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Latvian Design Industry and Creative Industries Cluster Experiences

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  • 1. Latvian Design Industry and Creative Industries Cluster Experiences
    prof.Dr. TatjanaVolkova
    KasparsSteinbergs
    Inga Jākobsone
    Miks Pētersons
    TCI Regional Cluster Conference: Insipring Clusters in the Beginning of the New Decade
    Tallinn, March 30-31, 2011
  • 2. Agenda
    Creative industries
    Creative industry clusters and planning documents
    Design industry
    Audiovisual media sector cluster
    Main challenges
  • 3. Creative industries - definition
      ‘The interface between creativity, culture, economics and technology as expressed in the ability to create and circulate intellectual capital,
    with the potential to generate income, jobs and export earnings while at the same time promoting social inclusion, cultural diversity and human development.
    This is what the emerging creative economy has already begun to do.’ UNCTAD’s 2008 report Creative Economy
  • 4. Creative industries
    architecture
    advertising
    film
    art and antiques market
    designer fashion
    television and radio
    performing arts
    interactive leisure software
    design
    music
    crafts
    software
    publishing
  • 5. Creative industry clusters: planning documents
    Long-Term CulturalPolicy Guidelines 2006-2015 “National State”:
    “setting up laboratories and business incubators,fostering development of creative industries clusters”
    Latvian National Development Plan 2007-2013:
    “to form a creative industry cluster that includes a number of SMEs whichensure continuous activity and to involve educational institutions anduniversities,suppliers and public institutions in developing the industry’slong-term strategy”
  • 6. Report on creative industries and their policiesin Latvia
    The following four major support areas were identified:
    quality of and access to creative industries education and information, raising awareness of creative industries;
    business-related development (especially within the two prioritysectors – design and audiovisual media and multimedia, whichhave the largest export potential);
    the exploitation of new technologies;
    strengthening the research anddevelopment of the regulatory framework.
  • 7. Meaning of design. Design industry contribution to sustainable competitiveness of the business
    “…design is not just about making something look good. […] Design humanizes technology and helps business appeal to the human spirit. […] Successfully forming and implementing strategic goals is a creative act in and of itself, and it requires leaders who share a fundamental understanding of the role of design in promoting culture of innovation throughout the business.”
    Esslinger H. (2009), founder of frog design
    designer
    business
    business thinking
    creative thinking
    In the synergy of both thinking models, new added value of the products, new solutions of processes and sustainable competitiveness is created
  • 8. Economical impact of design at…
    Micro-economical level
    • creates high added value goods and services
    • 9. increases export potentials
    • 10. lowers costs (less waste, more efficient use of resources etc.)
    • 11. increases profitability, company value and capability to generate sustainable competitive advantage
    Macro-economical level
    • increases country/regional competitiveness
    • 12. increases country reputation
    • 13. increases living standards and wealth
  • What is dominating business strategy in Latvia?
    How broad society and business executives see design application?
    Source: Authors’ primary survey on Design Industry Development Level in Latvia, 2010
  • 14. Development of design industry and “Design Ladder” framework
    design development level
    IV. Design as innovation
    close collaboration of professional designer and business management to create sustainable competitiveness through innovation culture and capabilities of the organization
    Finland, UK, Denmark, Italy
    III. Design in organization processes
    Integral, multi-disciplinary approach of business process; clear vision on WHAT and HOW design is integrated into processes
    II. Product design
    Design as styling; designer is involved at the final stage of product development for visual improvement
    Latvia
    I. No design
    Design plays very limited role or no design at all
    time scale
    Source: authors research data (2010) input in Mollerup Designlab AS “Design Ladder” (2004)
  • 15. Obstacles of design industry development in Latvia
    design is mainly interpreted as stylish element of luxury goods, thus very limited demand for professional design services
    no public and business awareness of broad application of design to foster innovations, including social innovations
    dominate short-term business strategy with primarily focus on cost reduction (includes salary cuts, marketing budget cuts, less quality materials etc.)
    design is treated as additional cost position and it is considered as not appropriate method in time of economical instability
    lack of systematic political support in development of new tools and methods of innovations, including design-driven innovations
  • 16. Cluster elements of audiovisual media sector
    Riga Motion Pictures Studio
    National Film Centre
    Latvian Academy of Culture
    Cinevilla studio
    Filmmakers Union of Latvia
    Art Academy of Latvia
    <35 smaller film studios
    Latvia Film Producers Association
    Riga International School of Economics and Business Administration
    > 5 TV channels
  • 17. Is there any cooperation?
  • 18. Cluster life cycle of audiovisual media sector in Latvia
    declining and transformation
    1990
    emerging cluster and development
    ???
    1996
    2011
    embryonic cluster
    stagnation
    stagnation
    2003
    “museum”
  • 19. Main challenges
    • Develop long term vision and strategy of creative industries in more specific way, both at governmental and at business level
    • 20. Improve education in creative industries with focuson innovation through new business models, tools and methods
    • 21. Develop trainings, seminars and open panel forums of experts for industry participants
    • 22. Foster cooperation and interaction between elements of potential industry cluster, strengthen role of cluster management and cluster internationalisation

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