A presentation by Dimiter Gantchev, Deputy Director, Copyright and Creative Industries Sector, WIPO on making the Creative Industries a tool for national economic development

1. Dimiter Gantchev,
Deputy Director, Copyright and Creative Industries Sector, WIPO
Port of Spain,
Trinidad and Tobago,
April 6-7, 2017
Creative Industries as a Factor for
Economic Development
A Perspective from the World Intellectual Property
Organization

2. Overview
Conceptual framework
The empirical evidence
Challenges
Looking ahead
D. Gantchev

3. Why are we Concerned with the Creative
Industries?
Are creative industries a development factor?
Do the benefits extend beyond culture and social welfare?
Are creative industries the solution to all problems?
What kind of infrastructure is needed to support them?
A need for positive agenda based on reality
Empirical results need to address all of the above

4. Intellectual Property and Creativity
IP is one of the tools to promote creativity
IP is a new conceptual framework
 It transforms creative outputs into economic goods
 allows monitoring supply and demand
 provides evidence on impact
IP is perceived today as an indicator of development and is
linked with sustainable development
The creative economy – broad and narrow deifnitions
Mr. D. Gantchev-WIPO

5. A Copyright Approach To Creative Industries
Creativity is the subject matter of copyright protection, but
poses definitional problems as such
Copyright is a well defined concept
 a set of rights given to authors to control the use of their
works
 a financial mechanism to reward creators
 a basis for the operation of huge industries
Copyright as a delimitating factor for the creative economy
Mr. D. Gantchev-WIPO

6. Economic Fundamentals Of Copyright
Economic characteristics
Economic functions
Economic consequences
Conditions for economic efficiency
Mr. D. Gantchev - WIPO 6.

7. Creative Markets
Demand
 Unpredictability
 Quality
 Price
 Piracy impact
Supply
 Experience products
 Low entry barriers
 Distorted distribution of income and risk
 Excess of supply
7.
D. Gantchev

8. Functions of Copyright in the Creative
Economy
Economic function
 An enabler
 A market framework
 A measurement tool
Social Function
 balance ownership and access
 catalyst for innovation
 supports national and local development
Cultural function
 Contribute to cultural diversity and supply of content
8.
D. Gantchev

9. Source:Daryl Mann, Beijing,Sept 2010

10. Source: Daryl Man, Beijing, Sept.2010

11. II. Why Measure the Creative Sector?
Assess performance and potential
Use as a competitive and marketing tool
Measure progress
Policy planning
Awareness

12. Direct Copyright revenue
Source
Royalty
Salary
Fee
License
Right
Remuneration
Other revenue
Description (e.g.)
from a publisher
from a newspaper
photographer
Permission to use a work
performing right for licensed work
Remuneration collected by CMO
Private copying compensation

13. WIPO Measurement Indicators
Indicators of size
 Value added
 Employment
 Foreign trade
Dynamic indicators
 Productivity
 Multipliers
 Contribution to real GDP growth
Constant search for new ones
Mr. D. Gantchev-WIPO

14. GDP contribution
0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
12.00%
Avg. 5.16%

15. Employment contribution
-1.00%
1.00%
3.00%
5.00%
7.00%
9.00%
11.00%
13.00%
15.00%
Avg. 5.36%

16. R=0.53
Relationships to Economic
Indicators - GDP per Capita

17. R=0.57
Foreign direct investment

18. R=0.56
Global innovation index

19. R=0.43
Global competitivness index

20. R=0.42
Business freedom

21. R=0.41
Freedom from corruption

22. 22
D. Gantchev
9%
1%
2%
15%
6%
39%
2%
22%
4%

23. 23
D. Gantchev
1%
2%
7%
7%
9%
43%
5%
20%
6%

24. The Creative DNA

25. Findings
An overall significant contribution
Drivers
Dynamics
Well interconnected with the economy
Capital and labour productivity
Output and employment multipliers
Mr. D. Gantchev

26. III. Challenges -misperceptions
Creativity on its own can lead to economic growth
Creative industries are independent of the rest of the
economy
Creative industries can be developed by one institution
The contribution of the creative sector is constantly growing
Creative industries are exclusively about economic growth
Creative industries can solve systemic problems
Digital=creative

27. Risks
Matching the level of expectations
Setting unrealistic targets
Adopting the concept without:
 underlying economic factors
 infrastructure in place
 statistical capacity

28. IV. Looking ahead
Policy
 Capitalize on the high profile of the concept
 Look for global solutions
 Work on the level of acceptance in society
Economic
 Focus on how to monetize creativity
 Build up the operational infrastructure
 Identify drivers of economic performance
Research
 Empirical is key
 Specific impacts
 New generation of metrics

29. Questions ?
dimiter.gantchev@wipo.int
29.
Mr. D. Gantchev - WIPO