6.
The Key Socio-Economic Context of the Creative Industries
& The Music Industry
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Economic Significance of
the Creative Industries
Community Development Opportunities
The Music Industry
Music Industry Support and Funding
Local Collaboration and Support
Models
and Experience
Patterns of Work in The Music Industry
New Social Entrepreneurs
New Attitudes
The Pound Goes Round: The Local Economy
and Clustering
Social Inclusion, Equity and Equality
Creativity
is our greatest and most under-developed skill in economic,
community and personal development.
The
Electro Works Project is being driven by people skilled at
using their creativity and imagination. These same qualities
have been vital to the innovative and creative production
processes that have sustained and delivered products and services
from Stag Works over the last 130 years. As the information
age replaces the industrial age, the most valuable products
are ideas and meaning produced not by machines but by the
imagination of people. Similarly the most important strategies
are those which create an environment where creativity and
knowledge can flourish and be exploited.
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Economic
Significance of the Creative Industries
The creative industries are at the cutting edge of the new
era. These industries include the production of films, records,
television programmes, books, fashion clothing, plays, dance
shows, newspapers, advertisements, interactive education computer
software and computer games. The creative industries sector
is one of the fastest growing, job rich, and important wealth
creating sectors in the world economy and the UK is one of
the major players with a growth rate of 16% in the creative
sector at the end of the 90s. As an economic sector the creative
industries are composed of a few well-known multinational
corporations (AOL, Sony, Microsoft, Disney etc) and millions
of micro businesses, sole traders, self-employed and freelance
individuals.
 It
is estimated that the creative industries in South Yorkshire
are growing faster than most other sectors, and generating
Million in annual revenues and that the largest sub-sector
in the region of the creative industries sector by number
of enterprises is music (10.4% - Information from 'Creative
Industries: Key Data' produced by Bretton Hall College in
1998 and 2000).
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Community
Development Opportunities
With the crucial part played by micro businesses and freelancers
in the creative industries there is significant scope for
local economic and community development around small-scale
creative enterprise and business start up, workspace and incubation.
Local communities can share in the training, employment and
enterprise opportunities opening up in the creative sector
providing that an infrastructure (building, access to new
technology and supportive management) can be developed to
take advantage of these opportunities.
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The
Music Industry
Music is big business. In 1999 the UK was the third largest
record sales market in the world generating revenues of £4.6
billion. The industry is changing rapidly as a result of the
impact of technology, the consolidation of power in major
record labels; the increase in local and community radio stations;
the fragmentation of the market for popular music; changes
in demographics and spending patterns and changes in the concert
industry. The new technology brings opportunities and threats.
At the micro business and freelance level there are the opportunities
to set up studios at minimum costs, to distribute product
globally via broadband and to sell online. This 'DIY' culture
extends to the small independent record companies who represent
30% of the UK market. They operate at the cutting edge, experimenting
with untried trends and acts and developing the new talent,
making a major contribution to the diversity and success of
the record industry at large.
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 Music
Industry Support and Funding
Electro Works has identified sources of support for the establishment
of its music education programmes through the National Federation
for Youth Music (funded by the Arts Council) and through the
Regional Arts Lottery Programme. Sources of business advice
include AIM (the trade body representing independent record
companies) and Meta, which provides information, support and
advice for workers in all forms of popular music in the UK.
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Above:
Hoodz Underground, © Chris Saunders 2003
Local
Collaboration and Support
36 sub-regional music companies and organisations have been
consulted with and constitute important sources of networking
and collaboration for the project. Consultation with them
and with generic support agencies yielded a large number of
useful action points. It also confirmed that there is widespread
interest and support for establishing a managed workspace
resource centre dedicated to music enterprises with start
ups and other forms of accommodation and bespoke training
and music education programmes and that such a centre can
support the development of the local music industry across
South Yorkshire.
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Models
and Experience
A number of managed workspace schemes dedicated to the creative
industries have been identified but there are few examples
of managed workspaces specific to music enterprise. There
are examples of schemes dedicated to other sub-sectors of
the creative industries, including Persistence Works in Sheffield
(fine art and crafts). Finally there are also examples of
organisations which have taken on a development function for
the music sub-sector.
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Patterns
of Work in The Music Industry
A large part of the music industry depends on freelancers
and micro-businesses which work on a number of projects at
the same time using a wide range of skills. The individuals
and enterprises in Stag Works are typical of this new labour
force. They are the first generation to have grown up with
computers and to have been enabled by the new technology.
They are highly individualistic and tend to be antiestablishment,
prizing freedom and autonomy.
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New
Social Entrepreneurs
Music freelancers and micro-businesses are a new breed of
local social entrepreneur. Like the Little Mesters, they combine
when required to deliver business projects, they use the techniques
of business to tackle social problems and they develop neglected
community and economic resources. Economic independents like
them are taking an increasingly important role in the creation
of new sustainable forms of employment and economic output.
Electro Works is a test bed for such enterprises and will
become a development driving force for growth in the local
music industry, giving new and often fragile start ups a better
chance of survival in the global creative economy.
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New
Attitudes
These new entrepreneurs are developing the new core competencies
now identified as necessary for success in business and the
world of work. These include; an appreciation of change, an
ability to live and work flexibly; an understanding of broader,
more blurred gender roles; a respect for cultural diversity
and a sense of cross-ethnic and cultural inter-connectedness.
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Right:
Pink Grease, © Tracy Welch 2003
The
Pound Goes Round: The Local Economy and Clustering
Music enterprises operate within local networks that provide
creative and emotional support and also generate internal
trade that ensures that pound for pound the output from these
industries tend to generate more local employment. Bands go
to video makers, record labels use local designers, promoters
use screen-printers, studios are built by local crafts people,
and everyone uses the local computer retailer. The sharing
of local knowledge and experience combined with the access
to technology and business support generate new products which
compete on the global market providing that the local base
is secure and rooted.
Music
enterprises clustered within a local setting provide a meeting
place for a potent mix of influences, both indigenous and
external. Creative people need to be grounded, near other
creative people. The creative industries have always organised
themselves in local clusters.
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Social
Inclusion, Equity and Equality
The work patterns and technological basis of creative enterprises
make them particularly attractive to the young unemployed
and hitherto economically inactive. They provide a seamless
mix of play, learning and economic activity for those excluded
from the economic mainstream. Success is more dependent on
passion, motivation, drive and creativity than on qualification
and position. Once people are involved new opportunities arise
for education and training as well as community enterprise
and new business formation. Involvement in the creative industries
integrates the development of social and practical skills
with self expression, communication and creativity.
At
the same time there is a wider benefit to the whole community.
Creative industries help make areas more attractive to visitors,
business and residents; they help develop organisational capacity
and enable groups to represent themselves; they foster social
cohesion and help bridge social, racial and geographical divides
and contribute to imaginative problem solving at an individual,
group or community level.
Right:
Headcharge, © Headcharge 2003
The
Electro Works Project is fully aware of the discriminations
faced by people with disabilities, young people, gay and bisexual
people, travellers and members of other ethnic communities.
It is also recognises the discrimination faced by women in
the music industry. It is committed to equal opportunities
in terms of employment, training, business practice and physical
access.
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