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Thomas H. Aageson Chairman Global Center for Cultural Entrepreneurship Executive Director Museum of New Mexico Foundation New Strategies for Cultural Enterprises.

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Presentation on theme: "Thomas H. Aageson Chairman Global Center for Cultural Entrepreneurship Executive Director Museum of New Mexico Foundation New Strategies for Cultural Enterprises."— Presentation transcript:

1 Thomas H. Aageson Chairman Global Center for Cultural Entrepreneurship Executive Director Museum of New Mexico Foundation New Strategies for Cultural Enterprises UNESCO Forum on Cultural Industries 24-26 September 2009 Monza, Italy This presentation is available for download at Search

2 We do not become culturally relevant when we become like the culture, but rather when we model what the culture hungers to become. Bill Johnson, Dreaming with God

3 The time has arrived, the movement has begun to develop strategies that support the cultural entrepreneur in five key areas: Cultural Industries Policy Education, Training & Mentorship Investment Strategies Creating Markets, Developing Market Links Sharing our Wisdom The critical new strategy is to focus on the Cultural Entrepreneur

4 The Cultural Entrepreneur Cultural Entrepreneurs are cultural change agents and resourceful visionaries who generate revenue from a cultural activity. Their innovative solutions result in economically sustainable cultural enterprises that enhance livelihoods and create cultural value and wealth for both creative producers and consumers of cultural services and products. Aageson, Thomas H. Cultural Entrepreneurs: Producing Cultural Value and Wealth. The Cultures and Globalization Series: The Cultural Economy. Ed. Anheier, Helmut and Yudhishthir Raj Isar. London: Sage Publications, 2008. 92-107.

5 Cultural Industries Policy creates the framework and priorities for investment in Cultural Entrepreneurs, Cultural Enterprises and, Cultural Industries Develop Cultural Industries Policy in three areas: 1.Policy that fosters the development of cultural entrepreneurs 2.Policy that addresses public and private strategies for cultural industries to grow 3.Policy that focuses on specific sectors and clusters Cultural Industries Policy

6 Several strategies are available to us to build and strengthen our cultural enterprises: Invest in Market development and Market Linkages Locally: Cultural & Creative Tourism Nationally: New Channels of Distribution; Malls and Festivals, etc. International:Exporting cultural products and services Create Investment Funds for Enterprise Growth Creating new funds, private and public, that invest in our cultural entrepreneurs who will convert cultural capital into successful enterprises, enhancing cultural workers livelihoods Support Technical Assistance for Product Development The irony of preserving traditions is the seed of innovation and creativity is needed. Policy that address public and private strategies for cultural industries to grow

7 Initiate Facility Development We need cultural incubators, studios, performing venues, such as the Brewhouse in Göteborg, Sweden Foster Network and Cluster Development Linking together creators and markets will create positive synergy Provide Legislation that fosters the development of cultural enterprises and industries Zoning for arts and cultural districts Tax incentives to promote investment and market development Architecture restoration, preservation and zoning Simplify enterprise regulations and permits Laws that protect cultural property

8 Key to cultural industries policy is selecting cultural sectors and clusters integrating creation, production and distribution Cultural Industry Sectors include : Artisans Authors Artists Architecture Culinary Design: Graphic, Fashion, Industrial Education Festivals and Markets Film Literature Music Media: Radio, TV, Newspaper Museums Performing arts Publishers Tourism: Cultural, Heritage, Creative and Eco tourism Visual Arts Policy that focus on specific sectors and clusters

9 We need a new form of entrepreneurship education and training to develop our emerging cultural entrepreneurs. Cultural Entrepreneurship takes a different form in emerging economies versus economies moving out of the industrial age into the creative age. How do we develop cultural entrepreneurship with indigenous communities as a tool for economic development in emerging economies? What is the new role of mentorship for assisting cultural entrepreneurs? The trend in cultural entrepreneurship education is using examples where 20% of the people live and prosper yet some of the most vibrant cultural enterprise opportunities are occurring where 80% of the people reside in some of the poorest countries. How do we shape our cultural industry development in the context of emerging economies? What about people who do not have two years nor the funds for a higher education opportunity? What practical ways can we meet cultural entrepreneurs in their moment of need and developing their cultural enterprise? (See appendix) Cultural Entrepreneurship Education and Training

