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

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Integrating Cities II - Migrant entrepreneurs

Integrating Cities II

“Migrant entrepreneurs: integrating success

stories”

Milan, 5 nov. 2007

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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

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• 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

Milanese Economy - II

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Milanese Society

• 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”

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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

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Who are foreign entrepreneurs in

Milan?ARABIAN: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

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Milan?CHINESECHINESE

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%

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WOMENWOMEN2007: 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


Milan?

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NEW BORNS: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.


Milan?

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YOUNG PEOPLEYOUNG 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


Milan?

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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

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What do foreign entrepreneurs make?

• 1 out of 3: trade at retail and restaurantsMilan 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)

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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

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Difficulties for migrant entrepreneurs in Milan

E n tre p ren e ursh ipa s se lf-e m p lo ym e nt

la ck o f e xp e rie n ce w o rk in g d iff icu lt ies

D IF F IC U L T IE S

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CRITICALNESSES

LACK OF EXPERIENCELACK 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

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CRITICALNESSES

SELF-EMPLOYEMENTSELF-EMPLOYEMENTMain reasons to open a new activity:1. To try to achieve better earnings2. To reach autonomy and self realisation3. To obtain a better work quality4. To find a job… 6th place: to obtain or keep the stay

permission in Italy

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CRITICALNESSES

WORKING DIFFICULTIESWORKING 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

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Where do immigrants live?

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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)

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Where do immigrants work?

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Where do immigrants work?

RoadN. of

enterprisesPrevalent nationality

Non italian enterprises on total number of

enterprises

Via Padova 96 Egyptian – 28,1% 8,40%

Viale Monza 76 Chinese, Egyptian – 17,1% 4,30%

Via Bramante 70 Chinese – 94,3% 18,80%

Via Imbonati 46 Egyptian – 34,8% 12,50%

Via Giambellino 43 Egyptian – 32,6% 7,80%

Via Sammartini 42 Bengalese – 71,4% 13,50%

Via Farini 31 Chinese – 48,4% 5,00%

Via Arquà 29 Egyptian – 41,4% 27,10%

Via Varesina 29 Egyptian – 37,9% 9,10%

Via Frisi 28 Bengalese – 89,3% 36,80%

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Forecast on recruitments 2007 Milan region

Italians80%

Immigrants20%

Immigrants and labour market

• 25% younger than 30 years old

• 75% need to be trained

• 47% previous experience requiredAll datas are from Excelsior 2007

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SERVICES

70%

CONSTRUCTION

12%

MANUFACTURY

18%

Immigrants and labour market - II

More than 9.000 new jobs in services, especially in:

• cleaning, renting, vigilance

• hotels, restaurants, tourist services

All datas are from Excelsior 2007

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Immigrants and labour market - III

Size of recruting enterprises

50 employees and more

55% 10-49 employees

16%

1-9 employees

29%

All datas are from Excelsior 2007

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Milanese people and foreigners

0,0% 10,0% 20,0% 30,0% 40,0% 50,0% 60,0% 70,0% 80,0%

More control

No integration

No Mosque

Sense ofinsecurity

Voting rights toforeigners

Religioustolerance

2007

2006

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

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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.

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Example of city planning

BARCELONA ACTIVA PROGRAMBARCELONA 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.

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Barcelona Activa Program

CHALLENGESCHALLENGES1. Access to labour market2. Future of labour market3. Avoid excessive concentration of migrant/ethnic

oriented business (bad for social cohesion)4. Integrating immigrant business in general

network5. Fighting negative perceptions6. Social mobility is crucial for social cohesion

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CITY OF MILAN PROJECTS: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)

Example of city planning II

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Integrating Cities II - Migrant entrepreneurs Example of a successful Example of a successful immigrant immigrant

entrepreneurentrepreneur• 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)

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Example of successful immigrant

entrepreneur II• “IMPRESA ETNICA” is a magazine about ethnic

enterprises.• Importance to ethnic networks:

– Formal ones– Informal onesImportance to make the informal became formal.Importance to communicate differences and take

advantage of them.• Intervention assumption: welfare

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ASIIMASIIMASSOCIATION FOR IMMIGRANT

ENTRPRENEURS IN MILAN• It is a “second level” association to create

services 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 employmentWhen they succeed, they produce employment– They satisfy the generational replacement in some

fieldsThey have the same problems of Italians

entrepreneurs but with a bigger difficulty rate.

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Thanks

Renato MattioniMilan Chamber of commerceTel. +39 02 8515 1 www.mi.camcom.it Via Meravigli, 9/BMilan - Italy

Documents

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