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Bank loans are divided into performing and non-performing loans (NPLs). NPLs are in turn divided into categories characterized by different degrees of difficulty of the debtor and level of risk for the creditor bank. Unlikely to pay loans (UTPs) are NPLs that have a non-zero probability of returning to the performing status. This paper analyzes at the firm and bank level the entire pool of UTPs vis-à-vis firms (UTP firms) in Italy from 2005 to 2019 to detect the characteristics of UTP firms that are more likely to return to the performing state. So far, the literature focused only on status changes from performing to NPLs. To our knowledge, this is the first paper that reverses the perspective and examines the drivers of return to the performing state. The paper shows that the factors most closely related to the new upgrade are — negatively — firm size and absolute value of debts, and — positively — capital and liquidity endowments. Results show that the soundness of lending banks increases the likelihood that firms return to the performing state. [ABSTRACT FROM AUTHOR]

Purpose: This paper aims to examine the COVID-19 pandemic's impacts on the regional progression toward the Sustainable Development Goals (SDGs) through the lens of the adoption of 2030 Agenda by firms from different Italian regions. Design/methodology/approach: Mixed methods were adopted. First, a content analysis was performed on 330 nonfinancial declarations released in the 2019–2021 period by a sample of 110 Italian listed companies from different regional macroareas. Second, regression analyses were run to test the impact of regional localization of businesses on SDGs adoption over pre-/during/post-COVID era. Findings: The regional localization of businesses does not affect the SDGs adoption in the pre-COVID-19 era because Italian firms mainly address social goals. Instead, SDGs adoption is affected by regional localization of businesses both during and post-COVID-19 age, when Northern firms prioritize economic and social goals, whereas Southern firms shift from social to environmental goals. Originality/value: This study fills the need of considering the subnational specificities in literature on sustainable development by capturing connections between firms, belonging territory, SDGs and COVID-19 crisis. [ABSTRACT FROM AUTHOR]

Shareholders' agreements are quite common in many jurisdictions. Theory and empirical evidence suggest that they may have a positive or a negative impact on corporate governance structures depending on companies' characteristics and on the goals that these contracts pursue. Shareholders' agreements may be used as Control Enhancement Mechanisms (CEM) allowing controllers to circumvent rules that favor minority investors. However, comparing to other CEM, in many countries information regarding them is scarce. Is it necessary that shareholders' agreements in public corporations be fully informed? We examine the case of Chile (a country that only requires to inform that a shareholder agreement exists) and compare it to Italy and Brazil cases, countries where shareholders' agreements content is disclosed. We find out that the detail of the rules that impose or promote information might produce different results on the way that shareholders' agreements are used. For the case of Chile, we show that its use has increased over time and that case evidence show that they may have been used to circumvent minority rights. Shareholders' agreements play a much more important role in the control of public corporations in Chile than what has been previously discussed in corporate governance literature. The contribution of this paper is to provide evidence in favor of the importance of mandatory rules for shareholders' agreements disclosure and their design, not only where this information lacks, as in many developing countries, but also to reinforce the relevance of disclosure in developed markets, where the use of shareholders' agreements in public companies is also increasing. [ABSTRACT FROM AUTHOR]

Purpose: The purpose of this paper is to investigate the effects of corporate governance mechanisms, namely, board of directors and auditors, on tax aggressiveness in Italian companies listed on the Milan Stock Exchange. Design/methodology/approach: This study used a population of 168 Italian non-financial firms listed on the Milan Stock Exchange, holding shares in at least one foreign subsidiary in countries other than Italy in fiscal year 2018. Data on corporate boards and auditors were collected through the evaluation of companies' annual reports over the period 2011–2018. Five panel data analyses with fixed effects were performed for each tax aggressiveness index, yielding 1,176 observations to test the research hypothesis. Findings: This paper finds that corporate board characteristics, such as size, gender diversity and CEO duality, and auditors' features, such as external audit quality, increase corporate tax aggressiveness. Practical implications: This study provides investors with an understanding of corporate boards' and auditors' roles in preventing agency conflicts and evaluating a company's tax approach. Furthermore, the findings are useful for international political bodies in regulating corporate board composition and managerial monitoring. Originality/value: Almost all studies focusing primarily on corporate governance mechanisms' effects on tax aggressiveness are within the US context. Empirical evidence on the topic in the European contexts is limited. The legislative discrepancy between countries is reflected in the computation of indices measuring tax aggressiveness, affecting US studies' generalizability across nations. This paper extends the literature on the topic by investigating other unexplored corporate governance mechanisms. Five indices were used to measure corporate tax aggressiveness and to assess analysis reliability and data robustness. Moreover, to the best of the authors' knowledge, this study is the first attempt to investigate the link between corporate governance mechanisms and tax aggressiveness in Italy. [ABSTRACT FROM AUTHOR]

