THE LITERATURE ON CREATIVE SECTORS

1.1 Introduction to the Creative Economy

We are now embarking on a new quest to position Kuala Lumpur as one of the creative hubs of the world, to be parallel with the mega cities of London, Milan, Los Angeles, Tokyo and even our next-door neighbours Bangkok and Singapore. As we enter the creative economy spotlight, we can show ourselves as not only emerging as the new creative hub within the region but even more importantly, helps to sustain the economic growth and development of the city.  (KL Design Week 2010)

This chapter separates the issues surrounding the concepts of creative economy and creative sectors into four subheadings. The first section presents domains of creative activity model, and introduces the concept of economic creativity. The chapter finishes by addressing the concepts of technological creativity and cultural creativity.

The rapid evolution of information, communication and technology (ICT) has brought profound changes in lifestyles worldwide. Not all countries have equal ICT facilities and growth. Subsequently, the United Nations Conference on Trade and Development (UNCTAD 2008, iii) has recognised that it is time for the world to go beyond economics, and look for a more holistic development approach that considers different cultural identities, economic aspirations, social disparities, and technological disadvantages. As a result, the concept of a creative economy was identified by the UN in 2008. UNCTAD, along with other international agencies such as the World Bank, promote the need to bring issues relating to culture and technology into the mainstream of economic development thinking.

In this study, the term content and experience industry or cultural tourism is used to describe the development of the creative economy concept in Malaysia, which has adapted a model based on the experiences of many countries, including Japan, the US, and UK. Further, these two sectors reflect the case studies investigated by this research: products from content (animation) and experience (museum) industries.

Until recently, there has been lack of understanding about creative economies. In Malaysia the government has yet to implement a creative economy policy. Additionally, the government has no official definition of the concept. The first section of this chapter discusses the problematic

concept of creative economy and creative industries with a focus on developing countries. A domain of creative activity model from Mitchell, Inouye and Blumenthal (2003, 1) is introduced as the primary guideline for this thesis.

1.2 Domains of Creative Activity

In defining the term creative economy John Howkins (2001, 15) says that while creativity and economics are not new, the nature and extent of the relationship between them, and how they combine to create extraordinary value and wealth is. Kong (2000) states that the important nexus between culture and economy is neither a recent development nor a novel inclusion in the social science agenda; for instance, the term, cultural industry has been established for more than two decades. As UNCTAD (2008, 5) reports, whether it is an old concept being recycled or totally a new concept, the creative economy contributes significantly to economic growth.

The definition of creative economy according to UNCTAD is applicable to all countries. In their special report focusing on developing countries, UNCTAD (2008, 15) identified five major contributions of the creative economy:

i) it can foster income-generation, job creation and export earnings while promoting social inclusion, cultural diversity and human development;

ii) it embraces economic, cultural and social aspects interacting with technology, intellectual property (IP), and tourism objectives;

iii) it is a set of knowledge-based economic activities with a development dimension and cross-cutting linkages at macro and micro levels to the overall economy;

iv) it is a feasible development option calling for innovative, multidisciplinary responses and inter-ministerial action; and

v) at the heart of the creative economy are the creative industries.

Based on their report, UNCTAD concluded that developing nations can compete with developed countries. Further, there is no one-size-fits-all approach sector. For some developing countries such as Afghanistan, Bangladesh, Kenya and Somalia it would be more beneficial to concentrate on making the legal system, particularly copyright law, function more effectively (Schultz & van Gelder 2008).

