Citizen happiness is an important consideration in framing the policies by the governments. Nordic countries have always occupied the top ranks in the World Happiness surveys since their inception. In this article, a detailed analysis has been carried out to ascertain the factors contributing to the happiness of the citizens of the Nordic countries. After the analysis, the total interpretative structural model (TISM) has been developed for the effective planning and implementation of government policies. The model identifies four main drivers of citizen happiness: social welfare and public services, rule of law and justice, freedom and human rights and economic stability. These drivers foster participation, inclusivity, resilience to crises, trust in institutions and environmental sustainability. The model can be used by policymakers to adopt and implement the right policies. These factors of Nordic countries are further studied to find their implications for the business and economy. The findings show that these factors and happy citizens have a strong impact on enhancing the performance of the organisations locally as well as globally by producing better quality products and attracting more investments for growth.
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