Beijing Cultural and Creative Industries White Paper2016State-Owned Cultural Assets Supervision and AdministrationOffice of the People’s Government of Beijing MunicipalityCulture Development Institute of CommunicationUniversity of ChinaNovember 2016ContentsA. Development Status (2)1. Overall Strength Continues to Increase (2)2. The Industry Develops Steadily (4)3. Capital Markets Are Active (7)B. Industrial Innovation and Development (8)1. The Effective Supply of Culture Is Continuously Expanding (8)2. Cultural and Technological Innovation Trend Is Obvious (10)3. “Cultural and Creative +” Is Effectivel y Promoted (11)4. The Vitality of Cultural Consumption Market Is Strengthened (13)C. Spatial Development Pattern (14)1. Significant Improvement of Agglomeration Effect of Functional Zones .. 152. The Construction of Major Projects in an Orderly Manner (17)3. The initial results of Beijing-Tianjin-Hebei cooperation development (19)D. The Market Players (20)1. The Pace of Reform and Development of State-owned Cultural EnterprisesHave Been Accelerated (20)2. The Non-public Economy and Mass Entrepreneurship and InnovationEnterprise Develop Actively (22)E. Development Environment (24)1. T he P olicy E nvironm e nt H as B een Optimized (24)2. The Investment and Financing Service System of CCI Has Been MoreSound. (26)3. A Series of Service Platform Has Been Constructed. (29)F. Situations and Development Ideas (30)1. Situations and Challenges (30)2. Future Development Ideas (32)The Cultural and Creative industries (CCI) is an important pillar industry in Beijing. Under new circumstances, vigorously developing the Cultural and Creative industries (CCI) is the internal requirements and an important starting point of accelerating the implementation of the strategic positioning of the capital city, promoting the dispersal of non-capital function, constructing the “sophisticated”economic structure and building world-class harmonious livable capital.During 2015, the final year of “the 12th Five-Year Plan”, the Beijing Cultural and Creative industries (CCI) continued to develop well with more stable pillar position, effectively improved quality, better spatial distribution and more complete market system. All these developments further highlighted its role of driving the capital economic growth, promoting the transformation and upgrading, and speeding up the construction of the national cultural center.Going through sustainable, healthy and rapid development during the period of "12th Five-Year Plan", Beijing Cultural and Creative industries (CCI) had been standing on a new historical starting point. The central government promoted the structural reform of the supply side, the public entrepreneurship and innovation, Collaborative Development of Beijing, Tianjin and Hebei Province, “One Belt, One Road” and other major strategies. “Internet +” and “Culture+” were the new circumstances and new environment. Based on the strategic positioning of the capital city in the new period, Beijing Cultural and Creative industries (CCI) adapted to the new normal economic development, ushering in a new strategic opportunity and more broad prospects for development.Beijing Cultural and Creative Industries White Paper (2016) objectively reflects the overall development of Cultural and Creative industries (CCI) in Beijing in 2015. Through the analysis of the new features and new trends of Cultural and Creative industries (CCI), the paper puts forward the goal of development for “the 13th Five-Year plan” and the future development ideas for Beijing Cultural and Creative industries (CCI).A. Development StatusUnder the macro background of strengthening the construction of the national cultural center, alleviating the non-capital function and constructing the "sophisticated" economic structure, Beijing Cultural and Creative industries (CCI) achieved remarkable results in 2015. The industrial scale continued to expand and the contribution to the economy was further enhanced. The proportion of added value, cultural consumption index, foreign trade and other indicators maintained the leading position in the country. The development of the industry made progress while maintaining stability, and the cultural and technological integration had vigorous development. Culture and capital were integrated and further promoted, helping the Cultural and Creative industries (CCI) in good shape.1. Overall Strength Continues to IncreaseIn 2015, Beijing Cultural and Creative industries (CCI) realized an added value of 317.93 billion yuan, accounting for 13.8% of the region’s GDP. It’s 0.6% higher than the previous year. According to the statistics standards of national cultural and related industries, the value added of Beijing cultural and related industries accounted for 8.5% of the region’s GDP, occupying the highest proportion in the country in 2015. The city's Cultural and Creative