WIPO-KIPO-KIPA IP PANORAMA BUSINESS SCHOOL Geneva, October  06 - 10, 2008 Intellectual Property and Creative Industries: E...
Road Map Creativity and Creative Industries Defining   Creative Industries  WIPO Creative Industries Agenda Measuring CIs ...
Creativity and Creative Industries <ul><li>Competition is intensive </li></ul><ul><li>To be competitive a company need to ...
Creativity and Creative Industries <ul><li>Not all companies can be categorized as creative industries </li></ul><ul><ul><...
Defining Creative Industries  Creative Industries <ul><li>- Relatively new </li></ul><ul><li>- Closely linked to cultural ...
Defining Creative Industries contd. From Cultural to Creative Industries <ul><li>1944 Adorno & Horkheimer  </li></ul><ul><...
Defining Creative Industries contd. <ul><li>In early 1940’s Adorno & Horkheimer Introduced the concept of cultural industr...
Defining Creative Industries contd. <ul><li>1970 -1980 UNESCO Development of a more positive way of looking at cultural in...
Defining Creative Industries contd. <ul><li>Late 1990s UK department for culture, media and sports (DCMS) established crea...
Defining Creative Industries contd. UK Creative Industries <ul><ul><li>Advertising; Architecture; </li></ul></ul><ul><ul><...
Defining Creative Industries contd. Creative Industries Definitions -  Australia - Austria - Hong Kong - New Zealand - Sin...
Defining Creative Industries contd. <ul><li>Demand side </li></ul><ul><ul><li>Price inelastic and income elastic </li></ul...
Measuring CIs and Empirical Results <ul><li>Clarity is needed on concept, definition and criteria of creative industries a...
Measuring CIs and Empirical Results contd. <ul><li>Core </li></ul><ul><ul><li>Press & Literature; Music, Theatrical Produc...
Measuring CIs and Empirical Results contd. <ul><li>Partial </li></ul><ul><ul><li>Apparel, Textiles and Footwear; Jewelry &...
Measuring CIs and Empirical Results contd. <ul><li>Objective  </li></ul><ul><ul><li>Through </li></ul></ul><ul><ul><ul><li...
Measuring CIs and Empirical Results contd. <ul><li>Objective  </li></ul><ul><ul><li>Provide </li></ul></ul><ul><ul><ul><li...
Measurement of CIs & Empirical Results <ul><li>A reinforced perspective on IP and copyright </li></ul><ul><li>Relating cop...
 
Measurement of CIs & Empirical Results  contd. Core Copyright  Industries Interdependent  Copyright  Industries Partial  C...
Measurement of CIs & Empirical Results  contd. 7.10 6.67 Hungary (2002) 4.40 4.00 Latvia (2000) 6.87 5.38 Canada (2002) 5....
Measurement of CIs & Empirical Results  contd. Studies at different stages:   Croatia, Romania, Russia, Ukraine, Brazil, C...
Measurement of CIs & Empirical Results  contd. <ul><li>Feedback, </li></ul><ul><ul><li>Growing interest from Member-States...
Measurement of CIs & Empirical Results  contd. <ul><li>Challenges </li></ul><ul><ul><li>Relation between an industrial app...
Measurement of CIs & Empirical Results  contd. <ul><ul><li>copyright is limited to what is protectable  </li></ul></ul><ul...
WIPO Creative Industries Agenda <ul><li>Expand and improve surveys of the economic contribution </li></ul><ul><li>Produce ...
WIPO Creative Industries Agenda contd. <ul><li>Data collection on cultural industries  </li></ul><ul><ul><li>joint project...
WIPO Creative Industries Agenda contd. <ul><li>Produce practical guides on management of IP and creative enterprises </li>...
