago – when you are too small to grow in your domestic market, you must look at things from a global perspective. The great thing is that one sees the shift in the approach in Croatia as well with many young companies, such as Rimac Automobili or Info Bip, doing exactly that.

What are your plans and projects for the following period?

— At the moment, the SBC is probably the youngest business club in Croatia, and as newcomers we have set ourselves an ambitious plan to position and emancipate the Club very quickly. Actually, the establishment of the Club went quickly as well, because, as I already said before, the Swedish compa-

18

Focus

SWEDEN 2018

nies in Croatia really have a lot in common when it comes to our identity and the way we do business, so it is easy for us to agree.

Therefore, we view 2018 as the first year of operation, crucial for laying down the foundation for successful operation in the coming years. We have constituted the Club and now we have before us a period during which we need to build its position based on the comparative

SWEDEN WAS IN THE SAME SITUATION AS CROATIA IN THE PAST, WHEN PEOPLE WERE LEAVING THE COUNTRY. WE HAVE REALIZED THAT IT WAS IMPORTANT TO CONTINUE DEVELOPING AN OPEN AND AGILE ECONOMY, WHILE AT THE SAME TIME, INVESTING INTO EDUCATION AND R&D

advantages of its membership, which we also plan to extend in the coming period. We will continue working on initiating partnerships with Croatian institutions and other similar associations that have the same goal of creating an increasingly better and more encouraging business climate. We also want to concretely establish the SBC’s public profile and to organize an event at which the Club will have its debut and where we will introduce ourselves to the important stakeholders, as well as current and future partners in Croatia. After gaining traction and gathering support for the Club’s initiatives we will be ready for laying the foundation of this first platform for Swedish – Croatian cooperation. The plan is, therefore, to have a business forum in the later part of 2018 as a crowning achievement, where we plan to assemble Swedish and Croatian companies, as well as different institutions and experts from both countries to exchange experiences, share the knowhow, and find and develop concrete opportunities for cooperation. By the year end, if we continue in this manner, we will create a launch pad for the future projects and initiatives.

SWEDEN 2018

Focus

19

SWEDISH BUSINESS CLUB

FOR BUSINESSES TO THRIVE TOGETHER Newly established Swedish Business Club aims to be the focal point for Swedish companies in Croatia, but also for Croatian partners with an interest in Sweden

T

he business forum in the autumn that will gather Swedish and Croatian managers, institutions and experts, should be a springboard for the future cooperation.

The Swedish Business Club (SBC) was founded in March 2018 by nine Swedish companies, namely ABB, Astra Zeneca, Bisnode, Ericsson Nikola Tesla, IKEA, Oriflame, Saab, Securitas and Tele2, along with the Embassy of Sweden. The initiative for establishing the Club is multilayered, as is its purpose. It is by its nature a two-way channel between Sweden and Croatia - it is a club of Swedish stakeholders rooted in Croatia, and is thus perfectly placed to act as a catalyst of ideas and opportunities for closer collaboration and a platform for establishing deeper ties between the two countries.

On the other hand, the Club aims to be the natural point of contact and an advocate

20

Focus

SWEDEN 2018

for Swedish businesses in Croatia, but also for Croatian businesses with an interest in Sweden. In essence, its goal is to act as a bridge that contributes to the strengthening of commercial, but also social and cultural, relations between Croatia and Sweden.

FOUR CORE VALUES ARE INNOVATION, CARING, OPENNESS AND AUTHENTICITY The base for the SBC is the Swedish Government's initiative known as „Team Sweden“ - a network of government authorities, agencies and companies that work together to promote Swedish exports and

support Swedish companies abroad. Team Sweden is an integral part of the Swedish Government’s Export Strategy published in 2015, and is envisaged as a platform for synchronizing promotional and communication activities in order to further strengthen “Brand Sweden”. The Swedish Business Club is thus a local implementation of the Team Sweden concept in Croatia that brings together “Swedish stakeholders” in the country.

The ultimate goal of Team Sweden is to create a joint venture between compatible Swedish actors and to bring about an increase in Swedish exports. However, Swedish companies, besides exporting goods and services, also export certain values that originate from the Swedish culture, and which are thus a part of their corporate DNA. These values are the cornerstones of the Swedish socio-economic

model that include, but are not limited to, the principles of gender equality, diversity, respecting human rights, transparency, sustainability, (corporate) social responsibility, and no tolerance for corruption.

Members of the SBC are gathered around the principles and values ingrained in Brand Sweden, which is characterized by four core values: innovation, caring, openness and authenticity. Therefore, only those candidates who are guided by and who strive to implement these values in their businesses are considered for membership, because the Club’s pivotal role is preserving and strengthening those principles that represent the core of the „Swedish model“.

The actions and activities of the Swedish Business Club are to uphold and add value to Brand Sweden and standards contained within it. All of the Club's members are to advance and promote these values and principles through their activities in the Club, as well as through their own operations. These core values are thus the starting point for all the activities and initiatives of the SBC, since they form the core of the Club's identity.

The Swedish Business Club aims to provide a way for the Swedish companies and the Embassy of Sweden to increase synergies and synchronize the Swedish presence in Croatia, by collecting and uniting all Swedish

stakeholders around common goals and objectives; including the Embassy, Swedish companies in Croatia, Business Sweden, but also, as already mentioned, Croatian companies and institutions willing to join.

Swedish Business Club in Croatia aims to advance the mutual benefits and promote tighter industrial and economic cooperation through “bridge-building” and knowhow sharing between Croatia and Sweden.