industries (CCI) totaled 1587.78 billion yuan, a year-on-year increase of 13.6%; the total assets reached 3189.39 billion yuan, a year-on-year increase of 20.6%; employees were 2.023 million, a year-on-year increase of 5.6%. Among them, the revenue of above-scale Cultural and Creative industries (CCI) totaled 1345.13 billion yuan, a year-on-year increase of 14.0%; assets amounted to 2014.02 billion yuan, a year-on-year increase of 20.6%; employees were 1.223 million yuan, a year-on-year increase of 6.2%.In the past five years, Beijing Cultural and Creative industries (CCI) had maintained a relatively fast growth momentum. The industrial added value increased from 169.77 billion yuan in 2010 to 317.93 billion yuan in 2015, an annual growth rate of 13.4 percent at current prices. It’s higher th an a growth rate of 3.1 percentage points of current price of the regional gross domestic products, accounting for the proportion of 13.8% of GDP in 2015 increased from 12.0% in 2010. It had increased by 1.8 percentage points during the five years. The strategic pillar industry status of Culturaland Creative industries (CCI) became more prominent, having more significant pulling effect on the capital economic growth.Investment in fixed assets increased steadily. In 2015, the investment in fixed assets by Beijing Cultural and Creative industries (CCI) totaled 35.3 billion yuan, a year-on-year increase of 9.2%. 110.3% of the annual investment plan of 32.0 billion yuan was completed. The growth and progress were higher than the overall level of the city. Investment focused on the field of industrial integration development, Internet information services, software development and other cultural and technological integration industries. The investment amounted to 12.4 billion yuan, accounting for 35.1% of the total investment. The investment in amusement parks, scenic management and other cultural tourism industries reached 8.7 billion yuan, accounting for 24.6% of the total investment.The potential of cultural consumption sustained release. Beijing cultural consumption index and cultural consumption capacity indicators ranked first. In 2015, the city’s per capita cultural and entertainment consumer spending totaled 2,592 yuan, a year-on-year increase of 11.1% and higher than 2.4 percentage points of total consumption expenditure growth rate. Film, tourism and other cultural markets continued to heat up. the revenue of city's film box office created a record of 3.15 billion yuan, a year-on-year increase of 38.1% and ranking the first in the major cities of the country; The number of audience amounted to 71.642 million, a year-on-year increase of 38.2%. According to the resident population, per capita annual viewing times were up to 3.3 times, ranking the highest in the country. The total number of tourist reception of the city reached 273 million, a year-on-year increase of 4.3%; the total income of tourism reached 460.71 billion yuan, a year-on-year increase of 7.6%. Foreign cultural trade was continuously expanding. As a national cultural center and international communication center, Beijing's foreign trade had been at the forefront of the country all the time. In 2015, Beijing's cultural trade volume increased from US $ 1.265 billion in 2006 to US $ 3.028 billion, with an average annual growth rate of 10.2%. The exports of animation games, book copyrights, and films ranked the forefront of the country. All though the year of 2015, among the national key cultural export enterprises (projects) in Beijing, 70 enterprises and 37 projects were selected. The number accounted for 19.9% and 26.6% respectively of the national total number,ranking the first in China.The enterprise competitiveness had an obvious superiority. The enterprise competitiveness of Beijing cultural and creative enterprises continued to be enhanced, forming a group of leading enterprises with high visibility and influence in the country. In the 7th “Top 30 National Cultural Enterprises” in 2015, 10 Beijing enterprises were shortlisted, including Poly Culture Group Co., Ltd., Beijing Wanda Cultural Industry Group Co., Ltd. and Perfect World (Beijing) Network Technology Co., Ltd. The number accounted for one-third of the country, of which Scenery Culture Co., Ltd.,and Beijing HualuBaina Film & Tv Co.,Ltd., the two Beijing enterprises, were newly selected for the year 2015 annual list.In the situation when overall economy stepped into the new normal, the Beijing Cultural and Creative industries (CCI) were transformed from scale expansion to improved quality and efficiency when the quantitative indicators was still in the growth. These industries paid more attention to enhance the quality and content of development, expand the quality of cultural supply, and transform the force of industrial development. The city's Cultural and Creative industries (CCI) had entered a period of speed-up shift