This paper evaluates the effect of unregistered and informal sector business ventures on the growth of formal sector enterprises. The hypotheses tested is that formal sector enterprises that have to compete against unregistered or informal sector business ventures suffer from lower levels of performance, measured by annual sales growth, annual employment growth and annual productivity growth. To evaluate this thesis, data is reported from a World Bank Enterprise Survey (WBES) of 760 enterprises in Italy collected in 2019. The finding is that formal sector enterprises that report competing against unregistered or informal sector business ventures have significantly lower annual sales growth and annual productivity growth than enterprises that do not. The paper concludes by discussing the theoretical and policy implications, along with the limitations of the study and future research required. [ABSTRACT FROM AUTHOR]

The transition from business accounting to national accounts is carried out in this paper. The institutional units having a predominant economic interest in Italy are identified in particular for the sectors linked to Construction, Civil engineering works and Trade activities. A multivariate analysis of the economic variables (production, labor costs, intermediate consumptions, investments) allows to measure effective performance, both economic and financial, for global enterprises. Fiscal and statistical data with a profiling of these enterprises make possible to select a sub-set of medium and large sized units potentially interested in the phenomenon of foreign branch offices. [ABSTRACT FROM AUTHOR]

This paper investigates the effects of migration on the export and production techniques of agri-industrial firms in the proximity of clusters of migrants. The analysis draws on an original dataset built through interviews conducted with agri-food firms in the Foggia province (southern Italy). Over the past two decades, this area has experienced a strong influx of migrants, who have concentrated in ghettos. The results do not support a pro-trade effect, but provide evidence for both a substitution and a complementarity effect of migrants on capital endowment, depending on the type of machinery used by the firm. [ABSTRACT FROM AUTHOR]

This paper empirically investigates the effects of services imports and exports on firm employment. We use microdata on Italian firms for the period 2009–2017. Applying a shift‐share instrumental variable approach, we show that services imports and exports have a positive impact on total employment. This finding holds for managers, white‐collar workers, and blue‐collar workers. We also show that services exports are particularly effective in increasing employment of "servitized" manufacturing firms as well as of companies that are deeply integrated into international services markets. Overall, this paper suggests that firm employment might largely benefit from the services trade dimension of globalization. [ABSTRACT FROM AUTHOR]

An emerging stream of entrepreneurship studies is debating how knowledge composition influences the capacity of territories to give birth to new firms. This paper aims to study the dynamics linking new firm formation and relatedness. Some studies demonstrate that proximity between different but related sectors positively influences new firms formation. Others point out how the presence of unrelated sectors can have a more significant impact. This paper studies these dynamics across 27 individual industries, computing measures of external and internal relatedness for each sector in Italy, using data on new firm formation between 2012 and 2014. The results suggest the broadly positive impact of external relatedness on new firm formation when compared to the impact of internal relatedness. The sectoral study of the impact of relatedness on new business creation could increase policymakers' awareness of the capacity of individual sectors to promote favourable path-creation trajectories at the micro-level. [ABSTRACT FROM AUTHOR]

Promoting energy efficiency is a key element of the strategic commitment of the European Community. Prominent among the binding measures established by the 2012 Energy Efficiency Directive to further this vision is the requirement for large companies to conduct energy audits every four years. After receiving the second cycle of energy audit reports in December 2019, a new description of the energy situation of Italian companies was made available. This presented the previously inaccessible possibility of comparing the two situations reported in 2015 and 2019 to assess the development of energy efficiency practices in organizations subject to the legislative obligation of energy audits in the country. To this end, in collaboration with the Italian National Agency for New Technologies, Energy and Sustainable Economic Development (ENEA), a project was initiated with the aim of developing the tools and methodologies necessary to assess in more detail the evolution that has occurred in the four years since 2015. In this paper, the findings of the analysis conducted on a significant sample of companies in Italy are presented. Through the design of a maturity model to assess the degree of progress achieved in a company's energy management, the results of the two situations were analyzed. The analysis was deepened by assessing the progress achieved in different aspects of Energy Management: "Strategic Approach", "Awareness, Competence, and Knowledge", "Methodological Approach", "Organizational Structure", "Energy Performance Management and Information System", and "Best Practices". Furthermore, the observed variations were statistically tested using a pairwise t-test to make statistical inferences about the maturity of the total population of Italian enterprises under legislative obligation. The results have shown an increase in overall energy management maturity in each maturity dimension. [ABSTRACT FROM AUTHOR]

This paper aims at investigating the determinants of firms’ technological competencies and capabilities as defined by von Tunzelmann and Wang (Economie Appliquée 6:33-64, 2003). The analysis carried out in the paper shows that some company characteristics, such as size, being part of a group and internationalization, as well as cooperation channels significantly impact on the innovative behavior of Italian firms, in increasing both their likelihood of becoming actively innovative and their potential to economically exploit the returns from innovative activity. Moreover, also geographical location appears to be a significant relevant factor. The findings are based on firm-level data provided by the Italian Community Innovation Survey (CIS). [ABSTRACT FROM AUTHOR]

