Culture statistics - culturalenterprises Statistics Explained

Source : Statistics Explained (https://ec.europa.eu/eurostat/statisticsexplained/) - 23/04/2020 1

Data extracted in March 2020.Planned article update: April 2021.

This article forms part of an online publication Culture statistics . It presents information covering enterprisesthat are active within the cultural sector. Eurostat compiles this data from two distinct sources: structuralbusiness statistics (SBS) and business demography , both of which are restricted to market-oriented activities.

Defining the cultural sector

Defining the cultural sector

The information presented in this article refers to a group of cultural activities, the definition of whichwas agreed by Eurostat’s working group on culture statistics. For both structural business statistics (SBS) anddata for business demography, the cultural sector is defined as covering a number of economic activities (atdifferent levels of NACE ).

Note the list of activities used to define the cultural sector aggregate varies according to which datasource is being used, for data availability reasons. For example, while information for NACE Division18 — printing and reproduction of recorded media — forms part of the cultural sector within structuralbusiness statistics, this is not the case for business demography (where there is no information available formanufacturing activities). Equally, within the main series for structural business statistics the aggregate for thecultural sector includes data for NACE divisions, NACE groups and NACE classes; by contrast, the aggregatefor structural business statistics by enterprise size class is composed of a restricted number of activities(only NACE divisions and NACE groups). A detailed picture of those activities included within the culturalsector for each source of information is provided in Table 1, together with codes and descriptions of each activity.

Table 1: Cultural activities covered by the EU’s structural business statistics and business de-mography statisticsSource: Eurostat (Guide to Eurostat culture statistics — 2018 edition)

Structural business statisticsStructural business statistics describe the structure, conduct and performance of enterprises within the non-financial business economy (defined as NACE Sections B to J and L to N and Division 95). The data presentedfor the cultural sector aggregate cover 18 different economic activities (at different levels of NACE) — see Table1 for the composition of this aggregate for the main series of structural business statistics.

In 2017, in EU-27, 1.1 million cultural enterprises generated more than EUR 145 billion ofvalue added

In 2017, there were more than 1.1 million cultural enterprises in the EU-27 (as identified for structural businessstatistics; without NACE Divisions 90 and 91). Together, they represented approximately 5 % of all enterpriseswithin the non-financial business economy. The value added at factor cost of cultural enterprises was EUR 145billion, equivalent to 2.3 % of the non-financial business economy total (see Table 2). For comparison, the valueadded of the cultural sector within the EU-27 was slightly higher than that for the motor trades sector (NACEDivision 45; EUR 139 billion) and that for chemical products manufacturing (NACE Division 20; EUR 130billion). The cultural sector’s turnover (the total value of market sales of goods and services) was EUR 375 bil-lion, which represented 1.5 % of the total turnover generated within the EU-27’s non-financial business economy.

Italy had the highest number of cultural enterprises among the EU Member States (15.9 % of the EU-27total in 2017), followed by France (13.4 %) — see Figure 1. Two further EU Member States recorded a sharehigher than 10 % and more than 100 000 enterprises, Germany (12.0 %) and Spain (10.9 %): together thesefour Member States accounted for more than half (52.1 %) of all the cultural enterprises in the EU-27.

A similar analysis reveals that Germany had the largest cultural sector in value added terms (29.9 %); thenext highest shares were recorded for France (19.2 %) and Italy (11.2 %). In 2017, these three EU MemberStates together accounted for more than 60 % of the total value added in the EU-27’s cultural sector. The samethree Member States also had the largest shares of the EU-27’s cultural sector in terms of turnover, with similarpercentages as for value added, collectively accounting for 57.8 % of the total turnover.

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Figure 1: EU Member States’ shares in the EU-27 total for main indicators concerning the culturesector, 2017(%, share of EU-27 total)Source: Eurostat (cult_ent_num) and (cult_ent_val)

The relative importance of the cultural sector (as measured by its share within the non-financial business econ-omy) can be seen within Table 2. Based on the number of enterprises, the share was particularly high in theNetherlands (8.0 %), Sweden (7.5 %), Slovenia (6.6 %) and Belgium (6.5 %). By contrast, cultural enterprisesaccounted for less than 5 % out of enterprises in the non-financial business economies in 14 EU Member States,with the lowest share recorded in Slovakia at 2.9 %.

