Evaluating Small Businesses' Performance in Public E‐Procurement: Evidence from the Italian Government's E‐Marketplace

22 Pages Posted: 21 Sep 2015

See all articles by Gian Luigi Albano

Gian Luigi Albano

Consip S.p.A. - The National Central Purchasing Body; LUISS "G. Carli", Department of Economics and Finance

Federico Antellini Russo

Consip S.p.A. - The Italian Public Procurement Agency

Gionata Castaldi

University of Rome Tor Vergata - Faculty of Economics

Roberto Zampino

Consip S.p.A/Consip ltd. (The National Central Purchasing Body)

Date Written: October 2015

Abstract

e‐Procurement is widely advocated as an effective tool to promote the participation of small and medium enterprises (SMEs) as well as micro enterprises in the public procurement market. However, little evidence exists as to what factors may influence the allocation of contracts to differently sized suppliers. We address this issue by analyzing a rather rich and unique data set, namely the “direct award” (low‐value) transactions that took place on the Italian e‐marketplace during the period 2005–2010. In this paper, we exploit data from low‐value transactions to test the impact of different structural dimensions of the national public e‐marketplace on the probability that firms of different size are awarded public contracts, particularly focusing on micro and small firms. We find that both the nature of the public buyer and the characteristics of the traded goods/services do have an impact on different firms' ability to be awarded public contracts. We also test to what extent the geographical distance between public buyers and private suppliers explains the propensity of different size class of firms to be awarded public contracts, proving, at least to some extent, that some features of “physical” procurement markets are mirrored in the “virtual” market.

JEL Classification: H57, L11, L25, L81

Suggested Citation

Albano, Gian Luigi and Antellini Russo, Federico and Castaldi, Gionata and Zampino, Roberto, Evaluating Small Businesses' Performance in Public E‐Procurement: Evidence from the Italian Government's E‐Marketplace (October 2015). Journal of Small Business Management, Vol. 53, pp. 229-250, 2015. Available at SSRN: https://ssrn.com/abstract=2662722 or http://dx.doi.org/10.1111/jsbm.12190

Gian Luigi Albano (Contact Author)

Consip S.p.A. - The National Central Purchasing Body ( email )

Via Isonzo, 19/E
Rome, 00198
Italy
+39 06 85449.627 (Phone)

LUISS "G. Carli", Department of Economics and Finance ( email )

Via O. Tommasini 1
Rome, Roma 00100
Italy

Federico Antellini Russo

Consip S.p.A. - The Italian Public Procurement Agency ( email )

Research and Development
Via Isonzo, 19/E
00198 Roma
Italy

Gionata Castaldi

University of Rome Tor Vergata - Faculty of Economics

Via Columbia n.2
Rome, rome 00100
Italy

Roberto Zampino

Consip S.p.A/Consip ltd. (The National Central Purchasing Body) ( email )

Research Unit
Via Isonzo, 19/E
Roma, RM 00198
Italy

Register to save articles to
your library

Register

Paper statistics

Downloads
0
Abstract Views
269
PlumX Metrics