The literature on business groups played a significant role in the debate over the evolution of Italian industrial districts. The diffusion of business groups in industrial districts resulted in a hierarchization of productive relationships and increased output concentration. This paper focusses on the presence and the characteristics of business groups in industrial districts. We assume that there are particular features of business groups that are specific to district compared to non-district business groups: the former are less diversified, more spatially concentrated and with a higher level of hierarchization. We use a novel dataset on Italian manufacturing groups based on information provided by the AIDA database. The empirical evidence confirms our expectations. [ABSTRACT FROM AUTHOR]

This paper examines the effect of labour protection laws on tax planning and capital investment. Exploiting a major reform that introduced firing costs in Italy for firms with fewer than 15 employees but left firing costs unchanged for larger firms combined with matched employer-employee data, I show that the rise in firing costs led small firms to increase tax avoidance and capital investment relative to larger firms. Robustness and placebo tests suggest that the results are causal. Overall, the findings indicate that tax avoidance allows small firms to generate internal funds to substitute labour for capital when employment protection becomes stronger. [ABSTRACT FROM AUTHOR]

This paper investigates the impact of extra‐EU workers on labour productivity in Italy. To this aim, we take advantage of firm‐level data derived from the Rilevazione Imprese e Lavoro (RIL‐AIDA) surveys merged with the AIDA‐Bureau Van Dijk archive over the period 2007–2015. Using an econometric strategy that accounts for firms' observed heterogeneity and endogeneity issues, we obtain the following results. First, an increase in the share of extra‐EU workers leads to a decline in labour productivity. Second, the relationship between extra‐EU workers and productivity appears to be different between firms located in centre‐north and those in southern regions. Third, the share of extra‐EU workers is also associated with a decline in average wages and sales per employee, even though this effect is less than that observed for productivity. Our findings support the hypothesis that the demand of immigrants arises as a labour cost reduction strategy and hence tends to weaken firms' competitiveness. [ABSTRACT FROM AUTHOR]

Motivated by empirical evidence on firm networks in Italy, this paper explores the relationship between the nature of goods produced by firms operating in the same R&D network and their strategic location. We consider a two-firm spatial Cournot model deriving the conditions under which two firms create a cooperative link in order to share R&D cost-reducing investments. We show that the cooperative link is formed irrespective of the nature of goods produced by participating firms. However, the nature of goods produced affects the distance between firms belonging to the same networks; this distance tends to be greater when firms produce substitute goods. We also discuss the stability of the cooperative link. [ABSTRACT FROM AUTHOR]

This paper contributes to the growing literature on earnings management in private firms by focusing on deferred taxes. This accounting treatment requires sophisticated use of accruals that provides the chance to manage earnings and net assets without affecting the tax payable. We argue that in a setting with high book-tax conformity, the small room that allegedly exists to recognise deferred taxes remains a comfortable avenue to reach reporting objectives that a tax-minimisation strategy may preclude. We use a sample of private firms operating in a credit- and tax-driven environment such as Italy to test this expectation. Our results show that private firms use deferred taxes to extract multiple financial reporting benefits that may facilitate debt contracting: smoothing earnings over time, meeting/beating historical earnings, avoiding reporting accounting losses, and managing leverage. Tax loss carryforwards are the source of deferred tax assets where the exercise of discretion becomes more critical. [ABSTRACT FROM AUTHOR]

Purpose – This study aims to verify the presence, evolution and determinants of voluntary environmental disclosure from companies listed on the Milan Stock Exchange. The authors examined documentation of listed firms from 2006 and 2009. These years immediately precede and follow Italian legislative decree n. 32/2007, which introduced (albeit on a voluntary basis) disclosure of environment-related company information. Design/methodology/approach – The authors’ approach utilizes multivariate regression analysis. The disclosure index of the years 2006 and 2009 represents the dependent variable. Independent variables include firm size, business industry, public shareholders, legislation and environmental performance. Findings – The results show positive effects on environmental disclosure related to legislative decree n. 32, the presence of government shareholdings in firms’ ownership structure, business industry and firm size. The interrelation between firm size and environmental performance shows that large companies give more information only if they produce more environmental pollution, to legitimize themselves to stakeholders. Research limitations/implications – Despite the authors’ contributions concerning environmental information described in the Introduction, they must express two limitations of their analysis. First, the sample analyzed is quite small (only 44 firms). Second, carbon dioxide emissions was chosen as an indicator of atmospheric pollution, yet emissions information has not been provided by Italian firms (even those that are listed on the Milan Stock Exchange), despite being accepted internationally as a measure of environmental performance in business. In addition, in Italy, there is no database ranking firms on corporate social responsibility (CSR). Practical implications – There are many reasons behind the weak or even negative roles of managers regarding social and environmental disclosure. These reasons include a dearth of resources, the profit imperative, lack of legal requirements, insufficient knowledge or awareness, poor performance and fear of bad publicity. What seems to be a real obstacle is the lack of knowledge about non-financial disclosure – in particular, how to gauge, produce and release information when it comes to a firm’s interaction with environment and society, and this void causes low levels of disclosure and even the absence of such action. Some of the reasons for non-disclosure might be attributed to a lack of awareness and knowledge among corporate managers regarding CSR reporting, in general, and disclosure on eco-justice issues, in particular. Originality/value – The first contribution of this work is to realize, for the first time, a specific analysis on Italian firms’ environmental disclosures. Moreover, the study extends this analysis to all entities’ informative documents. This paper also allows an examination of effects of new legislation that encourages environmental information in a corporation’s financial annual report. Finally, this is the first paper to conduct quantitative analysis on firms in the Italian financial market concerning environmental disclosure, as well as regression analysis to identify determinants of firms’ disclosure. [ABSTRACT FROM AUTHOR]

