ANNALS OF VALAHIA UNIVERSITY OF TARGOVISTE [609821]

ANNALS OF VALAHIA UNIVERSITY OF TARGOVISTE

CREATIVE ECONOMIES AND THEIR ROLE IN TERRITORIAL SYSTEMS
DEVELOPMENT

Gruia Andreea Karina1, Pintilii Radu -Daniel2, Marin Marian3
1University of Bucharest – Faculty of Geography & Research Center for Integrate An alysis
and Territorial Management, 1, Nicolae. Bălcescu Blvd., Bucharest, 010041, Romania,
[anonimizat]
2University of Bucharest – Faculty of Geography & Research Center for Integrate Analysis
and Ter ritorial Management, 1, Nicolae. Bălcescu Blvd., Bucharest, 010041, Romania,
[anonimizat]
3University of Bucharest – Faculty of Geography & Research Center for Integrate Analysis
and Territorial Management, 1 , Nicolae. Bălcescu Blvd., Bucharest, 010041, Romania,
[anonimizat]

Abstract
Creative economies are today one of the fastest -growing economic sectors and an
impressive transforming force, than can contrib ute to increasing territorial, regional or
national competitiveness and, therefore, to economic growth and long -term development.
The study aims to analyze the contribution of creative economies to the local and
regional economy. Quantification of the role of creative economies in the economic profile
was made by creating a database, at the level of administrative -territorial unit, with the main
economic indicators (number of companies, number of employees, turnover and profit) for
the creative economie s, according to the NACE classification ( Classification of National
Economy Activities) , for the period 2000 -2016. The database was also used for the evolution
of the ranks held by each economic sector for the analyzed period and for the development
of tre nd matrices on the evolution of the above indicators, at the four -digit NACE code.
The result highlight the importance of creative sector in the dynamics of local and
regional economies of the territorial systems.

Keywords: creative economies, territorial systems, regional development, territorial management

1. Introduction
The cr eative economy has become today one of the fastest growing sectors of the economy, while
promoting human development, social inclusion and cultural diversity ( UNCTAD , 2008, Hajk owicz ,
2015), stimulating entrepreneurship and investments ( Henry , 2007; Henry and Bruin , 2011).
Creative industries contribute to economic growth, these play an important role in spreading
innovation across the economy through their products and services, but also through new ideas,
knowledge, processes and new ways of working ( United Nations , 2011). Creative economies are
considered being generating functional complexity and implicitly by the economic growth of local
economies ( Drake , 2003, Florida , 2005, Stoian et al ., 2014, Pintilii et al ., 2014).
Economic, social, structural changes and economic and financial crisis have affected the various
sectors of creative industries, but due to the heterogeneity of the creative sector, this is not case for all
these activities, such as the information and communications sector, which operates independently
(Pratt and Hutton , 2013). According to the Report on the creative economy in 2010, creative industry

was, in general, the more resistant to the world economic crisis than other traditional processing
industries ( United Nations , 2011), contributes to general prosperity and works in synergy with the
knowledge -based economy ( Veselá and Klimová , 2014).

2. Methodology
The analysis of the role of the creative econom ies in the local and regional economic profile was
realized through the creation of an economic database at the level of administrative territoral unit and
at regional level, with the main economic indicators (the number of companies, the number of
employe es, profit and turnover) for creative economic activities according to the Classification of
National Economy Activities (NACE), at four -digit level. On the basis thereof have been realized
trend graphs on the evolution of the indicators above mentioned, f or creative economic activities
according to the NACE, and has led to achieving of the graphs which represent the share of the four
indicators of creative sector which has been reported to the total value of the economy, and also the
graphics with the sha re for number of companies, number of employees, turnover and profit from the
creative sector in relation to the total value of the economy for the 8 development regions of Romania,
for the period of analysis 2000 -2016.
Also, for the analysis it was necess ary to extract the NACE codes belonging to creative
economies, thus, Table 1. Shows the NACE codes at the four -digit level belonging to creative
economies.

