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3. PH Pop Culture and Experience Economy.pptx

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3. PH Pop Culture and Experience Economy.pptx

  1. 1. PHILIPPINES POP CULTURE AND EXPERIENCE ECONOMY
  2. 2. ECONOMY? An economy is the large set of inter-related production and consumption activities that aid in determining how scarce resources are allocated. In an economy, the production and consumption of goods and services are used to fulfill the needs of those living and operating within it.
  3. 3. ECONOMIC AND CULTURE The Philippines right now is basically a First Wave (agricultural) country that experiences elements of a Third Wave civilization. That is why it appears logical for this country to shift or “pole-vault” from the First Wave to the Third Wave civilization. AGRICULTURAL SOCIETY EXPERIENCE SOCIETY SERVICES OR KNOWLEDGE SOCIETY INDUSTRIAL SOCIETY
  4. 4. AGRICULTURAL SOCIETY The word agrarian means agriculture-related. And the society whose economy depends on the production of food crops and farmlands an agrarian society. How much the nation’s population depends on agriculture economically also define an agrarian society. It’s not that in this society all people engage themselves in agricultural practices, but majorly it is practised and stressed upon while other means of livelihood exist too. These societies trace their origin back to the time of hunters and gatherers which then shifted into the industrial societies. These societies highly depend on the weather, climate and seasonal factors.
  5. 5. Agrarian society Characteristics” • An agrarian society is identified by its occupational structure. People are involved in the domestication of plants and animals and other related activities such as weaving, pottery and small occupations like blacksmiths, sweepers, watchmen, etc. • Land ownership is uneven. There are landlords, cultivators and sharecroppers or landless labourers. Cultivators cultivate their land themselves while landlords hire landless labourers to work on their fields. • There are very few specialised roles. Division of labour is not sophisticated and is usually based on age and sex differences. The society is homogenous in terms of occupations, religious groups, values, culture, etc. • Life is centred around the village community system. Social hierarchies, life patterns, habits and attitudes are rigid. • Family as an institution is central to an agrarian society. It works not only as social support but also as an economic unit since all individuals of the family are involved in agriculture.
  6. 6. INDUSTRIAL CULTURE An Industrial society is one in which technologies of mass production are used to make vast amounts of goods in factories, and in which this is the dominant mode of production and organizer of social life. This means that a true industrial society not only features mass factory production but also has a particular social structure designed to support such operations. Such a society is typically organized hierarchically by class and features a rigid division of labor among workers and factory owners (A. Crossman, 2019).
  7. 7. POST-INDUSTRIAL AND POST-MODERN SOCIETY • The move to a service society is marked by a great expansion in education, health, and other private and public welfare services. The population typically becomes not just healthier, better housed, and better fed but also better educated. Most young people complete secondary- or high-school education; between a quarter and a half of them go on to full-time higher education. Professional and scientific knowledge becomes the most marketable commodity. The “knowledge class” of professional, scientific, and technical workers becomes the fastest-growing occupational group. • New industries, starting with chemicals and pharmaceuticals and later including the aeronautical and space industries, the computer industry, and industries related to the Internet, mobile communications, and information technology are created by developments in pure science and depend largely on theoretical research. Theoretical knowledge in the social sciences also comes to be widely applied, as in management of the national economy and in complex models of technological and economic forecasting.
  8. 8. • It can also be seen as the consequence of the growth of multinational corporations; this, too, is the result of the increase in scale and complexity of industrial organization, a clear tendency from the very start. The growth of knowledge-based industries is most clearly an outcome of investments in the depth and breadth of education, particularly in science and mathematics. Science has always been at the base of industrialism, and its closer union with industry and society in the 20th century was simply the fulfillment of modernization’s rationalizing drive.
  9. 9. CHANGES IN ECONOMICS: EXPERIENCE ECONOMY
  10. 10. EXPERIENCE AS A PRODUCT • Increasing competition in the market means that “goods and services are no longer enough” and that producers must differentiate their products by transforming them into “experiences” which engage the consumer. An experience can be considered a product since it must be produced or staged to be made available. • Experiences represent an existing but previously unarticulated genre of economic output that have the potential to distinguish business offerings. Elements that make up an experience including those elements that render an experience meaningful.
  11. 11. ELEMENTS OF EXPERIENCE High degree of concentration The involvement of all senses The perception of time is changed One is affected emotionally The process is unique and has intrinsic value for the individual Contact with the real thing One does and not undergo something There is an element and sense of play and expectation One feels in control of the situation There is a balance between the challenge and one’s capacity to meet it There is a clear goal
  12. 12. EXPERIENCE SECTOR Experiences are even more immaterial and intangible than services since the users must be more engaged than in services because the experience takes place in their minds, being the customer a co-producer. The aim of services is to solve the customers’ problems, the experience industry seeks to give the customers what can be defined as a mental journey (people may experience the same performance in different ways).
