Nick | 19 Jan 2009, 13:04
US author Richard Florida has challenged Thomas Friedman’s “flat earth” model with his book “Who’s Your City?“, which suggests that globalisation has created a spiky world, where economic activity is focused in cities, driven by the emergence of “the creative class.“
Although Florida’s definition of the “creative class” is broader than c&binet’s it does embrace many of the same areas including “higher-level economic activities such as innovation, design, finance, and media.“
The tendency for and means by which creative industries cluster are the key issues which independent consultancy Creative Clusters“ has been established to understand. As Director Simon Evans writes:
“Content-creators must be quick to respond to changes in fashion and technology. Their assets are invisible and volatile: reputation, skills and brands. They operate in global niche markets. They evolve by getting better rather than by getting bigger. Key players are rewarded by lifestyle and reputation as much as by money. A good deal of their critical infrastructure is external to the firm.“
But not only do the creative industries tend to cluster in major cities, they also help to attract other other businesses to locate near them.Studies of city competitiveness by the likes of Jones Lang LaSalle and PwC regularly consider quality of life factors, such as access to cultural and entertainment activities as a key measure of a city’s appeal for inward investment.
PwC’s report Cities of Opportunities argues that the conditions for a city’s successful growth as an innovation hub are changing:
“At the beginning of the 20th century, conventional indicators such as port capacity and manufacturing capabilities would have been used to define cities of opportunity. While still significant, such indicators have given way in the 21st century to technological factors such as broadband availability and telecom infrastructure and to cultural characteristics such as diversity.“
And as Business Week notes, rising levels of mobility in the developed and developing world, means that building successful cities will hold the key to future economic and social development and therefore the creative economy will play a vital role:
“More people are on the move than ever: According to the U.S. Census Bureau, over 40 million Americans relocate every year, and the average citizen moves once every seven years. The well-being of such people, says Florida, is as dependent on a choice of destination as it is on a choice of a spouse or profession… folks still congregate in certain areas “because of the powerful productivity advantages, economies of scale, and knowledge spillovers such density brings,“ he says. In this “spiky” world, the tallest points are innovation hubs. These include the areas around Seoul and San Francisco, which generate the most patents; “mega-regions” such as the “Bos-Wash” corridor, including Boston, New York, and Washington, which generates $2.2 trillion in output; and the region from Osaka to Nagasaki, which generates $1.4 trillion.“
So what do the creative industries need from cities, how can clusters be grown and how do city authorities maximise the value of those clusters to enhance both quality of life and business competitiveness? These are key questions for c&binet.