Although there are widespread variations in the literature, many governments and policy makers have quickly adopted the concept in their policy development. Policy makers believe that the creative economy has significant potential as a means for their economies to grow

(Fleming 2007), as well as providing new employment opportunities. Kong et al (2006) point out that much of the economic transformation in the USA and West Europe over the last three decades is due to cultural economy (another term used for creative economy). Many developing countries in Asia wish to follow this model, but the Western discourses of creative economy may not be workable in Asian countries. For example in China, the ‘Western’ democratic model of creative industries needs to be modified to accommodate a top down authoritarian structure. Although Chinese authors such as Li Wuwei (2011), believes China is experiencing the same creative development phases as what other Western developed countries experienced, Keane (2011, p xiv) argues that different regions in China interpret the idea of creative industries according to their needs and resources with traditional culture being the core element. In developed countries the emphasis is more concentrated on new media, user-created content and consumer productivity.

In Beyond Productivity, Mitchell, Inouye and Bluementhal (2003, 1) provide an alternative way of examining the issues, by advancing four primary creative domains: scientific; economic; technological; and cultural creativity. These domains—shown in figure 2.1—are tightly coupled; activity in one direction depends on parallel activities in other sectors and disciplines (ibid. 22). The main characteristics of creative activity identified are shown in interacting domains that are important for the growth of strong creative sectors.

Figure 2.2: Domains of creative activity

(Mitchell, Inouye & Blumenthal 2003, 22).

2.2.1 Scientific, Economic, Technological, & Cultural Creativity

Discussions of scientific creativity can be traced to the 1960s (Lehman 1960; Barron and Taylor 1963) in terms of its relationship with mathematics and medicine. Scientific inquiry begins with a combination of imagination and observation (Hu & Adey 2002). Mitchell et al. (2003, 18) mention that in science and mathematics, the primary fundamental outcome of creative intellectual effort is in contributing “new knowledge”. In general, they believe scientists and mathematicians are clear on the difference between “new knowledge” and that which results from incremental advances within established intellectual frameworks. The success of scientific creativity may lead to technological innovation and economic growth, and can inform cultural values. While scientific creativity is not within the scope of this study, the importance of scientific creativity is acknowledged, and there is a close alliance between it and the other three domains: economic, technological and cultural. Technological creativity has taken an important global role through the growth of information and communication technologies (ICT). Cultural creativity—through works of arts, design and heritage—is based on traditions and values, and provides rich experiences to communities.

In Malaysia, the creativity domain is regarded as a key issue. In the education sector, courses relating to culture, technology, economics and sciences, are a central part of the educational system. However, courses on animation, creative writing, and sound engineering have been offered only since the late-1990s. The number of public and private academic institutions featuring such programs has been growing substantially. There are more than ten Malaysian universities—including Aswara, UiTM, University of Malaya [UM], UTAR, LUCT, Malaysia Multimedia University [MMU], and Universiti Malaysia Sarawak [UNIMAS])—with faculties, centres, and departments that include the word “creative” in their names.

1.3 Economic Creativity

UNCTAD’s (2008) definition of creative economy notes a close link to economic creativity as defined by Mitchell et al (2003). Fresh ideas are needed in the twenty-first century in order for countries to sustain their economy and become competitive. Countries lacking in natural resources can compete in other ways. For instance, Singapore is a small country with few natural resources, but the country has managed to reach a developed status within a short period of time through technological development (Teo & Huang 2005, 593). The next step for Singapore is to enhance the creativity of its population. Traditional economic development that

highly depends on commodities and manufacturing may no longer be the only way to generate income.

Creativity is recognised in assisting the growth of a nation. Entrepreneurship brings ideas, talent and capital together in innovative ways, and creates and markets products and services that are the core foundation for the growth of economic creativity (Mitchell et al. 2003, 18). In information technology and biotechnology fields, close alliances emerge between the institutions of technological innovation (such as research universities) and entrepreneurial activity, where each one requires and motivates the other. This is particularly evident in fast moving, high technology economic clusters, such as the information technology cluster in Silicon Valley or the biotechnology cluster of Cambridge, Massachusetts (ibid.). Thus, economic creative is closely linked to technological and cultural aspects. Although the development of economy may not depend on technology and culture, both play a major role.

