Edelman presents annual Trust Barometer results at AmCham Business Breakfast

The panel included Ann-Charlotte Knutsson of AstraZeneca; Sven-Erik Söder of Pfizer; Lise Bergh of Amnesty International; and Hans Winberg from the Stockholm School of Economics.

TV4 journalist and commentator Lennart Ekdal moderated the discussion, which followed an enlightening presentation of the Trust Barometer results by Marianne Bäärnhielm, managing director for Edelman in Sweden, and Christophe Guibeleguiet of StrategyOne, the Edelman research company which carried out the study.

In its ninth year, the annual study analyzes the degree of trust a sampling of elites and opinion makers from 18 countries have in different institutions (government, business, media, NGOs, religious). The 2008 study represents Sweden’s second year among the countries sampled, and the results provided much food for thought and discussion by the panelists.

For starters, Sweden is the only European country with a significant decline in trust in business. In addition, Sweden, along with China and the Netherlands, is one of only three countries where government is the most trusted institution. Sweden also gives government the highest confidence ranking (63%) of any European country. Also of note is the finding that Swedes rank a company’s financial performance as a less important driver of trust than in any other country surveyed, and that trust in NGOs was relatively lower in Sweden in comparison with other countries surveyed.

The panel first examined possible explanations for why trust in business had dropped in Sweden during 2007, with several pointing to corporate scandals which received a great deal of media coverage. Hans Winberg from the Stockholm School of Economics also suggested that the timing of the survey may have affected the results. He pointed out that the survey was conducted in November 2007, shortly after Ericsson’s late-released and much-criticized profit warnings.

Discussion then moved to exploring why Swedes appear to have such a high level of trust in government. Pfizer’s Sven-Erik Söder, who served in government under former Prime Minister Göran Persson, pointed out the importance of differentiating between political leaders and the independent agencies that comprise Sweden’s government bureaucracy.

“The system of public authorities is very trusted in Sweden,” he said, regardless of the current political leadership.

Ann-Charlotte Knutsson of AstraZeneca wasn’t surprised by the study’s findings that Swedes give more weight to community relations, respect for the environment and other “emotional factors” than they do to financial performance when building their attitudes toward companies.

“It may be something about the soul of the Swedish people,” she reflected. “We are a small country made up of strong, local communities which creates a close connection between a company and the community,” she added.

Amnesty International’s Lise Bergh was somewhat puzzled as to why Swedes’ trust in NGOs ranked lower than government, business, and the media, with only religious institutions ranking lower.

“One has to ask exactly how one defines and NGO and how that can affect people’s perceptions,” she pointed out. She added that the range of organizations that qualify as NGOs can range from international organizations such as her own, to local sports clubs.

Looking ahead, the panel was split on the question of whether or not trust in business would increase in 2008. However, many agreed with the conclusion of moderator Lennart Ekdahl that “Swedes continue to be unique” in their attitudes toward globalization, the role of government, and the potential for businesses to be a positive influence on society.      

 -Written exclusively for AmCham by David Landes

Click here to view the results of the 2008 Edelman Trust Barometer.