Abstract
ABSTRACT**: Italy's state industry is in a strategic transition, the result of which was not foreseen in the reforms approved by Parliament in the 1990s. Privatization pressures and opposite trends aimed at rejuvenating the state‐owned holdings (the major ones being Iri and Eni) coexist in the Italian mixed economy. However, in the absence of a clear strategic intent, the functions of Iri and Eni are destined to whither away, in spite of the success achieved by them in both national and international markets. New pressures are menacing public enterprises. The attitudes of the European Commission, the trends of the European Union's industrial policy, and the drive towards the construction of a single market challenge the competitive skills of Iri and Eni, which in 1992 became joint stock companies.
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