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CITY, CULTURE AND SOCIETY

Volume 5, Issue 1, March 2014, Pages 9-22

THE IMPACT OF ‘CREATIVE INDUSTRY CLUSTERS’ ON CULTURAL AND CREATIVE INDUSTRY
DEVELOPMENT IN SHANGHAI

Author links open overlay panelJane Zheng a, Roger Chan b 1
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HIGHLIGHTS

* •
CCJQs in Shanghai contain certain degrees of inter-company linkages and
networks, but they are not significant or stable.
* •
The companies with higher economic profitability are preferred, leading to
limited vocational variety in CCJQs.
* •
There is little concern about developing a real cultural climate for cultural
figures or creative workers.
* •
Unchanged cultural policies are restraining culture and creativity,
suppressing bottom-up cultural democracy and diversity.

ABSTRACT

A ‘creative industry cluster’ refers to a type of urban quarter that has a high
concentration of cultural activities and creative industry companies with
on-site networks that create added value. It is often used as a developmental
strategy that promotes cultural industries and individual creativities through
the provision of conducive cultural surroundings and agglomerative effects. This
article examines a transplanted version of creative industry clusters in China,
‘chuangyi chanye jijuqu’ (abbreviated as ‘CCJQ’) to explore their impact on
China’s cultural milieu for the development of cultural and creative industries.
A questionnaire survey was conducted within seven sampled quarters, and it was
complemented with interviews with quarter administrators and tenants. The survey
results show that although CCJQs do contain some functional clustering effects,
they do not effectively support small, creative industry companies or
individuals, and continue cultural policies that suppress the growth of culture
and creativities. The characteristics of the CCJQs in reality differ from
creative industry clusters’ functions in theory.