This paper uses an Italian firm-level panel data-set over the period 1994-2006 to investigate the nexus between corporate taxation and investment. Studying the effects of corporate taxation on investment at the micro level has two advantages. Firstly, investment is free of aggregation biases and secondly, the firm-level dimension allows asking whether the effects of corporate taxation differ across firms with different characteristics. In the empirical analysis, we employ a Generalized Method of Moments estimator, which permits us to handle not only the dynamic structure of the model and of the predetermined or endogenous explanatory variables, but also firm-specific factors, heteroskedasticity, and autocorrelation of individual observations. We find that corporate taxes distort investment decisions. The results are robust to the inclusion of many controls. [ABSTRACT FROM AUTHOR]

Purpose This paper aims to explore knowledge management (KM) practices implemented by third-party logistics service companies (3PLs) and the main barriers slowing down the adoption of such practices.Design/methodology/approach The methodological approach used in this paper is based on a multiple case study analysis involving a set of 3PLs operating in Italy and Sweden. The empirical analysis has explored the KM practices used by 3PLs and the main barrier hindering their adoption.Findings In spite of some adoption, the findings suggest that 3PLs are not sufficiently realizing the full potential of KM. The evidence also indicates that there is a link between the type of 3PL company (in terms of the breadth and complexity of the services supplied) and the sophistication of KM tools adopted.Research limitations/implications From a research point of view, further research should focus on the validation of the link between the number and sophistication of KM tools used and the breadth of services supplied. Further research should also focus on exploring how KM can support 3PL companies in enhancing their performance.Practical implications From a practical point of view, the findings may help the management of 3PL companies to take a more strategic approach to KM and thus its contribution to the firms’ overall goals. Additionally, it is critical to conduct a careful analysis of current and future KM needs to identify the most suitable KM solutions linked to the specific characteristics of the business in which 3PLs operate.Originality/value This study provides fresh insights into the adoption of KM practices in logistics service organizations. The findings advance the limited body of knowledge regarding this topic and contribute to the further development of the study of KM. [ABSTRACT FROM AUTHOR]

The Italian economy is characterised by a large number of micro‐firms and small firms and by a long‐lasting gap between North and South Italy. Therefore, global shocks – such as the Great Recession – have had a heterogeneous impact at the local level: the collapse in private demand was unequally distributed across different products, services and regions. The aim of this paper, therefore, is to evaluate the impact of the Great Recession on firm's survival for the universe of Italian firms in the light of two relevant indicators: local exposure to crisis and local demand shocks. The results suggest a strong negative impact of local demand shocks on the survival of firms, whereas the degree of exposure to the crisis generally has a weak effect. [ABSTRACT FROM AUTHOR]

This paper investigates the relationship between immigration and firms for Italy at NUTS 3 level, during the period 2012–2015. The main contribution to the existing literature is to provide results disaggregated at the sectoral level, taking into account the important heterogeneities existing across both provinces and sectors. At the aggregate level, the main result is the positive effect of immigrants on both the number of local units and employees. The analysis on employees by citizenship suggests that there are no displacement effects of immigrants relative to both Italian and foreign employees. When moving to the sectoral perspective, the results display a highly heterogeneous picture. However, sectors showing a statistically robust link for both establishments and employees sum up to 52 per cent of total value added and 48 per cent of total employment, while for five out of 19 sectors, immigrants do not exert any impact, neither in terms of local units nor employment. [ABSTRACT FROM AUTHOR]

An ongoing dispute in comparative corporate governance studies concerns the extent to which cross-country convergence towards, essentially, the shareholder primacy view is occurring. While some scholars, especially legal scholars and economists, have predicted (and sometimes advocated) a convergence of corporate governance practices towards the Anglo-American model of (seemingly) shareholder primacy, others sharply disagree and point to the persistence of stakeholder-oriented governance in many countries. Banking, from the point of view of corporate governance convergence, is an interesting industry, for at least two reasons: (i) banks are peculiar types of business organizations, entailing specific governance rules in most systems; (ii) banks are (monetary) financial intermediaries more and more active on capital markets, and thus more and more exposed to the isomorphic pressures generated on corporate governance by those markets. Thus, predictions on the convergence or divergence of banks' corporate governance are not easy to make. The present paper aims to contribute to the scholarly dispute by analysing the Italian case, which has seen, over the past 30 years or so, an apparently unfettered process of transformation of banks' governance and ownership towards the shareholder primacy model – a process epitomized by the recent reforms of the country's cooperative banking sector. 'Apparently', because a closer look at the legal and regulatory bases of banks' corporate governance actually shows many sources of divergence from the shareholder primacy model. Thus, the contribution proposed by the present study is twofold: first, it extends the 'convergence' discussion to the banking industry, where specific dynamics may help us better 'test' the hypotheses developed in the 'convergence' debate; second, it emphasizes alternative divergent patterns to those normally identified in the literature, where divergent 'practice' is often opposed to converging laws. Here, the sources of resistance to convergence are found in law itself. [ABSTRACT FROM AUTHOR]

