Performance Of Italian Firms Research Articles

Credit access and performance of Italian firms: how relevant is gender

Credit access and performance of Italian firms: how relevant is gender

Credit access and performance of Italian firms: How relevant is gender

This paper investigates the relationship between firm's structure with its performance besides the interest rates applied by banks; and the gender governance besides firm's profitability and the pricing of credit charged by the banking system. The sample used for this empirical research consists of 219 Italian firms and it was analysed during the 2013-2016 period. Employing a two-phases quantitative method, our study finds that there are important elements (both in terms of corporate structure and gender governance) that impact on the corporate performance and the pricing of credit firms pay when they succeed in borrowing.

The Long-Term Effects of Management and Technology Transfers

This paper examines the long-run causal effects of management on firm performance. Under the United States Technical Assistance and Productivity Program (1952–1958), the United States organized management training trips for Italian managers to US firms and granted technologically advanced machines to Italian companies. I exploit an unexpected budget cut that reduced the number of participating firms and find that, compared to businesses excluded by the budget cut: performance of Italian firms that sent their managers to the United States increased for at least fifteen years after the program; performance of companies that received new machines increased, but flattened out over time; management and new machines were complementary. (JEL F23, L25, M16, M54, N34, N64, O33)

Internationalization choices and Italian firm performance during the crisis

We focus on the relationship between internationalization choices and performance of Italian firms during the first period of the financial crisis (2007–2010). Making use of a new firm-level database, we build a six-class taxonomy of firms’ internationalization activities; then we estimate firms’ performance as a function of internationalization forms, also estimating propensity score and Heckman selection models in order to control for endogeneity and sample selection bias. Over the period 2007–2010, Italian firms moved (on average) towards more complex forms of internationalization. Empirical analysis finds that these upward changes are related with positive effects on firms’ (labour) productivity, also in a period characterized by the 2009 trade collapse. These findings put additional emphasis on the issue of the diversification of both products and markets as a goal to be pursued by firms, even in times of crisis, to remain competitive and make profits.

Ownership Pre- and Post- IPOs and Operating Performance of Italian Firms

Evidence shows that, after an IPO, firms usually report a decline in operating performance. This result is confirmed also for the Italian market. In this paper we investigate if this deterioration is explained by the change in ownership following IPO. In particular, we take into consideration two major dimensions of ownership: a quantitative one, indicating ownership concentration and represented by the stake held by top shareholders, and a qualitative one, about the type of shareholder and relative to the presence of private equity firm both before and after the IPO. The main hypotheses question if there are positive relationships between operating performance and the following dimensions: (i) the stake held by top 3 shareholders before IPO; (ii) its change following IPO; (iii) the presence of private equity firm before IPO; (iv) the presence of private equity firm after IPO. Interestingly, we find that ownership structure positively influences operating performance in the years before IPO, but this is not verified in the years after the IPO, although, in the sample, the relationships are all verified. This is an interesting finding of the paper, which should need further investigation.

The compensation of top managers and the performance of Italian firms

This paper examines one of the most studied aspects regarding the compensation of top managers: the relationship between remuneration and corporate performance. The principle research objective is to find evidence of this correlation in Italian companies. Based on a sample of 145 Italian companies listed on the Milan Stock Exchange, as analysed during the period between 2004 and 2009, the research findings do not demonstrate a link between company performance and the pay of top managers. Another empirical result that should be highlighted is the presence of a greater correlation between rate of pay and company size, in terms of stock turnover, which demonstrates the likely presence, at least in certain situations, of a dimensional premium that is to the benefit of the managers of larger companies. This research project evidences empirical results in the Italian context that support the findings of the most important international literature on the subject, as regards the absence of a connection between the compensation of managers and the performance of their firms.