10 Economic Importance of the Arts and Cultural Industries in Santa Fe County City of Santa Fe, New Mexico, USA Economic Development Strategy for Implementation Investing in our Cultural Enterprises and Entrepreneurs Cultural Enterprises Create jobs increase tax revenues enhance livelihoods attract outside capital create sustainable economic development attract other enterprises to the local economy enrich the quality of life

11 Sustainability Cultural enterprises create sustainability that is economic, social, environmental and cultural, all woven together. The industry is one of the strongest growth areas on our world economy as measured by UNESCO. International Flows of Selected Cultural Goods and Services, 1994-2003

12 Let us think together today how we can connect Financial Capital, Cultural Capital and Cultural Enterprises. It is up to us to capitalize cultural enterprise investments. Create a Cultural Entrepreneur and Enterprise Fund (See appendix)

13 Our work to support cultural entrepreneurs must be long term and sustainable. Is our work to build our brand or to lift people up? How do we balance Mission and Market ? If we left, would the cultural workers livelihoods continue to grow and their families be better off? Creating Markets, Developing Market Links

14 We have multiple markets for our cultural entrepreneurs: Local: Cultural and Creative Tourism Regional and National: Fashion, Decorative, Film, Books, International: Export oriented entrepreneurial efforts We must find the appropriate channels of distribution that increase the benefit to the creator and the merchant. Creating Markets, Developing Market Links

15 1.The Internet is creating direct, global markets Design 21/UNESCO inspires young designers URL_ID=35082&URL_DO=DO_TOPIC&URL_SECTION=201.html URL_ID=35082&URL_DO=DO_TOPIC&URL_SECTION=201.html Not on the High Street represents 800 artists and craftspeople in the UK Etsy has created a new market in two years for Do-it-Yourself folks Trends are emerging that can help us create new markets for cultural markets:

16 Culture Label is a new site for culture shoppers featuring products from museums aggregated together. New Mexico Creates is a brand in Museum of New Mexico Foundations museum shops that now works with over 800 New Mexico artists and artisans. eBay developed a new fair trade site with over 6000 products from around the world.

17 2. Individuals with heart and talent Shahidul Alam create Drik (Bangladesh) to promote the photographic work of artists in the majority world to media in the minority world. Sandra Browne created Pelican Village in Barbados for local artisans through the public office of the Barbados Industrial Development Corporation Carol Cassidy created Lao Textiles that has developed traditional weaving by connecting the weavers work with high-end markets globally. Lan Tran created Craft Link to help create markets for ethnic communities in northern and central Vietnam

18 Willa Shalit has worked to create markets in the United States for products manufactured jointly by Palestinian and Israeli women, and by women survivors of the Rwandan genocide. Fair Winds Trading has become a leading importer of handmade goods from Rwanda. Patrizia Moroso has created designs made by African artisans afrique-cest-chic/ Keith Recker has inaugurated a new magazine that promotes cultural enterprises, design and market linkages Dan Storper created Putumayo World Music that created a new market for cultural musicians from around the world.

19 3. Market creating organizations ASEAN Handicraft Promotion and Development Association promotes the traditional work of artisans in Asia Global Center for Cultural Entrepreneurs promotes the development of cultural entrepreneurs Aid to Artisans A very clever market creation is have a Month of Artisans each year in a major grocery chain which is done in Guatemala and El Salvador Heartwear in Paris has a distinguished history of working with artisans to bring their new products in the markets. African Publishers Network promotes the work of publishers across the continent and opens markets. IndusTree in India is creating markets and building artisan capacity through its foundation.

