Download Creative Economy

CREATIVE ECONOMY
- By Digital Silk-Road on Digital PlanetFeb 26, 2016
Miracle in 60 years..
Korea’s GDP per capita exceeded $ 29,000,
compared to that of $155 in 1960
GDP per capita (current US$)
Korea marks..
11th position in Global GDP ranking (’13)
9th highest world’s trade volume; 1,075 billion USD (’13)
7th highest export volume; 559 billion USD (’13)
1st out of 192 countries, in E-Government Development Rankings of UN (’13)
1st out of 157 countries in ICT Development Index rankings of ITU (’13)
2/18
Industry Policy Roadmap of Korean Government
1960s
1970s
1980s
1990s
2000s
2010s
Factor Driven Stage
Competitive
Development
Stage
Investment Driven Stage
Innovation Driven Stage
New Growth Engine Driven Stage
Cheap labor
Manufacturing capability
Source of
Competition
Innovative capability
Convergence capability
Industry Policy Roadmap of Korean Government
Major
direction of
Industrial
Policy
3/18
Expand
export
oriented
light
industries
Expand
heavy
and
chemical
industries
Expand
technology
Intensive
industries
Promote
hightechnology
innovation
Technology
Commercialization
Creative
economy
Korea's Economic Challenges: Growth but Jobless
Decreasing Potential Growth
The high growth (6~9%) era - from 1970s to 1990s - was over,
Korea is facing lower growth rate (3.6%) in 2010s
Decreasing Total Factor Productivity
It has kept on decreasing since 2000
indicating there is productivity issues
Weak Social Expenditure Structure
With low birthrate, Korea’s aging population is expected
to show constant growth, but, Korea has low level of social
expenditure and polarization of wealth has been intensified
4/18
Changing Environment and New Challenges
Worldwide Economic Slowdown
Financial Crisis (2008), Fiscal Crisis (2010)
Economic Slowdown : Developed Country
BRICs
Competition Environment
Global Market Size : decreasing
Competition Pressure : increasing (China, Japan)
Existing economic paradigms fall short of addressing the extreme and
complicated economic crisis
The current economic challenges require a new economic paradigm
that drives job creation and startups, and promotes collaboration
among all economic players
5/18
Evolution of Economy and Society
Agriculture
Economy
Industry
Economy
Tool
Information
Economy
Information
System
Creativity
Economy
Creativity
Core assets of Creative Economy: Imagination, Idea, Software
Required capabilities: Creativity, Flexible thinking, Convergence capability
Evolution of Economic Paradigm
‘Creative Economy’ is new paradigm which creates new
industries and markets by combining imagination & creativity
with scientific technology & ICT and produces great jobs
by strengthening existing industries
6/18
Definition of Creative Economy(Viewpoint of Business & Policy)
Peter Coy
The economy system in that only the enterprise can survive that
creates invisible values with ideas as the elements of production
Department For Culture Media & Sport
The economic system composed of potential industries for
economic values and jobs with creating and utilizing IPs based on
personal creativity, technology and talent
- IPs are catalysts for changing creative activities to creative industries
UNDP
All of economic activities creating creative resources
: Evolutionary concept based on the potential for economic growth and
creativity
7/18
Policy of World Main Countries(Related to Creative Economy)
Barack Obama
“We can create the jobs and industries of the future by doing what America does best –
investing in the creativity and imagination of our people.”
(A strategy for America Innovation : Securing out economic growth and prosperity, 2011. 2)
David Cameron
“I think a very simple message today is that if you are involved in the creative industries,
now is the time to come and invest in Britain. Also,I think you can see it in
some of the extraordinary facts about the creativity of British
art, television, music, drama, literature and cultural industries.” (BBC News, 2013. 7. 30)
Xi Jinping
“The realization of creativity-leading development strategy should be from future-oriented
national strategy and fundamental measures for accelerating changes in China's economic
development can improve the economic development.”
(12th Nationwide Committee, 2013. 4. 3)
Park Geun-hye
8/18
“Creative economy is blossoming of creativity on the boundary of collapsed walls b/w
industries with convergence of S&T and ICT, culture and Industry. S&T and IT industry,
as my core values, are place in the middle of creative economy.”