WE ARE LOOKING FORWARD TO ESTABLISH PARTNERSHIPS WITH CROATIAN INSTITUTIONS, AS WELL AS SIMILAR ASSOCIATIONS WITH WHOM IT SHARES ITS GOALS The membership core of the SBC is, naturally, the Swedish business community in Croatia, which is over 50 companies strong, but the Swedish family is wider than that as it includes a number of other actors with a strong Swedish connection. Still, the mem-

bership is thus not limited only to Swedish companies, but is opened to all companies, institutions and individuals who are committed to the SBC’s set of values. The Club wants to engage all of those for whom these principles are a common denominator regardless of their origin, sector, or size. The critical importance is the commitment to a constructive dialogue between the public and commercial sectors, based on furthering positive values and on lifting of the standards in business, be it in connection with CSR, innovation, sustainability, fair competition or free trade.

The SBC views 2018 as a “Pilot year” – a period in which it will build its foothold and will fully establish its public profile, while expanding its membership base. It will also initiate partnerships with Croatian institutions, as well as similar associations with whom it shares its goals for creating an ever more conducive business environment. To that end the Swedish Business Club will host a launching event to introduce itself to all the relevant stakeholders and partners in Croatia, as well as to gather support for its initiatives.

The plan is to crown this year with a business forum in the autumn that will gather Swedish and Croatian companies, institutions and experts, which will be a springboard for the things to come in the future.

SWEDEN 2018

Focus

21

CORPORATE

DIGITALIZATION IS NOT A MATTER OF CHOICE MILAN DRAGIĆ

General Manager of Bisnode for Southern Markets

W

e have been witnessing a number of successful stories and transformations brought on by digitalization but also examples of companies that went down precisely because they did not want to change - says Milan Dragić, General Manager of Bisnode for southern markets, a leading provider of business information in Europe.

What are the main characteristics of the Southern markets (Croatia, Slovenia, Bosnia and Herzegovina, Serbia, Macedonia, Montenegro, Albania and Kosovo) in which you operate, in terms of Big Data?

— First and foremost, I think that we should mention that, from the entrepreneurial perspective, there are no major differences in the markets in this part of Europe in relation to North Europe.

Entrepreneurs are facing the same kind of challenge. Today, we are bombarded with millions of pieces of information but we are not able to sort out this data so that we can quickly and efficiently get to the information that we really need. As a result, in Bisnode, instead of Big Data, we like to talk to our clients about the Smart Data, or the data they need in their business, which we generate by dealing with millions and millions of global and local data.

What sets Bisnode apart as the leading company in these areas?

— Bisnode is the leading provider of business information in Europe, and thanks to its strategic partnership with Dun & Bradstreet, we cover the entire world.

This is the foundation on which we build

22

Focus

SWEDEN 2018

We want to further solidify our position of the undisputed market leader, and develop offers and solutions together with our partners and customers. Regional companies are becoming increasingly aware of the fact that business has to be based on realistic and objective indicators business solutions tailored to the specific needs of our clients, regardless of whether they are companies operating in some of the countries in the region, or global multinational companies.

How much do companies in the region recognize the use of large databases and analytical solutions as accelerators of their growth?

— Companies are always looking for new ways to optimize their business. Understanding the strength that is hidden in the quality data processing is certainly noted in this market as well. Of course, the differences compared to Scandinavia are obvious and understandable.

Still, we are happy to conclude that the trend is positive.

Could you tell us which sectors are most agile in terms of using your service packages?

— I think that we can say that the pioneers of the economic development are the companies that base their operations on smart data usage and the

WORLD

BISNODE IS THE LEADING PROVIDER OF BUSINESS INFORMATION IN EUROPE, AND THANKS TO ITS STRATEGIC PARTNERSHIP WITH DUN & BRADSTREET, WE COVER THE ENTIRE WORLD

transformation of big data into smart data. Telecommunications, finance and energy companies are just some of our clients.

However, one of the great advantages of cooperating with Bisnode is the company's ability to adapt its offer to small and medium businesses. We adapt the knowledge and experience we have gained through collaborating with large global companies to the needs of small and medium sized companies extremely fast because we want to offer to them too all the solutions and tools for a more successful business.

What are Bisnode's future goals in this market?

— We want to further solidify our position of the undisputed market leader, and develop offers and solutions together with our partners and customers. That is and will always have to be the symbiosis of common development.

You have years of experience in business management of large international IT companies in the markets of Central and Eastern Europe. Do you think that these economies can make a great digital leap that is required of them?

— The digital leap is something that has already happened, and we are witnessing it. We are talking about the process that lasts, which speed depends primarily on the people who run a company. There's no big jump! We are not talking about one act that will happen and change everything but about a systematic change in the way business is done. And there is almost nobody who's immune to that.

ECONOMY

ABILITY TO CHANGE AND ADAPT

Sweden has the capacity for quick turn-arounds to cope with newly emerging situations

SWEDEN 2018

Focus

23

S

weden has gone through tremendous changes over the last one and a half century, from being a relatively poor agrarian country with natural resources limited to timber and iron ore to being one of the most prosperous modern economies in the world. Along the way Sweden registered an almost unprecedented growth rate that coupled with stability, which was propped up by neutrality and the consensus system of labor relations between workers and employers, catapulted it to becoming a globally competitive country at the forefront of innovation.

