Along with the enlargement of technology as well as the globalization of markets, there is a modern approach in business and economy, named ‘creative economy’ or sometimes called ‘creative industries’. Today we will learn the basic concept of creative economy.
Actually there is no precise definition of creative economy. It has multiple meanings; however, it has been employed as an object of many studies. The main reason is the rapid development of creative economy in many parts of the world. Subsequently, we will discover the common definition and characteristics of creative economy.
First of all, according to Merriam-Webster dictionary, the term ‘creativity’ refers to the ability to make new things or think of new ideas. Meanwhile, in a broader area, creativity can be defined as the establishment of new approaches and competence to combine items in a new perspective. It’s not merely about products or services; furthermore, it is related to human activity.
United Nations Educational, Scientific, and Cultural Organization (UNESCO) states that creative industries as those who produce product or service containing a crucial base of creative idea. Moreover, there are some important point of views should be taken into account:
From the statement above, it can be stated that creative economy means economic sectors that produce creative products or services, for examples: traditional and modern music, films, cultural arts, books, handicrafts, eco-tourism, etc.
Although there are various definitions of creative economy, but there is one common agreement on the key element of it, which is innovation. Innovation is the process of introducing new ideas, devices, or methods, and transforming it into a product or service that offers value. Innovation should be counted in economical costs and provide value added to the users.
Moreover, creativity is closely related to entrepreneurship. Generally, creativity is created by entrepreneurs, since they are not afraid to challenge themselves in finding new ideas and different perspectives. For them, creativity is the root of innovation.
Schumpeter urges that there are some characteristics of entrepreneurship behavior:
As a conclusion, creative economy encloses with fresh ideas, new perspectives, and innovative values; additionally, creative economy amplifies rapidly as the growth of globalization; last but not least, innovation is the key factor to the fast increase of creative economy. **
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First of all, according to Merriam-Webster dictionary, the term ‘creativity’ refers to the ability to make new things or think of new ideas. Meanwhile, in a broader area, creativity can be defined as the establishment of new approaches and competence to combine items in a new perspective. It’s not merely about products or services; furthermore, it is related to human activity.
United Nations Educational, Scientific, and Cultural Organization (UNESCO) states that creative industries as those who produce product or service containing a crucial base of creative idea. Moreover, there are some important point of views should be taken into account:
- a larger consideration of culture and creative activity.
- the awareness of the importance of creativity, innovation, and skills in economic development.
- the shift of culture from being exclusive to being creative, democratic, and inclusive.
- considering cultural inventions as a sector of creative economy.
From the statement above, it can be stated that creative economy means economic sectors that produce creative products or services, for examples: traditional and modern music, films, cultural arts, books, handicrafts, eco-tourism, etc.
Although there are various definitions of creative economy, but there is one common agreement on the key element of it, which is innovation. Innovation is the process of introducing new ideas, devices, or methods, and transforming it into a product or service that offers value. Innovation should be counted in economical costs and provide value added to the users.
Moreover, creativity is closely related to entrepreneurship. Generally, creativity is created by entrepreneurs, since they are not afraid to challenge themselves in finding new ideas and different perspectives. For them, creativity is the root of innovation.
Schumpeter urges that there are some characteristics of entrepreneurship behavior:
- developing new and innovative products.
- proposing new forms of organization.
- exploring new markets.
- introducing new production methods.
- searching for new sources of supplies and materials.
As a conclusion, creative economy encloses with fresh ideas, new perspectives, and innovative values; additionally, creative economy amplifies rapidly as the growth of globalization; last but not least, innovation is the key factor to the fast increase of creative economy. **
RELATED ARTICLES :
Micro Business, The Foundation of National Economy
What Innovation Brings to The Economy
How Cultural Arts Encourage the Economy
Enhancing Economy through Tourism Sector
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