Rethinking the traditional understanding of organizational purpose appears to be necessary. A teleological paradigm shift seems to be on its way, changing the focus of attention from considering business organizations as instruments used to generate profits toward a more comprehensive understanding of their purpose and of the benefit they can create for society. Recently, new organizational entities have emerged, accompanied by the renewal of institutional frameworks, among them are benefit corporations. Italy was the first European country to introduce a legal framework to define the benefit corporation as a particular legal entity. The Italian law on the benefit corporations proposes the promotion of firms that pursue the generation of benefit in a responsible, sustainable, and transparent way and considering diverse stakeholders. This paper explores and describes the multidimensional understanding of benefit and purpose of Italian benefit corporations, utilizing qualitative and quantitative content analysis of 94 Italian benefit corporations' purpose declarations, and providing a deep insight into the purpose declared by benefit corporations. The research highlights a certain vagueness in public declarations of the purpose of benefit corporations, even though it is clear that they attempt to differentiate themselves from traditional businesses by focusing on social objectives more than on economic ones. Furthermore, normative compliance emerged, but further normative requirements seem to be needed to make more effective the transformative potentiality of benefit corporations and to avoid risks of opportunistic behaviors. [ABSTRACT FROM AUTHOR]

This paper examines the potential of collective bargaining to generate mutually advantageous flexibility and security outcomes at firm level. By focusing attention on actors' negotiating capacity at sites in Denmark and Italy of four large chemical‐pharmaceutical companies, it provides a nuanced, comparative explanation. The findings demonstrate that, across countries, differences in actors' capacity and negotiated outcomes are attributable to the stability and depth of collective bargaining institutions. Within country differences are accounted for by the organisational resources (internal democracy, external links and pro‐activity) of local trade unions, which condition their capacity to induce management to negotiate outcomes which benefit both parties. [ABSTRACT FROM AUTHOR]

The present paper explores the link between bankruptcy law and firms' dynamics, focusing on Italy as a case study. Relying on a previous literature dealing with the concept of entrepreneurship "friendly" bankruptcy law, we stress the idea that bankruptcy institutions, although connected to a painful event for firms, might still yield beneficial consequences on a societal level. In particular, we find evidence that quicker judicial resolutions of liquidation bankruptcies have an impact on firms' entry and exit rates in Italy, by reducing the indirect costs that a bankrupt firm must undergo and allowing a quicker reallocation of assets towards more efficient destinations. Such effect is related with firms' organizational structure and size. [ABSTRACT FROM AUTHOR]

This paper analyses the role of lending technologies and banking relationships on firms' credit access in Italy. Using EFIGE firm-level data, we show that the depth and strength of firm–bank relationships have heterogeneous effects on credit demand and rationing probabilities depending on the size of the borrower. Multiple banking relationships alleviate financial constraints for small firms, while borrowing from a large number of lenders hinders access to credit for large companies. Small and medium-sized enterprises with a higher share of debt with the main bank have a lower probability of being credit denied, as debt concentration contributes to overcome the opacity problems typical of the SMEs. Long-lasting relationships, by reducing information asymmetries, significantly improve access to credit for small and large firms. Conversely, we find that medium-sized enterprises are more exposed to financing constraints as relationship duration increases, due to possible lock-in effects. Finally, firms maintaining banking relationships based on transactional technologies are more likely to be credit denied, while the use of relationship lending technologies improves credit availability for both small and large enterprises. [ABSTRACT FROM AUTHOR]

How do companies to be listed deal with the voluntary disclosure of their business model? Is it true that firms with greater intellectual capital resources and technological innovation endowments are less prone to full disclosure? This paper aims to examine the choices of voluntary disclosure of the business model made by three Italian manufacturing companies in initial public offering prospectuses. The objective is to explore whether any differences exist and may be related to the type of innovation underlying the firms' business model. A series of interviews with the top management allows to deeply understand the business model of each company. A content analysis allows to measure the level of disclosure and identify the strategic concepts of the business model and their relevance. The study provides evidence that companies with a business model based on technology-push and design-driven innovation have a lower propensity to the full disclosure of their intangible resources, particularly of those based on knowledge as some could be also invisible. The paper contributes to the ongoing debate on the role of business and financial reporting. [ABSTRACT FROM AUTHOR]

