Increasing market orientation of social cooperatives in Italy

Publication date: 30 October 2025
Research areas: Innovative models, Local development
Publication categories: Research Reports
Arguments: Welfare and services
Organizational types: Social enterprises

The report addresses the issue of the increasing market orientation of social cooperatives in Italy, namely, the gradual shift of social cooperatives from the traditional provision of services commissioned by public authorities toward the direct sale of services to private clients.

After more than thirty years of growth and consolidation within the local welfare system, social cooperatives are now facing a profound structural transformation, driven by the reduction in public spending, the pressures of the public procurement system, and the growing need to diversify their sources of income.

Based on a sample of 52 social cooperatives and 64 interviews with managers and administrators across the country, the study analyzes the different ways in which cooperatives are adapting to this new scenario: the motivations behind their move toward private markets, the organizational models adopted, the economic results achieved, and the value-based and identity-related implications that follow.

The research identifies four main models of social cooperatives operating in private markets:

  • Market-oriented: worker-owned enterprises strongly focused on profitability and economic sustainability;

  • Inertial: traditional cooperatives entering private markets in an unplanned way to meet contingent needs;

  • Committed: organizations aware of the risks of commercialization and committed to reinvesting profits for social purposes;

  • Aspirational: cooperatives seeking to balance their social mission with market openness, while facing operational constraints.

The report highlights both the tensions and opportunities accompanying this transition: on one hand, the prospect of greater autonomy and innovation; on the other, the risk of diluting cooperative values and widening inequalities in access to services.

Ultimately, marketization emerges as a crucial turning point for the future of social cooperation — a challenge that tests the ability of cooperative enterprises to preserve their solidarity-based and public-oriented mission within market dynamics.

The research was carried out as part of the Research Programme Agreement between EURICSE and the Autonomous Province of Trento

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