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Table 2: Main indicators for cultural enterprises, 2017Source: Eurostat (cult_ent_num) and(cult_ent_val)

When measured by their contribution to the non-financial business economy’s value added, the relative impor-tance of cultural enterprises in Cyprus (4.3 %) almost doubled the average for the whole of the EU-27 (2.3% in 2017). France, Sweden (both 2.8 %), Croatia, Malta (both 2.6 %) and Germany (2.5 %) were the otherEU Member States with a higher share compared to the whole of the EU-27. At the other end of the range,cultural enterprises contributed less than 1.5 % of total value added within the non-financial business economiesof Romania and Slovakia (both 1.3 %).

Turnover from cultural enterprises accounted for 1.5 % of the total turnover generated within the EU-27’snon-financial business economy in 2017: higher shares were recorded in just six of the EU Member States,namely, Cyprus (3.5 %), France, Sweden (both 1.9 %), Croatia, Malta (both 1.8 %) and Italy (1.6 %).

Value added generated by the cultural sector grew at a slower pace between 2012 and 2017than the average for the non-financial business economy

Table 3 shows how two key indicators — the number of enterprises and value added — developed duringthe period from 2012 to 2017. The data presented concern annual average rates of change (often referred to ascompound rates of change) for both of these indicators; note that the data for value added are in current priceterms and therefore the developments do not take account of price changes during the period under consideration.

Across the EU-27, the number of cultural enterprises grew by an average of 1.5 % per year between 2012 and2017; this was slightly above the rate of change that was recorded for the whole of the EU-27’s non-financialbusiness economy (1.4 % per year). The number of cultural enterprises grew at a rapid pace in Lithuania andthe Netherlands, rising on average by more than 10 % per year during the five-year period from 2012 to 2017.

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By contrast, the number of cultural enterprises declined at its quickest pace in Greece (on average by -7.5 %per year) and with a slower pace in France (- 1.0 % per year), Italy (- 0.5 % per year) and Finland (- 0.4 % peryear); note that for Greece, France and Finland there is a break in series.

The value added of the cultural sector in the EU-27 increased, on average, by 1.3 % per year between 2012and 2017. This was slower than the average rate of change that was recorded for the whole of the non-financialbusiness economy (3.7 % per year). The value added of the cultural sector grew at a relatively rapid averagepace during this five-year period in Cyprus (11.3 % per year), Bulgaria (9.2 % per year) and Lithuania (7.3 %per year); in addition, another 13 out of 20 EU Member States for which data are available recorded a positivetrend between 2012 and 2017. By contrast, Greece reported a particularly large decline in the value added ofthe cultural sector between 2012 and 2017 with -12.2 % per year on average (note there is a break in series).Hungary (down 3.6 % per year on average), Italy (down 1.4 % per year) and Poland (down 0.3 % per year)were the remaining EU Member States with a negative trend.

The cultural sector’s value added generally developed at a slower rate between 2012 and 2017 than valueadded of the non-financial business economy. There were only five EU Member States with a higher rate ofchange for the cultural sector: Cyprus, Bulgaria, Latvia, Croatia and Sweden.

A comparison between the rates of change for the numbers of enterprises and for value added reveals thatthere were six EU Member States where the value added of cultural enterprises grew between 2012 and 2017at a faster pace than the number of cultural enterprises — Cyprus, Bulgaria, Croatia, Portugal, Denmark andSweden — while in France and Finland the value added grew despite a negative change rate for the number ofcultural enterprises (note there is a break in series for both countries).