from high-speed growth.2. The Industry Develops SteadilyIn 2015, the development of Cultural and Creative industries (CCI) in Beijing was generally stable, and the leading role of cultural and technological integration was more obvious. At the same time, due to the macroeconomic situation, industrial transformation and upgrading, market adjustment and other factors, the development of various industries showed an uneven trend and the internal structure of the industry were further adjusted.Cultural and technological integration, whose leading role was highlighted, developed powerfully. In 2015, the scale of the software, network and computer service industry, characterized by Cultural and technological integration, was expanding continuously. The annual income of above-scale reached 561.69 billion yuan, a year-on-year increase of 20.4 percent and accounting for 41.8% of the total income of the above-scale enterprises; Total assets amounted to 948.21 billion yuan, a year-on-yearincrease of 28.7% and accounting 47.1% of the city's total assets of the above-scale enterprises; 667,000 employees occupied 54.5% of the total number of employees, a year-on-year increase of 13.1%. The rapid development of cultural and technological integration of industry reflected the "sophisticated" development trend of Cultural and Creative industries (CCI) themselves. Meanwhile, the rapid development further propelled "two-wheel drive" strategy for cultural and technological innovation, promoting economic transformation and upgrading of the capital to lay a good foundation.Four major industries, including advertising and exhibition, tourism and entertainment, radio and television movies, and other ancillary services developed robustly, which served as a strong support for the development of Beijing Cultural and Creative industries (CCI).In 2015, above-scale income of Beijing advertising and exhibition industry reached 158.13 billion yuan, a year-on-year increase of 19.2%; total assets amounted to 130.87 billion yuan, a year-on-year increase of 28.6%; employees were 67,000, down 2.8% year on year. The full application of high-tech promoted the integration and development of advertising and exhibition industry and science and technology, which were important driving forces for industrial transformation and upgrading. In 2015, above-scale income of Beijing tourism and leisure and entertainment industry was 114.02 billion yuan, a year-on-year increase of 15.1%; total assets amounted to 129.75 billion yuan, a year-on-year increase of 18.1%; employees were 92,000, an increase of 2.1% than the previous year. With the function dispersal of non-capital and the contentiously increased efforts for protection of ancient capital style and tourism resources in-depth development, Beijing furthered to highlight its charm as “World Tourism City”.In 2015, the above-scale income of Beijing’s other auxiliary service industry reached 181.19 billion yuan, a year-on-year increase of 24.1%; total assets amounted to 162.13 billion yuan, up 13.3% year on year; employees were 91,000, down 1.0% year on year. Although a slight decline in employees, the revenue and asset growth were maintained at a faster rate.In 2015, the above-scale income of Beijing radio and television film industry totaled 83.0 billion yuan, a year-on-year increase of 5.4%; total assets amounted to 246.73 billion yuan, a year-on-year increase of 17.6%; the number of employees reached 52,000, an increase of 1.1% than the previous year. In recent years，the industry had maintained steady growth, but the growth rate slowed down because of the impact of new media, such as the Internet and mobile Internet.The four industries, including news publishing, art trading, design services and culture and arts, were faced with great growth pressure and stepped into the period of market adjustment.In 2015, the above-scale income of Beijing press and publication industry reached 84.79 billion yuan, down 0.8% year on year; total assets amounted to 175.82 billion yuan, a year-on-year increase of 8.3%; the number of employees 10.3 million, down 2.3% year on year. Under the impact of the rapid development of new media, It was extremely urgent for the traditional press and publishing industry to promote the digital transformation and upgrading and cross-industry integration development.In 2015, the turnover of the Beijing artwork industry was 95.51 billion yuan, down 6.9% year on year; the total assets amounted to 81.95 billion yuan, a year-on-year increase of 8.5%; employees reached 1,3000, down 9.6% year on year. Under the impact of art market heat reduction, price overdraft and other factors in recent years, industry income and employees were on the decline. Now they entered a rational return period and the market adjustment period and the downward pressure would further increase.In 2015, the above-scale income of Beijing design