Italy - Overview of the Economy (2022)
Despite a slow start, the forecast for the Italian economy is positive with an estimated growth rate of 4.7% in 2022, boosted by household spending and capital investments. Exports of agricultural products and manufactured goods that usually attribute to 30% of the GDP, will show slow growth. The challenges of inflationary pressures exist. However, efficiency gains in the manufacturing industry from automation implemented on a large sale will change the power dynamics from China to Germany & Italy.
The skills mismatch in engineering, technology, and financial services are seen to be a contributing factor in hampering job growth. Currently just Master’s or Ph.D, students are allowed to stay back for 12-months. Still, a vast pool of entry to mid-level technology and financial services openings remain underutilized.
Top 3 MBA in Italy
1. SDA Bocconi
Incoming Class Profile
SDA Bocconi has a good mixture within its small intake of local and international students. Of the 98 students admitted, 23% were Italian nationals, 20% were European nationals and the remaining were foreign admits from 30 countries.
17% of students were from North America.
The average age and work experience were higher by a year and 6 months, compared to US MBA programs.
Women’s representation was slightly low at 37%, compared to the 40-45% seen across US MBA programs. Although there is no official requirement of GMAT/GRE scores, due to the competitive nature of the program, a GMAT 670 is beneficial.
| SDA Bocconi MBA | Class Profile |
|---|---|
| Class Size | 98 |
| Average Age | 29 |
| Average Work Experience | 5.5 years |
| Women Representation | 37% |
| Non-European National | 54% |
| Countries Represented | 30 |
Pre-MBA Education
SDA Bocconi’s intake is dominated by economics graduates, making up nearly half of the class. More than a fourth of the class consists of engineering students. SDA Bocconi’s intake features a strong acceptance of law undergraduates, unlike any other MBA program. Humanities and science undergraduate degrees are represented in single digits.
| SDA Bocconi MBA | Undergraduate Degree |
|---|---|
| Economics | 47% |
| Engineering | 27% |
| Law | 14% |
| Humanities | 8% |
| Sciences | 4% |
Pre-MBA Industry
Financial services/insurance, the largest represented industry for MBAs, was predominant at SDA Bocconi too. Consulting/professional services made up a further fifth of the class. Italy being the hub of fashion, design, and luxury, attracted a further 9% from the industry. Miscellaneous industries and miscellaneous services combined, contributed to another fifth of the pre-MBA industries.
| SDA Bocconi Pre-MBA Industry | Sectors |
|---|---|
| Financial Services/Insurance | 27% |
| Consulting/Professional Services | 19% |
| Services | 11% |
| Fashion, Design & Luxury | 9% |
| Industry | 8% |
Fees and Total Cost
The total cost of the SDA Bocconi MBA is €62,000/$69,000, payable in 4 installments throughout the academic year. Students should not expect to earn supplemental income while earning their MBA due to the intensity of the program. Additional costs such as admission processing fee, housing, food, transport, and miscellaneous expenses range between €1500/$1700 to €1800/$2000 per month. The total cost of $93,000 per year is comparable to top US MBA programs.
Curriculum
Core Curriculum
SDA Bocconi’s MBA is designed primarily for those with a keen aptitude for Finance. The core curriculum is holistic in coverage and touches every aspect of the business, from top-level decision-making to specific functions like sustainability and supply chain management. Traditionally, corporate strategy is a single core curriculum course at top US MBA programs. However, SDA Bocconi emphasizes the difference in corporate, operations, and competitive strategies for its MBAs right at the outset. Heavily focused on analytics, Bocconi MBA prepares its students to be data-driven decision-makers. A core course in technology and innovation management is the other differentiator for the program.
Electives
Students are encouraged to develop their skills in predictive analytics and python. While most of the top US programs focus on leadership, SDA Bocconi offers courses on managing oneself: cultivating mindfulness, wisdom, creativity, and compassion. This perspective of the curriculum provides students the tools for self-reflection while they picking up niche skills and knowledge.