2.3.1 The Differing Creative Economies in Developing Nations

Realising the problematic definition of creative economy, UNCTAD (2008, 12) has formulated a wider definition that covers all aspects of creativity and economic forms. UNCTAD argues that developing nations have capabilities and substantial potential for developing their creative economy, and should use all available resources to realise social and economic benefits. UNCTAD (ibid.) identified developing countries—such as China Indonesia, Iran, Pakistan, Malaysia and Turkey—that are key producers of creative commodities. This report is now a guide for many developing countries formulating creative economy policies.

Among developing nations, Indonesia is among the few nations that have developed and detailed creative economy plans. In 2008, the Creative Economy Development 2025 strategy was unveiled, with the vision to make Indonesia a nation with a quality of life and creative image favourably comparable to the rest of the world (Indonesia Department of Trade 2008). The government’s mission aims to empower Indonesia’s citizens to become a main source in their nation’s development, and to:

increase the contribution of the creative industries to Indonesia’s GDP;
increase export of products/services based on creativity, which is enriched from local value and contemporary spirit;
increase competitive companies of creative industries;
focus on the sustainability of resources;
creation of economic value from creative innovation, including from local value and cultural heritage;
development of creative zones/clusters in potential areas;
strengthen creative images on products/services to attain “National Branding”.

For some western countries, Asia’s economic expansion is a threat. The positive development of the economy in the Asian region has provided a stimulus for cultural development (Mahbubani 2008, 26). As Rohwer (1995, 17-18) has pointed out, many Asian countries have been good at putting together the elements that contribute to economic growth, particularly in relation to manufacturing.

Developing nations have a potential to develop their creative economy. Most developing countries depend heavily on their natural resources. Consequently, their definition and understanding of creative economy emphasise arts, handicrafts, heritage, museums and traditional performances. Some developing countries such as China, Indonesia and Malaysia are starting to implement new technologies to enhance their creative sectors, but their substantial strength is still on their natural resources.

2.3.2 Creative Industries: New and Untested Ideas

Today, more developing countries are starting to develop their creative economy with local elements added. The UNCTAD Report (2008) has guided the growth of their creative economy sectors. However, some scholars argue that creative economies exhibit more of a top down approach from the government to the public. This can be seen in many countries, in particular, Singapore (Lee 2010) and China (Keane 2007).

The implementation of policies has raised concerns from Oakley (2004), who argues that the use of creative industries as a single weapon to turn around economically-depressed regions risks creating polarised and unsustainable economic development. Further, the sustainability and success of creative industries cannot be disconnected from cultural policies. Mitchell et al. (2003, 19) argue that many subsectors of creative industries could hardly be called creative in any sense.

In 2001, a report by the United Kingdom’s Department of Culture, Media, and Sport (DCMS) claimed that creative industries contributed over 112-billion-pounds revenue and offer 1.3- million job opportunities in the UK. However, since subsectors of creative industries are

multifaceted, the figures reported by DCMS are sometimes disputed. In his analysis of the effectiveness of creative industries policy-making in the UK, Garnham (2005) criticises the DCMS strategy as making statistics look impressive to the Treasury by turning public cultural goods into commodities.

To some extent there are similarities between Asian and European nations. De Berranger and Meldrum (2000) state that at a European level (except for the UK), creative industries include heritage, literature, the press, music, the performing arts, visual and audio-visual media and socio-cultural activities. A similar scenario occurs in developing countries, where the majority of creative industries emanate from deeply-rooted cultural traditions (Cunningham, Ryan, Keane & Ordonez 2004). Due to the newness and diversity of this sector, many policymakers are still looking for the right formula to best develop their creative industries. With growth so important in advancing the cause of the creative economy to governments, there are now many overlapping subsectors; for instance, culture and heritage sectors are considered as part of the tourism industry in some countries like China, Malaysia and Thailand.