(The inaugural address, the 18th President of Korea, 2013. 2. 25)
How Resource-free Nation Runs Country
Without natural resources,
Based on its fertile digital soil, Korea has to develop new engine
required for innovative markets and economic development by
creating something that never existed such as smartphones and SNS
with imagination, ideas and software
R&D
Masters and doctorate lead R&D
Start with unlimited imagination
R&D dependent on the top 1%
Engaging 99% of the people
Research papers
Patents
Long-term industrialization cycle (R&BD)
S&T Development models (Einstein)
9/18
I&D (Imagination & Development)
Fast-track industrialization
(directly goes to I&D)
Various convergence models (Steve Jobs)
Examples of Successful Realization of Imagination & Ideas
Israel, the ‘Start-up’ country
Water scarcity
→ Seawater desalination/Recycling sewage water/
with only 40% of agricultural water producing 50%
more yield
Heavy military spending
→ Recovering 6% of GDP from civilian
industry by paradigm shift & imagination
Netherlands, the second largest agricultural exporter
Low altitude, habitual inundation
→ $50 billion of agricultural exports (25x bigger than KR),
Acquiring leading technologies in genetic
engineering/agricultural products processing/good breed
development by combining agriculture and sciences
10/18
Google & Naver
Google Suggest & Naver Jisik-In: accomplishing massive
innovation with simple imagination rather than cutting-edge
technologies
The Necessity of Software Training
Software: tool for nurturing creativity & realizing imagination
11/18
Government’s Roles to Realize
Creative Economy
1. Create an Ecosystem that Rewards Creativity and
Supports Start-ups
Increase investment into creative ideas
and technology, and to create a
startup-enabling environment
•
•
Accelerate start-up supporting activities via the
Creative Economy Innovation Centre
Open the era of 30,000 ventures
Promote the establishment of IPRs on
Technology / ideas, its application and
protection
Actively transform creative assets into
business opportunities, and build a start-up
safety net that gives a second chance
•
13/18
Via open innovation, make a comeback with ideas,
collaboration, entrepreneurship as well as challenge
spirit.
2. Generate New Growth Engines to Pioneer New Market and
Industries
Strengthen existing industries by applying
S&T and ICT
•
•
Medical innovation: Propel medical & ICT
convergence projects
ICT Convergence Industry 4.0: Develop new market
by combining shipbuilding industry with ICT·SW
Nurture new industries in SW, Internet
and high value-added content
Promote people-centered innovation,
and drive industrial convergence through
regulatory streamlining
14/18
3. Nurture Creative Global Leaders with Dream,
Talent and Challenger Spirit
Foster talent of creativity and convergence,
and strengthen education to boost the
challenger spirit and entrepreneurship
•
•
•
SW model school and compulsory SW education
in primary, middle & high schools
Operate SW training course for government
officials
Strengthen SW capabilities of soldiers on service
Support creative leaders to go
global and invite foreign ones to
Korea
15/18
4. Strengthen Innovation Capacity of S&T and ICT,
the Basis for Creative Economy
Improve R&D system to increase
potential and business
opportunities
Strengthen industry-academiainstitute-community collaboration
for job creation and ICT
innovation capacity
Bolster S&T and ICT capacity
to address global issues
Automotive IT
Be TOP 3 in the
global automotive
industry via
expanding vehicle
IT convergence
market
Shipbuilding &
Offshore plant IT
Keep the global No.
1 position via
technology
development for
higher added value
Defense &
aviation IT
Prepare for
network-based
warfare via
cutting edge IT
technology and
pursue localization
of SWs
The aims of IT convergence in
the top 5 core industries
16/18
Textile IT
Develop new
market in textile
& fashion industry
by developing
smart apparel and
3D tailored iFashion etc.
Energy IT
Armed with IT
convergence, cope
with the decreasing
corporate
competitiveness
following elevation of
energy costs
5. Establish the Climate for Creative Economy,
Engaging the Government and People
Generate a creative culture that enables imagination and creativity
• Expand incubating area and support to improve corporate capabilities
Converge public resources with
people’s ideas through Government
3.0
• Create virtuous circle ecosystem
where ideas can be industrialized via
creative economy town
The Creative Economy
Town
17/18
THANK YOU