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Table 3: Change in the number of enterprises and value added at factor cost, 2012-2017(%, annualaverage rate of change)Source: Eurostat (cult_ent_num), (cult_ent_val) and (sbs_na_sca_r2)

Broad headings for analysing the cultural sector

With a view to making it easier to perform an analysis of the EU-27’s cultural sector, the 18 differenteconomic activities that together form this aggregate were grouped into the following broad headings:

• printing and reproduction of recorded media; manufacture of musical instruments and jewellery (industry-related cultural activities) — Division 18, Class 32.12 and Group 32.2;

• retail sale in specialised stores (books; newspapers and stationery; music and video recordings) — Classes47.61, 47.62 and 47.63;

• publishing (books; newspapers; journals and periodicals; computer games) — Classes 58.11, 58.13, 58.14and 58.21;

• motion picture and television, music; renting of video tapes and disks — Division 59 and Class 77.22;

• programming and broadcasting; news agency activities — Division 60 and Class 63.91;

• architecture; design; photography — Class 71.11 and Groups 74.1 and 74.2;

• translation and interpretation — Group 74.3.

Architecture, design and photography accounted for more than half of all cultural enterprises

In 2017, more than half (53.4 %) of all cultural enterprises in the EU-27 were in the broad heading covering

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architecture, design and photography (see Figure 2). There were only two additional headings that accountedfor a double-digit share: printing, reproduction of recorded media, and the manufacture of musical instrumentsand jewellery (11.9 %) and motion picture and television, music, and renting of video tapes and disks (11.7 %).

Figure 2: Number of cultural enterprises, by broad heading, EU-27, 2017(% share of total)Source:Eurostat (cult_ent_num)

Figure 3 shows a similar analysis for cultural activities, this time based on value added. The distribution ofvalue added in the EU-27’s cultural sector was more evenly spread across the various headings (than the dis-tribution of the number of enterprises). In 2017, the highest shares were recorded for architecture, design andphotography (23.6 %) and for publishing books, newspapers, journals and periodicals, computer games (20.6%). In addition there were three other headings which reported a two-digit share in generating the total valueadded of the EU-27’s cultural sector.

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Figure 3: Value added at factor cost for the culture sector, by broad heading, EU-27, 2017(%share of total)Source: Eurostat (cult_ent_val)

Analysis done at national level shows that in 2017, the share of architecture, design and photography in thetotal number of cultural enterprises exceeded 60 % in Belgium (61.2 %), Italy (60.6 %) and Germany (60.4%), while an additional 10 EU Member States reported that this heading accounted for more than half of alltheir cultural enterprises. In all of the remaining Member States, architecture, design and photography had thehighest count of enterprises among the seven headings of cultural enterprises (as shown in Figure 4).

The picture was more varied when looking at the other headings. For three Member States, ’translation andinterpretation’ accounted for more than one fifth of total cultural enterprises: that was the case in Lithuania(25.2 %), Latvia (24.2 %) and Czechia (21.5 %). By contrast, ’motion picture and television, music; renting ofvideo tapes and disks’ registered a share higher than 20 % of all cultural enterprises in another three MemberStates, namely Sweden (24.2 %), Denmark (21.5 %) and Ireland (20.2 %). On the other hand, a high propor-tion (22.6 %) of the cultural enterprises in Croatia were classified as ’manufacturing-related cultural activities(printing and reproduction of recorded media; manufacture of musical instruments and jewellery)’.

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Figure 4: Number of cultural enterprises, by broad heading, 2017(%)Source: Eurostat(cult_ent_num)

Figure 5 shows a similar analysis (to that in Figure 4) for broad cultural headings, this time based on valueadded. In 2017, in nine out of the 20 EU Member States for which a complete set of data is available, thehighest share of value added among cultural activities was recorded for ’manufacturing-related cultural activ-ities (printing and reproduction of recorded media; manufacture of musical instruments and jewellery)’; theirshare of cultural value added peaked at 35.7 % in Slovenia. There were five Member States where the highestshare of value added within the cultural sector was recorded by architecture, design and photography, with thisshare peaking at 31.9 % in Denmark. There were four Member States where the highest share was recorded forprogramming and broadcasting; news agency activities — Romania (33.2 %), Greece (32.3 %), Poland (27.5 %)and France (22.9 %); and two more where the highest share of cultural value added was recorded for publishingbooks, newspapers, journals and periodicals, computer games — Cyprus (61.8 %) and Finland (36.7 %).