However, rather than discovering a universal formula for success, Swedish economy was able to evolve the formula, thus succeeding despite a number of changing conditions and challenges that its economy encountered over time. So, in a way, the secret to its success is Sweden’s ability to constantly change with times and adapt to overcome the emerging hurdles. From the development of the “Swedish model” in the 1930’s as a compromise between social democratic ruled state and the private sector, to the privatization towards the end of the last century, and the banking crisis of the 1990’s, Sweden has shown the capacity for quick turn-arounds to cope with newly emerging situations.

Another element of Sweden’s success is the liberalization and openness of its economy. Being small in terms of population, with only 10 million people today, Sweden has long realized that it cannot base its prosperity on the strength of its domestic market alone. It had to keep a wider perspective to fully develop its potential. Also, the liberalization of the Swedish economy began early, during the free-trade era in the second half of the 19th century, when

SCIENCE PARKS: THERE ARE MORE THAN 30 , WITH OVER 5,000 COMPANIES, EMPLOYING 70,000 PEOPLE Sweden benefited from the growing demand for its raw materials. On the one hand, this created a capital base for industrialization that was to come, and on the other hand pawed the way for the Sweden’s export based economy.

BENEFITS

THE LIBERALIZATION OF THE SWEDISH ECONOMY BEGAN EARLY, DURING THE FREETRADE ERA IN THE SECOND HALF OF THE 19TH CENTURY , WHEN SWEDEN BENEFITED FROM THE GROWING DEMAND FOR ITS RAW MATERIALS 24

Focus

SWEDEN 2018

Many of the industrial companies emerged in Sweden in the late 19th and early 20th century, gradually became global corporations; including Ericsson, ABB and SKF, just to name a few. These companies were founded on innovations they developed and that have revolutionized, and even created, certain industries. Thus, the Swedish economy has from the onset of industrialization seen a growth of knowledge-based industries, founded on R&D and innovations that have capitalized on these novel products by selling them on the global market, in which the Swedish economy was by then well integrated.

Sweden is today even more open and globally interconnected export-oriented

economy that is still highly driven by innovations, and it consistently ranks among the most competitive and innovative economies of the world. Although the big corporations formed a century or so ago are still prospering due to their own capacity for change, and though they are in the company of relatively more modern global giants, such as IKEA and H&M, the modern Swedish economy has managed to come to play a major role in the Internet age industries, as well.

Today, innovation in Sweden is based on the triple helix model in which the academia, the public and the private sector collaborate closely to create synergies and capitalize on innovations. The manifestation of the triple helix approach are the science parks, of which there are more than 30 in Sweden, with over 5,000 companies, employing 70,000 people. These “innovation hubs” catalyze the innovation processes by merging students, professors, companies and state authorities in a melting-pot that spurs new ideas and creative solutions, while also developing the capacity for adapting the regulatory framework to newly emerging needs. This model thus creates an easy pathway for innovations

to go from a conceptual idea to a product offered on the global market.

Such an approach to innovating has enabled Stockholm to become the largest global start-up hub in per capita terms, and in absolute terms it is second only to the Silicon Valley. This environment has been a spring board for many hugely success-

INNOVATION IS BASED ON THE TRIPLE HELIX MODEL: THE ACADEMIA, THE PUBLIC AND THE PRIVATE SECTOR ful global companies that have sprung up in Sweden, including seven “unicorns”, i.e. start-up with a value higher than $1 billion, among which are Skype, Spotify, Klarna and Mojang.

One of the current challenges for the Swedish economy was a large influx of asylum seekers in 2014/2015 and higher public spending required for integration.

However, migration fills important niches, both in fast-growing and declining sectors of the economy, and it also boosts the working-age population, brings in new skills, contributes to human capital development and contributes to technological progress. An essential point regarding Swedish migration policy is that migration is something fundamentally positive and beneficial for the society. Receiving asylum seekers is therefore not only a matter of helping people in need, but is also in the interest of Sweden and its economic development.

Demographic developments in Sweden and the labor market needs contribute to the need for migration. Furthermore, research has identified a clear correlation between migration and increased foreign trade, i.e., foreign born employees often have knowledge about their country of origin that can be beneficial to their employer by lowering the risks associated with international trade.

Such effects of migration are essential to export oriented economies like Sweden. This is therefore a good example of how important it is to always keep a positive outlook in the light of challenges, to find opportunities through adaptation, regardless of how hidden they might seem at first.

SWEDEN 2018

Focus

25

CORPORATE

WHAT IS TRIPLE HELIX APPROACH?

Triple Helix approach means that the companies, government and academic institutions will work together in order to bring benefits to regional development by enabling production, transfer and the use of knowledge

S

26

weden is among the first countries that adopted this model, which proved to be very successful - cooperation between the industry and the academic sector helps to create unique products and provides significant benefits to the society as a whole.

now come to Lindholmen Science Park every day to work, research, teach, study or meet. It is a vibrant environment that attracts competence from all over the world and from a broad range of sectors.

This process has been made possible through trust between the Triple Helix stakeholders.

RESULTS OF TRIPLE HELIX A century ago, Sweden was among the poorest nations in Europe. Today, according to a variety of rankings, it is the world leader in innovation. For instance, in 2017, the European Innovation Scoreboard proclaimed Sweden as the EU innovation leader. Positive results are also visible in enhancing international competitiveness. Out of 137 countries included in the latest report of the World Economic Forum on International Competitiveness, Sweden took the seventh place.

The concept of a science park, as a meeting point of Triple Helix stakeholders, is deeply rooted in Swedish innovation system and is one of its driving forces. One of the best example is the Lindholmen Science Park in Gothenburg.