20 Many of us are cultural entrepreneurs and have created cultural enterprises and all of us who have know what it takes to be a cultural entrepreneur. Until today, there lacked a platform to share our experiences that we may each grow and create more cultural wealth. There also lacks a forum where we can train future cultural entrepreneurs by sharing our wisdom. Let us SOW seeds of cultural entrepreneurship across the world. Share Our Wisdom (SOW)

21 An annual World Forum on Culture would bring together the leading creators, educators, policy makers, market makers, investors in the worlds cultural industries creating a platform to find solutions through partnerships formed at our gatherings that create a better world economically, socially, environmentally and culturally. World Forum on Culture

22 The Global Center for Cultural Entrepreneurship offers to host the first World Culture Forum in Santa Fe, NM (USA) in collaboration with the City of Santa Fe, the College of Santa Fe and the State of New Mexico Department of Cultural Affairs. World Forum on Culture

23 Appendix

24 Cultural Capital Cultural capital can include traditions, music, skills, dress, stories, art, decorations, feasts and celebrations, food, place, dwellings (antique, historic), etc. Individuals carry forward traditions while communities often have a legacy of creative talent that form its cultural capital. Organizations, e.g., museums, libraries, performing arts, are repositories of cultural capital made available to the public. Educational organizations that foster cultural creativity and advance traditions build community cultural capital. Aageson, Thomas H. Cultural Entrepreneurs: Producing Cultural Value and Wealth. The Cultures and Globalization Series: The Cultural Economy. Ed. Anheier, Helmut and Yudhishthir Raj Isar. London: Sage Publications, 2008. 92-107.

25 Cultural Enterprise Cultural enterprises are commercial ventures that connect creators and artists to markets and consumers. They create, produce and market cultural goods and services, generating economic, cultural and social opportunities for creators while adding cultural value for consumers. Cultural enterprises are both nonprofit and profit, that use business approaches; and, deploy financial, human and cultural capital (creativity, talent, cultural traditions, knowledge and intellectual property) in a strategic and entrepreneurial manner. Cultural enterprises are diverse in nature and size. They range from micro and SME to large firms. Cultural enterprises operate in the following fields: performing arts, museums, music, literature, publishing, film, photography, folk art, design, architecture, education, cultural and creative tourism, new multimedia, etc. They include, for example, publishing houses, production companies, photo agencies, markets, galleries or museum enterprises. Aageson, Thomas H. Cultural Entrepreneurs: Producing Cultural Value and Wealth. The Cultures and Globalization Series: The Cultural Economy. Ed. Anheier, Helmut and Yudhishthir Raj Isar. London: Sage Publications, 2008. 92-107.

26 Contact: Tom Aageson Alice Loy Global Center for Cultural Entrepreneurship: Fostering Economic Prosperity and Cultural Wealth

27 Talented entrepreneurs drive wealth creation; We are entrepreneur focused. Cultural entrepreneurs have unique opportunities and needs; We are experts in building cultural enterprises. Markets drive profit opportunities; We build toward growing cultural markets. Enterprise networks increase innovation and speed to market We build clusters of cultural enterprises. GCCE Core Beliefs


29 Two Examples of Economic Impact Studies San Francisco, CA USA In San Francisco, the arts create more than 31,000 jobs and generate $1.2 billion in economic activity every year. The arts produce $105 million in local and state tax revenue for the San Francisco Bay Area (far more than the government spends on the arts). Surveys report that 93 percent of parents believe that the arts are essential to a well-rounded education. Ten million new jobs in the next decade will be in the "creative class," according to economist Richard Florida. These are jobs that involve imagination and ingenuity which are best developed by experiencing the arts.

