Translation

PRESIDENT OF THE REPUBLIC'S SPEECH AT THE PRESIDENTIAL EXPORT AWARD CEREMONY

AT THE PRESIDENTIAL PALACE, ON FEBRUARY 4, 1998

I am honoured to bestow the Presidential Export Award on three internationally successful Finnish companies, all of which represent Finnish enterprise in interesting ways. Two of the recipients operate in old-established lines of business, and their company histories show that the key to success in competitive, international markets is specialization and networking with international partners. The third company is in the forefront of information technology, marketing products on the Internet. We should indeed be proud of the diverse know-how available in Finland.

The Finnish Government recently decided to significantly increase the resources channelled into research and product development, though Finland already ranks high by international comparison. This is fitting, as both developing innovative products and upholding the marketability of older products requires that we invest heavily in product development. Finland's future prosperity and job growth depends on successful products and services.

Effective and skilful marketing is, however, needed to transform such products into successful business ventures. Consequently, technological development and even more effective international marketing must progress hand in hand. The Finnish Foreign Trade Association provides Finnish companies with invaluable expertise and support in international marketing here.

Last year, the EU's Leonardo da Vinci programme looked into how small and medium-sized companies require both educational and information resources in an increasingly international business setting. What became evident was that companies saw the lack of marketing skills as a major problem. According to the same study, only some 25% of small and medium-sized companies in Finland were able to compete internationally in 1995. As Finland's domestic market is small, Finnish companies are forced to improve their international standing earlier than companies in larger countries.

For a small company, the road to international markets can be rocky, often requiring outside assistance. Co-operation among special service-oriented organizations is ideal for this purpose. Moreover, job creation can be furthered and employment sustained by increasing the number of small and medium-sized companies. It is therefore important that business conditions are improved and Finnish companies encouraged to look beyond our national borders.

The Presidential Export Award was given for the first time 30 years ago. The award is both a recognition of excellence in developing foreign trade and exports and an incentive for business and industry to venture outside Finland.

Throughout the years, 87 companies have received the award. At the beginning, the award was usually given to traditional exporters, but today the award recipients demonstrate a more developed and involved sense of global business.

I would like to congratulate all the award recipients and wish them great future success.