Italy: Miracolo Marzotto

Towering above the quaint tile roofs of Valdagno. a village in Northern Italy, are two imposing structures—a huge textile mill, now being enlarged into Europe's biggest spinning and weaving plant, and an eight-story grey marble mansion. Both belong to the Marzotto family. So do the village's hospitals, orphanages, parks, cafes, hotels, shops and just about everything else, including the railroad station and the 20-mile electric railway that links Valdagno with the outside world.

As feudal as such a family fief may seem, the Marzottos' benevolent paternalism is based on the modern conviction...

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