Table 1. NACE Codes, belonging to creative economies
1811 Printing of newspapers
1812 Other printi ng activities
1813 Prepress services
1814 Binding and related services
5811 Book publishing activities
5812 Guidebooks, compendiums, mailing lists and similar activities
5813 Newspapers publishing activities
5814 Journals and periodicals publishing a ctivities
5819 Other publishing activities
5821 Computer games publishing activities
5829 Other software publishing activities
5911 Motion pictures, video and television program activities
5912 Post-production, Motion picture, video and television pro gram activities
5920 Sound developing, recording and music publishing activities
6010 Radio broadcasting activities
6020 Television broadcasting activities
6110 Telecommunications activities through cable networks
6120 Telecommunications activities Wi reless network (excluding satellite)
6130 Satellite telecommunications activities
6190 Other telecommunications activities
6201 Custom software development activities (software -oriented client)
6202 Information technology consultancy activities
6203 Management activities (management and operation) of computing
6209 Other information technology and computer service activities
6311 Data processing, hosting and related activities
6312 Web portals activities
6391 News agency activities
6399 Other i nformation service activities
7111 Architectural activities
7112 Engineering activities and related technical consultancy
7120 Technical testing and analysis activities
7311 Activities of advertising agencies

7312 Media representation
7320 Activities market research and public opinion polling
7410 Specialized design activities
7420 Photographic activities
7430 Activities of oral and written translation (interpreting)
7490 Other professional, scientific and technical activities
9001 Artistic inter pretation activities (performances)
9002 Support activities for artistic interpretation
9003 Activities of artistic creation
9101 Libraries and archives activities
9311 Operation of sports
9312 Activities of sports clubs
9313 Activities of fitness ce nters
9319 Other sport activities

3. Results and Discussion
The analysis of the trends of the number of companies in the creative sector for the period 2000 –
2016 (Figure 1.) shows an ascending development up to the year 2009, reaching the value of 60.63 3
companies, the most important activities being those related to architecture with 5.141 firms,
engineering activities and related technical consultancy with 10.752 companies and activities of
advertising agencies with 7.089 of companies. Being followed b y a decrease in 2010 and a significant
increase until the year 2016, when the value reaches the maximum threshold of 71.203 companies in
the sector, the most important being creative activities related to engineering activities and related
technical consul tancy with 12.110 companies, the activities of advertising agencies with 7.991 firms
and activities for custom software development activities (software -oriented client) with 7.592 firms.
The evolution of turnover in the creative sector in Romania for the period 2000 -2016 (Figure 2.),
presents an ascendant trend with decreases in the period 2005 -2007, with the lowest value in the year
2005, respectively, 15.600.160.552 lei. It can be observed a significant increase in 2008 and then a
decrease and stagnation for the period 2009 -2012, against the background of the economic crisis. The
highest values are recorded in the years 2015 -2016 with 68.343.201.116 lei, respectively,
69.671.264.198 lei the most important activities being activities related to engineering activities and
related technical consultancy and activities of advertising agencies and telecommunications activities
through cable networks.

Figure 1. Evolution of number of companies in creati ve sector
in Romania for the period 2000 -2016 Figure 2. Evolution of turnover in creative sector in Romania
for the period 2000 -2016

The analysis of evolution of the number of employees in the creative sector in Romania for the
period 2000 -2016 (Figure 3 .), shows an ascending trend up during 2008, with a maximum value
336.717 employees in the creative, the most important activities being data processing,, administration
web pages and related activities with 20.567 employees, engineering activities and rel ated technical
consultancy with 50.344 employees and activities of advertising agencies with 73.448 employees.
After the year 2008, against the background of the economic crisis the number of employees in the
creative sector begins to drop, and starting wi th the year 2013, there is a slight increase.
The analysis of the evolution of profit of the creative sector for the period 2000 -2016 (Figure 4.)
shows a fluctuating line, with the increase in the profit up to the year 2005, followed by a decrease and
an increase in 2007, with a value of profit of 6.629.495.013 lei followed by increase and stagnation of
values in the period 2014 -2016 when there is a slight increase with a maximum value of
7.701.531.643 lei in 2016, the most important activities being engin eering activities and related
technical consultancy with 1.045.966.926 lei and activities for custom software development activities
(software -oriented client) with 1.222.613.687 lei.