Growth depends heavily on political environments. Each country has different cultural barriers, financial strengths and political environments which may act as barriers to development (Cunningham et al. 2004). With a majority of creative companies being small and medium enterprises (SMEs), these companies face a tough road to success. However, with the assistance from world organisations such as UNCTAD (for creative economy and creative industries), UNESCO (for culture) and the World Bank, these companies at least have some direction. The next section will discuss further about SMEs relating to creative industries.

Small and Medium Enterprises (SMEs)

There are many definitions of SMEs, generally based on the number of employees, total net assets, sales, and investment level. The most common definition, according to Ayyagari, Beck and Demirguc-Kunt (2003), involves staff numbers; many sources define SMEs as having a cut-off range of up to 250 employees. De Berranger and Meldrum (2000, 1828) state that SMEs have wide variations in factors such as size, location and industrial sector. Since most creative industries companies employ less than 250 staff, they are predominantly SMEs. Nonetheless, the data on SMEs is limited (Ayyagari et al 2003, 3) and most research focuses on manufacturing companies and on developed countries. More research is needed on SMEs, particularly on creative industries in developing countries, where the industries are poorly
documented. This study addresses this issue by focusing on the establishment of SMEs in the animation sector in developing countries, specifically in Malaysia.

According to the DCMS Report (2001), the majority of creative industries key players are freelance, and SMEs. Leadbeater (1999, 49) states that:

Creative industries, such as music, entertainment and fashion, are driven.....not by trained professionals, but cultural entrepreneurs who make the most of other people’s talent and creativity. In creative industries, large organisations provide access to the market, through retailing and distribution, but the creativity comes from a pool of independent content producers.

Freelancers, small, and micro-businesses provide an extremely substantial part of the overall employment in creative industries sectors (O’Connor 2007). McGray (2002) points out that in Japan, the recent recession may have stimulated Japan’s young entrepreneurs to start their own businesses and experiment particularly in art, music, and other risky endeavours. Many small businesses have emerged in fashion, magazines, music labels and music clubs. Larger companies are starting to support these small businesses because of their substantial presence (ibid.).

The Malaysian government has stressed the crucial role of SMEs in achieving their vision for 2020 (Foong 1999, 81). Consequently, they are promoting and upgrading Malaysian SMEs to provide a strong and competitive industrial foundation. As a result of the poor understanding about SMEs in Malaysia, particularly in creative sectors, not much data is available. This study is therefore timely.

2.4 Technological Creativity

Many authors have identified that creativity, innovation and technology are closely linked (see Florida 2005; Richard & Wilson 2006; Roodhouse 2006; Smith 2007). Mitchell et al. (2003) establish that in engineering, and in technology-based industries, creativity is the core element for technological inventions. These inventions can create commercially successful products, improve quality of life, and encourage the generation of income streams through intellectual property licensing. In addition, technology has been implemented in all sectors and aspects of human life, from culture, entertainment, education and finance, to health, hospitality, and transportation (see Allenby 2006). But advances in technology have made consumers more demanding.

There has been considerable debate among scholars about the original meaning of creativity, which traditionally relates to art and artisans (Banks et al. 2002). Yet many discussions of creative industries consistently mention technology. Sectors such as animation, digital content, and entertainment (music and films) are dependent on technological innovations (Yusuf & Nabeshima 2005). As pop music groups from Japan and South Korea hit the Asian market, many made innovative use of technology. McGray (2002) mentions a Japanese band called Lipless X Sister, whose members wore stylish western fashion and hair styles, and were popular for their dance routine called “Para Para”, which has a resemblance to “the Macarena”. The band featured few traditional elements. Technology can assist the growth of sectors, especially as the infrastructure is now cheaper than ever before, thus providing catch- up advantages for developing countries.