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Figure 5 - Value added at factor cost for the culture sector, by broad heading, 2017(%)Source:Eurostat (cult_ent_num)

Structural business statistics — size class analysisDoes the size of cultural enterprises matter?

Small and medium-sized enterprises (SMEs) are regarded as essential for the economic well-being of the Eu-ropean economy, driving job creation; they play a prominent role in EU policy developments. Note that theaggregate employed for cultural activities here is different to that used above for the main series of structuralbusiness statistics. The list of the activities included in the aggregate for an analysis by enterprise size class isprovided in Table 1.

Table 4 shows a set of main indicators for selected cultural activities, by enterprise size class (defined in termsof the number of persons employed). SMEs (in other words, enterprises with fewer than 250 persons employed)tend to dominate the vast majority of cultural activities within the EU-27, while large enterprises (with 250 ormore persons employed) played an large role for programming and broadcasting activities.

In 2017, SMEs employed a high share of the EU-27 workforce for a range of cultural activities, including:97.1 % for photographic activities, 91.5 % for specialised design activities, 85.9 % for printing and the repro-duction of recorded media and 84.6 % for motion picture, video and television programme production, soundrecording and music publishing activities. A closer examination reveals that a majority of the EU-27 workforcein photographic activities (86.5 %) and in specialised design activities (78.3 %) was employed by micro enter-prises (that had less than 10 persons employed).

By contrast, programming and broadcasting activities were dominated by large enterprises (employing 250persons or more). Large enterprises accounted for more than two thirds (70.7 %) of the EU-27 workforce thatwas employed in programming and broadcasting activities, which was more than double the average for thewhole of the non-financial business economy (33.0 %). The share of large programming and broadcasting en-terprises in value added was even higher, at 77.3 %, compared with an average of 44.1 % across the whole ofthe non-financial business economy.

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Table 4: Main indicators for selected cultural activities, by enterprise size class, EU-27,2017Source: Eurostat (sbs_sc_sca_r2) and (sbs_sc_1b_se_r2)

Business demographyBusiness demography statistics include indicators such as enterprise birth and enterprise death rates or enter-prise survival rates. This information may be used to analyse demographic trends, reflecting the dynamism andadaptation of economic structures to changing market conditions. Enterprise birth rates depend on a numberof factors, including entrepreneurial spirit, the legal structure and barriers to entry (that can make it difficultto start a business in certain economic activities).

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Defining the cultural sector — activity headings for business demography data’

For the purpose of analysing cultural activities, business demography statistics are only compiled for asmall subset of activities within the service sector (see Table 1 at the start of this article for a complete list),including two NACE divisions that are not covered by structural business statistics, namely, creative, arts andentertainment activities (Division 90) and libraries, archives, museums and other cultural activities (Division 91).

Enterprise birth and death rates

For specialised design activities, newly born enterprises accounted for almost one sixth of theenterprise population

Figure 6 provides a summary of enterprise birth and death rates for a selection of cultural activities. In 2017,the EU-27 enterprise birth rate (defined here as the number of enterprise births expressed as a percentage of allactive enterprises) for services within the business economy (as defined by NACE Sections G to N, excludingGroup 64.2 (the activities of holding companies)) was 9.5 %. Four out of the six cultural activities for whichbusiness demography statistics are presented in Figure 6 reported an enterprise birth rate that was higher thanthe average for all services in the business economy. The highest enterprise birth rates for cultural activitieswere recorded for specialised design activities (15.7 %) and for photographic activities (13.3 %).

In 2017, the EU-27 enterprise death rate for services in the business economy was 7.8 %, some 1.7 percentagepoints lower than the enterprise birth rate. Most of the cultural activities presented in Figure 6 recorded deathrates that were below or relatively close to the average for all services. However, the highest enterprise deathrate among cultural activities belonged to the renting of video tapes and disks category (13.0 %), likely reflectingthe increased level of competition from streaming services and other online services. The enterprise death ratewas also somewhat higher than the average for all services for specialised design activities (8.7 %), a categorycharacterised by a relatively high degree of churn (high birth and death rates), and — to a lesser extent — forphotographic activities (7.9 %).