  13. 13. Pine and Gilmore (1999) take “the experience” beyond the provision of goods and services to the recognition of experience as a distinct economic offering. As an economic offering, experiences can add value to a business’s goods and services and are distinct from both. Economic actors gain an advantage in the market by staging and selling memorable experiences that are enjoyable and personally engaging the customer. The customer who buys a service buys a set of intangible activities carried out on his/her behalf. The purchase of an experience, on the other hand, buys time enjoying a series of memorable events that engage the consumer in a personal 25 way. Examples of experience are sport, art, and culture (the theatre, film, music, TV, etc.), museums, tourism, gastronomy, design and architecture, computer games, entertainment on mobile phones, and advertising.
  14. 14. • The experience economy is defined as “an economy in which many goods or services are sold by emphasizing the effect they can have on people's lives.” Experiences are their own category, just like “goods” and “services.” Generally speaking, you need a combination of goods or services to make an experience possible
  15. 15. EXPERIENCE ECONOMY Experience economy is a notion that intends to conceptualize a new trend in economic development, in which the driver is people’s search for identity and involvement in an increasingly rich society. In this context, the experience economy does not refer to a particular industry or a specific segment of the economy since the experience component of a product or service is increasingly becoming the basis for profit and because an experience component in theory can be added to all products and services. The experience economy can be conceived as the next step in the development of new economically dynamic sectors. Economy and society had developed “from the ancient agrarian economy, to the industrial economy, to the latter service economy and that the current economy is shifting to the experience economy”.
  16. 16. Bille and Lorenzen (2008) reached a tentative demarcation of the experience economy by defining 3 areas: 1. Creative experience areas - areas that have experience as the primary goal and where artistic creativity is essential to its production. For example, theatre, music, visual arts, literature, film, computer games. 2. Experience areas - areas that have experience as the primary goal, but where artistic creativity is not essential. For example, museums, libraries, cultural heritage sites, natural and green areas, restaurants, the pornography industry, spectator sports. 3. Creative areas - areas where artistic creativity is essential, but which do not have experience as a primary goal: they are not intended directly for the consumer market but instead provide services to business , which are built into or around mixed products. For example, design, architecture, advertising.
  17. 17. Much of the experience economy is composed of mixed products that combine experience and functionality and of companies that attempt, using experience design, experience marketing, events, storytelling and branding, to invest their products and services with a range of experiences, histories and values which can differentiate them from those of their competitors. The question of how art and culture is to be defined is an issue that has been under debate for centuries. The discussion will not be continued here, but it is enough to state that obvious parallels may be drawn between the discussion of the definition of art and culture, and to the discussion of the definition of experiences and the experience economy. Where culture can be defined as either art, cultural areas or as an aspect, experience can be defined a s good (subjective) experiences, as experience areas or as a "mega trend".
  18. 18. From the merger between culture and business, a new kind of economy is growing. An economy that is based on an increasing demand for experiences and that builds upon the added value that creativity lends to both new and traditional products and services (Danish government report, 2003). At the same time, it expresses a general expectation that the experience economy will grow: that the culture and experience economy has come into focus, both at home and abroad, correlates closely with the fact that it is a field that is increasingly expanding within the economy. (Government, 2003).
  19. 19. Two Types of Experiences: Customer Participation and Connection (D. Newman, 2015) Within the experience economy, there are two types of interfaces a consumer can have with a brand, and several conclusions to draw from the distinction between the two. a. Customer Participation b. Connection
  20. 20. CUSTOMER PARTICIPATION Customers can participate actively or passively in an experience. In active participation, a consumer plays a key role in creating the event or interaction that generates the experience. Have you ever gone to a mystery dinner theatre? You were an actively participating consumer in that space. Not a whodunit fan? Some consumers prefer to participate passively just by showing up. Concert attendees, for example, participate with their presence. Whether you prefer active or passive consumer participation, you're still getting exactly the experience you want.
  21. 21. CONNECTION Physical and mental connectivity determine experience levels, too. The two ends of the connection spectrum are absorption and immersion. If you're taking notes in a lecture, for example, you're more absorbed in the connection to the material than you would be if you were studying alone from a textbook. If you watch a sporting event standing on the immediate sideline, you're immersed in your connection to that experience (as opposed to watching it from the nosebleeds). One type of connection to experience is not more telling of consumer behavior than the other (although it is important to marketers). At the end of the day, having the connection in the first place is the most important part.

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