Export of US Energy Utilities Equipment to Finland

Abstract

This bachelor’s thesis was commissioned by the Embassy of the United States of America in Helsinki, and primarily by its Commercial Section in January 2015. The writing process took place between February and May of the same year.

The thesis examines the business potential of the target market Finland for US companies that operate in the energy utilities industry. The basis of information of this thesis is founded primarily on the theories of International Business, subjects that are closely affiliated with it, general knowledge on the subject, and on the most essential features of the energy industry. The main area of examination is on the trade of these commodities from the United States to Finland. However, the business to the opposite direction is limited from this study, as the permissible length of a bachelor’s thesis is limited.

This thesis focuses also on the production of electricity, as these two industries are inseparably close to each other. Especially in the case of the target market, the industries are presented simultaneously.

The thesis is in two parts. The first one is theoretically oriented, and the second is an export guide. The theoretical part commences with an introduction, and by defining the concept of Energy Utilities Industry. After this the core elements of international business are contemplated, such as the global volume of international trade, the internationalization process of companies, the main factors of market success, the significance of logistics in world trade, and the importance of funding, to name a few.

The target market Finland is analyzed in the following chapter. The equivalent situation of the energy industry in the neighboring countries is also examined, to shed light on the wider geopolitical region. The primary point of view in this chapter is divided into the Macro and Micro environments of the industry, with the help of a PESTE-analysis approach.

The export guide is enclosed as an attachment after the theoretical part. The guide contemplates the current business potential of Finland for the above-mentioned companies, and analyzes the target markets business opportunities of the near future. Essential figures of the industries of electricity production and energy utility are presented in this part.