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Creative Economy: Challenges and

Opportunities for Brazil

Claudio DIpolitto, D. Sc.

FGV Rio

November 22, 2013

3rd ICIER Conference Rio de Janeiro 2013

3rd ICIER Conference - Rio de Janeiro - 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil Emory Seminar . Doing Business in Brazil - FGV 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil

Intangible[-based] economies Several "economies" have been presented as successors

of agrarian and industrial economies.

3rd ICIER Conference - Rio de Janeiro - 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil Emory Seminar . Doing Business in Brazil - FGV 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil

Intangible economies

Information economy

infrastructure = ICTs (Information and Communication Technologies)

focuses on explicit/coded knowledge

software, data bases, interfaces, processes

Knowledge economy

Knowledge is more than information

data => information => knowledge => wisdom ...

tacit and explicit knowledge

knowledge as a value generator

Network economy

linked to the Network Society

small and connected world

worldwide coverage of the Internet

eBusiness: network-based business

cooperative and open business models

Service economy

service is consumed while being produced

can only be assessed a posteriori

can not be stored

may involve customers in production

3rd ICIER Conference - Rio de Janeiro - 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil Emory Seminar . Doing Business in Brazil - FGV 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil

Intangible economies

Experience economy

intensive in subjectivity

experience generates "individual and untransferablevalue perception

"the moment of truth"

Attention economy

in world abundant information and "stimuli, time is the scarcest resource

the competitor can be anything that captures the attention and steals time from your audience

what is your priority when deciding between many stimuli?

Cultural economy

Adorno and Horkheimer coined the term "cultural industry" as a critique of the commodification of culture

focuses on the exchange value of cultural goods and services

Creative economy

concept created in the UK as an extension of the Cultural Economy

intensive in creativity and intellectual property

articulates arts, culture, technology, design and innovation

3rd ICIER Conference - Rio de Janeiro - 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil Emory Seminar . Doing Business in Brazil - FGV 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil

Intangible economies

Freemium economy

"It's more important that you stay than you pay. Phil Libin, Evernote CEO

the long-term product price (aka market clearing price) will be the marginal cost of production

tends to zero in some products

give the basic for free BUT sell upgrades, improvements and items

Reputation economy

brands built based on how they are perceived online and the promise they deliver offline

online history becomes more powerful than credit history

value is based on confidence and trust (shown by others)

3rd ICIER Conference - Rio de Janeiro - 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil Emory Seminar . Doing Business in Brazil - FGV 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil

Intangible economies

they treat the intangible, immaterial or symbolic as input, product and economic exchange value

they represent a break with the industrial economies, based on tangible, physical goods

they highlight the importance of human and social capabilities in face of the physical and financial resources

What do these various "economies" have in common?

3rd ICIER Conference - Rio de Janeiro - 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil

Cultural and Creative Sectors

3rd ICIER Conference - Rio de Janeiro - 2013

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Creative Economy: Challenges and Opportunities for Brazil

Innovation and Cultural Processes as Learning Processes

Innovation Processes

Cultural Processes

creativity learning knowledge collaboration simbolic value

Innovation & Culture

3rd ICIER Conference - Rio de Janeiro - 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil

http://www.cultura.gov.br

http://www.cultura.gov.br/

3rd ICIER Conference - Rio de Janeiro - 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil

Brazilian model for the Creative Economy

Plano da Secretaria da Economia Criativa 2011-2014 http://www.cultura.gov.br Plan of the Creative Economy Secretariat, 2011-2014, Ministry of Culture

http://www.cultura.gov.br/

3rd ICIER Conference - Rio de Janeiro - 2013

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Creative Economy: Challenges and Opportunities for Brazil

the creative entrepreneur

3rd ICIER Conference - Rio de Janeiro - 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil Emory Seminar . Doing Business in Brazil - FGV 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil

the creative/cultural entrepreneur

Various roles / titles cultural producer

cultural animator

cultural promoter

art curator

production director, executive producer (movies)

editor (newspapers, books)

other ...

project manager (games)

RUBIM, Linda. Produo Cultural. In: Organizao e Produo da Cultura, org. Linda Rubim, Edufba, Salvador, 2005.

3rd ICIER Conference - Rio de Janeiro - 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil Emory Seminar . Doing Business in Brazil - FGV 2013

facebook.com/claudiodipolitto Prof. Dr. Claudio DIpolitto Fundao Getlio Vargas

Creative Economy: Challenges and Opportunities for Brazil

The producer as an agent of innovation

identify trends and changes in languages, media, society, technologies ...

design new models of cultural expression, business/revenue, production, cooperation,

dissemination, fruition ...

experiment, learn, dare

seek viability and sustainability revenue models philanthropy and government funding

is it a social organization? is it a business enterprise?

...

understand and practice innovation processes technological, organizational, institutional, social, symbolic ...

3rd ICIER Conference - Rio de Janeiro - 2013

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Creative Economy: Challenges and Opportunities for Brazil

value chains/networks value ecosystems

Creative industry in Brazil

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Creative Economy: Challenges and Opportunities for Brazil

Carnaval and the celebration economy

http://i0.statig.com.br/infograficos/bateriaescoladesamba/mainv1.swf

3rd ICIER Conference - Rio de Janeiro - 2013

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Creative Economy: Challenges and Opportunities for Brazil

The Economy of Carnaval is part of the brazilian celebration or

party economy, which involves individuals, formal or informal

organizations, companies, cooperatives, associations etc.

Sectors of the economy benefited directly and

indirectly by Carnaval

The Carnaval crea