In less than 20 years it has been transformed from a deserted industrial area into a cluster that is one of the global leaders in innovation and future mobility for people and goods. As a result of this transformation, some 24,000 people

SAAB AND TRIPLE HELIX Saab, as one of the most innovative defence companies, is a keen supporter of this approach. This Swedish company, with innovation embedded in its genetic

Focus

SWEDEN 2018

INVESTMENT

SAAB WILL INVEST UP TO 50 MILLION EUROS OVER A TENYEAR PERIOD IN ESTABLISHMENT AND DEVELOPMENT OF A SCIENCE PARK IN CROATIA code, aims to anticipate future security threats and challenges, and because of that it reinvests approximately 25 per cent of annual sales in R&D and innovation in Sweden and other markets. Solutions and products the company creates are continuously improved so they could

address new challenges to make people feel safe at any time. They are also building relationships through a global innovation programme, which is mainly designed for countries where Saab wants to establish a long-term presence. Saab brings the way the company works with R&D in Sweden to new markets by building relationships with researchers, companies and governments.

SAAB TO INVEST INTO ESTABLISHMENT OF A SCIENCE PARK IN CROATIA As announced in the recent visit of a Swedish business delegation to Zagreb, Saab will invest up to 50 million euros over a ten-year period in establishment and development of a science park in Croatia, modelled after the Lindholmen Science Park. This is going to be achieved in close cooperation with Croatian authorities, through funding and expertise from Saab. The decision to establish the science park was made because Croatia is pursuing an innovation strategy that matches the company's goals of supporting and developing projects that bring together industries, experts and authorities in an innovative environment. The science park aims to generate and sustain high-tech local employment in order to increase Croatia’s global competitiveness in digital transformation.

COOPERATION

THE MODEL ECONOMY

— Text —

Nikica Miloš

Can we get better by working with the best?

SWEDEN 2018

Focus

27

T

here are countries with better economic indicators, but there is always something about Sweden that makes us think that it is the best organised society around, combining social responsibility of companies and private entrepreneurial spirit.

Hence, cooperating with Sweden can only be beneficial.

COLD, BUT HEY, THERE'S HIGH LIVING STANDARD There is this common quote in the all the former Yugoslav republics, and perhaps in other ex-Socialist countries, that says that Scandinavia is “cold” but has a high standard of living. Resilience, respect, modesty and appreciation for personal time resulted in the fact that a certain number of Swedish companies adopted six-hour-working day to bolster the productivity. Cooperating with companies with such work ethic can only be beneficial for Croatia, which struggles and somehow copes with the growing pains of

28

Focus

SWEDEN 2018

flawed privatisations, tycoonisation, problems with “the southern work ethic” and the transition from Communism to Capitalism without falling into the abyss of the inhumane Third World Capitalism.

WHAT HAS BEEN DONE SO FAR? Several Swedish companies have already invested in Croatia, such as IKEA, H&M and Securitas. The Ericsson Company, which has been partners with Croatia’s Ericsson Nikola

SWEDEN AND CROATIA BOOSTED THEIR COOPERATION SINCE CROATIA JOINED THE EU, AND WITH SUBSTANIAL INVESTMENTS FROM BOTH COUNTRIES

Tesla Company for 60 years now, planned to make further investments in Croatia's IT market back in 2013. There are many more companies that launched investments in Croatia, but since 2013, there has been a new tide in mutual investments, with some Croatian companies even investing in Sweden.

The data from the late 2017 shows that Tehnika, Zagreb-Montaža and Končar EI are already operating in the Swedish market, and there is hope that IGH, Monting and others will join in. These are some of the subsidiaries of the Swedish companies in Croatia: Ericsson Nikola Tesla Zagreb, Volvo Croatia Zagreb, Tele2, Scania Croatia, Volvo Car Austria Zagreb, H & M, and Husqvarna. Following the official visit of the President of the Republic of Croatia, Kolinda Grabar-Kitarović to Sweden in March 2017, the Croatian Chamber of Commerce in Göteborg hosted the Swedish-Croatian Economic Forum. In 2016, Croatian exports to Sweden rose by 78.2%, and imports by 20.3%. The value of the external trade between the two countries amounted to 255.7 million EUR. The 11 Croatian companies - Dalekovod, IGH Institute,

Končar-Elektroindustrija, Monting, Mucić & Co, Radman group, Variety Group, Tehnika, TŽV Gredelj, Westinvest and Zagreb-Montaža Group - have already gone to Sweden.

Since last year's entry of Tehnika into the Swedish market, the company already has several contracted facilities. Currently, it is in the process of establishing its Swedish branch and conducting negotiations on new business. This is their fourth contract in Sweden, and there is a good chance that it will be signed in the very near future. Director of Tehnika, Zlatko Sirovec said last year: "By signing this contract, we are going to achieve our goal of having one quarter of our employees working in Sweden."

Zagreb – Montaža already has a representative office in Sweden. "For years we have been active in the Norwegian

market, where we have had a good experience which prompted us to recently open a representative office in Sweden too", the company says. Končar - EI has been suc-

IN 2011, THE NUMBER OF SWEDISH TOURISTS IN CROATIA STOOD AT 122,454 WHILE IN 2016, IT GREW TO 257.000 cessfully operating in Sweden and other Scandinavian countries for a number of years. "Sweden was one of the most important markets for us in 2016. The value

of our exports to this country amounted to over 200 million kunas, and we mainly exported generators and transformers.

We expect further expansion of cooperation in the field of energy and transport," said Renata Godek, the company’s Marketing Director. The Swedes also tend to import Croatian wine, fruits and furniture.

Croatia imports from Sweden mostly telecommunications equipment, medicines, paper, fish and passenger cars.

