Taiwan's economic landscape has changed significantly over the last ten years. Previously dominated by a focus on large-scale manufacturing and production operations, domestic enterprises are having to evolving to compete not on only price but also value. In addition to the continued development of its high-tech industries, Taiwan has embraced the need for production networks with greater diversity to better adapt to a "post-Ford" era in which global competitiveness hinges on the successful development of a knowledge-based economy. In fact, production areas oriented toward creativity and design potentially have the greatest added value in a knowledge-based economy, especially creativity and design that is rooted in artistic creation.
The government has thus designated the cultural and creative industries for development as part of the National Development Plan in 2002, recognizing the importance of shifting the economy toward higher value-added productivity. The following areas are the main focus of this plan:
Although these kinds of enterprises are diverse, smaller in size and more widely distributed than enterprises in other industry areas, employment in these enterprises continues to grow, which in turn is raising the overall quality of the living environment in Taiwan.
The main thrust of the government's plan is to work with local governments, area professionals, civic organizations and businesses to provide integrated mechanisms for cultivating talent, research development, information access, funding assistance, provision of space, coordinating academic-business collaboration projects, marketing and promotion, providing land lease and tax incentives, etc. Targets under this plan include doubling the number of people employed in, as well as doubling the production value of, the cultural and creative industries in Taiwan. Another goal of the plan has been to establish Taiwan's cultural and creative industries as a leading force in the Chinese-speaking world.
The cultural and creative industries in Taiwan are defined as "any industry that sources original works or cultural collections and, through the formation and use of intellectual property rights, has the potential to create wealth and employment opportunities while also promoting the overall quality of the living environment."
Thirteen industries have been identified and categorized under the cultural and creative industries. The following is a list of these thirteen industries and the four government agencies (competent authority) responsible for their development.
Government policies as well as the creative force of the private sector have played an important role in Taiwan's economic transformation. The integration of the cultural, creative, artistic and design resources has improved the overall living environment in Taiwan, and has helped the cultural and creative industries to take root and grow.
Taiwan's cultural and creative industries, through the joint efforts of the public and private sectors, have developed rapidly over the last five years, gaining recognition locally and internationally for its many world-class products, services and performances.
In 2005, the annual production value of the cultural and creative industries in Taiwan boasted NTD$581.1 billion. Collectively they also registered annual growth of 7.5% from 2003 to 2005. The industry areas that produced the greatest added value were the industrial arts, broadcasting and television, publishing, architectural design, advertising, design and digital entertainment industries.
Unit: NTD100 million
Unit: NTD1000
| 2005 | No. of Enterprises | Annual Turnover | Added Value | No. of People Employed |
|---|---|---|---|---|
| Visual Arts | 3,086(-1.12%) | 5,287,954(0.13%) | 3,807,327(0.13%) | N/A |
| Music and Performing Arts | 1,019(16.86%) | 6,616,260(17.96%) | 4,565,219(17.96%) | N/A |
| Industrial Arts | 10,892(2.02%) | 67,468,353(1.03%) | 38,456,961(1.03%) | N/A |
| Cultural Performance Facilities | 273(13.75%) | 2,696,308(30.31%) | 1,860,453(30.31%) | N/A |
| Movies/Film | 648(-1.67%) | 13,078,510(-0.34%) | 6,539,255(-0.34%) | 4,694(-19.99%) |
| Broadcasting and Television | 1,743(-1.08%) | 100,931,894(4.01%) | 50,465,947(4.01%) | 30,669(-3.66%) |
| Publishing | 3,581(5.76%) | 71,583,504(-1.83%) | 42,950,102(-1.83%) | 40,554(3.97%) |
| Architectural Design | 8,249(-0.54%) | 81,237,538(10.20%) | 61,740,529(10.20%) | 14,246(5.37%) |
| Advertising | 11,766(5.29%) | 141,125,342(0.51%) | 42,337,603(0.51%) | 46,158(9.48%) |
| Design | 2,096(8.88%) | 50,257,096(4.19%) | 35,682,538(4.19%) | 19,939(16.2%) |
| Digital Entertainment | 8,315 (4.62%) | 21,764,800(8.96%) | 15,017,712(8.96%) | 34,128(4.62%) |
| Creative Living | 74(39.62%) | 19,019,690(66.97%) | 5,049,450(52.41%) | 5,296(47.56%) |
| Total | 51,742(3.25%) | 581,067,249(2.6%) | 308,473,095(4.39%) | 195,684(5.34%) |
Although the Cultural and Creative Industries Development Plan was only launched in May 2002, it has been widely acknowledged for its accomplishments. Not only are the cultural and creative industries fast becoming an important source of great added value, they are creating and will continue to create many employment opportunities in the future, thus becoming an important pillar of Taiwan's economic structural transformation.
Liuli Gongfang, tittot, Golden Moon and other culturally creative companies making hand-crafted colored glass products has challenged many people's thinking that such culturally focused companies can't be profitable. Not only have the beautifully designed products of these companies been recognized for their creativity and exceptional craftsmanship at international giftware exhibitions and trade shows, they are sought after by discerning collectors and top-of-the-line giftware purveyors alike. Of special note is Franz Collection Inc., which took best in show at the New York International Gift Show in 2002 for its Butterfly Series of porcelain gifts. Franz Chen, founder and president of the company, had a vision to revive the Chinese porcelain art and created his own collection of fine porcelain tabletop and decorative accents in Taiwan. The company has since succeeded in entering a market originally dominated by European porcelain makers. The company has also extended its enterprise into education and tourism areas by bringing ceramics and ceramic making into everyday life. The One, another local product design company, has doggedly pursued its vision by designing, molding and producing limited edition tableware and fine dining products. The company has succeeded in marketing its products in the overseas boutique product markets by maintaining a low profile yet highly cultivated style. Why have these products succeeded in capturing market share? Franz Chen believes it boils down to this: "Only a product with a story will inspire people and make them dream."
A simple composed picture painted in pastel water colors looks like it could be the imaginative world of a children's story book; the accompany prose are poetic yet clear. This is the world of Jimmy. Using illustrations to create a kind of new literary language, Jimmy paints the emotions, fantasies and dream worlds of city people. Jimmy's special power is precisely to let adults believe in the existence of the children's story book worlds, where they can find emotional release for their pain and suffering. Several of these illustrated story books have been adapted for film, which have set records in Taiwan for ticket sales. One story, "The Fish that Smiled at Me", was made into an animated film, garnering the best children's production at the 56th Berlin International Film Festival. A single 20cm by 20cm book has already created NTD100 million annual sales in Asia through licensing arrangements for the creation of movies, stage productions and other peripheral products based on the illustrated story. Such an amazing accomplishment only underscores how the cultural and creative industries of Taiwan are the key to tapping real treasure.
In recent years, Taiwan has also showed itself to be a major force in worldwide product design capabilities. In 2006, Taiwan-designed products garnered a total of 146 awards at iF, red dot, IDEA, G-Mark and other internationally renowned award competitions, which is a 50% increase over the 100 awards picked up in 2005 competitions. Moreover, companies like Nova Design, ERA Design, SQV Design International, ASUS' design team, BenQ's design team, Image and many other design firms or groups are expanding their presence in the United States, China and Japan design markets. In 2005, the Taiwan Design Center led a delegation of local design teams to make presentations on Taiwan's design capabilities and strengths at the annual meeting of the Industrial Designers Society of America (IDSA) in the United States, opening up overseas business opportunities for Taiwan's design industry and setting the stage for international cooperation with American design firms.
(Posted November 2007)