SEMINAR ON INTELLECTUAL PROPERTY AND CREATIVE SMALL AND MEDIUM-SIZED ENTERPRISES

IN DIGITAL ENVIRONMENT Geneva, May 20-22, 2008

WIPO Creative Industries Agenda

Christopher Kalanje, Counsellor, Creative Industries Division, WIPO

May 22, 2008

The Roadmap

• Defining Creative Industries

• Importance of Creative Industries

• WIPO Creative Industries Agenda

Defining Creative Industries From Cultural to Creative Industries

- 1944 Coining of the term cultural industry (critique to mass production of cultural products)- 1970s and 1980s. A positive view different from Adorno & Horkheimer.- UNESCO work on cultural industries- 1990s-current. Wide use of term creative industries

Defining Creative Industries contd.

• Late 1990s UK department for culture, media and sports (DCMS) established creative industries unit and task force– 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”*

* Creative industries mapping document 2001

Defining Creative Industries contd.

Creative Industries

- Relatively new- Closely linked to cultural industries. Sometimes used interchangeably- Broader than cultural industries.Goes beyond

• performing arts and • handicrafts

Defining Creative Industries contd.

UK Creative Industries

Advertising; Architecture; Art and Antiques Market; Crafts; Design; Designer Fashion; Film & Video; Interactive Leisure Software; Music; Performing Arts; Publishing; Software and Computer Services; Television & Radio

Defining Creative Industries contd.

Creative IndustriesDefinitions

- Australia- Austria- Hong Kong- New Zealand- Singapore- USA

Defining Creative Industries contd.

• IP approach to defining creative industries– Focus is on copyright-based industries

•Copyright is a well defined concept– Hence facilitate the categorization– Facilitates identification of boundary and scope

•Creative industries are those involved directly or indirectly in the creation, Manufacturing, production, broadcast and distribution of copyright works

Defining Creative Industries contd.

• Copyright-based industries– Core copyright industries

• Main activity is the production/distribution of copyright materials (e.g.. Press & literature; Music; Software & databases, Visual and graphic arts e.t.c.)

– Interdependent copyright industries• Facilitate the creation, production and/or

use of works (e.g. TV sets; Computers & equipment; Musical instruments e.t.c.)

Defining Creative Industries contd.

– Partial copyright industries• A portion of activities is related to

copyright (e.g. Apparel, textiles & footwear; Jewellery & coins; Furniture e.t.c.)

– Non-dedicated support industries• Induced impact, measure spill over

effects (e.g. General transportation; General wholesale & retailing e.t.c.)

Defining Creative Industries contd.

• Characteristics of CIs– Demand side

• Price inelastic and income elastic• Consumption patterns- unpredictable,

quality consideration, focus on superstars • Demand on local products- often

insufficient

– The supply side• High fixed costs for creation/ low marginal

cost of delivery• Low entry barriers

Importance of Creative Industries

• Cultural and social force for society– Empower people– Values individual creativity and diversity

• Fuels creative capital and creative workers– Changing role of author, creator, artist– New approaches to businesses

Importance of Creative Industries contd.

• Economic multipliers ‘ripple-effect’– Support urban regeneration– Creates employment

• Industry cluster– New high-growth sector (accounts for

large share of nation’s GDP)– Entry to global markets

WIPO Creative Industries Agenda

• Shift in demand from member-states

• WIPO focus on the central role of IP as an important tool for social development, economic growth and wealth creation

• Need to have a broadly accepted categorization of creative industries

WIPO Creative Industries Agenda contd.

Measuring econ. Contribution of CIs

• Identification of creative industries

•Basis for policy options

• Comparability across sectors and countries

• An indicator of competitiveness

WIPO Creative Industries Agenda contd.• Publications

– Managing Intellectual Property in the Book Publishing Industry

– Managing Creative Enterprises– Rights, Camera Action: IP Rights and the Film-

Making Process– How to Make Living from Music– Managing Intellectual Property Assets in the

World of Design– Publication on Econometric Model for

Measuring Copyright Piracy

WIPO Creative Industries Agenda contd.• Other activities

– Publication on creative industries business best practices (China, Georgia, Jordan, Nigeria, South Africa, Thailand, Uruguay)

– Sector based training – Web based information– Bilateral and multilateral cooperation

WIPO Creative Industries Agenda contd.

• Study on Intellectual Property Issues in the Advertising Industry

• Study on Economic, Social and Cultural Impact of IP in Creative Industries

• Review of Guide on Surveying the Economic Contribution of the Copyright-Based Industries

WIPO Creative Industries Agenda contd.

• Conclusions– The concept of “creative industries” has

evolved through time– There is still an ongoing debate on the

definition and size– Understanding the economic contribution of

creative industries provide space for policy option

– WIPO’s Creative Industries Agenda is evolving around issues requested by member states

Finally