In 2011, the number of Swedish tourists in Croatia stood at 122,454 while in 2016, it grew to 257.000. Croatia expects this number to go up by 20% every year in the following few years, since the country has positioned itself as one of the most stable and desirable tourist destinations. The future looks pretty bright, we are pleased to say!

IMPORT

THE SWEDES ALSO TEND TO IMPORT CROATIAN WINE, FRUITS AND FURNITURE. CROATIA IMPORTS FROM SWEDEN MOSTLY TELECOMMUNICATIONS EQUIPMENT, MEDICINES, PAPER, FISH AND PASSENGER CARS. SWEDEN 2018

Focus

29

— Text —

Nikica Miloš

HISTORY

THE NEUTRAL VIKINGS Longstanding peace after many wars

T

here was a joke in a British comedy that goes – “In the UN, the cameras should never be on the Swedish delegation because they are so calm and neutral that they would not react even in an elephant entered the UN General Assembly”. Jokes aside, the calm, peace-loving mentality of the Swedes came only after a long history of wars and the long period of Sweden being a superpower.

30

Focus

SWEDEN 2018

WHEN SWEDEN FINALLY LOST FINLAND, IT DECIDED TO BECOME NEUTRAL AND AVOID WARS. BUT THE SOCIETY DID ACCOMPLISH A LOT!

THE VIKING EMPIRE

The Vikings had the tendency to go different ways - the Danes loved Britain, the Norwegians loved far West and the rest, while the Swedes loved the Baltic region and today’s Russia, Ukraine and the rest. The Swedish Vikings established the Kievan Rus’, while many other East Slavic states were under influence of the Swedes. Later on, Peter the Great had to

fight over the Baltic and there were fierce battles between the Swedes and Russians, Swedes and Germans etc. As a result of the Swedish involvement in the Thirty Years’ War, on the Reformist side, expansion of its territories ensued and eventually the Swedish Empire was formed. This became one of the great powers of Europe until the early 18th century.

When Sweden finally lost Finland, the country decided to become neutral and avoid wars. Consequently, the society did accomplish a lot - instead of losing power while establishing cultural empire over the Lutherans of the East, Sweden has gone a long way to become a state of tolerance and culture. In the 18th century, for instance, “the sin of carnivalism” (being drunk, dancing and singing in public) was punished by beating, but now, the Swedes are considered one of the most cheerful nations in Europe, and definitely the most flamboyant in Scandinavia. ABBA, Roxette, The Ace of Base, The Cardigans and others proved that the new Swedish spirit is connected to their new history that rests on joy, melody and harmony.

THE LAST UNION Sweden, like Croatia, somehow always “liked” unions: the one with Finland, the other before that one both with Norway and Denmark (The Kalmar Union), and finally, until 1905, with Norway. But later on, Sweden positioned itself as the most advanced country in the world, accord-

THE CALM, PEACELOVING MENTALITY OF THE SWEDES CAME ONLY AFTER A LONG HISTORY OF WARS AND THE LONG PERIOD OF SWEDEN BEING A SUPERPOWER

ing to the standards of living and social justice, hence the expression “the Swedish Socialism”. The last war in which Sweden was directly involved was in 1814, when Norway was forced by the military into personal union. Since then, Sweden has been at peace, maintaining an official policy of neutrality in foreign affairs. The union with Norway peacefully dissolved in 1905. Though Sweden was formally neutral through both world wars, Sweden engaged in humanitarian efforts, such as taking in refugees from the Germany-occupied Europe.

After the end of the Cold War, Sweden joined the European Union on 1st January 1995, but declined NATO membership, as well as Eurozone membership following a referendum. It is also a member of the United Nations, the Nordic Council, the Council of Europe, the World Trade Organization and the Organisation for Economic Co-operation and Development (OECD). Sweden maintains a Nordic social welfare system that provides universal health care and tertiary education for its citizens. It has the world's eleventh-highest per capita income and ranks highly in numerous metrics of national performance, including quality of life, health, education, protection of civil liberties, economic competitiveness, equality, prosperity and human development.

SWEDEN 2018

Focus

31

SPIRIT

SPIRIT OF IMMEDIACY, DEVELOPMENT AND PROSPERITY Many ideas and suggestions for solutions means better conditions for taking steps forward 32

Focus

SWEDEN 2018

F

or a work meeting in Sweden, everyone concerned is invited and fika is often served. Everyone has a say and the manager’s job is to listen. That is how workplaces in Sweden are normally organised. Some people may think this leads to slow development, but history shows that this approach has been an important factor in Sweden’s rapid development over the last century. Sweden has been characterised by cooperation and a consistently forward-looking attitude, that has helped in takingsociety forward at the same time as it has ensured widespread inclusion of the population.

In Sweden, the ethos proclaims that an idea should always be considered valuable, regardless of who and where it comes from. It can always lead to progress. This fosters opportunities for new ways of thinking, an openness to consistently question things, and eagerness to test new solutions. As one of the world’s most developed countries, with advanced expertise in cutting edge industries, and as a test market for many of the world’s leading companies, Sweden has a strong position as a country open to new ways of thinking – at the cutting edge of development. But Swedish openness to new ways of thinking involves not only technological innovation, but also the embrace of strong ethical values such as equality between men and women, sustainable development and respect for human rights.

These values have their origin in a strong welfare society, where the goal is to ensure that everyone has a place and where economical growth goes hand in hand with social and environmental sustainability.

This makes it easier to deal with change – if the support system is strong, people

can deal with restructuring of workplaces and economy.

