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Summary all articles Cultural Industries - Grade: 8

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A summary of all the mandatory articles for the exam, with definitions, frameworks, theories. Achieved grade: 8

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  • October 20, 2023
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  • 2023/2024
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Week 1: Analyzing the creative and cultural industries.......................................................................................2
Reading 1: Throsby (2008) -> Modelling the cultural industries.....................................................................2
Reading 2: Svejenova, Planellas, & Vives (2010) -> An Individual Business Model in the Making: a Chef’s
Quest for Creative Freedom............................................................................................................................4
Reading 3: Poisson-de Haro & Montpetit (2012) -> Surviving in Times of Turmoil........................................5
Week 2: Organizational design............................................................................................................................7
Reading 1: Lampel, Lant, & Shamsie (2000) -> Balancing act: Learning from organizing practices in cultural
industries.........................................................................................................................................................7
Reading 2: Lampel & Shamsie (2003) -> Capabilities in Motion: New Organizational Forms and the
Reshaping of the Hollywood Movie Industry..................................................................................................9
Reading 3: Starkey, Barnatt & Tempest (2000) -> Beyond Networks and Hierarchies: Latent Organizations
in the U.K. Television Industry.......................................................................................................................11
Reading 4: Antcliff, Saundry & Stuart (2007) -> Networks and social capital in the UK television industry:
The weakness of weak ties. ..........................................................................................................................14
Week 3: Marketing.............................................................................................................................................17
Reading 1: Zuckerman, Kim, Ukanwa & von Rittmann (2003) -> Robust identities or nonentities?............17
Reading 2: Bhattacharya, Rao & Glynn (1995) -> Understanding the bond of Identification:......................21
Reading 3: Voss & Voss (2000) -> Strategic Orientation and Firm Performance in an Artistic Environment.
.......................................................................................................................................................................24
Reading 4: Kackovic, Bun, Weinberg, Ebbers & Wijnberg (2019) -> Third-party signals and sales to expert-
agent buyers:.................................................................................................................................................28
Week 5: Technological change...........................................................................................................................30
Technological innovation...............................................................................................................................30
Reading 1: Anand & Peterson (2000) -> When market information constitutes fields: Sensemaking of
markets in the commercial music industry...................................................................................................31
Reading 2: Elberse (2008) -> Should you invest in the Long Tail?.................................................................36
Reading 3: Salganik & Watts (2009) -> Web-based experiments for the study of collective social dynamics
in cultural…....................................................................................................................................................40
Reading: Caves 2000......................................................................................................................................42
Week 6: Competitive processes..........................................................................................................................43
Reading 1: Foster, Borgatti & Jones (2011) -> Gatekeeper search and selection strategies: Relational and
network governance in a cultural market.....................................................................................................43
Reading 2: Franssen & Kuipers (2013) -> Coping with uncertainty, abundance and strife: Decision-making
processes of Dutch acquisition editors in the global.....................................................................................45
Reading 3: Gemser, Leenders, & Wijnberg (2008) -> Why Some Awards Are More Effective Signals of
Quality Than Others: A study of Movie Awards...........................................................................................48
Week 7: International business..........................................................................................................................50
Reading 1: Cowen (2002) -> The Fate of Culture...........................................................................................50
Reading 2: Kuipers & De Kloet (2009) -> Banal cosmopolitanism and The Lord of the Rings: The limited
role of national differences in global media consumption............................................................................52
Reading 3: Moran (2008) -> Makeover On the Move: Global Television and Programme Formats............53
Reading 4: Pathania-Jain (2001) -> Global Parents, Local Partners: A value-chain analysis of collaborative
strategies of media firms in India..................................................................................................................55

,Week 1: Analyzing the creative and cultural industries
Reading 1: Throsby (2008) -> Modelling the cultural industries
The article discusses the definition of cultural industries, the boundaries of cultural
industries, and examines six tools for economic analysis that can be applied to cultural
industries.

Distinction between cultural and creative good -> cultural good is a subset of a creative
good. Is this distinction important, and why?
Only those industries with high growth rate will be included when economic prospective is
used, but if an artistic view is taken a different group is included. This will have different
policy implication.

Definition Cultural Industries: Those industries that combine the creation, production and
commercialization of contents which are intangible or cultural in nature.

Requirements of cultural good:
1. Input of human creativity -> original ideas
2. Symbolic messages -> more than simply utilitarian. Transcends purely economic
valuation.
3. Intellectual property -> attribute to the individual or group producing it.

Definition Creative Industries: Those industries which 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.

