Notify Friend
2009-11-13

Service Companies prefer Denmark rather than Sweden

Swedish protectionism and various political statements scare foreign investments in service companies that are investing in health and social care. This is the price Sweden has to pay because of various statements and the strong skeptical attitude to private parties that exist among different political parties.

The numbers of foreign enterprises in health and education
sector are few in Sweden, and Sweden is not an attractive market for the future.

According to Stanley Brodén, CEO of the healthcare group Aleris, the skeptical approach makes health care companies stay away. On the school side, however, the school money gives us hope.

Aleris is a healthcare company with operations in several Nordic countries. Stanley Brodén sees major differences between mainly Denmark and Sweden.

In the neighboring country Denmark, there is a more open attitude to private health insurance and a health care guarantee for 30 days. It has led to that several international persons have invested, including two major German hospital companies, Helios and Damp, and even Aleris saw possibilities in Denmark.

- However, I have not yet seen foreign companies or individuals active the same way in Sweden and Norway, says Stanley Brodén.

Can we talk about a Swedish protectionism?

- Yes, you can, maybe not so much to the outside world, but about the negative rhetoric in the debate which indirectly puts up barriers, says Stanley Brodén.

In Sweden, they talk about that the Swedish health care could become an export industry. But among the politicians, there is still a great skepticism towards such dividends and an unwillingness to create a domestic market which in turn provides the opportunity to grow abroad.

In recent years, the private health care has not grown
very much in Sweden, according to Brodén.

Another obstacle is that the prices are lower compared with other countries, for example for a hip replacement, which creates lower margins for healthcare companies.

It creates a situation that is difficult for Swedish health care companies, not least those who want to build a business big enough to cope with a foreign expansion, but also for foreign companies or individuals who want to establish in Sweden.

- It will come automatically. Where everyone can see that there
is growth potential and a framework that can finance the development there are also foreign contractors, says Stanley Brodén.

At the same time, it will not be perfect just because you cross
the border and establish business in Sweden. England, under Tony Blair's leadership, opened up for private alternatives and has a more restrictive approach today along with Germany.

- There was a fantastic commitment in Germany a few years
ago. Now I feel that they have lost the pace. It goes up and down. As a health care contractor in Europe, you need to divide the risk, says Stanley Brodén.


                                                                                      Cecilia Helland

Source

Confederation of Swedish Enterprise - Visit them here
Nopef
NCC