Sweden

This chapter analyzes the prevalence of business groups in Sweden. The Swedish economy has since the early twentieth century been dominated by a rather small number of large and internationally oriented companies. The relations between banks and industry have been important in understanding the long-term growth of the Swedish economy. Two business groups—the Wallenberg group and the Handelsbanken group—stand out as especially resilient and dynamic. The Wallenberg and Handelsbanken groups have both developed into diversified business groups with a commercial bank in the center of each. The successful Swedish business groups have also to some extent been dependent on indirect support from the Swedish state, allowing the large groups to maintain their dominant position.