service industry was 42.81 billion yuan, down 4.1% year on year; total assets amounted to 77.31 billion yuan, a year-on-year increase of 6.8%; employees were 98,000, down 1.2% year on year. Influenced by the real estate investment, real estate sales decline and other factors, the industry market was correspondingly narrowed. Layoffs and savings appeared in large and medium-sized design enterprises; the survival pressure of small business increased and industry revenue and employees decreased.In addition, the above-scale income of Beijing arts and cultural industry totaled 24.0 billion yuan, down 2.2% year on year. The number of employees was 41,000, down 1.4% year on year; the industry's total income reached 42.18 billion yuan, a year-on-year increase of 2.9%; the employees of the industry amounted to 126,000, a year-on-year increase of 12.7%. In the premise of the decline of above-scale income and employees, the active degree and contribution rate of small micro-enterprises and individual employees was on continuous increase.3. Capital Markets Are ActiveCulture and capital were integrated in depth, which was an important support and motivation to boost the development of Cultural and Creative industries (CCI) and also the important manifestation of the growth and improved quality and efficiency of the industries. As a national cultural center, Beijing owns rich resources in film and television, the media and the Internet. The policy environment had been improved day by day. Cultural and Creative industries (CCI) had a good momentum of development. Culture and capital were integrated deeply, helping the rapid development of the industry. These altogether became a significant trend of the Beijing Cultural and Creative industries (CCI) in 2015. According to incomplete statistics, the capital market of Beijing Cultural and Creative industries (CCI) was active in 2015, a number of data indicators far more than other regions in the country in a leading position.Equity financing: in 2015, the equity financing of Beijing Cultural and Creative industries (CCI) was 50.156 billion yuan, a year-on-year increase of 50.3%. The capital scale and the number of cases relevant to equity financing ranked the first in the country. “Internet + culture” was a hot spot for equity financing.Merger and acquisition (M & A): in 2015, the mergers and acquisitions of Beijing Cultural and Creative industries (CCI) reached 86.934 billion yuan, a year-on-year increase of 125.2%. The number of mergers and acquisitions increased to 66 cases from 55 in 2014. In 2015, in the wave of mergers and acquisitions among Cultural and Creative industries (CCI), Beijing Wanda Cultural Industry Group developed a school of its own, as it acquired Australia's second largest cinema line operator, Hoyts, and 18 chain cinemas subordinated to Shimao Group.Listing situation:In 2015, six new cultural and creative enterprises were listed in Beijing. Financing scale of a total of 62 listed companies reached 51.826 billion yuan. The number of listed companies and financing scale maintained the leading position in the domestic market; listed companies were mainly distributed in 31 culture and information transmission services, 11 cultural creativity and design services, as well as 6 radio and television film service industry. The financing scale of each industry was 26.667 billion yuan, 9.593 billion yuan and 3.921 billion yuan respectively. In 2015, there were 99 “new three board” listed cultural and creative enterprises in Beijing, accounting for 27.27% (the highest) of the total number of national “new three board” cultural enterprises.Crowd funding: in 2015, there were a total of 487 Crowdfundings of Cultural and Creative industries (CCI) in Beijing. 284 million yuan was raised, a year-on-year increase of 855.2%. The number of cases and the amount of raised funds ranked the first in the country.B. Industrial Innovation and DevelopmentIn 2015, the Beijing Cultural and Creative industries (CCI) made efforts to create new supplies, converse new impetus, develop new models, and expand new demands. Industrial innovation and development was actively promoted; effective supply of cultural products continued to be expanded; science and technology innovation played a more prominent role in industrial development; the integration and development of industries was significantly enhanced; the potential cultural consumption was further released; new types of cultural consumption, such as online consumption and cross-regional linkage consumption, were rapidly developed.1. The Effective Supply of Culture Is Continuously ExpandingAt present, Cultural and Creative industries (CCI) developed rapidly. However, as the supply of cultural products continued to be enriched, the supplies of low-end and homogeneous products were exceeded. The supplies of high-end, characteristic and boutique cultural products were