A very important word for understanding the Swedish spirit is lagom. It can be loosely translated as “just the right amount,” “in moderation,” or “appropriate”. Basically, it indicates a balance. The origin of the term is an archaic dative plural form of lag ("law"), in this case referring not necessarily to judicial law but common sense law. A translation of this term could also be "according to common sense". A popular folk ethymology claims that it is a contraction of "laget om" ("around the team"), a phrase used in Viking times to specify how much mead one should drink from the horn as it was passed around in order for everyone to receive a fair share.

SWEDEN´S GRADUAL, PRAGMATIC AND OPENMINDED WAY OF THINKING AIM TO BALANCE OLD AND NEW However, today lagom characterises the Swedes’ pragmatic way to strive for participation, equality and consensus and for creating balance in society. Sweden´s gradual, pragmatic and open-minded way of thinking aim to balance old and new, and allows ideas and knowledge from the outside to be easily adopted and mixed with what is traditionally Swedish.

Many of Sweden´s values and its spirit can be seen in the business environment in the country. In Sweden, people, also in the

working environment, address each other by using the informal ”you” or first names, regardless of who they are and what position they have. Swedes believe in diversity, and with 17 % of the population born outside of the country thethe conclusion is that innovations are more easily created in places where different cultures, values and ideas are combined and recognised. Itis generally considered to be better if policies, decisions, solutions and ideas are discussed openly and across all levels before any conclusion is reached. Not only are Swedes heavily relying on consensus, but they also accept mistakes as a necessary part of the learning process – as well as being important for testingnew ideas.

Sweden can thus best be described as a country focused on development, but not at the cost of the needs of people and the environment.

However, past or current successes are no guarantee for future success. If Sweden is to remain successful in the future, and become an even better country to live and work in, it must be able to meet future challenges, such as an ageing population, ensuring sustainable growth, integration of immigrants, gender equality and social justice and cohesion. While Swedes, like everybody else, face many challenges in the future, there are ample grounds for optimism. This is not only because Sweden is in a strong economic position at the present. This is not only because Sweden is in a strong economic position at the present. It is also because the Swedish model historically has had a tendency to seek cooperation; a fact-based arguments carry considerable weight in the political debate and and there is a high degree of social trust in the society.

FOCUS

SWEDEN CAN THUS BEST BE DESCRIBED AS A COUNTRY FOCUSED ON DEVELOPMENT, BUT NOT AT THE COST OF THE NEEDS OF PEOPLE AND THE ENVIRONMENT SWEDEN 2018

Focus

33

CULTURE

DYNAMIC, CHALLENGING AND INDEPENDENT CULTURE Creativity, diversity and artistic quality should influence the development of society

D

id you know that the Swedish composer Max Martin has written 19 songs that made the Billboard Charts and that only Lennon-McCartney tandem were more sucessful?

Did you know that the value of Sweden’s fashion brands' export is around 17 billion Euros annualy? Or did you know that the TV-show The Bridge has been sold to more than 160 countries?

Maybe you know that King, the mobile game company that makes one of the world’s most popular games Candy Crush Saga, was sold in 2015 making it the second largest acquisition in the history of Swedish enterprise? Or that every 10th person on the planet is playing Swedish video games?

The Swedish culture is broad, internationally successful, diverse and heavily supported by the government. The objective of the Swedish cultural policy is that culture should

34

Focus

SWEDEN 2018

be a dynamic, challenging and independent force based on freedom of expression.

Everyone must be given the opportunity to participate in the cultural life. Creativity, diversity and artistic quality should influence the development of society.

DESIGN Diversity is a vital component of the contemporary Swedish design. Aesthetic norms and traditional ways of working are

SWEDISH FICTION IS AMONG THE MOST TRANSLATED IN THE WORLD

constantly being reassessed and tested.

Also, emotional values are now just as important as a function.

For a long time, design has been very important in terms of improving the Swedish society and the sense of identity. A desire for good design to be accessible to the masses has been voiced both by politicians, experts and individuals. The Swedish Society of Crafts and Design (Svensk Form), founded in 1845, has been commissioned by the government to promote the Swedish design, to encourage Swedish industry to use design, to support exemplary design and to remind the general public that design affects every product field.

Modern Swedish design plays a clear role in everyday life, and has benefited from a fruitful cross-fertilisation between the generations and the tendency to question the established approaches.

LITERATURE Swedish fiction is among the most translated in the world. In fact, it is the tenth most translated language in the world when it comes to literary fiction.

Between 2006 and 2010, over 3,300 titles were translated into other languages. Crime writers such as Stieg Larsson and Henning Mankell have worldwide popularity. They have maintained a classic tradition in Swedish literature based on the critical appraisal of contemporary society. Looking back, 2017 was a record year for Swedish literature abroad. All in all, 257 Swedish books were granted financial support to be translated into 48 languages.

It all started with the first literary text in Sweden- the Rök Runestone, carved during the Viking Age in circa 800 AD. In the 18th century, an independent cultural institution was founded by King Gustav III with the official task of advancing the Swedish language and Swedish literature.

Nowadays, more than a third of Swedes read a book a day and they put a lot of emphasis on childrens books. Children’s literature often reflects trends seen in adult literature and it is frequently reviewed and discussed in the major media. Most famous Swedish children's author is Astrid Lindgren with her classic book, Pippi Longstocking.

FILMS Ingmar Bergman remains one of Sweden’s most well-known cultural figures and his work continues to inspire audiences and filmmakers alike. Roy Andersson also made a name for himself in 1970 with A Swedish Love Story and A Pigeon Sat on a Branch Reflecting on Existence that won

a series of prizes, including the Golden Lion in Venice 2014.

