Zulkarnain ., Pekka Leviäkangas

Show more
VTT Technical Research Centre of Finland, Oulu, Finland.
Show less

Abstract: Intelligent transport systems (ITS) are seen as a high-growth segment within the transport sector, as information and communication technologies (ICT) push their way through different industries. ITS products and services has been developed, and its myriad benefits has been introduced which are promising for new business opportunities and investors. Its economic importance has also been recognised as well and many analyst reports show significant growth projections for the ITS market as a whole. This paper attempts to make the first quantitative and empirical analysis of the ITS industry in Finland. The Finnish ITS market had a significant growth in 2007 but has since then been very slowly been turning upwards from the negative growth observed in 2008 and 2009. The fast growing firms have clearly been showing good growth, whereas the weakest performers seem to have a continuous declining trend. The Finnish ITS supply market had an aggregate turnover of approximately € 300 million and around 1700 employees in 2010.

Keywords: Intelligent Transport Systems; Market; Growth; Industry; Industry Structure; Finland

Cite this paper: Z. . and P. Leviäkangas, "The Size, Structure and Characteristics of Finland’s ITS Industry," Technology and Investment, Vol. 3 No. 3, 2012, pp. 158-167. doi: 10.4236/ti.2012.33022.

References

[1]   S. Ezell, “Explaining International IT Application Leadership: Intelligent Transportation Systems,” ITIF Publication, Washington DC, 2010.

[2]   J. N. P. Kristensen, “Why ITS Needs PCP,” P3ITS Webinar, ERTICO, 26 May 2011.

[3]   F. Ferreira, “ITS Action Plan and Directive Framework for the Deployment of Intelligent Transport Systems,” P3ITS Workshop, ERTICO, 2010.

[4]   P. Levi?kangas and A.-M. Hietaj?rvi, “Weather Information for Transport—The Value Shift,” Value World, Vol. 33, No. 2, 2010, pp. 4-13.

[5]   P. Levi?kangas, “Building Value in ITS Services by Analysing Information Service Supply Chains and Value Attributes,” International Journal of Intelligent Transport Systems Research, Vol. 9, No. 2, 2011, pp. 47-54.

[6]   BCC Research, “2010 Intelligent Transport Systems Review,” 2010. http://www.bccresearch.com/report/2010-intelligent-transportation-systems-trn001d.html

[7]   S. Dutta and I. Mia, Eds., “The Global Information Technology Report 2009-2010,” World Economic Forum, Cologny, 2010.

[8]   M. E. Porter, “Competitive Advantage: Creating and Sustaining Superior Performance,” Free Press, New York, 1985.

[9]   B. C. Eaton, D. F. Eaton and D. W. Allen, “Microeconomics,” 5th Edition, Prentice Hall, Toronto, 2002.

[10]   R. S. Pindyck and D. L. Rubinfeld, “Microeconomics,” 7th Edition, Prentice Hall, Toronto, 2008.

[11]   Intelligent Transportation Society of America, “Sizing the US and North American Intelligent Transportation Systems Market: Market Data Analysis of ITS Revenues and Employment,” 2011.

[12]   US Department of Justice and the Federal Trade Commission, “Horizontal Merger Guidelines,” Washington DC, 2010.

[13]   L. Yu, et al., “Chinese ICT Industry from Supply Chain Perspective—A Case Study of the Major Chinese ITS Players,” International Journal of Production Economics, Vol. 115, No. 2, 2008, pp. 374-387. doi:10.1016/j.ijpe.2008.03.011

[14]   European Commission, “The New SME Definition— User Guide and Model Declaration,” Commission Recommendation 2003/361/EC, Official Journal of the European Union L, Vol. 124, 2003, p. 36.

[15]   OECD, “Country Statistical Profile: Finland 2011-2012,” 2011.

[16]   Bank of Finland, “Finnish Share Indices,” 2012. http://www.suomenpankki.fi/en/tilastot/arvopaperitilastot/Pages/tilastot_arvopaperimarkkinat_osakkeet_toimialaindeksit_en.aspx

[17]   P. Levi?kangas, “Private Finance of Transport Infrastructure Projects—Value and Risk Analysis of a Finnish Shadow Toll Road Project,” VTT Publications, Espoo, 2007.

[18]   M. Nokkala, K. Finnil?, J. R?nty and P. Levi?kangas, “Financial Performance of Finnish Technical Networks,” VTT Working Papers 163, 2011.

[19]   Ministry of Transport and Communications Finland, “Intelligent Transport Systems and Services: Finnish Strategy,” Libris, Helsinki, 2005.

[20]   T. S. Baines, H. W. Lightfoot, O. Benedettini and J. M. Kay, “The Servitization of Manufacturing: A Review of Literature and Reflection on Future Challenges,” Journal of Manufacturing Technology Management, Vol. 20, No. 5, 2009, pp. 547-567. doi:10.1108/17410380910960984

[21]   T. Baines, H. Lightfoot, J. Peppard, M. Johnson, A. Tiwari, E. Shehab and M. Swink, “Towards an Operations Strategy for Product-Centric Servitization,” International Journal of Operations & Production Management, Vol. 29, No. 5, 2009, pp. 494-519. doi:10.1108/01443570910953603

[22]   A. Neely, “Exploring the Financial Consequences of the Servitization of Manufacturing,” Operations Management Research, Vol. 1, No. 2, 2008, pp. 103-118. doi:10.1007/s12063-009-0015-5