dissertation in pdf-format - Aalto-yliopisto

The development of high growth and highly successful SMEs 421
about 50% of their products. All the case firms have different customer orientation and
focus as well as different competitive advantage which depends on the major markets of
the firm. Globally operating Blancco Oy Ltd. emphasises the importance of sales and
distribution as well as close connection to the customers.
“It took ten years to learn that in the software business nothing else matters but
sales organisation and business model. In order to maintain competitive
advantage you have to have big ears to listen and find out the needs of
customers, to satisfy them and in addition to surprise the customer positively.”
BP Asennus Oy is highly dependent on the subcontracting of six large domestic
customers and the services are produced as the customer demands. In order to keep the
existing large businesses you have to offer better service and quality than your local
competitors. “Price is not a decisive factor but the current customers are willing to pay
more for the existing qualified resources. In practice it would be impossible to get a new
customer at the price we receive from the old customer base”.
The market of Mipro Oy consists of automation of the infrastructure in waterworks
and safety systems for the railways. Both of the business areas include mainly public
customers and thus the projects are long-term investments which usually are financed
through budgetary funds. The firm has long-term partnerships and framework contracts
where the project will be split into parts. The market is small, including four to five
players operating in Finland where Mipro Oy is the largest private player. Competitors
and challenges come from the international market. According to CEO Raimo Laine the
solution as to how to differentiate the business from competitors is:
“Quality, and compared to the international competitors, the methods and
approach are different. The difference in the approach will concretely mean that
we listen to what the customer wants to have, whereas the large international
competitors sell what they have produced without taking into account the desire
of customers. If the customer then really expresses some need of novelty the
price is so exorbitant that the customer does not want it anymore.”
Mummon Turva Oy considers that the need for taking care of elderly and sick people is
growing. This growing demand has also increased competition. Competitors are both
large and small firms. The competitive advantage of Mummon Turva Oy is based on
certified quality services and flexible assignment of employees.
Because of climate change and the increasing demand for renewable energy the
market for harvesting and energy wood processing machines is growing, too.
Pentin Paja Oy’s products respond exactly to the need for harvesting energy wood. The
competitive advantage of Pentin Paja Oy is product innovation and flexible assignment of
employees.
“Part of the product ideas comes from customers and part comes through our
own thinking. Good inventions are always simple. Because the market for
energy wood has soared and we started in the middle of the 1990s to produce
harvesting machinery for energy wood we are currently ten years ahead
compared with our competitors. It requires time before people are ready to buy
completely new machinery. It should be known and safe. If the machine has
been operating for ten years it is much easier to buy.”
In the interviews we dealt also with business environment and social capital issues. All
the case firms were satisfied with the current environment and business conditions. Social
capital issues appeared indirectly in customer relations. This was mainly referred to when