Research On The Development Of Cultural Industry Integration--from The Perspective Of Input-output Analysis

With the deepening of industrial integration from emerging industry of advanced technology to the traditional industries of relatively backward technology like agriculture, manufacturing, etc., economies of scale and cost advantages brought by technology-oriented industrial integration are being exhausted. Meanwhile, industrial integration with culture as the core shows more advantages.The core elements of the culture industry is the creative culture, which has the characteristics of abundant resources. The common cultural base for all industries in the same age makes the cultural industry be of strong penetration ability, leading to the integration growth in range and depth. Thus, the integration mechanism and path of the cultural industry and related industries changed accordingly. The main purpose of the paper is to construct a culture industrial integration theory different from the traditional industrial integration theories and then to make an imperial study of culture and other industrial integration by input-output analysis. The significance of this research is to analyze the integration impact of cultural industry on the traditional industries like manufacturing, so as to promote the development of these industries and the cultural industry itself, ultimately achieving the industrial structure optimization and economic growth mode transformation.The paper firstly introduces culture and the formation of culture industry, and then based on the comparative study, gives the definition and classification of culture industry from the perspective of economics. Meanwhile the evolution of industrial integration development is analyzed and it is pointed out that the cultural industry as the core of integration is the evolution of the technology-driven traditional industry integration. And the cultural industry integration is defined in the following way: the cultural industries rely on cultural and creative elements to infiltrate into related industries in the production process. The original industrial value creation process is changed through the integration of business, organization, management and market resources. Thus, the relationship of competition and cooperation between the market demand and industry is changed, which leads to the occurrence of the blurring of the boundaries between industrial integration and integration. Eventually the two fused industries get developed and upgraded.Infiltration mechanism and driving mechanism are the main mechanisms in which the integration of cultural industries has impact on the related industries. Two types of industries are classified based on if there is a technical base between cultural industry and other industries, the information industry being the representative with common technology base and manufacturing industry as the representative without common technology. Their integration with the cultural industry shows a different integration path: the former being of mutual infiltration and promotion, and the latter one-way infiltration and promotion. No matter in what kind of path, creative elements of culture industry can always make the integrated industry expand the market shares after the completion of the market integration, stepping into the emerging market areas of differentiated products, low costs and high profits. The input-output analysis method is used to establish the input-output model of the cultural industry, and to establish the calculating method of the industrial integration degree in the paper with the full consumption coefficient and the total distribution coefficient. Then on the comprehensive analysis of the development of China’s cultural industry, the integration impact degree of China’s cultural industry on the other relevant industrial departments namely information and manufacturing is studied from the dimensions of time and space. In the industrial integration, the core element tends to change from technology to culture, which is observed by comparing the impacts of manufacturing-cultural integration and information-cultural integration. Research shows that the integration role played by China’s cultural industry in other industries is still relatively small, which is explained by the fact that cultural industry as emerging industry has very limited output value. In particular, the integration impact of cultural service industry on other industries is far unfelt. However, generally speaking, the integration effect of the cultural industry showed a rising trend.Based on the theoretical analysis and empirical results, this paper proposes to cultivate cultural industries into the pillar industry, promoting the integration impact of cultural industry on other industries. Further, suggestions would be made from the perspective of support by information technology and creative talents of cultural industry integration, pointing out the fact that the integration of information industry and culture industry with technology and culture as the dual core element waits to be further developed, which to much degree strengthens the integration of culture and technology and makes scientific technology innovation and culture creation explosion, helping drive the integration of China’s cultural industries and realize the industrial upgrading and optimization of industrial structure.The main innovation of this paper is: firstly, based on the uniqueness of the creative elements in cultural industry, it is put forward that the industrial integration mode with culture as the core is a kind of evolution of traditional industry integration mode; secondly, the paper argues that infiltration and promotion mechanisms are two major mechanisms for cultural industrial integration, which is a dynamic cycle and an indispensable organic entity. The cultural industry enter into other industries by the infiltration of productized elements and participate the value-creating process, and after integration completion drive the industrial market margins toward emerging market areas of differentiation, low-cost and high-profit; thirdly, the empirical study shows that currently the infiltration effect of the culture industry on integrated industries is greater than the driving effect. The complete consumption coefficient and the complete distribution coefficient of the integrated industries to culture industry are taken to represent the infiltration effect and driving effect of culture industry on integrated industries respectively. The findings are that between 1997 and 2010,the infiltration effect of culture industry on information industry or manufacturing industry is both greater than the driving effect.Because of the lag-behind and the discontinuity of the input-output data, the empirical analysis in this paper is not scientific enough. In the future, the further study on measuring culture industry integration could be made from multi-dimension like international comparison, regional comparison, and industry performance. The theoretical analysis also demands combing TFP and endogenous economic growth for further research.