Transcript and creativity - creative industries on stage

The Role of Creative
Industries for the
Competitiveness of Europe
Creative Industries on Stage, Vienna,
December 4th,2007
dr. Žiga Turk, minister
Government Office for Growth
SLOVENIA
[email protected]
2008: Starting a new chapter
in European history
 end of period of EU looking inward
 treaty signed, form defined,
 expansion from EU15 to EU27
 success of Euro
 time to look at the content, not form
 time to look outward
 time to shape, not respond to globalization
Lisbon Strategy is response
to globalization which is
driven by …
 freedom in politics
 fall of iron curtain and Berlin wall
 freedom in trade
 free trade agreements in WTO and GATT
 advances in logistics
 of goods: container ships, DHL, UPS …
 of information: internet, mobile phones
 Europe a follower, not driver of these
processes
Context - Lisbon Strategy
 Lisbon 1.0 (2000)
 most competitive economy in the world
 Japan and USA
 Lisbon 2.0 (2005)
 growth and jobs
 looking inward
 if it's not broken don't fix it …
 Lisbon 2.1 (2008)
SWOT
 Strengths: cares for
people, cares for nature,
quality of life, social
security, health system,
culture of peace, human
rights, tolerance,
cooperation, tradition in
science and art,
humanism …
 Opportunities: builds on
strengths, attracts talents,
innovates in all aspects of
living, adapts and opens
up to the world, projects
its values to the world,
dynamic economy
 Weaknesses: no risk taking,
little individualism, depending
on government, highly
regulated, low entrepreneurial
drive, weak r&d - industry links,
decreasing quality of education,
weak capital markets,
unreadiness to hard work, hard
study …
 Threats: does not address
weaknesses, graying of
population, unable to compete
with Asia, closes itself from the
world, Europe is satisfied, tired
and lazy
In the wake of the Asian
century
 1800s … European Century
 1900s … American Century
 2000s … Asian Century
 "they know it belongs to them"
 again!
Asia
 India + China GDP > West's GDP
until 1820
 India + China GDP > West's GDP
after 2050 or before?
 other BRIC countries!
Innovation?
 United States graduated roughly
70,000 undergraduate engineers
 China graduated 600,000
and India 350,000.
 ½ of software developed in India
 ½ of Fortune 500 outsource software work to India
 new R&D centers of Microsoft, Cisco, Google, IBM … are
in Asia, not Europe
 by 2020 80% of scientific papers in sci&tech will be
written by asians
 out of top 10 universities 2 in Europe
 Asia (Singapore) is setting education standards
Innovation is
not enough!
The shift
 Agriculture Age (farmers)
 Industrial Age (factory workers)
 Information Age (knowledge
workers - innovators)
 Conceptual Age (creators)
Source: Dan Pink, A Whole New Mind
Theoretical basis
 Schumpeter:
 products fulfill needs
 "profit is result of innovation"
 Dan Pink (rephrased):
 products fulfill passions
 "profit is result of creativity"
Do you buy
what you
need?
Or do you buy
what you
think and feel
you need?
Do you pay
for function
or do you pay
for meaning?
Added value
in function
or in
meaning
?
Price of function is droping,
and price of meaning rising
image
design
"home
made"
trade mark
“fair traded”
trusted
price of meaning
marketing
"healthy"
environmental
y
friendly
who can think
of it
who can
sell it
price of funcion
1 EUR
just function
30 EUR
more
who is
willing to
pay for it
Who makes
meaning?
what is meaning?
what gives meaning?
What gives
meaning?
what influences
meaning?
values, morals,
virtues!
MORALIZATION OF
THE MARKETS!
Innovation vs. Creativity
 Innovation: “The past few decades have belonged to a
certain kind of person with a certain kind of mind—
computer programmers who could crank code, lawyers
who could craft contracts, MBAs who could crunch
numbers."
 Creativity: "The future belongs to a very different
kind of person with a very different kind of mind—
creators and empathizers, pattern recognizers and
meaning makers. These people—artists, inventors,
designers, storytellers, caregivers, consolers, big picture
thinkers—will now reap society’s richest rewards and
share its greatest joys.”
Source: Dan Pink, A Whole New Mind
Left brain vs. right brain
 “The era of ‘left brain’ dominance—is giving
way to a new world in which ‘right brain’
qualities—inventiveness, empathy,
meaning—will govern.”
 left brain - rational, methodical,
mathematical … culturally independent
 right brain - intuitive, artistic, spiritual …
depends on cultural background
Source: Dan Pink, A Whole New Mind
“Human
creativity is the
ultimate
economic
resource.”
Source: Richard Florida,
The Rise of the Creative Class
War for
talent!
Educate talent
Attract talent
Retain talent
Florida's 3 "T"s for Creativity
 Talent (educate, attract, retain)
 ½ mil. top EU engineers and
researchers abroad
 Technology
 attracts talent
 Tolerance
 makes talent stay
Focus
 knowledge, innovation and
creativity
 support for JTI, technology
platforms
 widening of ERA towards SE Europe
 knowledge as 5th freedom
 ERA and ERA
 networked approach to
concentration
Creativity as the horizontal
issue in the four themes
 innovation and creativity
 not only engineers but designers, artists
 competitiveness
 how to make talents entrepreneurial
 people
 how to educate, attract and retain talent,
 how to make talent entrepreneurial,
 how to flexibly employ talents
 environment
 make it into a value, make it into a business
opportunity
1. Pillar: Increasing the EU’s economic
potential through R&D
 Promote Creativity as a horizontal issue to make Europe the
most creative place in the world
 Innovation: generation and application of knowledge –
establishment of the European Research Area (ERA), focus on the
successful introduction of the European Institute of Technology (EIT)
as a link between the public research sphere, the European higher
educational environment and the economy.
 Introduction of knowledge as 5th freedom
 Establishment of joint technology initiatives (JTI)
 Opening the research infrastructure for researchers in SMEs,
improving the competitiveness of the EU, Member States and regions;
 Inclusion of neighboring regions (especially the West Balkans) in
European research programs.
The Role of Europe in
globalization
 it is ultimately about values such as well
designed, fair, environmentally friendly, nice,
trustworthy …
 Europe's role in the globalized world is to
 shape values … dealing with conflict, addressing
climate change, agreement among generations, social
sensitivity, global empathy … valuing design, brand,
intellectual property
 project these values to the rest of the world
 creating products fitting this world view, exporting
products
 century of European values!
Creativity is essential
 creative industries powerful on its own
 culture, media, advertising, branding,
design, architecture …
 even more powerful as creator of
"meaning" and "value" for all other
sectors
 innovation should meet creativity
We have
legacies and
traditions to
build on!
PS.
The Chinese
invented cheap
paper.
In 15th century
Europe learned
to use it.
Democratic use of
paper. It can be used
for anything. So many
more people can
learn, create …
The first
communication
revolution
The
Reneissance
follows.
Europe takes
the lead.
In ethics, arts,
science, technology.
World domination
follows. Culminates in
the early 20th century.
In the 20th
Century
Americans
invent the
Internet.
Democratic use of
digital technology.
Anyone can be an
author.
Anyone can publish.
Do movies.
Europe learns
to use it.
Do music.
Spread ideas.
Values.
His or her own.
The second
communication
revolution
Not in colonies. Not in
steel production.
In ideas. In values.
Creativity 2.0
Everyone gets
involved
What will we
make of it?
Creative, media
empowered society!
Or we get so poor
manufacturing will
come back to Europe.
No room for
complecancy
References
 Dan Pink, A Whole New Mind
 Richard Florida: The Raise of the
Creative Class
 Jeremy Rifkin: The European Dream