Finally Thank you for your kind attention
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Apparel, Textiles And Footwear Jewelry & Coins Other Crafts

  1. 1. WIPO-KIPO-KIPA IP PANORAMA BUSINESS SCHOOL Geneva, October 06 - 10, 2008 Intellectual Property and Creative Industries: Estimating the Economic Contribution of Creative Industries Christopher Kalanje, Counsellor, Creative Industries Division, WIPO October 10, 2008
  2. 2. Road Map Creativity and Creative Industries Defining Creative Industries WIPO Creative Industries Agenda Measuring CIs and Empirical Results
  3. 3. Creativity and Creative Industries <ul><li>Competition is intensive </li></ul><ul><li>To be competitive a company need to be creative </li></ul><ul><li>Creativity is therefore at the core of business survival </li></ul>
  4. 4. Creativity and Creative Industries <ul><li>Not all companies can be categorized as creative industries </li></ul><ul><ul><li>Beverage </li></ul></ul><ul><ul><li>footwear </li></ul></ul><ul><ul><li>Transport equipment (Motor vehicles) </li></ul></ul><ul><ul><li>e.t.c </li></ul></ul>
  5. 5. Defining Creative Industries Creative Industries <ul><li>- Relatively new </li></ul><ul><li>- Closely linked to cultural </li></ul><ul><li>industries. Sometimes </li></ul><ul><li>used interchangeably </li></ul><ul><li>- Broader than cultural </li></ul><ul><li>industries. Goes beyond </li></ul><ul><ul><li>performing arts and </li></ul></ul><ul><ul><li>handicrafts </li></ul></ul>
  6. 6. Defining Creative Industries contd. From Cultural to Creative Industries <ul><li>1944 Adorno & Horkheimer </li></ul><ul><li>- 1970s and 1980s. A positive view </li></ul><ul><li>different from UNESCO </li></ul><ul><li>- 1990s-current. Wide use of term </li></ul><ul><li>creative industries </li></ul>
  7. 7. Defining Creative Industries contd. <ul><li>In early 1940’s Adorno & Horkheimer Introduced the concept of cultural industry (coining the term cultural industry) </li></ul><ul><li>This was in relation to mass production of cultural products </li></ul><ul><li>They were concerned on how cultural products were becoming “trend” products </li></ul>
  8. 8. Defining Creative Industries contd. <ul><li>1970 -1980 UNESCO Development of a more positive way of looking at cultural industry </li></ul><ul><li>Emerging of the concept of “cultural industries” </li></ul><ul><li>UNESCO- working on cultural industries and cultural diversity </li></ul>
  9. 9. Defining Creative Industries contd. <ul><li>Late 1990s UK department for culture, media and sports (DCMS) established creative industries unit and task force </li></ul><ul><ul><li>UK definition “those industries that have their origin in individual creativity, skill and talent and which have a potential for wealth and job creation through the generation and exploitation of intellectual property”* </li></ul></ul><ul><ul><li>* Creative industries mapping document 2001 </li></ul></ul>
  10. 10. Defining Creative Industries contd. UK Creative Industries <ul><ul><li>Advertising; Architecture; </li></ul></ul><ul><ul><li>Art and Antiques Market; </li></ul></ul><ul><ul><li>Crafts; Design; </li></ul></ul><ul><ul><li>Designer Fashion; </li></ul></ul><ul><ul><li>Film & Video; </li></ul></ul><ul><ul><li>Interactive Leisure Software; </li></ul></ul><ul><ul><li>Music; Performing Arts; </li></ul></ul><ul><ul><li>Publishing; </li></ul></ul><ul><ul><li>Software and </li></ul></ul><ul><ul><li>Computer Services; </li></ul></ul><ul><ul><li>Television & Radio </li></ul></ul>
  11. 11. Defining Creative Industries contd. Creative Industries Definitions - Australia - Austria - Hong Kong - New Zealand - Singapore - USA (core copyright industries)
  12. 12. Defining Creative Industries contd. <ul><li>Demand side </li></ul><ul><ul><li>Price inelastic and income elastic </li></ul></ul><ul><ul><li>Consumption patterns- unpredictable, quality consideration, focus on superstars (uncertainty on whether sales will cover “cost of expression” nor “variable cost” of making copies </li></ul></ul><ul><ul><li>Demand on local products- often insufficient </li></ul></ul><ul><li>The supply side </li></ul><ul><ul><li>High fixed costs for creation/ low marginal cost of delivery </li></ul></ul><ul><ul><li>Low entry barriers </li></ul></ul>
  13. 13. Measuring CIs and Empirical Results <ul><li>Clarity is needed on concept, definition and criteria of creative industries at, </li></ul><ul><ul><li>International level </li></ul></ul><ul><ul><li>National level </li></ul></ul><ul><li>Important to focus on specific local, national and regional context </li></ul><ul><li>Importance of IP in the development and success of creative industries should be highlighted </li></ul>
  14. 14. Measuring CIs and Empirical Results contd. <ul><li>Core </li></ul><ul><ul><li>Press & Literature; Music, Theatrical Productions & Operas; Motion Picture & Video; Radio & TV; Photography; Software & Databases; Visual & Graphic Arts; Advertising Services; Copyright Collecting societies </li></ul></ul><ul><li>Interdependent </li></ul><ul><ul><li>TV sets, Radio, VCRs, CD Players, DVD Players, Cassette Players, Electronic Game Equipment and Other Similar Equipment; Computers & Equipment; Musical Instruments; Photographic & Cinematographic Instruments; Photocopiers; Blank Recording Material; Paper </li></ul></ul>