Figure 3. Ev olution of number of employees in creative sector
in Romania for the period 2000 -2016 Figure 4. Evolution of profit in creative sector in Romania for
the period 2000 -2016

Through the share, was shown the contribution made by the creative sector to the to tal value of
the economy in through the four economic indicators considered relevant (Figure 8. to Figure 12.).
Thus, the evolution of the share for the period 2000 -2016 (Figure 5.) reveals an upward trend,
with values of 9.35% in 2008 and 9.60% respective ly in 2009, followed by a slight decrease and an
increase of of the value of the weight in the period 2014 -2016 with values of 10,09% in 2014, 10,44%
in 2015 and 10,84% in 2016.
The analysis of the evolution of the share of turnover (Figure 6.), presents a descendant line of the
value of share of the creative sector, thus, it is noticed a decrease of the value of turnover by a
minimum threshold in 2005, with 3,97% of the total value of the economy, followed by a slight
increase and then a stagnation in the period 2011 -2014 with the value of 5.72 % and 5,63% in the
years 2015, respectively, 2016.

Figure 5. Share of the number of firms in the creative sector
related to the total economy Figure 6. Share of the turnover in the creative sector related to
the total economy

By analysing the share of the number of employees for the period 2000 -2016 (Figure 7.), it is
noted an ascending development with a maximum of value in 2008, with 7,10% of the employees
trained in the creative sector. After the year 2008, against the background of the economic crisis, it is
noticed a decrease to 5,97% in year 2009, during the period 2010 -2016 is observed a slight increase
leading to the year 2016 the value of procentage of 6.95%.
The evolution of the share of profit of creative sector in relation to the total value of the economy
(Figure 8.) present a progress fluctuating line of values, such, it is noticed an increase up to the year
2005, with a maximum of 9,57% values of the profits belong to the creative sector, followed by the
decrease and increase until the year 2010 when values stagnates and then decrease slightly until the
year 2016, leading to a value of 8,14%.

Figure 7. Share of the number of employees in the creative sector
related to the total economy Figure 8. Share of profit in the creative sector related to the
total economy

The evolution of share of the number of firms in the creative sector relat ed to the value of the
total economy for the eight development regions of Romania for the period 2000 -2016 (Figure 9.)
shows the Region 8 – Development Region Bucharest -Ilfov as the main region which groups together
the most important value of the share of firms in the creative sector with an ascending development
and maximum value of 4,33% in 2016. The Regions 6 – North -West Development Region and Region
7 – Center Development Region presents notable value of the share, with ascending developments and
the maximum amount recorded in 2016 with 1.49% and with 1.13% of the total values. Region 5 –
West Development Region, Region 3 – South -Muntenia Development Region, and Region 2 – South –
East Development Region și Region 1 – North -East Development Region presen t similar values of the

share, with a maximum value in 2016, with values less than 1%. The Region 4 – South -Western
Development Region is the region with the lowest values of the share of the creative sector in the total
values of the economy, with values not exceeding 0,5%.
The analysis of the share of turnover in the creative sector related to the value of the total
economy (Figure 10.) presents Region 8 – The Bucharest -Ilfov Development Region as the region that
groups the highest value of the creative s ector share, having a fluctuating trend, with fluctuating values
between 5.55% and 1.06%, the latter being the lowest value of the share registered in 2012. Region 6 –
The North -West Development Region records a weight of 0.64% in 2014 and the other region s not
exceeding 0.50%.

Figure 9. Share of the number of firms in the creative sector
related to the total economy for development regions of
Romania; Region 1 – North -East Development region, Regi on 2
– South -East, Region 3 –South -Muntenia Development region,
Region 4 – South -West Oltenia Development region, Region 5 –
West Development region, Region 6 – North -West, Region 7 –
Center Development region, Region 8 – Bucharest -Ilfov
Development region Figure 10. Share of turnover in the creative sector related to the
total economy for development regions of Romania; Region 1 –
North -East Development region, Region 2 – South -East, Region
3 –South -Muntenia Development region, Region 4 – South -West
Olteni a Development region, Region 5 – West Development
region, Region 6 – North -West, Region 7 – Center Development
region, Region 8 – Bucharest -Ilfov Development region

