Italian Firms in America, Issues and Possible Solutions Essay

567 Words 3 Pages
Many people have heard about Italy through the success of some of its famous luxurious brands such as Gucci and Ferrari. Behind this eminent success there is a culture of combining tradition, heritage and innovation. In what follows I will present some examples of such combination. And I will also discuss some of the problems that Italian firms face and propose some element of solutions to these issues.

Italian firms are renowned for being small and family-owned. Yet some of them have managed to tackle and be successful on the global market. One such firm is Fiat which specializes in vehicles manufacturing. The company was founded by Giovanni Agnelli in 1899. An interesting example of how Fiat has used heritage and tradition is the fact that Gianni Agnelli, the grandson of founder Giovanni Agnelli, was Fiat's chairman from 1966 until 1996. In fact, the Agnelli family has controlled Fiat for its entire 115 years of existence. It is worth mentioning though, that after they acquire the American automaker, Chrysler, they started to open up the company’s key leadership positions to outsiders.
Furthermore, success of some Italian firms is due to their remarkable innovations. During Orientation, our professor showed us a video that explains the manufacturing process of a Ferrari. One fact that struck me in the video is their use of hi-tech, highly skilled human resources and high quality materials to make each Ferrari a unique piece of art.
Despite the success of some Italian…