ITALY AND THE UNITED STATES: TWO DIFFERENT WAYS OF UNDERSTANDING BUSINESS

05 August 2026

Many Italian companies seeking to enter the U.S. market underestimate one of the greatest challenges to successfully expanding overseas: the different business culture

Although Italy and the United States share a market economy and a strong entrepreneurial spirit, they place different emphasis on many aspects of commercial relationships. Understanding these differences helps prevent misunderstandings that can jeopardize otherwise promising business opportunities.

One of the first differences concerns the value placed on services. In the Italian market, price is often the primary criterion in evaluating an offer. Companies frequently select suppliers mainly on the basis of cost, while value-added services are considered secondary. In the United States, by contrast, customers tend to evaluate a broader range of factors, including the speed of customer support, service availability, ease of doing business, customer experience, and the ability to solve problems quickly. These elements often play a decisive role in the purchasing decision. It is not uncommon for an American company to accept a higher price if it perceives tangible added value in the services provided.

The approach to intellectual and industrial property also reflects a significant cultural difference. Many Italian companies focus primarily on selling their products and ensuring payment is received. American companies, on the other hand, tend to ask from the very beginning who will own the patents, software, technical drawings, trademarks, data, and know-how generated during the collaboration. For U.S. businesses, these intangible assets are strategic corporate resources upon which future company value is built.

Another important difference concerns the perception of time. In the United States, speed and responsiveness are considered integral components of service quality. Responding to a commercial inquiry within a few hours is often regarded as the standard, as are quick turnaround times for quotations, decision-making, and execution of agreed activities. In Italy, while many companies operate with exceptional efficiency, there is generally greater tolerance for longer response times. This difference in expectations can easily lead to misunderstandings: what an Italian entrepreneur considers a perfectly reasonable timeline may be perceived by an American counterpart as a lack of interest or poor organization.

The relationship between appearance and substance also differs. Italian business culture often places considerable importance on professional appearance. Dress code and the formality of meetings contribute to conveying credibility and professionalism. In the United States, these factors generally carry less weight. It is common to meet executives of major corporations dressed informally, while attention is focused primarily on their ability to achieve objectives, honor commitments, and deliver measurable results.

Trust is built differently as well. In Italy, personal relationships often precede business. Business lunches, introductory meetings, and long-standing relationships help create the environment necessary for long-term collaboration. In the United States, the process is frequently reversed. Trust is earned through performance. Consistently meeting deadlines, delivering quality, and achieving agreed objectives are the most effective ways to build strong professional relationships.

Decision-making styles further highlight these cultural differences. American companies generally favor making decisions quickly, even when this involves accepting a greater degree of risk. The underlying philosophy is that mistakes can be corrected along the way. In Italy, by contrast, companies are more likely to devote significant time to preliminary analysis, seeking to minimize uncertainty before making a final decision. Both approaches offer advantages and disadvantages. The American model promotes speed and adaptability, while the Italian approach reduces the likelihood of costly mistakes but may slow innovation. In general, Americans tend to be more willing to take risks, whereas Italians—and Europeans more broadly—are typically more risk-averse.

This difference is also reflected in attitudes toward debt and credit. In the United States, debt is generally viewed as a normal financial tool for financing consumption, investment, and business growth. Both households and companies make extensive use of mortgages, business loans, credit cards, and credit lines, provided that borrowing remains sustainable and creates future value. The ability to manage credit responsibly is also an important component of one's financial reputation, with credit scores influencing many aspects of everyday life, from obtaining loans to renting property. In Italy, by contrast, a traditionally more cautious financial culture still prevails. Debt is often viewed as something to minimize whenever possible, and many families and businesses aim to finance growth internally or repay liabilities as quickly as possible. This mindset also shapes entrepreneurial behavior. While American companies often view financial leverage as a tool for accelerating growth, Italian businesses generally place greater emphasis on financial solidity and risk reduction, even if this results in slower expansion.

Innovation is approached differently as well. In the United States, innovation is often considered a strategic investment, even when financial returns are not immediate. The market tends to reward companies willing to experiment, take calculated risks, and introduce new business models. In Italy, by contrast, greater emphasis is often placed on economic sustainability and the immediate return on investment.

Commercial communication follows different principles. American business professionals generally prefer concise, results-oriented messages supported by concrete data. Their primary concern is understanding quickly which problem can be solved and what economic or operational benefit the proposed solution will provide. In Italy, it is more common to devote additional time to explaining the context of a project, highlighting the company's expertise, experience, and long-standing relationships.

Finally, the role of the contract is interpreted differently. In the United States, contracts are generally regarded as essential instruments for defining the rights and obligations of the parties in great detail and for preventing future disputes. In Italy, while contractual agreements are certainly important, there is often greater confidence that the parties will be able to resolve unforeseen issues cooperatively as the business relationship develops.

Naturally, none of these characteristics should be regarded as absolute rules. Many Italian companies possess a truly international business culture, just as many American companies operate in ways that closely resemble their European counterparts. Nevertheless, understanding these differences allows businesses to better anticipate the expectations of their counterparts and adapt their approach without sacrificing their own entrepreneurial identity.

Doing business in the United States means understanding a different way of creating value—one in which speed, service, measurable results, innovation, and the protection of intangible assets play a central role. Italian companies that successfully combine these principles with their traditional strengths—manufacturing excellence, creativity, flexibility, and attention to detail—can build a particularly strong competitive advantage in international markets.

Avvocato Daniele Ferretti, Attorney-at-Law (New York)

The information contained in this article is provided for general informational purposes only and does not constitute, and is not intended to constitute, legal advice or any other form of professional advice. The content does not take into account the specific circumstances of any individual case and should not be relied upon as a basis for making decisions without obtaining appropriate professional advice.