INTRODUCTION

The past decades have witnessed a distinct rise in global interest in the role
of cultural and creative industries in urban development (Bell & Jayne, 2004).
The origin of this trend can be traced to the 1960s, when social economists such
as Edward Banfield and Daniel Bell argued the value of culture to produce
incentives for economic growth. In the 1970s, the decline of traditional
manufacturing industries and the restructuring of global capitalism2 (Castells,
1989, Castells and Hall, 1994) triggered a global recession that was
characterized by de-industrialization and structural unemployment in Western
Europe and the United States (Logan and Molotch, 1987, Short et al., 1993,
Zukin, 1982). In the process of seeking a new driver for local and regional
economic growth, government economic planning began to incorporate culture as a
strategy (Binns, 2005). The cultural policy now emphasized the ‘cultural
economy’ and ‘cultural industries’ rather than arts ‘as-amenity’ and ‘high arts’
(Bayliss, 2004a, Evans, 2001a). Cultural industries comprise fashion, crafts and
design based manufacturing and high-tech industry (Bianchini, 1993); they are
celebrated for generating multiplier effects for other industries, improving the
image of a place and enhancing the quality of life (Evans, 2001a, Gibson, 1999,
Myerscough, 1988, Rutten, 2005, Throsby, 2000; etc.). In the U.K., cultural
policies have proven useful in establishing a new political base and
remobilizing emerging social strata which were not affected by old policies
(Bianchini, 1993, p. 11).
This tendency of intertwining culture, economy, local governance and identity
was put forward by the Department for Culture, Media and Sport (DCMS) in the
U.K. in 1997. It completed a rhetoric shift from ‘culture’ to ‘creativity’ in
policy and planning terms and proposed the concept of ‘creative industries’.
According to the DCMS (1997), ‘Creative industries’ are ‘those activities which
have their origin in the individual’s creativity, skill and talent and which
have the potential for wealth and job creation through the generation and
exploitation of intellectual property’. The thirteen sectors in ‘creative
industries’ comprise ‘advertising, architecture, the art and antiques market,
craft, design, designer fashion, film and video, interactive leisure software,
music, the performing arts, publishing, software and computer games, television
and radio’.3 The U.K. DCMS’s promotion of ‘creative industries’ initiated a new
global movement focusing on the cultural economy, in which ‘creative industry
clusters’ are the main mechanism for cultural economy development. They are the
areas that contain a distinctly higher concentration of cultural facilities and
other ancillary activities such as libraries and recreation (Roberts, 2002,
Roodhouse, 2006, Wansborough and Mageean, 2000, Wynne, 1989). These act as a
focus for cultural and artistic activities within ‘a group of buildings devoted
to housing a range of such activities, or purpose designed or adapted spaces
that create a sense of identity, providing an environment to facilitate and
encourage the provision of cultural and artistic services and activities’
(Roodhouse, 2006, pp. 21–22). In many cities, a cultural and creative industry
cluster is viewed as a panacea for economic and environmental survival and
prosperity (Bell and Jayne, 2004, Evans, 2001a).
The Shanghai municipal government borrowed the term ‘creative industry cluster’
from the global movement towards developing cultural and creative industries. It
designated and labeled certain forms of urban quarters that had emerged in
recent years in Shanghai as ‘chuangyi chanye jijuqu’ (creative industry
clusters, cited as CCJQs in the following text). These urban spaces began as
derelict industrial urban quarters accommodating poor artists and cultural
businesses that originated independently from spontaneous bottom-up
participation rather than from the actions of the municipal government. They
also demonstrated a degree of concern for cultural development and historic
building conservation, which diverged from the current practices of urban
governance in China. In 2005, the municipal government began to put the
development of such spaces on its agenda and set up a specialized public
institution, the Shanghai Creative Industry Center (SCIC), under the Economic
Committee of the Shanghai municipal government. In 2005, this institution began
designating quarters as CCJQs. By the end of 2006, 75 quarters in four rounds
were designated (Fig. 1). The main feature of a large section of CCJQs is the
adaptive reuse of old factory buildings for new studio, office or retailing,
thus retaining the old industrial buildings and ensuring new uses and
perceptions. This has changed China’s long term approach in dealing with old
industrial buildings in urban development.4 The Shanghai Creative Industry
Center also claims that there is a high degree of agglomeration of artists and
creative enterprises in CCJQs and these quarters are contributing to the
increase of local tax revenues and stimulating the growth of local cultural and
creative industries (Guo, 2005, Ji, 2004, Xie, 2005).
This article aims to investigate the impact of CCJQs on Shanghai’s cultural
production environment which fosters culture and creative industries. ‘Culture’
in this article refers to values and views (Galley, 2001), and human creativity
and intellectual capital (Ruyters, 2005) that need to be fostered by the state
as an important dimension of urban development. This differs from the meaning of
‘culture’ as symbolic representations or strategies used in place making and
marketing practices (Bayliss, 2004b, Rains, 2004). The creative industry cluster
approach serves as the theoretical foundation, according to which, creative
industry clusters function to support micro/small cultural/creative companies
and start-ups, contributing to cultural diversity, cultural democracy, and
individual creativities with agglomerative effects.
This article argues that CCJQs have a limited effect in fostering small creative
industries and individuals; they have transformed creative industry clusters
from being areas facilitating creative companies and individuals (in their
original meaning) to being simply physical containers for businesses. The
article applies theories regarding the nature of China’s urban governance and
suggests a theoretical explanation of CCJQs.

SECTION SNIPPETS

CHARACTERIZING THE ROLE OF THE ‘CREATIVE INDUSTRY CLUSTER’ STRATEGY IN CREATIVE
INDUSTRY DEVELOPMENT

The creative industry cluster approach5 is embedded in two theoretical sources:
the cultural approach to local and regional development and cluster theories.
Bianchini (1993) defines culture-led strategies as production and consumption
oriented models. The rationale for creative

THE CHINESE CONTEXT FOR THE DEVELOPMENT OF CCJQS

This section studies the Chinese context. It first reviews the cultural
environment of China and evaluates the significance of proposed research
problems in order to develop an understanding of China’s cultural environment.
It then discusses the specific context for the initiation and development of
CCJQs, including the institutional background and creative industry policies.