The evolution of the share of the number of employees in the creative sector related to t he value
of the total economy for the eight development regions of Romania for the period 2000 -2016 (Figure
11.) shows the Region 8 – Development Region Bucharest -Ilfov that region as the value of the share of
large groups of employees in the creative sect or with an ascending trend and maximum value of
3.78% in 2016. The Regions 6 – North -West Development Region and Region 7 – Center
Development Region shows the value of share of 0.86%, respectively 0.52% in 2016. Region 5 –
West Development Region, and Re gion 2 – South -Eastern Development Region shows fluctuations
values with a maximum of values 1.49% in 2008, respectively 0.76% in 2007. Region 1 – North -East
Development Region, Region 4 – South -Western Development Region and Region 3 – South –
Muntenia Dev elopment Region are the regions with the lowest values of the procentage of the creative
sector, with values not exceeding 0,5%.
The evolution of the share of profit of creative sector related to the value of the total economy for
the period 2000 -2016 (Fig ure 12.) highlights Region 8 – Development Region Bucharest -Ilfov that
region to be noticed by the important values of the share of evolution, with descending fluctuating
line, with a maximum of 11,95% of total value of the economy. The Regions 6 – North -West
Development Region and Region 7 – Center Development Region shows the values of share of 0.86%,
respectively, 0.54% in 2016. The other regions of development Region 5 – West Development Region,
Region 2 – South -Eastern Development Region, Region 1 – North-East Development Region, Region
4 – South -Western Development Region and Region 3 – South -Muntenia Development Region shows

the values of the weighting of less than 0.50 % share of the total value of creative sector of the
economy.

Figure 11. Share of the number of employees in the creative
sector related to the total economy for development regions of
Romania; Region 1 – North -East Development region, Region 2
– South -East, Region 3 –South -Mun tenia Development region,
Region 4 – South -West Oltenia Development region, Region 5 –
West Development region, Region 6 – North -West, Region 7 –
Center Development region, Region 8 – Bucharest -Ilfov
Development region Figure 12. Share of profit in the cre ative sector related to the
total economy for development regions of Romania; Region 1 –
North -East Development region, Region 2 – South -East, Region
3 –South -Muntenia Development region, Region 4 – South –
West Oltenia Development region, Region 5 – West
Development region, Region 6 – North -West, Region 7 – Center
Development region, Region 8 – Bucharest -Ilfov Development
region

The results suggest new concepts in the analysis of the role of creative economies in regional and
local economic profile in Roma nia, these can fill in the studies made previously on the dynamics of
the economic profile of the creative economies ( Peptenatu et al ., 2012a, Pintilii et al ., 2014, Stoian et
al., 2014, Pintilii et al ., 2017), studies on the structural dynamics of territo rial systems ( Ianos et al .,
2012; Peptenatu et al ., 2012a, 2012b; Prăvălie et al ., 2014a, 2014b) and strengthen the idea that the
creative economies are generating functional complexity and growth of local and regional economies
(Drake , 2003, Florida , 2005, Stoian et al ., 2014, Pintilii et al ., 2014) and can lead to a be tter
understanding the role of the economic component in generating adaptive capacity ( Pintilii et al. ,
2016).
Also, the metodology used contribute to the completion of such studies and has an important
contribution to the complexity of the functional anal ysis at the level of the local economy ( Peptenatu
et al. , 2012).

4. Conclusion
Creative economies represent a valuable resource for the development and local and regional
economic growth. The analysis of the dynamics of economic profiles using the four e conomic
indicators (number of firms, turnover, number of employees and profit) reveals an ascending trend
analysis for the period 2000 -2016.
The analysis of the share, shows a significant contribution brought by the creative sector in the
total value of th e economy and the procentage of the creative sector at the level of the eigth
development regions highlights the regions which are detashed by an important contribution to the
spreading of innovation in the whole economy, the most important being Region 8 Region –

Bucharest -Ilfov Development Region followed by the Region 6 – North -West Development, Region 7
– Center Development Region.

5. Acknowledgements
This work was supported by a grant of the Romanian National Authority for Scientific Research and
Innovation, CNCS – UEFISCDI, project UB 1407/2018.

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