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Integrating Cities II “Migrant entrepreneurs: integrating success stories” Milan, 5 nov. 2007

Integrating Cities II “Migrant entrepreneurs: integrating success stories” Milan, 5 nov. 2007. Milanese Economy. 432.000 enterprises in Milan area= 1 firm every 8 residents Provide 10% of Italian GNP 95% of the enterprises in Milan have less than 10 employees

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Integrating Cities II “Migrant entrepreneurs: integrating success stories” Milan, 5 nov. 2007

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  1. Integrating Cities II “Migrant entrepreneurs: integrating success stories”Milan, 5 nov. 2007

  2. Milanese Economy • 432.000 enterprises in Milan area= 1 firm every 8 residents • Provide 10% of Italian GNP • 95% of the enterprises in Milan have less than 10 employees • Employment rate in Milan: 70% Unemployment rate: 4% In accordance to Lisbon targets

  3. Milanese Economy - II • Import-export trade: euro 125mld (2006) • An open economy: Milan: opening rate of 92% Italy: 48% • In Milan, 3000 foreign enterprises partaken by Italian firms: 42% of all enterprises in Italy • 2000 Italian multinationals

  4. Richness Income level for inhabitant is 50% bigger than national rate 18% of the families spends over 3000 euros for month: they cover 40% of total consumptions Poverty 22,3% of the families spends less of 1000 euros for month 90.000 families under “poverty threshold” Milanese Society

  5. Migrant Enterprises • In 2006 20.138 non-Italian enterprises +10,7% (2005/2006) • 12,7% of all the single ownership enterprises (Milan province) • Income: 30mld euros (8% to the total) • Provide 19.000 jobs in a year (in 2005: 3600 to Italian citizens) • Most relevant field: tertiary

  6. Who are foreign entrepreneurs in Milan? ARABIAN: young, male and dealers In Milan, 9.500 enterprises with owners coming from Muslim countries: 50,6% of all non Italian enterprises • Egyptian: 4.525 enterprises (+14,7%): specialized in buildings • Morocco: 1795 enterprises • Bengali: 687

  7. Who are foreign entrepreneurs in Milan? CHINESE In Milan, 2.800 enterprises with Chinese owners (1.900 located in the downtown) • Their income: 550 millions euros (+10% a year) • Activity fields: • Commercial activity: more than 50% • Manufacturing: 28% • Restaurants: 13%

  8. Who are foreign entrepreneurs in Milan? WOMEN 2007: In Milan, 3.100 enterprises with foreign women as owners: ( +60% in last 5 years). They are 17% of all foreign entrepreneurs • Egyptian women are only 3,4 of all foreign entrepreneurs • Chinese women are 41%! • Italian women in Milan own 20% of single ownership enterprises

  9. Who are foreign entrepreneurs in Milan? NEW BORNS: • In Milan, 1 out of 3 new baby born has almost an non Italian parent • Immigrates have usually a better fertility rate • Chinese and Egyptian women have also better fertility rates in Italy than in their countries: Egyptian women: +2,1 sons in Italy compared to their situation in Egypt, in particular thanks to Italian medical assistance.

  10. Who are foreign entrepreneurs in Milan? YOUNG PEOPLE • 12% of foreign entrepreneurs in Milan is less than 29 years old. Only 6% of Italian entrepreneurs in Milan are less than 29. • Average age: Italian: 45 years old Chinese: 39 years old

  11. Educational background of foreign entrepreneurs in Milan • 14% has a university degree. Between them, 8% has also a post-university education • Africans are more cultivated: 62% has a high school or university degree. • Half of east Europeans has attended only primary school. • 12% of Asians and 8% of Latin Americans have never gone to school. • But only 1 foreign school qualification out of 5 is accredited in Italy

  12. What do foreign entrepreneurs make? • 1 out of 3: trade at retail and restaurants Milan spends about 80 millions euros for year to eat in ethnic restaurants. 1 restaurants out of 8 in Milan is ethnic. • House building (17% of all building activities in Milan) • Carriage services (15% of all carriage activities in Milan)

  13. Model of ownership of foreign enterprises • Swiss and US citizens are the most numerous foreign nationalities for charges (owners, associates, directors,…) in enterprises • 37.000 non europeans with charges in enterprises in Milan