Many economists agree that the Asian region has a significant potential to become a world economy power in the twenty-first century, particularly with the rapid development of China, India and Indonesia (Mahbubani 2008, 2). Countries like Japan and South Korea have been the economic leaders in Asia for the past two decades, and their influence in the world economy today relied on their technological infrastructure. Realising the importance of technology as leapfrog to economy transformation has made many governments in Asian region focus their attention on developing their technology. The establishment of mega- projects relating to technology transformation—including World Media Capital (China), Multimedia Super Corridor (Malaysia), Intelligent Island (Singapore), and Modern City (United Arab Emirates)—have been rolling out since the 1990s.

The influence of technology advancement from Japan and South Korean, in particular, is experienced globally. Brand names like Canon, Honda, Kia, Kodak and Samsung are household names. McGray (2002) pointed out that from the 1980s, Japan represented a new kind of superpower through their economic strength without using their army, and not needing to prop up puppet regimes, or fight proxy wars. Japan’s success has engendered confidence in other non-western countries to make Japan as their role model, and develop their own economies. Many Asian countries have followed Japan’s lead and launched closer networking with the Japanese government and companies. In Malaysia, locally produced cars, the Proton and Perodua, are both based on Mitsubishi and Daihatsu technology. Although there are differences in culture between Japan and other Asian countries, they shared significant similarities compared to other western countries (Milne 1986; New Straits Times 2009).

In Japan, it is reported by Yoshimoto (2003) that, their content industry has been identified by their government to have the potential to keep their economy sustained in the international market. Due to the success of Japan and South Korean content industry followed by Singapore (although more of outside sources rather than their original products and services), more countries in Asia are upgrading their content industries facilities and infrastructure. The term content industry is used widely in Japan to describe creative industries. The power of the content industry is never to be underestimated, as it serves like a “soft power” for countries to promote their culture and countries to the world like Hollywood films do for the United States. China, in particular, is aggressively developing and promoting their content industry as their “soft power”.

2.4.1 Content Industry

One of the most prominent subsectors of the creative industries is the content industry; in some countries, this is a more familiar term. The content industry is discussed here in the context of Japan’s Ministry of Economy, Trade and Industry (METI), and this grouping includes films, music, game software, and animation (Yoshimoto 2003). By the early 1970s, Japan had emerged as the new power in content industry. Their products have been embraced internationally, and became a threat to the traditional content industry producers from western countries (McGray 2002). Asian countries, including Hong Kong, Japan and India, became pioneers in the region and broke into the global market with their content products. Previously, in the 1950s, children grew up with Mickey Mouse and Superman cartoons. However, the 1970s saw Japan introduce Ultraman (first created in 1966), followed by Doraemon (produced as a cartoon version in 1979), Mask Rider and many others. These appeared and competed with products from the developed countries (Kong et al. 2006; Yoshimoto 2003).

Japanese animation series and manga have been influential as “pop” culture since the 1980s, while Indian films and songs became one of the country’s most important exports to the world (Kong et al. 2006). Doraemon, Easy Rider, Pokemon, Narutto, and Ultraman are among the popular characters of Japanese anime or animation, which have been turned into other mediums like video games, and VCDs. For more than a decade, Japanese anime and manga have been translated into more than thirty languages and broadcasted in sixty-five countries (McGray 2002). Indian films and songs have been winning international recognition since the 1970s, and the country produces the highest number of films in the world. A.R. Rahman’s 2008 Academy Award for his original music, “Jai Ho” from the film Slumdog Millionaire encouraged more success. The South Korea content industry has provided significant impact in the global market, but more so in the Asian region. Middle Eastern films—from Afghanistan

Iran, and Turkey—have been well received in the European countries and won substantial major awards in Europe. The success of content industry products from these Asian countries has motivated other countries in the region to develop their own content industry. China, Kuwait, Malaysia, Singapore and Thailand are working hard to become key players in their region’s content industry, and their governments offer support and incentives to their local and international companies in order to open up their businesses to the content industries.

