Competition in Italy remains stable, but turnover among market leaders is still limited
PRESS RELEASE
The joint report by the Italian Competition Authority and the Bank of Italy finds stable competitive conditions but limited changes in market leadership. Supporting the entry and growth of new players could boost innovation and competitiveness.
Competitive conditions in the Italian economy remained broadly stable between 2010 and 2023, with no evidence of a widespread increase in firms’ market power. However, some sectors remain highly concentrated, and turnover among market leaders is still limited.
These are the main findings of the report on ‘The State of Competition in Italy’, presented today in Rome by the Italian Competition Authority and the Bank of Italy at a conference taking place at the Authority’s headquarters in Piazza Verdi.
The Report provides an integrated analysis of three dimensions of competition: firms’ markups, concentration of turnover, and business dynamism. Markups – which measure prices relative to production costs – increased only moderately, mainly in sectors where margins were lower at the beginning of the period. The concentration of turnover, which had increased during the sovereign debt crisis, retuned in 2023 to levels close to those seen at the outset. This picture differs from that observed in other countries, particularly the United States, where rising markups and growing market concentration may signal a weakening of competition.
In Italy, however, business dynamism has been held back by unfavourable business demographics, with more firms exiting than entering the market for much of the past decade, a trend that only reversed in 2021. The joint Report also shows that leading market positions are still largely held by the same players, although firm turnover has increased somewhat in recent years. Well-functioning markets require opportunities for new firms to enter and for the most productive firms to grow. Removing barriers to entry and expansion could strengthen incentives for innovation and efficiency, benefiting productivity, economic growth, and consumers.
Rome, 5 November 2026