DO CCJQS PROVIDE FUNCTIONAL CLUSTERING EFFECTS?

Both the Chinese cultural institution and CCJQ policies that created CCJQs as
discussed above have indicated a socio-political setting different from that in
the West. The following two sections will evaluate the impact of CCJQs. In
theory, creative industry clusters function to promote inter-company linkages
and networks, provide support to small cultural/creative companies, generate
creativity, and foster culture with suitable cultural policies. Hypotheses 1 and
2 are tested in this section.

DO CCJQS PROVIDE A CULTURAL CLIMATE CONDUCIVE FOR THE GROWTH OF CULTURE AND
CREATIVITY?

This section tests Hypotheses 3-6. They are discussed under three sub-sections:
first, CCJQs’ admission policies lend support to creative industry companies and
cultural activities; second, CCJQs have improved cultural diversity and cultural
democracy; and third, CCJQs provide dedicated management services to cultural
activities and creative industry companies.

DISCUSSIONS AND CONCLUSIONS

This article investigates the role of CCJQs in influencing Shanghai’s cultural
milieu for the growth of creative industries. Six hypotheses are derived from
the literature that discusses the functions of creative industry clusters.
Research Problem 1 is concerned with the functional clustering effects in CCJQs.
Problem 2 investigates whether cultural policies in CCJQs support cultural
businesses and creative industries, or improve cultural diversity and cultural
democracy.
The research findings

ACKNOWLEDGMENTS

The authors are grateful to the journal editor and reviewer for comment and
support. Jane Zheng also thanks Professor Desmond Hui and Professor Hua Jian for
their invaluable assistance with data collection. Ms. Rosemary Tan did helpful
proofreading and Miss Rebecca Pang contributed to finalizing the format. Roger C
K Chan would like to acknowledge the support by the Universityof Hong Kong
Research Award (HKU740211H) leading to this publication.
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CITED BY (49)

* AMENITY, FIRM AGGLOMERATION, AND LOCAL CREATIVITY OF PRODUCER SERVICES IN
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2022, Cities
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level and have been criticized for unclear spatial mechanisms and missing
local context. This study constructs a theoretical framework to understand
the role of urban amenity on the local attractiveness to producer services
and further analyzes such attractiveness in Shanghai in terms of
agglomeration and creativity using open data. We find that creative firms are
more clustered than other producer service firms and urban amenities in
Shanghai. The regression results show that urban amenity is strong in
explaining local attractiveness to creativity rather than firm agglomeration
at the 1-km scale. The attractiveness of the local urban area to creativity
may be affected by urban amenity in various ways, including co-location,
accessibility, and high-density clusters. Such relationships also follow
Shanghai's monocentric structure. The importance of urban amenity decays as
the distance to the central business district (CBD) increases in regards to
firm agglomeration but persists in terms of creativity level. These findings
highlight the importance of considering the co-existence of different spatial
relationships and accentuate the differentiated applicability of industrial
agglomeration and creativity theories.

* DEVELOPMENT AND VALIDATION OF A TOURIST EXPERIENCE SCALE FOR CULTURAL AND
CREATIVE INDUSTRIES PARKS

2021, Journal of Destination Marketing and Management
Citation Excerpt :

CCIP-related work has mainly been concentrated on the roles of culture and
creativity in economic development and revitalization in increasingly urban
societies. Local governments often use CCIPs to enhance areas’ tourism
attractiveness and foster tourism growth (Zheng & Chan, 2014). The
development of CCIPs has contributed to the resilience as it diversifies its
tourism revenue.