Using a large unbalanced panel dataset of more than 12,000 Italian manufacturing firms for the period 1999-2007, this paper investigates the role of geographic concentration and related variety on firms' total factor productivity ( TFP). The main idea is that diversification-captured by a measure of vertically related variety-promotes firm innovativeness and, consequently, productivity, but when the technology has been consolidated, firms join specialized clusters that enhance efficiency. Our results suggest that the effect on firms' TFP of geographic concentration is stronger than that of related variety. We also confirm previous findings on the relevance of agglomeration forces for small firms compared with medium and large firms, where these agglomerative forces do not seem to influence TFP. [ABSTRACT FROM AUTHOR]

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Despite the richness of contributions on the effects of agglomeration on economic activity, the empirical evidence still falls short, especially at the microeconomic level, where they should matter the most. This paper adds to this literature by performing an empirical exploration of the role of Marshallian, Jacobian, and Porterian externalities for the productivity of Italian firms. In particular, a large dataset of small and medium enterprises is first employed to estimate firm-level total factor productivity ( TFP). Then dynamic panel and instrumental variables estimation methods are used to assess the effects of agglomeration externalities. The findings seem to suggest that these effects may vary depending whether the level or growth of TFP is considered. While the first is mostly influenced by the extent of Marshallian economies, the latter is higher when Jacobian and Porterian economies are at work. [ABSTRACT FROM AUTHOR]

Using a rich firm-level dataset on the Italian manufacturing industry, this paper provides a comprehensive analysis of the role that firms and market characteristics play in shaping firms' trade activities. We enhance the previous analyses by considering firms' engagement in international transactions, by focusing on either exports or imports. We show that the determinants of a firm's export participation and value across countries also drive import behavior. Our research is consistent with the presence of country-specific sunk costs and with a qualitatively similar role of gravity forces and other country attributes on both sides of trading activities. Our evidence, however, militates in favor of a framework where variations in market characteristics have a larger impact on imports than exports. [ABSTRACT FROM AUTHOR]

This paper investigates whether cost stickiness occurs in small and medium sized companies using a sample of Italian nonlisted and listed firms during the period 1999-2008. Our findings show that cost stickiness emerges only for the total cost of labour and not for selling, general and administrative ( SG&A) costs, cost of goods sold and operating costs. Stickiness of operating costs is only detected in a sample of listed companies. We further contribute to the literature on sticky cost behaviour by discussing critical issues associated with the extant approach of empirical analysis and interpretation of sticky cost behaviour. [ABSTRACT FROM AUTHOR]

Purpose -- The authors theoretically develop the idea that the intangible value of the collaboration between firms and the banking system can influence the probability of default on the part of firms and, therefore, their rating. The authors also propose that collaboration between banks and firms has a positive effect not only on the access to credit but also on the innovation activities and on the intervention of foreign capital in the ownership of Italian businesses. Design/methodology/approach --As pointed out by the literature on smaller businesses finance, investments widely rely on credit availability. Tests using data on a sample investigation involving 5,587 firms, operating in 17 manufacturing sectors in Italy, support the majority of the proposed ideas. Findings --The empirical investigation shows that only some aspects of the collaboration between enterprises and banks influence the probability of default, the investments in RandD and the internationalization of ownership of the enterprises. In particular the three stated variables are positively influenced both by the intensity of the credit relationship and by the level of information exchange with the credit system. Research limitations/implications --Further development of this research, as more empirical data become available, should allow explaining why the level of information exchange with the credit system has the greatest influence on the dependent variables analyzed. Originality/value -This paper aims to extend the current understanding on how the local banking system is developed and is able to increase access to credit after gathering all the information about firms asking for funds. Paper type --Research paper [ABSTRACT FROM AUTHOR]

The Eco-Management and Audit Scheme (EMAS) is a voluntary Regulation that defines the European Environmental Management System (EMS). Today the EMAS is undergoing a revision process, in order to fit the scheme to organizations and stakeholders’ requirements and increase its diffusion. Italy accounts for roughly 1,000 of the 4,000 certified European organizations and, especially during the last five years, a growing number of organizations have not renewed the certification. Thus, the aim of the survey is to investigate why many Italian organizations have dropped out of EMAS, and to identify which enabling measures would be more effective in order to encourage organizations to move back to the certification. The target of the questionnaire were the 339 Italian organizations that did not renew their EMAS registration between 2010 and 2015, and respondents were 99. In the first part of the paper, we present the general findings, while in the second one, certified Public Administrations and private-owned organizations are compared in order to delineate significant differences between the two groups. Concerning motivations for not renewing EMAS, implementation costs were the key reasons for both groups. Conversely, considering the possible enabling measures, while private-owned organizations demand long term tax benefits, Public Administrations prefer a greater consideration of EMAS in public funding. This paper systematically addresses this phenomenon through a survey, contributing to reduce the existing gap in literature and providing a useful input to decision-makers who are overseeing the EMAS revision process. [ABSTRACT FROM AUTHOR]