Requirements of creative good:
1. Human creativity
2. Goods & services
3. Commercial use

Models of cultural industries classification system:
1. DCMS model: Creative industries are defined as those requiring creativity, skill and
talent, with potential for wealth and job creation through exploitation of their
intellectual property
2. Symbolic texts model: differentiates between high and popular culture on the
grounds of their different power dynamics in regard to social class, gender, and
race/ethnicity. Popular culture is in core and ‘high’ arts are relegated to peripheral
status.
3. UIS model: The model identifies five ‘core cultural domains: (1) cultural and natural
(3) heritage performance and celebration (3) visual arts, crafts and design (4) books
and press; and audiovisual (5) digital media. It also extends to the ‘related domains’
of tourism, sport and leisure.
4. Americans for the arts model: based on identifying businesses involved with the
production and distribution of the arts, labelled as ‘arts-centric businesses’. Economic
importance of the arts.
5. WIPO model: based on industries involved directly or indirectly in the creation,
manufacture, production, broadcast and distribution of copyrighted works.

, 6. Concentric circles model: based on the proposition that it is the cultural value of
cultural goods that gives these industries their most distinguishing characteristic. he
proportion of cultural to commercial content declining as one moves further
outwards from the center.

Six economic approaches to analyze cultural industries:
1. Industrial organization theory: Relevant primarily to those models oriented
towards the commercial production of cultural goods and services (WIPO model).
Focus on the standard economic variables:
- Market concentration
- Barriers to entry and exit
- Degree of competition

2. Value chain analysis: Used by firms to analyze performance in different stages of
the production cycle (UIS model). Production chain with value adding stages:
- Creation -> Production -> Dissemination -> exhibition/reception ->
consumption/participation -> archiving/preserving -> education/training

3. Inter-industry analysis: Used to evaluate the economic impact of cultural policy.
- Input-output analysis: Output from one industrial sector as input to another
sector (spillovers).
- Social accounting matrices: Similar tool requiring less data for analyzing the
impact of industries.

4. Locational analysis: Used by governments to attract firms and develop (cultural)
industries clusters. Considering the spatial dimension to the delineation of the
cultural industries (DCMS). Demand side -> tourists concentration.
Supply side -> Network and agglomeration externalities in cultural production
lead to clustering of firms that benefit from being located close to other firms in
the same (or similar) industries.

5. Contract theory and property rights: Complex creative industries depend on the
existence of contractual arrangements at all stages in the value chain (WIPO).
- Identifying property rights as a basis for contractual arrangements that can be
explained by the uniqueness of cultural industries:
- ‘Nobody knows’ (uncertainty of demand)
- ‘Art for art’s sake’ (irrational labor market)
- ‘Infinite variety’ (all products are more or less differentiated)
- ‘Durability’ (ability to yield rents over a long period)

6. Trade and development: Used to explain specialization of countries and
to eliminate trade barriers. Particularly relevant to the international trade. Theory
of comparative advantage to explain specialization of production in
different countries. Assertion: free trade maximizes world welfare (UNESCO
vs. WTO) -> Three of the cultural industries models are relevant here: Concentric
circles model, WIPO model, UIS model.

, Reading 2: Svejenova, Planellas, & Vives (2010) -> An Individual
Business Model in the Making: a Chef’s Quest for Creative
Freedom
The article demonstrates that business models are not only organizational devices
that reveal a company's logic for creating and capturing value but also are useful
in identifying triggers and mechanisms associated with changes.

Definition Business models: ‘the content, structure, and governance of transactions
designed to create value through the exploitation of business opportunities’ (Amit and Zott)
- organizational device
 reveals the logic for creating and capturing value,
 reveals the organization’s approach to renewal.
- enhances the understanding, labelling and classification of an organization’s
operations.

Value: creation, appropriation, sharing mechanisms, slippage to third parties

Definition: Triggers (quests) are motivations and interests that sparked off business model
changes. They drive the business model dynamics. Major trigger (overarching interests and
motivations): Adria's ongoing quest for creative freedom. Three Stage-specific triggers
(changes as individual's career advances): Quest for (1) authenticity, (2) recognition, and
(3) influence.

Definition: Mechanism is how the transformations were achieved. The main change
mechanism was creative response. Two kinds of mechanisms:
1. Change mechanisms: Change the business model’s elements, transformation in
activities, organizing, and strategic resources, and value mechanisms, related to the
creation, capture and sharing of value.
- Coherence
- Novelty
- Creative response: internal drive
- Alertness: externally oriented
- Intent: combined internal-external drive
2. Value mechanisms: affect the value that it captures.
- Value creation: adding value for the customer as well as for such other targets
as business owners, other stakeholders, employees, and society.
- Value appropriation: individual or firm manages to retain part of the value it
creates as profit.
- Value capture: Transforming the value he creates into revenue streams and
asset appreciation. Their business model operation will capture three
different types of value: Revenues, Reputation, Competencies.
- Value sharing: Added value appropriation by third parties. Cocreation of value
with third parties.
- Value slippage: value slips to the third parties unintended.

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