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Figure 6: Enterprise birth and death rates for selected cultural activities, EU-27, 2017(%)Source:Eurostat (bd_9bd_sz_cl_r2)

A more detailed picture (by country) is presented in Figure 7. It focuses on an analysis of enterprise birth ratesfor selected cultural activities in 2017. While the EU-27 enterprise birth rate for specialised design activities(15.7 %) was considerably higher than the average for all services in the business economy (9.5 %) — a differenceof 6.2 percentage points — the gap between these two rates was wider for 12 out of the 26 EU Member Statesfor which data are available for 2017. This was particularly the case in Lithuania (where the birth rate forspecialised design activities was 12.5 percentage points higher than the average for all services in the businesseconomy), Slovakia (11.2 percentage points), Hungary (10.4 percentage points) and the Netherlands (10.0 per-centage points). By contrast, the birth rate for specialised design activities was lower than the average for allservices in the business economy only in Austria.

Lithuania reported the highest enterprise birth rate for photographic activities with 27.9 %, followed by Ro-mania with 23.6 %. Croatia and Sweden were the only EU Member States to report a lower birth rate forphotographic activities than for all services in the business economy.

A similar pattern was repeated for creative, arts and entertainment activities, insofar as France, Luxembourg,and Austria were the only EU Member States in 2017 to report a lower birth rate for creative, arts and entertain-ment activities than for all services in the business economy. The highest enterprise birth rate for creative, artsand entertainment activities was recorded in Lithuania (25.6 %), while Latvia, Cyprus, Romania and Slovakiaall recorded rates that were higher than 20 %.

Enterprise birth rates for architectural activities were generally lower than those for all services in the businesseconomy, with this pattern repeated in a majority (19 out of 27) of the Member States. Exceptions in this casewere recorded in Portugal, Slovakia, Hungary, Romania, Denmark, Croatia, Italy and Belgium.

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Figure 7: Figure 7 - Enterprise birth rates for selected cultural activities, 2017(%)Source: Euro-stat (bd_9bd_sz_cl_r2)

Employment shares of newly born enterprises

When entrepreneurs decide to start a new enterprise, they can often have an impact on the labour market,through creating new job opportunities. Figure 8 provides information on the share of total employment ac-counted for by jobs created in newly born enterprises. In 2017, the employment share of newly born enterprisesfor specialised design activities was higher than the average for all services in the business economy in each ofthe EU Member States for which data are available in 2017 (comparison not available for Malta). The highestemployment share for newly born enterprises in specialised design activities was recorded in Hungary, at 19.8%; in other words, almost a fifth of all jobs in this activity were within newly born enterprises.

The employment share of newly-born enterprises in specialised design activities was more than five times ashigh as the average for all services in the business economy in Germany and France, rising to more than sixtimes as high in Denmark, and almost than eight times as high in the Netherlands. In a similar vein, theemployment share of creative, arts and entertainment activities was higher than the average for services in thebusiness economy in each of the 21 Member States for which data are available (comparison not available forCyprus, Luxembourg, Malta, Poland, Slovakia and Sweden).

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Figure 8: Employment share of newly born enterprises for selected cultural activities, 2017(%,share of total employment for each activity)Source: Eurostat (bd_9bd_sz_cl_r2)

Enterprise survival rates for cultural enterprises

The business demography data collection also tracks cohorts of newly born enterprises for a period of upto five years. This information allows data to be collated on the (declining) share of enterprises that were bornin a specific year and managed to survive through to subsequent years.

Table 5 shows survival rates for a cohort of enterprises that were born in 2012. The share of enterpriseswithin the services sector (defined as NACE Sections G to N, excluding Group 64.2) that had survived afterfive years was highest in Malta (68.8 %), while Sweden, Belgium, Luxembourg, the Netherlands and Croatiawere the only other EU Member States where five-year survival rates remained above the EU-27 average of 51.4%. By contrast, five-year survival rates for the cohort of enterprises born into the services sector in 2012 werearound one third in Denmark (35.5 %) and Lithuania (32.4 %), with a low of 28.6 % recorded in Portugal.