inadequate to meet the growing cultural needs of residents. Under the new circumstance of high-quality, personalized and diversifiedcultural consumption, the development of Beijing Cultural and Creative industries (CCI) focused on the supply side, vigorously improved the quality of cultural products and services, and launched a number of cultural boutiques with Beijing characteristics and the capital standard.Build activities platform and promote cultural quality creation. In 2015, collection assessment work for “the 2015 Beijing Key Projects of Cultural Quality Engineering” was held twice, covering a total of six categories of 57 selected projects. There were a series of cultural activities for the people of the capital, such as "Dancing Beijing" and "Artistic Beijing". The activities fully inspired the public to participate in the culture, enjoy the culture and create the culture vigorously and vitally.Guide the industry focus and improve the quality of cultural products. Film industry had an eye-catching performance in 2015. Beijing produced 291 films, accounting for 42% of the national total; in the top 20 domestic films at the box office, Beijing produced 13, accounting for 65%; Among the 5 domestic films, whose box office was more than 1 billion, Beijing produced four. Anti-Japanese war movie the Hundred Regiments Offensive made 420 million yuan at the box office, which brought the movie social benefits and excellent economic efficiency. The war-themed TV drama Surge, played on Beijing TV, had the highest audience rating among the same kind of TV dramas. And the network click broke through 300 million times. Beijing Cultural and Creative Industry Investment Fund Management Co., Ltd. participated in the cast of the TV series the Ordinary World, which had good ratings and reputation and accessed to “Flying Goddess Award” for outstanding TV awards and many other awards. The quality of animation films was enhanced obviously. The box office of Monkey King: here is back and Monster Hunt amounted to nearly 3.4 billion yuan. In addition to achieving good social and economic benefits, the quality of the creation was on increase at the same time. New modes of operation, such as “Crowdfunding” and “Water Marketing”, were opened up, highlighting the industrial quality precursor and narrowing the gap with the international advanced level.In the field of press and publication, there were 12,630 kinds of books published in 2015. Six books, including War Revelation, were selected for the key books in 70th anniversary of Victory of the Anti-Japanese War. 109 kinds of themed publications,such as Peking Anti-Japanese War Record,and 36 kinds of electronic publications, such as Red Letter, were selected as recommended directory of National Press and Publication. The main themed books were brought into the mainstream market in Europe and America and new breakthroughs were achieved. The English version of Chinese Dream had become the largest Chinese copyright books in the United States in recent years.As for cultural performances, 24,238 performances were held in the ci ty’s 135 commercial performance venues throughout the year of 2015, attracting 10.36 million audiences. The performance income reached 1.55 billion yuan, up 4% over the previous year. Beijing Opera Zheng Kaofu and Qiu Shengrong, Kunqu Opera Li Qingzhao and Confucius into the Wei Ming, and Hebei Clapper Opera Zhang Juzheng were listed as the Beijing cultural projects.2. Cultural and Technological Innovation Trend Is ObviousScientific and technological innovation is a powerful engine and internal driving force to promote the development of Cultural and Creative industries (CCI). It also provides strong support for the change, development, quality and efficiency of Cultural and Creative industries (CCI). In 2015, under the guidance of the State Council's Directive on Actively Propelling the Internet + Action and the Action Plan for Promoting the Development of the Big Data, Beijing Cultural and Creative industries (CCI) and technology integration development were further promoted; the Internet +, Big data, virtual reality technology had been widely used. Scientific and technological innovation promoted Cultural and Creative industries (CCI) to flourish.In 2015, Beijing's software, network and computer services industry developed strongly. the industry's total revenue accounted for 40.6% of the city's cultural and creative industry's total revenue；the industry's total assets accounted for 43.0% of the total assets of the city's Cultural and Creative industries (CCI)；industry employees accounted for 50.1% of the city’s total employees of Cultural and Creative industries (CCI). All these fully embodied the integration of cultural and technological industry, especially the "Internet + Culture" development of the dominant trend.The commercial activities of emerging cultural and technological