Small firms export what is beautiful and well-made in Italy

When Manuela Marianera (see photo), an economist at the Confindustria Research Centre, showed the slides of the study on the exportation of Italian goods, many of the businesspeople, at the company Roda Srl in Gavirate, taking part in the meeting organised by UNIVA, the Varese Province Industrialists Union, to study the textile, food and drink sectors, could see themselves in her analysis. And the reason was probably the profile of the firms, which, according to the study, export "what is beautiful and well-made in Italy" (BWM). Six thousand and thirteen of the 13,130 firms are micro and small (with 1 – 9 employees), and all operate in the traditional Italian manufacturing sectors of clothing (2096), food (1730), furniture (1523) and footwear (664). In contrast, only 184 large companies (with 250 or more employees) export BWM.

It is necessary to become international if a company wants to stay alive and competitive in the market. This is what businesspeople have understood for a long time, as the expression can always be heard at meetings when there is talk of crisis and business. The main problem for a small firm, is understanding how to become international, to conquer new markets, especially outside the euro zone, which are the most interesting in which to do business, but also the most difficult. "The purpose of this work,” says Marianera, “is to give an operating edge, that is, to explain how to go abroad."

The study, entitled "Exporting the good life" identifies two ways of moving into new markets: operations (trade and retail), and systems (tourism, cinema, education, emigration). Marianera continues, "Being aware of these issues helps to understand where to go, and to predict the demand for Italian goods in emerging markets."

In countries such as China, Russia and the United Arab Emirates, imports will reach €136 billion in 2017 (€44 billion more than in 2011); consequently, it is essential to establish solid alliances with distributors in those areas, with investments that, for at least 3 years, will show no return. "The Chinese importers,” Marianera explains, “say that Italian businesspeople do not have the patience to wait, and they complain about the low prices established for bringing their products into the market, especially when the brands are unknown. The Chinese appreciate the Italians for their flexibility, because they can make small changes to products and personalise them. But they appreciate them less for their delivery times."

The Made in Italy label is popular among the Chinese, but also in the more dynamic markets of Vietnam, Turkey and Indonesia. In 2017, there will be over 192 million nouveaux riches in the world, in the large Chinese, Indian and Brazilian cities, and a new affluent middle class will have emerged in Russia, Turkey and Poland. "This is the direction that our companies need to follow,” Marianera concludes, “and Italians abroad, of which there are many, can be the best ambassadors for our products."