Swedish films have had international success and close to 30 are sold in the international market every year. When allocating funds to the film industry, a consideration is made that the funds are equally divided among women and men. In 2016, 42% of the award-winning films were directed by women. However, films directed by women have a lower average budget than those directed by men.

INGMAR BERGMAN REMAINS ONE OF SWEDEN’S MOST WELLKNOWN CULTURAL FIGURES The film industry in Sweden is slowly switching to the Internet, so almost a half of the films (49%) in Sweden are watched online, and directors are increasingly turning to crowdfunding to collect filmmaking resources. Swedish filmmakers have won 30 Oscars throughout the history. The most successful Swedish actress in 2016 was Alicia Vikander, who won the Academy Award for Supporting Actress. The most sucessful Swedish film in 2017 was The Square that won Academy Award for the Best Foreign Film.

GAMING Sweden is ranked as one of the top computer game exporters. Candy Crush Saga has taken Facebook and smartphones by storm,

having been downloaded more than 500 million times. Similary Minecraft, that was the Swedish programmer Markus Persson’s one-man hobby project, turned out to be so successful that in 2011 it had a turnover of EUR 61 million.

Some statistics show that every tenth person on the planet has played a Swedish video game. The reasons for this could be found in the fact that Swedes took to home computers very early – partly due to political initiatives – and Internet access has long been high on the government’s agenda.

Gaming was introduced early as a university subject in Sweden, with the first programme created at Gotland University in 2001. This makes gaming studies, research facilities and institutes both accessible and acceptable.

FASHION You know about H&M, but have you heard of Acne, Filippa K, J Lindberg, Nudie Jeans, Cheap Monday,Tiger of Sweden, WESC and Weekday? There are about 40 or 50 Swedish fashion labels that are successful, both in Sweden and internationally, and this number is constantly growing.

The current goal of the Swedish fashion industry is to go from linear to circular production, where materials are not discarded after use but instead recycled or used in other ways so that the waste is kept to a minimum. Sustainability is definitely in focus at the moment. A good example of this is the designer Bea Szenfeld who has replaced most fabrics with her nowadays dominant material - paper. Her imaginative creations have been worn by Loreen, Björk and Lady Gaga who donned them in her music video ”G.U.Y”.

FILMS

SWEDISH FILMS HAVE HAD INTERNATIONAL SUCCESS AND CLOSE TO 30 ARE SOLD IN THE INTERNATIONAL MARKET EVERY YEAR SWEDEN 2018

Focus

35

TOURISM

COUNTRY WITH CLOSE TO 28 MILLION VISITORS PER YEAR Most people view Sweden as “a country somewhere up there in the North”

36

Focus

SWEDEN 2018

A

s in most parts of Europe, tourism in Sweden began sometimes during the 19th century. In fact, the first Swedish tourist association was founded in the town of Uppsala in 1885, with the aim of promoting tourism in Sweden and helping people discover their own country.

At the turn of the century, in 1900, first swimmers started to swim in the sea in Skåne and on the island of Gotland. Many came to watch this unheard-of event – men and women swimming together! During the second half of the 20th century, tourism in Sweden started to happen “en masse”, focusing on diverse nature sights, snow and even sun. Charter flights began in 1953 and until 1996, the number of travelers had grown to around 1.6 million.

What can Sweden, considered by many as “a cold and dark country”, offer to tourists?

The number of visiting tourists in Sweden has been steadily growing over the last few years. But what is there to see? To do? To buy? To eat? Why should you go to Sweden?

Sweden is a land of varieties. It has a wealth of opportunities for everyone; whatever the person might be interesting in. From the green and warmer South to the snow covered North, from the beautiful coast of the West to the archipelagos in the East.

Are you interested in culture, heritage and arts? Sweden has a rich and interesting history. This is a country that has not been in war for centuries. Thus, the cultural heritage has been preserved. The obvious places to visit are the towns - from the capital Stockholm, to Gothenburg (Göteborg), Malmö, and Umeå. But the countryside is also full of surprises! Just visit “The Kingdom of Crystal” (the county of Småland where glass has been hand-blown since 1742), and Stockholm, the town that rests on many small

islands, and Sweden’s most visited town.

The “must-do’s” in Stockholm are: • Vasa Museum: The 69-metre-long warship Vasa sank on its maiden voyage in the middle of Stockholm in 1628 and was salvaged 333 years later, in 1961. For nearly a half of century the ship has been slowly, deliberately and painstakingly restored to almost its original glorious state. The three masts on the roof outside the specially built museum show the height of the ship's original masts. Today, the Vasa Museum is the most visited museum in Scandinavia, with over one million visitors a year.

ARE THERE BEARS IN THE STREETS IN SWEDEN?FUSNOTA 2: SWEDEN HAS A VERY DIVERSE HISTORY, CULTURE, NATURE, FOOD, ADVENTURE, SPORTS… • ABBA Museum: The Museum is more than just that. The permanent exhibition is chock full of ABBA memorabilia like stage outfits, instruments, gold records, awards and much more. But it’s also an interactive experience that invites you to sing, dance, mix music and try out virtual stage outfits.

• Skansen, the outdoor park: Skansen is a favorite both with Stockholmers and visitors passing through. This is the oldest outdoor museum in the world and also the Stockholm Zoo which houses animals native to Scandinavia. This is also a Sweden in miniature with 150 farms and dwellings from different parts of the country disas-

sembled and transported here.

