UU / HKU

Rene KOOYMANDublin30 June 2011

The cultural and creative industries ‘Cultural industries’: goods or services thatembody cultural expressions, irrespectivecommercial value: film, DVD, video, televisionand radio, video games, new media, music,

books and press, performing arts, visual arts.

‘Creative industries’ : use culture as an input , whose outputs are mainly functional: architecture, advertising, design and fashion.’

staff headcountannual turnover, orannual balance sheet

The SME definition

Size of enterprises by sector across CCIs Eurokleis 2010

Distribution of total turnover per size class Eurokleis 2010

30 June 2011 rene kooyman

Staff headcount - turnover

o Micro (< 2 milj € / 10 p)

o Medium (2 – 10 m € / 50 – 250 p)

o Large enterprises (250+):

2006: Cultural Industries BRD

o 763.000 taxable employees

Fesel/Söndermann BRD 2009

74% nr of enterprises 27 % turnover

3 % enterprises 32 % turnover

< 1 % nr enterprises 40 % turnover

o 210.000 Free-lance workers

not registered

Creative industries:

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SPECIFICITIES OF CCIs Labour market• Thrives on numerous small initiatives• Non-conventional forms of employment; part-time

work, temporary contracts, self-employment , free-lancers; career high degree of uncertainty

• Multiple job-holdings; combined sources of income• Heterogeneity of human resources ; higher

professional training, vernacular backgrounds, craft industry, any other category

• No longer fits typical patterns of full-time professions

• New type of employer; the ‘entrepreneurial individual’ or ‘entrepreneurial cultural worker’

30 June 2011 rene kooyman

DIFFERENCES PRODUCT CHARACTERISTICS

• Creative inputs and products are abundant

• Hypercompetitive environment

• Knowledge-based and labour-intensive input

• Not ‘simply merchandise’, but express cultural uniqueness and identities

• Experience goods; production and consumption ‘on the spot’

• Product life-cycles are short

30 June 2011 rene kooyman

CCIs AS KEY STRATEGIC FACTOR

• CCIs drivers of economical growth (UNCTAD)

• Drivers of innovation: driving innovative processes into realisation

• Flexibility; direct producer/client interaction; meet the clients needs

• CCIs stand at the core of cultural and industrial networks

• CCIs and Technological change/digitisation two-way process

The OECD/EUROSTAT framework for Entrepreneurship indicators 2008

Entrepreneurship Determinants Themes

• Access to debt financing• Business Angels• Access to Venture Capital • Access to other types of equity• Tax incentives• Bankruptcy Legislation

Access to finance and income generation: Cultural Business Modeling

Access to Venture Capital

• Weaknesses in business skills, training and experience of entrepreneurs

• Traditional Business Education does not fit

• Entrepreneurship Education (skills)

• Entrepreneurship Infrastructure (Public and Private)

Lack of Entrepreneurial capabilities

Risk attitude in society•Micro businesses: Artisan, Creative Partnership or Solo• Small-business: • Designer and Business Partner• Designer and Licensing Partner• Designer and Manufacturer• Partnership with a formal Investor

• SMEs and the Financial Sector

Entrepreneurial Culture

• Administrative Burdens (entry and growth)

• Safety, health, environment and product regulation

• Labour Market Regulation  

• Social and Health Security

• Income Taxes

• Business Taxes and Fiscal Incentives

Regulatory framework

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IRELAND SME PERFORMANCE REVIEW 2008

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SUPPORT• Coordinated support shared by several

Ministries: Culture, Economic Affairs, Education, Labour)

• Recognition of the specific characteristics CCIs: specific support when needed. A general approach will not suffice

• Bridging the entrepreneurial skills gap: provide training

Three specific dimensions:• Urban Area development: integrate CCIs in urban

renewal, create breeding places, networks• The Economical approach: job creation• The social-cultural approach: active and

receptive cultural participation, support festivals, exhibitions, art routes, art education

UU / HKU

Rene KOOYMANDublin30 June 2011