  14. Difficulties for migrant entrepreneurs in Milan

  15. CRITICALNESSES LACK OF EXPERIENCE • Only 9,5% of foreign entrepreneurs has had a previous experience in business • 4% has arrived directly from abroad • 5% has arrived from other parts of Italy • 8% was previously unemployed

  16. CRITICALNESSES SELF-EMPLOYEMENT Main reasons to open a new activity: • To try to achieve better earnings • To reach autonomy and self realisation • To obtain a better work quality • To find a job … 6th place: to obtain or keep the stay permission in Italy

  17. CRITICALNESSES WORKING DIFFICULTIES • 77% of Asians and 43% of Africans entrepreneurs in Milan think their earnings as not congruous • 1 out of 3 Africans and 1out of 5 Asians would like to come back to their native countries

  18. Where do immigrants live?

  19. Where do immigrants live? • Private home (53% in 2002, 36,8% in 1997) • House – sharing (32,1% in 2002, 41,7% in 1997) • Precarious situation (5,1% in 2002, 10,3% in 1997) • Job place (7,4% in 2002, 5,1% in 1997)

  20. Where do immigrants work?

  21. Where do immigrants work?

  22. Immigrants and labour market • 25% younger than 30 years old • 75% need to be trained • 47% previous experience required All datas are from Excelsior 2007

  23. Immigrants and labour market - II • More than9.000 new jobs in services, especially in: • cleaning, renting, vigilance • hotels, restaurants, tourist services All datas are from Excelsior 2007

  24. Immigrants and labour market - III Size of recruting enterprises All datas are from Excelsior 2007

  25. Milanese people and foreigners Ricerca Camera di commercio di Milano, luglio 2007 su oltre 1.000 italiani. Messa a confronto con analoga ricerca del 2006

  26. Milanese people and foreigners - II Product security • European Commission (data RAPEX 2005): ¼ of dangerous products are toys. 85% of toys comes from China. • In 4 years CCIA of Milan made 1.453 checks to verify product safeness: 12% of the checks was about toys and 1 sanction out of 20 had been inflicted for toys. • In last three years checks, CCIA found that: • 1 household appliances out of 4 does not fit the standards. • Almost 1 textile product out of 10 does not fit the standards.

  27. Example of city planning BARCELONA ACTIVA PROGRAM • In the last 7 years an immigration boom in Barcelona • 100.000 participants. 27,9% are immigrants • Barcelona Activa support 1182 recently created business: 372 were promoted by immigrants. 6200 immigrants participated to the program last year.

  28. Barcelona Activa Program CHALLENGES • Access to labour market • Future of labour market • Avoid excessive concentration of migrant/ethnic oriented business (bad for social cohesion) • Integrating immigrant business in general network • Fighting negative perceptions • Social mobility is crucial for social cohesion

  29. Example of city planning II CITY OF MILAN PROJECTS: • To promote micro bank credit • To fight illegal immigration • To promote employment • “Osservatorio Permanente su Occupazione”: a dynamic tool • Educational Project abroad • Call for young talents in Milan (university and internship programs)

  30. Example of a successful immigrant entrepreneur • ETNOCOM is a society that is concerned about enterprises and institutions’ communication to foreigners. • Advertising market does not fit immigrants likes and needs (because of the language, …). But immigrants have needs and wishes quite similar to Italians. There is a problem of communication. • ETNOCOM realized advertising campaigns (especially on papers) for companies that want to address themselves to immigrants: it is a way to integration too.(ex.PAN project)

  31. Example of successful immigrant entrepreneur II • “IMPRESA ETNICA” is a magazine about ethnic enterprises. • Importance to ethnic networks: • Formal ones • Informal ones Importance to make the informal became formal. Importance to communicate differences and take advantage of them. • Intervention assumption: welfare

  32. ASIIM ASSOCIATION FOR IMMIGRANT ENTRPRENEURS IN MILAN • It is a “second level” association to createservices for immigrant entrepreneurs • Foreign entrepreneurs are not less important than Italians: • their chances to succeed are the same of Italians • When they succeed, they produce employment • They satisfy the generational replacement in some fields They have the same problems of Italians entrepreneurs but with a bigger difficulty rate.

  33. Thanks Renato Mattioni Milan Chamber of commerce Tel. +39 02 8515 1 www.mi.camcom.it Via Meravigli, 9/B Milan - Italy

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