Norway boasts one of the strongest economies worldwide. Its commitment to environmentalism and sustainability makes it an attractive market for businesses that offer superior products or services.
Norwegian business culture generally follows Scandinavian work values and emphasizes flat structures with equality and trust between colleagues, which helps facilitate efficient negotiations.
Ease of Doing Business
Norway boasts an excellent business environment, as reflected by its ranking on the World Bank Group’s Doing Business Index. This index measures the regulatory environment and enforcement of laws impacting company operations in 190 economies around the globe; scores take into account various indicators including electricity access ease, property registration timeframes, and tax payment costs.
Businesses in the country work closely together with each other, research institutes, government, civil society organizations, and civil society groups to collaborate closely and innovate while being committed to sustainability issues such as environmental protection. This provides businesses with an ideal base from which they can launch products or services into regional or European markets.
Norway stands out as an attractive market for companies offering cutting-edge solutions and products, due to its focus on technology and innovation. And when it comes to how to register a foreign company in Norway, it may be as easy as signing up online. Furthermore, the population of educated young adults makes it an excellent market for introducing upmarket offerings.
Norwegian is very similar to English, making communication with local markets easy. Many Norwegians speak fluent English, as do their family members; both countries share close cultural, family, and trading ties that have existed for almost 1000 years – helping it become an attractive business location for foreign investors and corporations.
Low Taxes
Norway provides a tax-friendly environment for businesses, boasting one of Europe’s lowest corporate taxes and drawing international companies looking for opportunities. Furthermore, with such an emphasis on environmentalism and sustainability in Norway there is an audience willing to support companies offering green products or services.
Norway boasts low taxes and an advanced infrastructure for doing business, with bilateral and multilateral trade agreements that help reduce barriers to international commerce, an established legal framework protecting intellectual property rights, as well as low taxes compared to its counterparts in many other nations, ranking fifth on the World Bank’s 2020 Ease of Doing Business Index.
The Norwegian economy is highly innovative and competitive, boasting world-leading companies in oil & gas, maritime transport, hydrogen storage systems, batteries, aquaculture, ICT & renewable energy sectors. Foreign investment is welcomed across these and other high-tech fields; it also is part of the European Economic Area providing access to the EU single market and actively seeking liberalization of its foreign investment laws for more compliance with European trading regulations.
Norway stands out as an attractive employment option with its relatively high wages and low unemployment rate, along with its comprehensive social welfare system that offers pensions, health insurance, and maternity leave benefits for its workforce. Furthermore, this country is known for having high quality-of-life standards as well as an outstanding education system.
Norway stands out among other business destinations by its robust bankruptcy protections, and ranks fifth globally for ease of resolving insolvency proceedings; the average time it takes to close bankrupt companies is less than half that of an OECD average (as seen here).
To effectively conduct business in Norway, one must understand both its culture and negotiating styles. Norwegians tend to be straightforward negotiators who prefer dealing with transparent partners who won’t surprise them with sudden changes. Therefore, trust must be established between yourself and your Norwegian counterparts as soon as possible.
Efficient Banking System
Norway’s financial system contributes to economic stability by offering efficient financing channels and supporting an advanced payment system and functioning financial markets. Monetary policy is administered by the Central Bank of Norway while banks and other financial institutions are overseen by an Independent Authority for Financial Supervisory.
At the same time, Germany boasts an advanced insurance market and one of Europe’s strongest savings systems; businesses operating there can therefore count on being well supported in managing risk and capital resources.
Norway boasts an outstanding quality of life and tops numerous global happiness surveys. Additionally, its education system makes its workforce attractive to companies seeking to establish operations there; consequently, it is among the premier locations for foreign investors.
Scandinavian work cultures are known for their open communication and emphasis on equality, which means Norwegians are very willing to cooperate and build long-term relationships with customers. Furthermore, it boasts a relatively low crime rate which also plays an integral part in making decisions regarding doing business there.
Norway has an advanced banking sector supported by government incentives and regulations, contributing to its stable economy with strong property rights protection and an efficient legal system. Norway ranked 9 out of 190 economies for the ease of doing business index in 2021; scoring particularly highly when it came to starting companies, registering property, trading across borders, or starting businesses abroad.
Norway also boasts attractive tax conditions that attract foreign investments. Norway saw USD 3.9 billion of inward FDI during the first six months of 2022 compared with USD 5.8 billion recorded for this same period last year (source: https://www.state.gov/reports/2022-investment-climate-statements/norway/); investment was particularly focused on mining/quarrying and financial/insurance services sectors.
Norway is an energy industry powerhouse and home to one of the world’s largest merchant shipping fleets. Furthermore, Norway stands out as a pioneering nation when it comes to technology and innovation, placing great importance on environmental conservation and sustainability practices – an attractive market for companies that prioritize environmental concerns in their business models.
Highly Skilled Workforce
Norway’s business culture is heavily influenced by Scandinavian work values that emphasize equality and non-hierarchical communication styles, creating an enjoyable working environment and keeping employees satisfied and productive. Furthermore, Norwegians tend to be very straightforward when it comes to negotiations; they don’t waste their time engaging in pointless arguments but only negotiate when both parties see an advantage in negotiating together.
The government encourages investment by offering tax incentives. These include tax credits for research and development activities, reduced corporate tax rates, worker tax reduction in the north of the country, and worker tax exemption for companies located there. The exact amounts needed to qualify for these incentives vary based on business type; generally speaking though, spending more money on R&D means an increased tax credit will apply.