Using a panel dataset of non-financial public companies in Italy covering the period 2005-2013, this paper provides an empirical analysis of the relationship between female representation on corporate boards and corporate debt. The presence of women in the boardroom might seem to push significantly on debt leverage and suggest a complementary role in the control and monitoring of agency costs. However, consistent with Kanter’s (Am J Sociol 82(5), 965-990, 1977) critical mass theory, that at a level of tokenism women take on a complementary role and at greater levels, their role either becomes a substitute for debt level, or plays a weaker complementary role in debt level and in the monitoring of agency costs. The presence of women board members who are linked to the family firm appears to significantly decrease the degree of debt leverage. Furthermore, the presence of greater female representation in the boardroom decreases the agency costs to the firm. [ABSTRACT FROM AUTHOR]

The present paper investigates the role of research and development (R&D) cooperation in firm innovation. In particular, we evaluate the direct impact of cooperation on firm innovation and its moderating effect on the relationship between internal R&D and innovation. The empirical analysis is based on a large sample of Italian firms drawn from the Sixth Community Innovation Survey. We estimate a multivariate probit model which takes into account the complementarity of different types of innovation and the heterogeneity in the choice of cooperation partners. The estimation results indicate a strong and positive effect of non-competitive collaborations with suppliers, clients and private research institutes on the different types of firm innovation. Collaborations with universities enhance organizational innovations but have weak effects on the other types of innovations. Also cooperation with competitors positively affects firms' innovations, especially in the case of organizational innovations. On the other hand, moderating effects are scant and restricted to some forms of non-competitive cooperation. [ABSTRACT FROM AUTHOR]

Psychosocial hazards have the potential to cause harm to employee health and negatively affect organisational outcomes. Work-related stress is an outcome of exposure to psychosocial risks that has received broad attention at research and policy level in the last decades. Great awareness raising efforts have been made in the European Union, including at the macro policy level, with several differences and approaches across countries. However, evaluation of policy-level interventions to address psychosocial risks is still scarce. This paper focuses on Italy as one of the cases where the policy context on psychosocial risks recently changed with the introduction of the Legislative Decree 81/2008. Using data collected through the European Survey of Enterprises of New and Emerging Risks (ESENER) immediately after (2009) and six years after (2014) the implementation of this new legislation, this paper aims to evaluate the impact of its introduction by exploring differences in the reported level of organisational action as concerns psychosocial risk management. The sample was composed of 2984 respondents corresponding to 1501 highest-ranking managers responsible for health and safety at work in 2009 and 1483 persons who know best about the way safety and health risks are managed at their workplace in 2014. Findings highlighted a decreasing reported concern from the respondents about psychosocial risks over time and an improvement in the management of work-related stress. The paper also highlights the use of large-scale surveys such as ESENER as an important tool in evaluating health and safety management trends over time in European enterprises. [ABSTRACT FROM AUTHOR]

This paper investigates the main features of the relationships between banks and non-financial firms in Italy. Based on detailed firm-level data, we analyse the role of firm-level characteristics, decision-making factors and local credit market indicators in shaping various aspects of corporate banking choices. Empirical results show that young and small firms have a higher probability of relationships with local banks, confirming the advantage of local credit institutions in dealing with informationally opaque firms. Large and internationally active firms tend to establish relationships with national and foreign banks, as they are able to provide more complex banking services that are crucial to access foreign markets. Moreover, firms that are more dependent on external financing are more likely to use multiple and differentiated banking relationships, as a way to diversify external financing sources and alleviate credit constraints. [ABSTRACT FROM AUTHOR]

Purpose: The purpose of this paper is to evaluate the experience of International Organization for Standardization (ISO) 9001 certified companies, examining their motivations to introduce the standard and their perceived benefits and barriers. In parallel, the research investigated the knowledge and perception of ISO 9004 guideline, analyzing if it could give an added value to certified companies. Design/methodology/approach: A questionnaire was proposed by e-mail to 2,581 Italian ISO 9001 certified companies from January 18 to March 31, 2016; 522 companies participated to the survey. Findings: Companies of different size have been driven by different motivations to certification, reaching different types of benefits, while both large and small ones perceived the greater bureaucratization as an obstacle. The ISO 9004 standard is little known and applied among Italian companies, but the ones which adopted it benefited from it. Research limitations/implications: A limitation may be derived from the fact that the sample was composed only of Italian companies, although this effect was to understand perceptions and trends of these international standards in the Italian reality. Practical implications: Analyzing perceived advantages and disadvantages of ISO 9001 and 9004 could be crucial for managers to understand if their joint use is the right strategy to gain competitiveness in the reference markets. Originality/value: Compared to previous studies in which ISO 9001 was evaluated as a stand-alone standard, the research made a comparative evaluation with ISO 9004, as ISO considers them to be "consistent pair of standards," covering the literature gap about the effectiveness of the joint use of them. [ABSTRACT FROM AUTHOR]

This paper presents panel evidence on the productivity effects of middle managers' off-the-job formal training in Italy. It is based on a rich and reliable panel dataset covering all sectors of the Italian economy over the period 2006-2011. We employ panel data techniques and self-selection models to show that off-the-job formal training for middle management has a significant nonlinear exogenous effect on total factor productivity. Moreover, results indicate that middle managers' off-the-job formal training is more effective in larger firms and that different training methods have heterogeneous effects on productivity. [ABSTRACT FROM AUTHOR]