integration had a rapid development. In 2015, a number of commercial activities of emerging cultural integration, including digital new media, animation and games and digital publishing developed soundly. Animation and game industry in particular developed well. In 2015, the output value of animation games in Beijing reached 45.5 billion yuan, accounting for one third of the country's total output value. The datum was up 22.3 percent from 37.2 billion yuan in 2014, 250 percent higher than the growth of 13 bill ion yuan in the early period of the “12th Five-Year Plan”. Exports reached 5.87 billion yuan, ranking the first in the country. Compared with 4.2 billion yuan in 2014, exports had increased by 39.7%; compared with 1.2 billion yuan in 2011 (the early year o f “12th Five-Year Plan”, it achieved a growth of 389%. Especially innovative games, represented by mobile games, developed rapidly. In 2015, the output value of the city's mobile game enterprises reached 28.76 billion yuan, accounting for 65% of the output value of national mobile games. In the field of animation games, Beijing has formed an integrated industrial chain of creation, research and development, publication, operation and distribution, which made Beijing the center of the national cartoon game industry.Cultural and technological integration helped to boost the innovation of business model. Cultural and technological innovation not only led the rapid development of Cultural and Creative industries (CCI), but also gave birth to business model innovation in the field of Cultural and Creative industries (CCI). New business models, including “IP”, chain operation of digital publishing industry, and precision marketing of big data continued to emerge, providing an important support for the innovation and development of Beijing Cultural and Creative industries (CCI).3. “Cultural and Creative +” Is Effectively PromotedIn April 2015, Beijing launched the Action Plan for Promoting the Integration of Cultural Originality and Design Services and Related Industries in Beijing (2015-2020). Based on the objectives of the transformation and upgrading of the capital economy and the construction of “sophisticated” industrial structure, the paper proposed “10 activities of integrative development” of Cultural and Creative industries (CCI) to actively construct “creativity +” economic development mode; to promote cultural creativity and design services to become a powerful impetus foraccumulating and enhancing the energy development of the real economy; to accelerate the transformation and upgrading of related industries.New local standards lead the development of industry integration. In December 2015, Beijing issued Local Standards for Cultural and Creative Industries (CCI) and related Industries. Compared with the old standard of CCI, the new standard absorbed some of the contents of the national cultural industry standard. It would include the industries with strong correlation with the functional orientation in the cities of national cultural center. Thus, industry categories that were focused to be eased in old standard were deleted in the new one, which particularly reflected the new trends of the integrative development of Cultural and Creative industries (CCI) and other industries. The new standard strength ened the concept of “industrial cluster”, emphasizing the deep integration of culture, technology and economy. It covered not only the whole content of cultural industry, but also the content of science and technology innovation and investment management. The characteristics of financial and other industries integrative development were well manifested in the new standard.Series of theme activities to promote "cultural and creative +" had substantial advance. In 2015, Beijing International Design Week showcased the innovative achievements of Beijing's cultural creativity and design services and related industries through the theme of “City of Design, Smart City and Industry Convergence”. The “China Design Festival” held in Daxing District, built platform o f innovation and exchange for brand-new design industry. It further promoted the integration of creative design and other areas, such as urban, people's livelihood, and science and technology. In 2015, in the Tenth China Beijing International Cultural and Creative Industry Fair, more than half of the projects were "culture +" emerging commercial activities. “A series of projects, including 40 Scenic Spots Interactive Media of the Summer Palace” and “Wenchuang Inclusive loan” launched by Bank of Beijing, all made good results. In 2015, the “Cooperative promotion event of Beijing Cultural Integrative Development Project” covered culture and technology, digital non-heritage, cartoon games, cultural tourism, online education, culture and sports, etc. The total value of the contracted projects amounted to 1.125 billion yuan.。