An elective on emerging markets is offered in term 5 for those interested in international business. Macroeconomics also features in the list of non-mandatory courses, similar to the strategy adopted by top US MBA programs, laying more emphasis on microeconomics/managerial economics in the core curriculum.
Concentrations
There are 5 concentration options in total – 4 (A, B, C, and D) of which any two needs to be chosen from either A or C in the first term and, B or D in the second term. The fifth concentration is the experiential learning in Luxury Business Management offered in partnership with LVMH. Further experience is provided through a partnership with Bain & Co.
| Concentration Theme | Courses |
|---|---|
| A. Finance and Financial Institutions | Structured and Project Finance |
| Real Estate Investment | |
| Mergers & Acquisitions | |
| Derivatives & Hedging | |
| Investment Banks: Mastering Deal Execution | |
| C. Innovation, Product Development, Execution | Strategy Execution |
| Making Innovation Happen: Scenarios, People, Practices | |
| Ideating and Launching New Products | |
| Digital Enabled Business Transformation | |
| Innovating in the Global Landscape | |
| B. Customer Marketing | Pricing |
| Brand Management | |
| Ecommerce | |
| Consumer Behavior | |
| Digital Strategy | |
| D. Private Equity and Entrepreneurship | Change and Renewal Strategies |
| Corporate Entrepreneurship | |
| Private Equity | |
| Entrepreneurial Finance | |
| Managing Alliances | |
| E. Luxury Business Management | |
| Nurturing Specialized Competencies | Retail |
| Merchandising | |
| Digital/CRM | |
| Go-to-Market and Going Global | |
| Pillars of Luxury Management | Product |
| Brand | |
| Discovering Luxury Management | Retail Deep Dive |
| Global Mindset | |
| In-Company Project | |
| Capstone Project | Bain & Company |
Post-MBA Placement Opportunities
The total average salary secured by SDA Bocconi graduates is €119,000/$133,000 of which 28% forms other guaranteed compensation like a sign-on bonus. 95% of graduates secured employment opportunities within 3 months of graduating.
By function – in descending order, Finance, General Management, and Marketing/Sales are the most popular choice.
By Industry – in descending order, Technology/E-business, Financial Services, and Pharma/Biotech are the most popular choice.
2. Bologna Business School (BBS)
Incoming Class Profile
BBS incoming class profile is formulated keeping in mind the 5 different MBA tracks:
1) Automation and Robotics
2) Design, Fashion, and Luxury goods
3) Food and Wine
4) Green energy and Sustainable Businesses and
5) Supercars, Superbikes, and Motorsports
Each of these concentrations attracts between 15 to 20 students. Most concentrations are skewed in favor of international students, ranging from 50% to 88% of the class strength. The average age ranges between 29 years to 32 years, demonstrating a slightly mature intake confirmed by the 7-9 years’ of work experience, much higher than the 3-6 years seen in top US MBA programs. The representation of women is the highest in design, fashion, and luxury goods at 88% and lowest in the automotive concentration at 17%.
The median GMAT score is low compared to top US MBA programs (650 to 730), at only 580.
Pre-MBA Education
Automation and Robotics
Economics/Finance and Engineering undergraduate degrees constitute 70% of the concentration intake. A further 6% by law students and the remaining is a mixture of Arts, Math, and Science. Nearly a fourth of the seats are taken up by locals. Africa, North America, and South America correspond to 21%, 17%, 13% respectively of the class intake.
Design, Fashion, and Luxury Goods
Engineering, Economics/finance, and Law are at a 3-way tie, corresponding to 75% of the concentration intake. Political science and visual arts correspond to the fourth largest intake. Asia (38%) and Russia (25%) dominate the class strength of this heavily international-female-dominated (88%) concentration.
Though the intake is predominantly international, the students hail from only 6 countries.
Food and Wine
Economics/Finance graduates dominate nearly half of the concentration strength at 45%, followed by engineering at 18%. Italy, being a large exporter of food and wine, has a strong significance and this is represented by local students taking a large share, 36%, of the seats. In second and third place are North America and Africa students, corresponding to 27% and 18% respectively.