This work analyses and measures the transformation of the industrial district of Prato in the last two decades, adopting the density dependence model of Organisational Ecology. The paper has two primary research aims: (i) to investigate the recent transformation of the Prato industrial district through the foundings and failure flows of its firms' populations, and (ii) to examine the co-evolution and reciprocal influences between the populations of the district's Italian and Chinese firms. Through an in-depth study of the foundings and failures that have occurred in Chinese and Italian textile and clothing firms over the last two decades, this study develops analysis of demographic and organisational ecology, and investigates the processes of legitimation and competition. The results of the study indicate that the district's Italian and Chinese firms experienced two distinct evolutionary phases during the research period: while the former declined, the latter saw development in spite of recent economic crises. The analyses also demonstrate how the evolution of Italian and Chinese populations moved in opposite directions: as the first failed, the second saw increases in the number of its foundings. This indicates the presence of a substitution effect between each firms' population at the district level. [ABSTRACT FROM AUTHOR]

ABSTRACT The paper aims to analyze the relationships between strategic capabilities and performance among food SMEs, identifying which capabilities play a leading role in establishing competitive advantage. Four strategic capabilities were analyzed: innovation, marketing, network, and information acquisition. We ran a Structural Equation Model involving 67 food SMEs located in Italy. The results revealed that the marketing, network, and innovation capabilities directly and positively affect performance. SMEs benefit from selling their products in the national market. The network capability plays a dual role: It has a direct positive influence on performance as well as an indirect effect on the capability to acquire information about market and supply chain agents. The acquired market- and consumer-related information is extremely valuable in enhancing the marketing capability and improving performance. The innovation capability is slightly less significant than the others in affecting performance.[EconLit citations: L11, L25, L66, Q13] [ABSTRACT FROM AUTHOR]

This paper investigates the use of the eco-efficiency measurement. It also analyses whether environmental planning, business strategies, operational practices, environmental management system certification and environmental management accounting influence eco-efficiency. The five organisational factors express formal elements of the organisational structure. The research design consists of a mixed method approach with a set of information composed of a survey of 65 companies plus 14 interviews. The results show a poor use of eco-efficiency measurement and the positive influence of just environmental planning and environmental management accounting. What stands out is the urgency to encourage companies to have more articulated measurement and evaluation tools for analyse the interplay between environmental and economic performance (i.e. eco-efficiency). The paper extends empirical studies on environment-related management accounting tools. This study also underlines the importance of analysing the organisational dimension which is fundamental for promoting the integration of environmental issues into management control. [ABSTRACT FROM AUTHOR]

Institutional differences across countries present special challenges to achieve uniformity or at least harmony in financial reporting across countries. We evaluate in this paper how accounting traditions, ownership and governance structures of Italian companies affect implementation of the European Union mandated International Financial Reporting Standards (IFRS) by Italian companies. This evaluation will enable investors, especially international investors, to have a better understanding of financial reporting by Italian companies and it will also highlight the problems and issues facing Italian companies to implement IFRS. [ABSTRACT FROM AUTHOR]

Open firms are not equally successful. This is because, in order to benefit from external sources of knowledge, firms must be able to absorb such knowledge. The paper outlines a firm's context as a set of organizational and social features, which may be considered absorptive capacity antecedents. It explores the mediating role of such antecedents in the relationship – hitherto insufficiently researched – between the degree of openness and innovative performance. The use of a methodology combining both direct interviews and survey of Italian firms has allowed us to confirm the supposed mediating role. We also identify different modes for companies to open up their innovation process and, for each of them, the antecedents that are consistent with choices regarding the degree of openness. [ABSTRACT FROM PUBLISHER]

Both total quality management (TQM) and risk management (RM) are concerned with the realization of strategy. Some authors have recently focused on the potential integration of quality management and RM, highlighting the need of combining information to improve decision making. The exploratory study presented in this paper addresses the field of TQM and RM, to investigate the influence of TQM adoption on risk identification. Further, drawing also special attention to the effects of the intangible resources, the study examines the differences between TQM and non-TQM firms about the emphasis placed on the use of non-financial performance measures. The empirical investigation is based on a survey of a sample of large Italian firms. Nonparametric statistical data analysis is employed. The results provide evidence that significant and positive associations exist between TQM firms and the importance of risk identification, as well as between TQM firms and the use of non-financial performance measures. [ABSTRACT FROM AUTHOR]

This study aims to contribute to the development of the knowledge on intangibles management by analysing the territorial identity concept from a strategic competitiveness perspective. The purpose of this study is especially to clarify the territorial identity concept by exploring and highlighting its dimensions and determinants. This study considers the perspective of two historical Italian companies that have long been embedded in their territory. By integrating a literature analysis with well-documented case studies, this paper proposes a conceptual framework to capture and explain what companies can develop at the local level in order to improve territorial identity. [ABSTRACT FROM AUTHOR]