But the development of content industries in these countries does not proceed without criticism and some failures. In Singapore and Kuwait, for example, their content industries are focusing more on inviting international companies to establish their operations on the ground, rather than producing their own content products. As a result, Singapore managed to attract Hollywood film maker George Lucas to open his studio in the country, and many international publishing companies have opened branches. Singapore earnings from IPs generated a total of US$30.5-billion in output, and value-added US$8.7-billion to the economy in 2001 (Yue 2006). This has raised the issues of producing the output (processing) rather than the creative input, and the economic leakage that results from outsourcing.

By harnessing creative industries development through value-adding, content creation, interactivity, convergence, and new methods of storage and distribution, Singapore has achieved success (ibid.). Other countries in this region, including China, Malaysia, the Philippines and the UAE, have managed to attract many international content industry producers to establish offices in their countries. The region has become significantly competitive in attracting international investors in content industry with many attractive incentives. However, the substantial global competition of content industry means that products from Asia might need to shed their local “identity” in order to meet the global market appeal. This can be seen in many contemporary Asian films, music, television programmes and video games which are becoming more westernised. Western culture is spreading fast all over the world and the Asian region is also experiencing this phenomenon.

2.4.2 Cultural Creativity

Mitchell et al. (2003, 20-29) argue that cultural creativity manifests in the production of works of art, design, and scholarship. Like contributions to scientific and mathematical knowledge, such works are highly valued in themselves. Nations and cities take immense pride in their major cultural figures, their cultural institutions, and their cultural heritage. Thus, stakeholders are investing substantially in cultural sector. Many value the experience of producing as well as consuming art, design, and scholarship. Not only high cultural practices, such as opera at the Metropolitan in New York City, but also popular practices, such as amateur photography, may be valued for the experiences they provide to the participant (ibid., 19). The important role of culture is obvious, but cultural creativity is necessary to ensure the longer lifespan of culture. Although traditional culture is appreciated, some customers look for a blend between modern and traditional culture particularly the younger generation (Allenby 2006). This is when creativity and technology play their major part to create a mixture of modern and traditional culture.

Contemporary cultural producers realise the importance of adopting modern technology in their products and services in order for them to remain competitive and sustainable. By implementing technology, they can attract more guests and visitors to experience their products and services. One cultural institution that has been forced to evolve is the museum sector. Traditional museums have experienced difficulty in attracting visitors compared to modern museums (including science parks), which adopt modern technology in their products and services (Awoniyi 2001). This action caters to the visitors’ demands for more engaging and hands-on experience. With rapid technological changes taking place globally, it is crucial for cultural producers to follow the latest innovations. Today, cultural operators and producers like museum curators need to provide products and services beyond the imaginations of visitors in order to offer new and different experiences (Goulding 2000). In recognising and responding to this new challenge, the museum sector role now can be considered part of the experience industries.

As the second case study of this research focuses on a local traditional museum corporation that is shifting its role to become a modern museum to provide better experience to their visitors, the concept of experience industries will be applied throughout this thesis. This offers a better understanding of the many dimensions of creativity. Banks et al. (2002) argue that it is best to move away from a fixation with the product of the individual “creative”, and to concentrate on organisational processes and relationships within designated creative firms. They believe if the term creative industries is to be used in any meaningful sense, then closer attention should be applied to the meaning of creative, and how creativity is defined and managed within organisations. More explanation about experience industries relating to cultural tourism products will be presented below.

2.4.3 Cultural Tourism

The World Tourism Organisation (WTO) (2004) reported that cultural tourism is one of the top three reasons people travel domestically or internationally, especially in developing nations in the Asian region. As a result, many countries promote cultural tourism to local and international tourists (Smith 2007, 2). In Cultural Reconversion, Cancilini (1992, 32) highlights the necessity for modern elements to be added to traditional culture to make it more appealing, and to sustain its place in the market. Some traditional cultural fundamentalists, however, have criticised these additions as an exploitation of culture, and that there is even a need for such cultural reconversion.