30 Los Angeles, CA USA Groundbreaking Report Shows Creative Industries are the #1 Engine of the Los Angeles Economy Artists and Designers Drive the Largest Segment of Jobs and Sales Revenues in the Region The Los Angeles Economic Development Corporations Report on the Creative Economy of the Los Angeles Region showed that one million direct and indirect jobs are generated by the creative industries in Los Angeles. The creative industries surpass International Trade and Tourism. In 2005, the creative economy accounted for 894,000 direct and indirect jobs in Los Angeles County and generated 140.5 billion in sales/receipts and more than $3.4 billion in state tax revenues.

31 Higher Education: Institute of Creative and Cultural Entrepreneurship, Goldsmiths College, London University (UK) Office of Entrepreneurship and Liberal Arts-The Program for Creativity and Innovation, Wake Forest University (USA) Kings College London Business (UK) Columbia College Chicago Art + Design (USA) Post Graduate Entrepreneurship Education: TITAN Teaterskole, The International Theater Academy (Norway) Austin Conservatory of Professional Arts (USA) Education, Training and Mentorship

32 Associations with focus on Cultural Entrepreneurship United States Association for Small Business and Entrepreneurship has an area for cultural entrepreneurship. (USA) Arts Educators Entrepreneurship Network (USA) ENCATC (Belgium) National Endowment for Science Technology and the Arts (NESTA) (UK) Example of Artisan Entrepreneurship Arkansas Craft School (USA) Cultural Entrepreneurship Educational Blog Entrepreneur the Arts (USA)

33 Example of Professional Development Creative Skills Cornwall (UK) Natverkstan, Gothenburg (Sweden) Example of Mentorship and Entrepreneur Fellows Global Center for Cultural Entrepreneurship (USA) Texts: Creating Entrepreneurship: entrepreneurship education for the creative industries, The Higher Education Academy Art Design Media Subject Centre and NESTA, 2007 The Cultures and Globalization Series: The Cultural Economy, Eds Helmut Anheier and Yudhishthir Raj Isar, Sage Publications, 2008

34 Creative Strategies for Financing Cultural Enterprises and Entrepreneurs Philadelphia Innovation Denver, CO Creative Enterprise Mapping ult.aspx Arts Funding through a Quality of Life Tax Oregon Cultural Trust supported by the people of Oregon Future Jobs Fund (UK) L1 billion The Foundation for the Culture of the Future (Sweden) Investing in Our Cultural Enterprises and Entrepreneurs

35 Investing in Creative Industries? A guide for local authorities Excellent checklist Aspen Network of Development Entrepreneurs ANDE (USA) Coalition of organizations, foundations and individuals investing in entrepreneurs in the developing world Fast Forward Youth Investing in Youth for Global Change Creative Capital supporting American artists (USA) PULSE/IRIS Project A high impact method of measuring how investments in cultural enterprises make a difference

36 Advantage Creative Fund A West Midlands (UK) venture capital fund to invest in creative industries Polyphonic Venture Capital Fund for Music (USA) Enterprising Non Profit Program (Canada) Building a marketspace for social capital Allegheny, PA Regional Assets districts (USA) Support and finance regional assets in the area of culture and sports from a share of sales tax. ENDEAVOR Make investments and build capacity in high impact entrepreneurs around the work. Detroit Community Foundation Matching grant initiative online was oversubscribed 2009 (USA) southeastern-mic?blog=51

37 Bilateral Vietnam and Denmark joined together to invest in Vietnams cultural industries 63DCBE09B087/0/2ArtsEducationComponentFinal.pdf 63DCBE09B087/0/2ArtsEducationComponentFinal.pdf USAID They have made investments in artisan enterprise development in Ghana, Peru, southern Africa, Haiti, and Mexico. Multilateral Inter-American Development Bank They have made their first three investments in cultural industries: Columbia, Ecuador and Panama National Programs Endowment for the Arts (USA) Social Innovation Fund Identify-and-Expand-Effective-Innovative-Non-Profits/ Identify-and-Expand-Effective-Innovative-Non-Profits/

38 Thomas H. Aageson Museum of New Mexico Foundation POB 2065 Santa Fe, NM 87504 USA 505-982-6366 This presentation is available for download at Search

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