Abstract:

In recent decades more global attention has focused on the Arctic. This can be seen in the both the development of industries as well as the expansion of the Arctic Council’s membership.  Countries with at least some part located above the Arctic Circle are; Norway, Greenland, Canada, United States, Russia, Finland, and Sweden. The focus on the indigenous people, specifically the Sami of Lapland, presents a good case for assessing impacts of development on northern, Arctic, communities. In Sweden the population density is recorded as 21.4 people per square kilometer, with a higher population density in southern Sweden. The majority of the Sami people live in small to medium-sized communities, in remote regions, often resulting in a disconnect with the modern world. One industry that is already present in the Swedish Arctic is mining, especially for ore and carbon. However, now other industries, including multinational enterprises (MNE’s), such as Facebook, which recently built a new five acre data center near the Arctic Circle, are beginning to realize the opportunities the Arctic region and its environment have to offer. Many are asking how sustainable is business development in the Arctic which can be answered by analyzing the impacts on the Sami communities and how people react and should react to these changes within their communities. This study analyzed current events through literature review and interviews of representatives from the impacted Arctic regions. The increased development has resulted in both negative and positive impacts such as reduction of land use, but increased employment opportunities.