Lucy Montgomery

Consumer Co‐creation and Situated Creativity

This paper examines the industrial dynamics of new digital media from the perspective of consumer co‐creation. We find that consumer–producer interactions are an increasingly important source of value‐creation. We conclude that cultural and economic analysis might be usefully united about these themes, and that situated creativity should be construed as analysis of an ongoing co‐evolutionary process between economic and cultural dynamics.

Copyright and the creative industries in China

On 27 October 2001 the National Peoples Congress of China approved amendments to the Chinese Copyright Law that brought it closer in line with the Agreement on Trade Related Intellectual Property Rights 1994 (TRIPS) and the Berne Convention on Literary and Artistic Works of 1886. Since enacting its first copyright law in 1990, China has been engaged in the development of a copyright regime that accords with international practice. Accession to the WTO in December 2001 and associated amendments to the copyright law mark the latest step in the steady construction of an internationally aligned intellectual property regime. After outlining the reform that has occurred at the formal legal level, this article explores some of the ways that copyright functions within the business models of the film and music industries.

Fashion as Consumer Entrepreneurship : Emergent Risk Culture, Social Network Markets, and the Launch of Vogue in China

China has a reputation as an economy based on utility: the large‐scale manufacture of low‐priced goods. But useful values like functionality, fitness for purpose and efficiency are only part of the story. More important are what Veblen called “honorific” values, arguably the driving force of development, change and value in any economy. To understand the Chinese economy therefore, it is not sufficient to point to its utilitarian aspect. Honorific status‐competition is a more fundamental driver than utilitarian cost‐competition. We argue that “social network markets” are the expression of these honorific values, relationships and connections that structure and coordinate individual choices. This paper explores how such markets are developing in China in the area of fashion and fashion media. These, we argue, are an expression of “risk culture” for high‐end entrepreneurial consumers and producers alike, providing a stimulus to dynamic innovation in the arena of personal taste and comportment, as part of an international cultural system based on constant change. We examine the launch of Vogue China in 2005, and Chinas reception as a fashion player among the international editions of Vogue, as an expression of a “decisive moment” in the integration of China into an international social network market based on honorific values.

Does weaker copyright mean stronger creative industries? Some lessons from China

Abstract We review the theory of intellectual property (IP) in the creative industries (CI) from the evolutionary economic perspective based on evidence from China. We argue that many current confusions and dysfunctions about IP can be traced to three widely overlooked aspects of the growth of knowledge context of IP in the CI: (1) the effect of globalization; (2) the dominating relative economic value of reuse of creative output over monopoly incentives to create input; and (3) the evolution of business models in response to institutional change. We conclude that a substantial weakening of copyright will, in theory, produce positive net public and private gain due to the evolutionary dynamics of all three dimensions.

Space to grow: Copyright, cultural policy and commercially‐focused music in China

A difficult copyright environment, combined with the Chinese governments continuing power over key distribution and promotion channels, including radio, television, publishing and concerts (Baranovitch, 2003; Brady, 2006), have been key factors in the failure of international labels to secure a dominant position in Chinas rapidly developing domestic music market. This paper argues that while international record labels have been paralyzed by concepts of value that depend on an ability to control the copying of music products and to enforce intellectual property rights (Montgomery & Potts, 2008), domestic music and entertainment businesses are actively exploring strategies that allow them to function in a weak copyright environment. Cultural policies ostensibly intended to prevent the circulation of heterodox content are having an important side‐effect: making it more attractive for music‐related businesses to promote and distribute local content. As a result, domestic music and entertainment businesses are developing a distinct advantage in the highly competitive Chinese market.

