The Strategies of Local Utilities After the Liberalization of the European Energy Sector: Which Is the Emerging Business Model? The Case Study of Italy

The European energy sector has gone through a period of significant change since the 1980s. External factors such as regulation, market competition, and technological innovation, as well as internal factors such as ownership, corporate governance, and culture, have affected the strategic positioning of local utilities providers. In this context, the paper aims at applying a new construct to the public utility sector – the business model meant as a new unit of strategic analysis – in order to better understand the strategic behaviour and competitive positioning of local utilities after the liberalization of the European energy market. As result of a multiple case study analysis, three main business models of local utilities have been outlined: traditional local utility, multiutility company, and global specialist company.