• The Royal Palace: One of the largest palaces in Europe, the Royal Palace is the official residence of His Majesty the King of Sweden. It has over 600 rooms.

The Palace is open to the public and has no less than five museums. It was largely built during the 18th century in the Italian Baroque style, in the location where the Tre Kronor Castle burned down in 1697.

• Gröna Lund: Experience the joyful and magical world of Gröna Lund, Stockholm´s amusement park.

• Drottningholm: Take a day trip to Drottningholm and experience a historic milieu of the highest standard. The Drottningholm Palace is Sweden's best-preserved royal palace built in the 17th century, the permanent residence of the royal family and one of Stockholm's three World Heritage Sites. The palace features the magnificent salons from the 17th, 18th and 19th century, a beautiful park, a unique palace theatre and the Chinese Pavilion. The impressive Baroque garden was created in early 1681.

• Gamla Stan: Gamla Stan, the Old Town, is one of the largest and best preserved medieval city centers in Europe, and one of the foremost attractions in Stockholm.

This is where Stockholm was founded in 1252. All of Gamla Stan and the adjacent island of Riddarholmen are like a living, pedestrian-friendly museums, full of sights, attractions, restaurants, cafés, bars, and places to shop. Gamla Stan is also popular with handicrafts and souvenir aficionados.

Another important aspect of the modern culture is the Swedish literature, primarily the crime novels which have gained large readership worldwide. Have a peek into the Swedish society, understand the col-

MOST INOVATIVE

SWEDEN IS KNOWN AS ONE OF THE MOST INNOVATIVE COUNTRIES IN THE WORLD AND DURING YOUR STAY AS A TOURIST, YOU HAVE THE OPPORTUNITY TO EMBRACE ALL THE DIFFERENT ASPECTS OF MODERN DESIGN AT EVERY STEP SWEDEN 2018

Focus

37

lective Swedish psyche, and see wonderful natural settings! And you can do all of that through the novels by Stieg Larsson (Millennium Trilogy), Henning Mankell (Detective Wallander books and TV series), Camilla Läckberg, Lars Kepler, Liza Marklund, Jens Lapidus and others.

Would you consider Sweden as a design travel destination? The country has gained that status as a result of having a tolerant culture which created opportunities and is a breeding ground for innovative solutions and ideas. Swedish design doesn’t only cover traditional things like cloth, furniture, jewelry, etc. but also innovations, new ideas in architecture, and new restaurant food.

Swedes are encouraged from a young age to defy norms, experiment and dare trying.

Hence, Sweden is known as one of the most innovative countries in the world and during your stay as a tourist, you have the opportunity to embrace all the different aspects of modern design at every step.

As it stretches from the South, leaning onto Europe by the Öresundsbron from Sweden to Denmark, to the cold and dark North, Sweden has a very diverse history, culture, nature, food, adventure, sports, etc. So here are a few teasers, just to help you decide to visit Sweden!

• Ice hotel: The world’s first hotel made of ice and snow. Founded in 1989, it is re-made in a new guise every winter. The hotel is located in the Swedish village of Jukkasjärvi – 200km north of the Arctic Circle.

• Midsummer: This large gathering is one of

38

Focus

SWEDEN 2018

SWEDEN HAS GAINED THAT STATUS AS A RESULT OF HAVING A TOLERANT CULTURE WHICH CREATED OPPORTUNITIES AND IS A BREEDING GROUND FOR INNOVATIVE SOLUTIONS AND IDEAS

the most loved Swedish traditions. People often begin the day by picking flowers and making wreaths that they place on the maypole, which is a key part in the celebrations. The maypole is raised in an outdoor spot and traditional ring-dances ensue, to the delight of the children and some of the adults.

• Lucia: The annual candlelit Lucia procession, which takes place on 13th December, is perhaps one of the more exotic-looking Swedish customs, with girls and boys clad in white full-length gowns, singing songs together. It is celebrated everywhere: in homes, schools, hotels, companies, outdoors.

• S emla: a cream-filled bun traditionally eaten in January-February. Around 20,000,000 semlas are consumed every year.

• Dalahäst: The Dala Horse is the most popular Swedish souvenir. This is a wooden horse, hand-painted by Swedish woodcutters in the province of Dalarna, which originates from the 1700s. It is usually painted in red, but comes in other colors too.

• Snowmobiling: Snowmobile safaris can include having lunch in wilderness and dinner in Sami teepees, saunas, hot tubs, mountain lodges, campfires, ice fishing.

• Northern lights: The Northern Lights, or Aurora Borealis, appear around the beginning of September (Kiruna) to around the end of March all over Swedish Lapland.

Welcome to Sweden! Enjoy the sustainability and diversity of Sweden as a tourist!

Subscribe NOW! News, analysis, interview and commentary on events occuring in Croatia, in diplomatic and business community. Every month, in English, directly to your desk.

Reliable and efficient information platform offering diverse useful information about local, regional and foreign investment opportunities, trends, legislation updates and researches.

In print and online.

SUBSCRIBE NOW FOR COMPREHENSIVE COVERAGE OF DIPLOMACY, POLITICS, BUSINESS AND SOCIETY IN CROATIA

Payment instructions: www.diplomacyandcommerce.hr/ subscription Call us 091 2886677 or send us request on: marketing@diplomacyandcommerce.hr

only

399KN per year!

”Diplomacy&Commerce” for only 34€ per year! 12 issues + 12 special editions + 12 supplements...

SWEDEN 2018

Focus

39

40

Focus

SWEDEN 2018