  15. 15. Measuring CIs and Empirical Results contd. <ul><li>Partial </li></ul><ul><ul><li>Apparel, Textiles and Footwear; Jewelry & Coins; Other Crafts; Furniture; Household Goods, China and Glass; Wall Coverings and Carpets; Toys and Games; Architecture, Engineering, Surveying; Interior Design; Museums </li></ul></ul><ul><li>Non-Dedicated </li></ul><ul><ul><li>General Wholesale and Retailing, General Transportation, Telephony and Internet </li></ul></ul>
  16. 16. Measuring CIs and Empirical Results contd. <ul><li>Objective </li></ul><ul><ul><li>Through </li></ul></ul><ul><ul><ul><li>linking copyright to quantifiable indicators </li></ul></ul></ul><ul><ul><ul><li>developing practical guidelines for measurements </li></ul></ul></ul><ul><ul><ul><li>providing consistency of approach </li></ul></ul></ul><ul><ul><li>Enable </li></ul></ul><ul><ul><ul><li>positioning of the creative sector in the national economy </li></ul></ul></ul><ul><ul><ul><li>international and cross-sectoral comparisons </li></ul></ul></ul><ul><ul><ul><li>identification of competitive advantages </li></ul></ul></ul>
  17. 17. Measuring CIs and Empirical Results contd. <ul><li>Objective </li></ul><ul><ul><li>Provide </li></ul></ul><ul><ul><ul><li>input for policy formulation </li></ul></ul></ul><ul><ul><ul><li>adjustment of national policies and practices </li></ul></ul></ul>
  18. 18. Measurement of CIs & Empirical Results <ul><li>A reinforced perspective on IP and copyright </li></ul><ul><li>Relating copyright to business activities </li></ul><ul><li>A new definition of the copyright-based industries following the extent of use of copyright material </li></ul><ul><li>A more transparent link to statistical reporting </li></ul><ul><li>A step-by-step methodology </li></ul><ul><li>A set of measurement techniques </li></ul>
  19. 20. Measurement of CIs & Empirical Results contd. Core Copyright Industries Interdependent Copyright Industries Partial Copyright Industries Non-Dedicated Support Industries 1. Legislative & Data Review 4. Numerical Methods 3. Interviews 2. Industry Survey <ul><li>Economic Contribution </li></ul><ul><ul><li>Output </li></ul></ul><ul><ul><li>Value Added </li></ul></ul><ul><ul><li>Employment </li></ul></ul><ul><ul><li>Foreign Trade </li></ul></ul>
  20. 21. Measurement of CIs & Empirical Results contd. 7.10 6.67 Hungary (2002) 4.40 4.00 Latvia (2000) 6.87 5.38 Canada (2002) 5.80 5.67 Singapore (2001) 8.41 11.97 USA (2002) % Employment % Contr. to GDP Country
  21. 22. Measurement of CIs & Empirical Results contd. Studies at different stages: Croatia, Romania, Russia, Ukraine, Brazil, Colombia, Peru, China, Malaysia, Pakistan, Morocco, Sudan, Kenya, Tanzania, 4.48 4.75 Lebanon (2005) 3.03 4.80 Jamaica (2005) 4.31 2.81 Bulgaria (2005) 11.01 8.07 Mexico (2003) 11.10 4.82 Philippines (1999) % Employment % Contr. to GDP Country
  22. 23. Measurement of CIs & Empirical Results contd. <ul><li>Feedback, </li></ul><ul><ul><li>Growing interest from Member-States, IGOs and NGOs </li></ul></ul><ul><ul><li>Policy and professional interest and support </li></ul></ul><ul><ul><li>Becomes an element of the copyright profile </li></ul></ul><ul><ul><li>Indicators are generally acceptable </li></ul></ul><ul><ul><li>results are not a function of the overall economic development level of the country </li></ul></ul><ul><ul><li>strong influence of economic cycles and classification system </li></ul></ul>
  23. 24. Measurement of CIs & Empirical Results contd. <ul><li>Challenges </li></ul><ul><ul><li>Relation between an industrial approach and individual creative activities (adjustments to data collection) </li></ul></ul><ul><ul><li>It is a production, not consumption based approach </li></ul></ul><ul><ul><li>underdeveloped statistical framework adds to the cost of the studies </li></ul></ul>
  24. 25. Measurement of CIs & Empirical Results contd. <ul><ul><li>copyright is limited to what is protectable </li></ul></ul><ul><ul><ul><li>some creative expressions are not covered </li></ul></ul></ul><ul><ul><li>the grey economy is not surveyed </li></ul></ul><ul><ul><li>copyright is shaped by policymakers, not necessarily by creators </li></ul></ul><ul><ul><li>anti - IP movement </li></ul></ul>
  25. 26. WIPO Creative Industries Agenda <ul><li>Expand and improve surveys of the economic contribution </li></ul><ul><li>Produce guidelines on estimating copyright piracy </li></ul><ul><li>Launching a new generation of studies </li></ul><ul><ul><li>more focus on the qualitative side of creativity, on social and cultural impact of IP </li></ul></ul>
  26. 27. WIPO Creative Industries Agenda contd. <ul><li>Data collection on cultural industries </li></ul><ul><ul><li>joint project with UNESCO, UIS, UNIDO, UNDP </li></ul></ul><ul><li>Participation in multi agency efforts on developing </li></ul><ul><ul><li>better cultural indicators </li></ul></ul><ul><ul><li>satellite accounts for culture </li></ul></ul>
  27. 28. WIPO Creative Industries Agenda contd. <ul><li>Produce practical guides on management of IP and creative enterprises </li></ul><ul><ul><li>Managing IP in the Book Publishing Industry </li></ul></ul><ul><ul><li>Rights, Camera, Action! IP Rights and the Film-Making Process </li></ul></ul><ul><ul><li>Managing Creative Enterprises </li></ul></ul><ul><ul><li>How to Make a Living from Music </li></ul></ul>
  28. 29. Finally Thank you for your kind attention
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