Public Support and Corporate Giving to the Arts and Culture in Times of Economic Crisis: An Exploratory Analysis on the Italian Case

In line with the reappraisal of the welfare state concept started in the 1980s and culminated in the recent economic crisis, governments have reduced the public funding available to cultural institutions. Thus, cultural institutions have progressively adopted more market-oriented practices, rethinking their relationship with the world of business in order to get additional economic resources. This chapter addresses corporate support to the arts and culture in the case of Italy, a country where government has traditionally played a central role in supporting culture. Drawing on the extant literature on sponsorships and corporate philanthropy, we propose a cluster analysis carried out on 160 investments in artistic or cultural activities made by 95 mid-sized Italian companies between 2008 and 2015. Results provide an up-to-date empirical evidence of corporate giving patterns in Italy and suggest an original typology of business investments in the arts and culture. Our study, focusing on the case of a Latin country and on a sample of mid-sized companies, extends the empirical settings usually investigated. Moreover, different from previous studies, we elucidate the influence that the characteristics of supporting organizations have on business investments in the arts and culture.