Orange Economy: The trend that is revolutionizing the creative industries

Surely you’ve noticed that in the calls for support for productive projects, there is a category called creative companies or even in the format of the business plan that is a required document to apply for any of these supports is the following question: “Why do you think your company is in the orange economy?

What does the term orange economy refer to? Or what does a creative company comprise? Here we explain it:

Orange Economy is a concept created by John Howkins in his book: “The Creative Economy: How People Make Money from Ideas” in which he describes that this sector includes all those industries in which the value of their goods and services are based on intellectual property, for example: the cultural, creative, leisure, content or entertainment industry.

In Mexico, according to the Mexican Institute for Competitiveness (IMCO), this sector generates a direct and indirect impact on more than 4% of the GDP, however, more and more Latin American governments are adding to the generation of wealth through the intellect.

According to a UNESCO report, cultural and creative industries generate $2.25 trillion each year, which is 3% of the world’s GDP, and employ 29.5 million people (1% of the world’s working population).

Income from the cultural and creative industries exceeds that from telecommunications services and provides more jobs than the automobile industry in Europe, Japan and the United States as a whole (29.5 million jobs compared to 25 million).

Taylor Nicole
Photo: Taylor Nicole

The orange economy is divided into three main groups

Conventional sectors such as: publishing houses, magazines, media, newspapers, literature ,cinema, television and video.

Other industries: Visual and performing arts, crafts, cultural tourism, museums and galleries, gastronomy, performances, dance, theater, architecture and ecotourism.

New Orange Economies: multimedia, video game development, advertising, software and media support

Since this concept is revolutionizing the industry and giving more and more value to creative talent, it’s a good time for you to be part of this trend too, by capitalizing on your ingenuity.

Keep in mind that:

-In this industry the production factor is your intellectual capacity, don’t be afraid to explore your ideas, talents or passions.

-Great ideas don’t just happen, surround yourself with people who inspire and drive you.

-The creative economy is a great opportunity to strengthen the social fabric. If you have an idea that enters this industry, don’t doubt its capacity to generate a social impact.

-It is important that you build a good business model, so that you can impact a greater number of people with your enterprise and turn your ideas or passions into a sustainable source of income.

-The key word in this industry is innovation.

Author: Meli, Innovacion Economica