Show abstract
This research assesses and explores the dimensionality of tourist experiences
based on their visits to cultural and creative industries parks (CCIPs). This
study used in-depth interviews involving the free association method along
with content analysis to generate initial measurement items. Next, expert
opinions were solicited and exploratory factor analysis was conducted to
explore the underlying structure of tourist experiences. Confirmatory factor
analysis was then performed to further validate the proposed measurement
scale. The scale includes seven dimensions (learning, recreation,
exhibitions, service, food, facilities, and souvenirs) covering 27 items. In
addition to presenting a unique perspective on tourists' experiences, this
study offers a timely framework as CCIPs become emerging travel destinations.
A tourist experience scale related to CCIPs is a welcome addition to the
literature and can serve as a foundation for future research into tourists’
behavioral intentions. Furthermore, findings are expected to shed light on
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* ECO-DESIGN AND ECO-MATERIALS: AN INTERACTIVE AND COLLABORATIVE APPROACH

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Sustainability and recycling have come to be keywords in many consumer
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for sustainable development. While different recycled and sidestream
materials are available in industry, the relation between sustainability and
the use of new composites is still difficult to be evaluated and integrated
into the early design phases for the creative area. This paper deals with a
collaborative Eco-design approach to support these tasks and overcome
traditional limits using an interactive approach. The interaction regards the
collaboration between several stake-holders such as designers, manufacturers
and suppliers throughout the engineering activities and value stream. The
framework of an Eco-design tool is proposed to evaluate secondary raw
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* THE CREATIVE SPATIO-TEMPORAL FIX: CREATIVE AND CULTURAL INDUSTRIES
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Citation Excerpt :

In particular, Zheng (2016) has rightly pointed out that most of the creative
industry clusters in Shanghai are profiting-making in nature, rather than
fostering awareness of art and culture and cultivating grassroots creative
workers and artists. As the cultural policies do not foster but suppress the
growth of small, creative industry companies or individuals with limited
commercial values, a strong clustering effect does not exist in Shanghai’s
CCIs clusters (Zheng and Chan, 2013, 2014). By and large, these research tend
to see CCIs development and CCIs clusters as the end products or the means of
urban entrepreneurialism, and have not connected them with wider spatial
practices, periodised urban strategies, and the overall regime of capital
accumulation.

Show abstract
As the idea of creative city becoming a universal panacea for economic
stagnancy and urban boosterism, the heavy dependency on creative fixes has
widely spread to cities around the globe through urban networks and
neoliberal urban policies. Since the late 1990s, Shanghai has expeditiously
embraced the idea of making creative city and enthusiastically promoted the
development of creative and cultural industries (CCIs). This research
proposes the idea of ‘the creative spatio-temporal fix’ to interpret
Shanghai’s CCIs development over the last decade: under an overarching
framework of creative entrepreneurial governance, the creative
reconfiguration of the built environment (spatial fix) and temporal deferral
of crisis and long term speculation on land (re)development (temporal fix)
are in place to cope with the crisis of capital accumulation. Two rounds of
creative spatio-temporal fix are discerned and epitomised in the case of Red
Town, an iconic CCIs zone in Shanghai. Drawing on policy analysis and
in-depth fieldworks, this study scrutinises into the creativity of the
spatio-temporal fix and the spatiality and temporality of the creative fix in
Shanghai. The findings are threefold. First, CCIs development is underwritten
by a multi-scalar entrepreneurial network and its alliance with SOEs
landlords and private developers. Second, the creativity of the
spatio-temporal fix can be seen in the creative institutional design enabling
CCIs development and forming an alliance with the SOE landlords, as well as
the strategic speculation on the theme of creative city. Third, the
spatiality and temporality of the creative fix are manifested in the temporal
deferral of the crisis of deindustrialisation and limited spatial
reconfiguration at the first stage, and a radical spatial restructuring with
a temporal fix introducing financial capital at the second stage.

* CULTURAL AND CREATIVE CLUSTERS–A SYSTEMATIC LITERATURE REVIEW AND A RENEWED
RESEARCH AGENDA

2020, Urban Research and Practice

* RESEARCH ON INVESTMENT EFFICIENCY AND POLICY RECOMMENDATIONS FOR THE CULTURE
INDUSTRY OF CHINA BASED ON A THREE-STAGE DEA

2016, Sustainability (Switzerland)

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