Green energy and sustainable businesses
57% of the class has an undergraduate degree in engineering, followed by 21% holding undergraduate degrees in economics/finance. African countries dominate the concentration intake at 36%, followed by Italy at 29% and North America at 14%. Women’s representation is low at 29%.
Supercars, superbikes, and motorsports.
Contrary to expectations of this technical field where engineering should dominate, economics/finance undergraduates secured the most places, at 42%. Engineering undergraduates were in second place at 33%. 67% of the concentration intake is dominated by European countries, (50% Italian students and the rest is other European countries). North America comes in second place at 17%.
Fees and Total Cost
The global MBA at BBS costs €35,000 (VAT free). Living costs may be estimated between €1500/$1700 to €1800/$2000 per month.
Curriculum
Core Curriculum
Digital aspects of the business/functions are concentrated within a marketing course or as an elective in top US MBA programs, but at BBS it is integrated into the core courses. Geo-economic and Geopolitical Analysis is another course that stands out for the program’s holistic approach to building business acumen.
The remaining courses cover the standard management topics expected of a typical MBA.
| Term I | Term II - III | Term II - III |
|---|---|---|
| Corporate Finance | People Management | Digital Business and Transformation |
| Corporate Strategy | Marketing Management | Geoeconomic and Geopolitical Analysis |
| Financial and Managerial Accounting | Operations Management | Business Planning |
| Global Macroeconomics | Communicating Effectively Across Cultures | |
| Business Ethics and Sustainability | Electives |
Tracks
Each of the 5 specialized tracks has its own experiential learning lab. Most tracks try to balance general management, law, and track-specific knowledge needed to succeed in the industry. Some tracks have corporate partnerships to offer extra courses within the tracks to gain enhanced industry-relevant qualifications.
For example, within the food and wine track, students can join the Italian Wine Academy for an advanced course by the Wine & Spirit Education Trust (WSET).
Within the automotive track, the program’s advisory committee hosts professionals from senior management at Ferrari, Lamborghini, Maserati, and Alpha Tauri to enlighten the class on the latest strategies and technology powering the legendary brands.
| Tracks | Track-Specific Courses |
|---|---|
| Automation and Robotics | Business Transformation |
| Distributive Innovation System | |
| Machine Learning and Data Mining | |
| Automation and Robotics for Innovative Manufacturing | |
| Managing Humans and Robots: Ethical and Legal Implications | |
| LAB on Industrial Robotics | |
| Design, Fashion And Luxury Goods | Gemology and Watches |
| Fashion and Accessories: Perfumes and Eyewear | |
| Industrial Design and Branding | |
| Luxury Goods: Boats, Cars, Motorbikes and Estate | |
| Business Model in the Fashion Industry | |
| Business Development LAB | |
| Food and Wine | Structure, management and dynamics of the Agri-food systems |
| Food Culture and Sustainable Tourism | |
| Management and Creativity in the Restaurant Industry | |
| Business Law for the Food and Wine Industry | |
| Business Development LAB | |
| Innovation and Narration in the food and wine industry | |
| Green Energy and Sustainable Businesses | Green Strategy and Sustainable Development |
| Technology Management | |
| Measuring Sustainable Performance | |
| Environmental Law | |
| Green Finance | |
| LAB: Planning and Launching Green Sustainable Businesses | |
| Supercars, Superbikes and Motorsports | Strategy for Supercars and Superbikes Companies |
| Racing Team Management | |
| New Product Development in the Motor Sport Industry | |
| Performance Management Systems in the Motor Industry | |
| One Customer Experience | |
| LAB on Advanced Technologies in the Motor Industry |
Additionally, BBS offers a compulsory 500-hour internship within Italy or internationally for students in their chosen track.