These overall figures for all services in the business economy provide some context for the remainder of theinformation presented in Table 5, reflecting — at least to some degree — the uneven economic conditions thatwere present across the different EU Member States during the period a few years after the global financialand economic crisis. For example, more than half of all the newly born enterprises in Belgium and Sweden hadsurvived after five years in all seven of the cultural activities presented in Table 5 (subject to data availability),while five-year survival rates for these cultural activities were consistently below 50.0 % in Germany, Spain,France (note a break in series), Italy and Portugal.

New enterprises born into motion picture, video and television programme production, soundrecording and music publishing activities had a relatively high chance of survival

A comparison between the whole services sector and the individual cultural activities shown in Table 5 revealsthat most cultural activities were characterised by relatively high five-year survival rates. This was particu-

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larly evident both for ’motion picture, video and television programme production, sound recording and musicpublishing activities’ and ’architectural activities’. Around two thirds of EU Member States for which data areavailable for these activities, reported that five-year survival rates for enterprises born in 2012 were higher thanthe same indicator for average of all services in their business economy.

Table 5: Survival rates for cultural enterprises born in 2012(%)Source: Eurostat(bd_9bd_sz_cl_r2)

Figure 9 focuses on one of the two cultural activities with relatively low enterprise survival rates — ’creative,arts and entertainment activities’. A complete set of information is only available for 20 of the EU MemberStates (partial or no data for Denmark, Ireland, Greece, Cyprus, Malta, Poland and Sweden). These data showthat among the cohort of creative, arts and entertainment enterprises born in 2012, more than 9 out of 10 hadsurvived after one year in Malta and the Netherlands, while less than two thirds had survived their first year inLithuania and Denmark. Only seven Member States — the Netherlands, Slovenia, Croatia, Czechia, Bulgaria,Belgium and Austria — reported five-year survival rates for the same cohort of enterprises (born in 2012) thatwere at least 50.0 %. By contrast, less than one third of the creative, arts and entertainment enterprises bornin 2012 in Lithuania, Germany, and Italy and less than one quarter (23.6 %) in Portugal had survived after five

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years.

Five-year survival rates for enterprises born in 2012 were lower, on average, for creative, arts and entertainmententerprises than they were for all services in the business economy in 10 out of the 20 EU Member States forwhich data are available. In Italy, Luxembourg and France (note a break in series), the five-year survival ratefor creative, arts and entertainment enterprises was more than 10.0 percentage points lower than the rate forall services in the business economy. By contrast, in the Netherlands the five-year survival rate of creative, artsand entertainment enterprises was 14.7 percentage points higher than the average for all services in the businesseconomy.

Figure 9: Survival rates for creative, arts and entertainment enterprises born in 2012(%)Source:Eurostat (bd_9bd_sz_cl_r2)

Source data for tables and graphs• Cultural enterprises: tables and figures

Data sourcesEurostat compiles data on culture-related enterprises from two main data sources:

• structural business statistics and

• statistics on business demography .

Note: the activity coverage of culture-related enterprises differs somewhat between structural business statisticsand business demography statistics — see Table 1 for more details.

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Structural business statistics

Structural business statistics (SBS) cover industry, construction, trade and (market) services, as defined bythe statistical classification of economic activities in the European Community (NACE) . This classificationallows for a detailed sectoral breakdown of business activities: the information is available for a broad range ofstructural indicators (including data for the number of enterprises, the number of persons employed, turnoverand value added) and may also be analysed according to the size of enterprise. The version of NACE currentlyused in European statistical system is NACE Rev. 2, implemented from 2008 onwards.

Within the context of SBS, the following definitions apply:

• An enterprise is defined as an organisational unit producing goods or services which has a certain degreeof autonomy in decision-making; it can carry out more than one economic activity and it can be situatedat more than one location. If an enterprise operates in more than one economic activity, all of the valueadded that it generates (or the people it employs and so on) are classified according to its principal activity— normally, the activity which generates the highest level of value added.

