ABSTRACT
This chapter focuses on the use of Information and Communication Technology (ICT) in a geographical context and argues that use of ICT is strongly correlated with development of flat organizations in contrast with traditional centrally organized and hierarchically structured activities. It examines the use of ICT in strengthening local and regional competitiveness in changing the distribution of industries and in developing infrastructure for passenger traffic. The chapter draws on the interplay between use of ICT, new organizational structures of large companies or small enterprises and the competitive advantage of different locations. It also focuses on studies carried out at ABB, Volvo and 49 smaller enterprises located in Sweden. In Sweden the digital network is accessed via coaxial cables, radio links and optical fiber. Sweden was an exception because it permitted private companies to compete with the government provider for telephone exchange service. Skovde is located in the western part of Sweden in the county of Skaraborg, characterized by agriculture and forest areas.