Chinese online literature: creative consumers and evolving business models

Purpose – The internet is transforming possibilities for creative interaction, experimentation and cultural consumption in China and raising important questions about the role that “publishers” might play in an open and networked digital world. The purpose of this paper is to consider the role that copyright is playing in the growth of a publishing industry that is being “born digital”. Design/methodology/approach – The paper approaches online literature as an example of a creative industry that is generating value for a wider creative economy through its social network market functions. It builds on the social network market definition of the creative industries proposed by Potts et al. and uses this definition to interrogate the role that copyright plays in a rapidly-evolving creative economy. Findings – The rapid growth of a market for crowd-sourced content is combining with growing commercial freedom in cultural space to produce a dynamic landscape of business model experimentation. Using the social web to engage audiences, generate content, establish popularity and build reputation and then converting those assets into profit through less networked channels appears to be a driving strategy in the expansion of wider creative industries markets in China. Originality/value – At a moment when publishing industries all over the world are struggling to come to terms with digital technology, the emergence of a rapidly-growing area of publishing that is being born digital offers important clues about the future of publishing and what social network markets might mean for the role of copyright in a digital age.

Creative industries come to China (MATE)

This paper introduces the special issue “China: Internationalizing the Creative Industries”, describing the Australian Research Council funded “MATE” project which provides the conceptual background for the questions the issue explores. The MATE project began with the expectation that as China evolves from its status as a developing country with an emphasis on primary industries and manufacturing, to a mature, market‐driven economy benefiting from high levels of international investment, it will become more actively engaged with the global “knowledge economy” and “information society”. In this context, developments in the “creative industries”, which are playing such an important role in developed economies, might reasonably be expected in China. Although China continues to be characterised by strong central‐policy settings, as the domestic consumer market matures there is greater scope for consumer‐led creative business development. The “MATE” project aimed to capture some of these changes as they began to gain momentum across a range of services: Media, Advertising, Tourism and Education. This special issue continues this theme with papers that explore the theoretical challenges, economic questions and implications, and practical instantiations of creative industries growth in China. All papers contained in this special issue have been peer‐reviewed.

A Journal is a Club: A New Economic Model for Scholarly Publishing

A new economic model for analysis of scholarly publishing — journal publishing in particular — is proposed that draws on club theory. The standard approach builds on market failure in the private production (by research scholars) of a public good (new scholarly knowledge). In that model publishing is communication, as the dissemination of information. But a club model views publishing differently: namely as group formation, where members form groups in order to confer externalities on each other, subject to congestion. A journal is a self-constituted group, endeavouring to create new knowledge. In this sense ‘a journal is a club’. The knowledge club model of a journal seeks to balance the positive externalities due to a shared resource (readers, citations, referees) against negative externalities due to crowding (decreased prospect of publishing in that journal). A new economic model of a journal as a ‘knowledge club’ is elaborated. We suggest some consequences for the management of journals and financial models that might be developed to support them.

Knowledge unlatched : towards an open and networked future for academic publishing

Specialist book length publications in the humanities and social sciences (including but not exclusively monographs) are experiencing a crisis. It is clear that the current publishing system is failing both the producers and users of scholarship and neglects many of the opportunities associated with networked culture.

'Beijing bling': creative details and consumer choices in contemporary China : An interview with Hung Huang

This edited interview with Hung Huang, CEO of China Interactive Media Group (CIMG), was conducted by Lucy Montgomery in Beijing on 12 August 2005. It was done as part of the ARC Discovery research project, Internationalising Creative Industries: China, the WTO and the Knowledge Economy, led by John Hartley. That project is investigating the development of creative industries in China by focusing on a number of creative services including fashion magazines. Huang’s group publishes five fashion magazines in China, including i-Look, Youth International (Qingnian Yizu), which is the Chinese edition of Seventeen (originally founded by TV-Guide mogul Walter Annenberg), and the Beijing and Shanghai versions of London’s Time Out. It also produces TV programs under the same media brands. The company is based in the stylish Bauhaus-designed former factory 798-Space in the district of Dashanzi, Beijing (see www.798space.com). Huang went to school in Greenwich Village and graduated from Vassar College in New York. She is the daughter of Zhang Hanzhi, who was Mao Zedong’s personal English teacher, and stepdaughter of Qiao Guanhua, Foreign Minister of China during the 1970s at the time of the Nixon visit. Her book My Abnormal Life sold 200,000 copies in China.