Cultural tourism products are a combination of traditional and heritage products. This often requires repackaging in order to attract the market. Imagination and modern technology combine to attract more visitors in areas including design, media and advertising, merchandising of celebrities, and souvenirs items. Some authors (see Chhabra, Healy, Sills 2003; MacCannell 1976; Cohen 1979) argue these modern elements in tourism lead to “staged authenticity”, particularly in products that involve performances such as cultural dances.

However, Murphy (2003, 262) argues that this can add value and create broad opportunities for cultural investment, and attract different markets. The outcomes include opportunities for local communities such as employment, new businesses, entrepreneurs and investors, and better support policy (UNCTAD 2008). Moreover, Baerenholdt et al. (2008, 197) argue that all cultures are constructions to some extent, and consequently are in a sense contrived or inauthentic; they are fabrications in the sense of something that has already been made, which is subsequently re-presented and re-performed.

In cultural tourism sector, developed countries seem to be more advanced in adapting innovation and modern technology to their products and services. Most important museums in Australia, Canada, Japan, Singapore, US, and UK have adopted interactive and technology- friendly innovation. By expanding their roles since the 1970s, these museums have roles that involve more than just preserving and displaying a cultural collection. American museum director, John Dana rejected the concept of museum as just a storehouse of collection as early as 1909, believing that a good museum attracts, entertains, arouses curiosity, and leads to questioning and thus promotes learning (see Alexander 1979, 13; Cleary 2006, 1). Also, museums need to blend well with their surroundings, and be accessible to the community (Dana 1917, 25). Dana’s assertion has substantial echoes with the aims of contemporary museums. The International Council of Museums (ICOM) (2010) defines a museum as,

...a non-profit making, permanent institution in the service of society and of its development, and open to the public, which acquires, conserves, researchers, communicates and exhibits, for purposes of study, education and enjoyment, material evidence of people and their environment.

Museums in the US took almost fifty years to implement changes to their functions and roles in order to become more than just display collectable institutions (see Dana 1909). Today, the role of the museum is different from the function of a traditional museum, and many developing countries, including Indonesia and Malaysia, are shifting their direction towards the ICOM definition. Nevertheless, this shift is a slow process, and many developing countries are significantly lagging behind the west. The experience of the US in the early twentieth-century is now taking place in the developing countries. Some museums in developing countries are still operating using the traditional method, and some have difficulties adopting change. In Malaysia, these difficulties involve financial constraints; political problems (Kasiman 2010); and little or no access to networks of resources and expertise (UNESCO 2011). Although, these changes will not guarantee that the museum will have a larger number of visitors, they will move the museum to become more competitive in the market. However, it is not the intention of this study to investigate the function of modern museum, but rather to understand the global phenomenon taking place over of the role of museum in today’s world.

2.5 Conclusion

This chapter has examined the key literature informing this study. In the first section, I argued that the global creative economy is dependent on ICT. The concept of a creative economy was made popular by the UN in 2008, and increasing numbers of policymakers have adopted it for their countries, including Malaysia.

The following section discussed the multifaceted nature of this concept and the difficulties researchers have had in establishing a definition. Creativity and culture are acknowledged as the two most important elements in a creative economy. The UNCTAD Special Report (2008) brought new hope for developing nations to compete equally with developed countries by drawing on their rich cultural resources; but the Report’s definition of a creative economy has been criticised for being too broad, and for diluting the actual meaning of creativity. Recognising the lack of reliable theory about this concept, I chose Mitchell et al. (2003) the

Domains of Creative Activity Model as a primary guideline for this topic. The four domains are scientific, economy, technological and cultural creativity.

Finally, I conducted a detailed discussion on the domains of creative activity. For this study context only three activities were discussed due to their close alliance to this topic. Issues of each domain were presented accordingly. Economic creativity covers the difference between the understanding of creative economy in developing nations and developed countries, and the problem of unpredictable futures for some of the sectors. In terms of technological creativity, I focused on the content industry. The last section examined cultural creativity, specifically the influences and implications of cultural tourism.