• The number of persons employed is defined as the total number of persons who work in the observationunit (inclusive of working proprietors, partners working regularly in the unit and unpaid family workers),as well as persons who work outside the unit who belong to it and are paid by it (for example, salesrepresentatives, delivery personnel, repair and maintenance teams); it excludes manpower supplied to theunit by other enterprises, persons carrying out repair and maintenance work in the enquiry unit on behalfof other enterprises, as well as those on compulsory military service.

• Turnover comprises the totals invoiced by the observation unit during the reference period, and thiscorresponds to market sales of goods or services supplied to third parties; it includes all duties and taxeson the goods or services invoiced by the unit with the exception of the VAT invoiced by the unit to itscustomer and other similar deductible taxes directly linked to turnover; it also includes other charges(transport, packaging, and so on) passed on to the customer.

• Value added at factor cost is the gross income from operating activities after adjusting for operatingsubsidies and indirect taxes. It can be calculated as the total sum of items to be added (+) or subtracted(-): turnover (+); capitalised production (+); other operating income (+); increases (+) or decreases (-)of stocks; purchases of goods and services (-); other taxes on products which are linked to turnover butnot deductible (-); duties and taxes linked to production (-). Alternatively, it can be calculated from thegross operating surplus by adding personnel costs.

SBS may be broken down by enterprise size-class for analytical purposes, as follows:

• Small and medium-sized enterprises (SMEs) with 1 to 249 persons employed, composed of:

– micro enterprises with less than 10 persons employed;

– small enterprises with 10 to 49 persons employed;

– medium-sized enterprises with 50 to 249 persons employed.

• Large enterprises with 250 or more persons employed.

Business demography statistics

Business demography statistics cover information for enterprise births and deaths, as well as indicators re-lating to survival rates or the employment impact of newly-born enterprises. These statistics are usually drawnfrom business registers, although some of the EU Member States seek to increase data availability by integratingalternative sources.

Within the context of business demography statistics, the following definitions apply:

• An active enterprise is an enterprise that had either turnover or employment at any time during thereference period.

• An enterprise birth occurs when an enterprise starts from scratch and begins operations — the creationof a combination of production factors with the restriction that no other enterprises are involved in theevent. Enterprise births do not include:

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– dormant enterprises being reactivated within two years;

– new corporate entities being created from mergers, break-ups, spin-offs/split-offs or the restructuringof enterprises or a set of enterprises;

– market entry resulting only from a change of activity.

• The enterprise birth rate for a given reference period (usually one calendar year) is defined as thenumber of enterprise births, expressed as a percentage of the total population of active enterprises.

• An enterprise death is the termination of an enterprise, amounting to the dissolution of a combinationof production factors with this restriction that no other enterprises are involved in the event. The countof enterprise deaths excludes:

– exits from the population of active enterprises due to mergers, take-overs, break-ups or restructuringof a set of enterprises;

– market exits that result purely from a change of activity.

• The enterprise death rate for a given reference period (usually one calendar year) is defined as thenumber of enterprise deaths, expressed as a percentage of the total population of active enterprises.

• Enterprise survival occurs when an enterprise is active and identifiable both before and after a specific(business) demographic event. The enterprise may be changed in some way, for example, in terms of itseconomic activity, size, ownership or location, but there should be continuity of the enterprise referencenumber in the statistical business register.

• Enterprise survival rates for newly-born enterprises in a given reference period concern the number ofenterprises that were born in year xx-n and survived to year xx, expressed as a percentage of the totalnumber of enterprises born in year xx-n.

ContextCulture is one of Europe’s greatest assets: it is a source of values, identity and a sense of belonging; it alsocontributes towards well-being, social cohesion and inclusion. The cultural and creative sectors may also providea stimulus for economic growth, job creation and international trade.

That is why culture is becoming increasingly important within the EU. In accordance with Article 167 ofthe Lisbon Treaty, the EUshall contribute to the flowering of the cultures of the Member States, while respectingtheir national and regional diversity and at the same time bringing the common heritage to the fore .