Post-MBA Placement Opportunities
94% of BBS graduates secured employment within 6 months of graduating. By Post-MBA functions, 40% of the class secured marketing/sales roles. In second place is a tie between finance and supply chain/operations representing 15% of the class strength. Consulting was at 12%. 44%, nearly half of the graduates chose to secure employment opportunities outside Europe. 32% were based in Italy, and 24% were based in other European countries. The average post-MBA salary is $80,000. The highest salary was secured by those in financial services at $112,000, followed by logistics/operations/purchasing at $81,000. Marketing/Sales roles secured an average salary of $59,000.
3. MIP Milano
Incoming Class Profile
Only 50 seats are available for the international full-time MBA that requires a minimum GMAT score of 590 and 6 years of work experience. 60% of students hail from international backgrounds and have an average age of 30 years.
Fees and Total Cost
The fee at MIP Milano for the international full-time MBA is €37,000/$41,300. All MBA candidates are eligible for applying for a company sponsorship of €5,000/$5,600. There are additional partial scholarships available.
Curriculum
Core Curriculum
| First Pillar | Second Pillar | Third Pillar |
|---|---|---|
| Business Statistics | Marketing Management | Business Planning |
| Organization Design | Operations Management | Omni-channel Marketing |
| Management Accounting | SCM & Purchasing Management | International Economics |
| Business & Industrial Economics | People & Change Management | Innovation Strategy |
| Financial Accounting | Financial Valuation | Innovation Leadership |
| Macroeconomics | Project Management | |
| Strategy | Digital Transformation | |
| Corporate Finance |
AT MIP Milano, the curriculum is strongly industry-orientated with a focus on management, economics, and innovation. Industrial economics and international economics are highly specialized subjects that are not commonly found as part of the MBA curriculum. Usually, it is based on microeconomics and macroeconomics. The management functions cover all the different functions within the business – marketing, operations, people & change management to product-based supply chain and purchasing management. Digital transformation, innovation strategy, and innovation leadership are technology-intensive courses that provide MIP Milano MBAs the tools to transform business to a digital and automated economy.
Specializations
Entrepreneurship, Innovation & Start-up Development
This specialization focuses on entrepreneurship development through problem-solving and addressing process challenges of start-ups and family-owned businesses.
Digital Transformation & Big Data
The impact of digital transformation on business models is analyzed and the methods of finding data-driven competitive advantages is evaluated in this specialization.
Luxury & Design Management
Complementing the design thinking course, this specialization introduces its students to the entire reiterative process of ideation and implementation that has high impact in a Business. Students will be exposed to critical success factors through experiential learning and faculty knowledge.
Global & Sustainable Management
This specialization offers an introduction to the challenges presented by depleting fossil fuels and carbon-conscious economies. Sustainable practices are analyzed for the improvement of processes and performance in a global economy.
Post-MBA Placement
83% of MIP Milano MBA graduates secure placement within 3 months of graduating. Deloitte, Nestle, L’Oréal, Whirlpool, and AstraZeneca are some of the top employers at MIP Milano. The average post-MBA base salary is USD 75,000.
27% of graduates opted for Supply Chain/Operations/Processing, followed by 23% opting for Marketing/Sales. Finance and Strategy/Planning/Business Process is tied in third place, representing 16% of the class, each.
Consulting, R&D engineering, and product development were in fourth place, represented by 6% of the class, each.
Conclusion
The emphasis on experiential learning and digital transformation is greater in the curriculum at Top Italian MBA programs than in top US MBA programs. Additionally, most institutes have corporate tie-ups that foster industry participation in influencing the course material and keeping it relevant to the market.
The cost of attendance at BBS and MIP Milano is nearly half the cost of attending a top US business school with the option to specialize. However, the corresponding return on investment for doing an MBA is among the fastest, with tuition being paid off in 1.23 years. The big difference however is the $75,000-$100,000 vs. $150,000 base salary, the latter encouraging applicants to target top US MBA programs despite the 3-year time frame to earn the returns.
References:
1. Italian Economy Forecast 2022
2. SDA Bocconi MBA
3. BBS MBA
4. MIP Milano - The MBA Tour (2021 Presentation)
5. MIP Milano Brochure
