This has come up a number of times, and the consensus is that anschluss in 1934 opposed by Italy would have led to German defeat. I am curious however as to what happens then.
Hopefully for the Germans, Hitler and the Nazis would have lost all credibility. Would Hitler be removed by the army? Would there be a military government imposed / some other Fascist movement coming to power / the restoration of civilian government? Or would the Nazis somehow survive, or might there even be a civil war in Germany?
Despite a (I am guessing considering the overall quality of the Royal Army under the Fascists) relatively poor showing, would this military glory lead to greater credibility for Mussolini internationally? Would more countries follow the Italian Fascist or Austrofascist example? What of the nascent Nationalist movements in Spain? And returning to the military sphere, would the Royal Army and Royal Air Force be able to learn from the mistakes that they had made?
I am sure that there are hundreds of other questions that could be asked, especially with regard to the Italian relationship with Britain and France, but these are just a few that came immediately to mind.
Amartus