The EU supports these objectives through the Creative Europe programme, as well as a number of policyactions set out in the Work Plan for Culture (2015-2018) and the Work Plan for Culture (2019-2022) . Thelatter, adopted by EU culture ministers in November 2018, sets out the main priorities for European cooperationin cultural policymaking: sustainability in cultural heritage; cohesion and well-being; an ecosystem supportingartists, cultural and creative professionals and European content; gender equality; and international culturalrelations.

The production of reliable, comparable and up-to-date cultural statistics, which provide a basis for soundcultural policymaking, is a cross-sectorial priority in the latest work plan. Eurostat compiles culture statisticsfrom several different data collections to provide policymakers and other users with information on the maindevelopments in the field of culture, covering issues such as education, employment, business, internationaltrade, participation and consumption patterns.

Other articles• Culture (all Statistics Explained articles on culture)

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Main tables• Structural business statistics

• Business demography

Database• Culture statistics , see:

Enterprises in cultural sectors (cult_ent)

Number and average size of enterprises in the cultural sectors by NACE Rev. 2 activity (cult_ent_num)Value added and turnover of enterprises in the cultural sectors by NACE Rev. 2 activity (cult_ent_val)

• Structural business statistics , see:

SBS - main indicators (sbs_na)

Annual enterprise statistics for special aggregates of activities (NACE Rev. 2) (sbs_na_sca_r2)

SBS - industry and construction (sbs_ind_co)

Annual detailed enterprise statistics - industry and construction (sbs_na_ind)

Annual detailed enterprise statistics for industry (NACE Rev. 2, B-E) (sbs_na_ind_r2)

SMEs - annual enterprise statistics by size class - industry and construction (sbs_sc_ind)

Industry by employment size class (NACE Rev. 2, B-E) (sbs_sc_ind_r2)

SBS - trade (dt)

Annual detailed enterprise statistics - trade (sbs_na_dt)

Annual detailed enterprise statistics for trade (NACE Rev. 2 G) (sbs_na_dt_r2)

SMEs - annual enterprise statistics by size class - trade (sbs_sc_dt)

Distributive trades by employment size class (NACE Rev. 2, G) (sbs_sc_dt_r2)

SBS - services (serv)

Annual detailed enterprise statistics - services (sbs_na_serv)

Annual detailed enterprise statistics for services (NACE Rev. 2 H-N and S95) (sbs_na_1a_se_r2)

SMEs - annual enterprise statistics by size class - services (sbs_sc_sc)

Services by employment size class (NACE Rev. 2, H-N, S95) (sbs_sc_1b_se_r2)

Business demography (bd)

Business demography by size class (from 2004 onwards, NACE Rev. 2) (bd_9bd_sz_cl_r2)

Dedicated section• Culture

• Structural business statistics

• Small and medium-sized enterprises (SMEs)

• Business demography

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Publications• Culture statistics — 2019 edition

• Guide to Eurostat culture statistics — 2018 edition

• Culture statistics — 2016 edition

• Cultural statistics (pocketbook) — 2011 edition

• Cultural statistics (pocketbook) — 2007 edition

Methodology• Guide to Eurostat culture statistics — 2018 edition

• European statistical system network on culture (ESSnet-Culture final report (2012))

• Enterprises in cultural sectors (ESMS metadata file — cult_ent_esms)

• Structural business statistics (ESMS metadata file — sbs_esms)

• Business demography (ESMS metadata file — bd_esms)

Legislation• European Council Work Plan for Culture (2019-2022)

• European Council Work Plan for Culture (2015-2018)

• Regulation (EU) No 1295/2013 of the European Parliament and of the Council of 11 December 2013establishing the Creative Europe programme (2014-2020)

• Summaries of EU Legislation: Creative Europe Programme (2014 to 2020)

• Communication from the Commission to the European Parliament, the Council, the European Economicand Social Committee and the Committee of the Regions on a European agenda for culture in a globalisingworld (COM(2007) 242)

Visualisations• Cultural statistics illustrated

External links• European Commission — Internal market, industry, entrepreneurship and SMEs

• European Commission — Culture for growth and jobs

• Creative Europe

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