Reference:

Salvador Elisa, Simon Jean-Paul & Benghozi Pierre-Jean (2019) “Facing Disruption: The Cinema Value Chain in the Digital Age”, International Journal of Arts Management, vol. 22, n° 1 (Fall), pp. 25-40.

Abstract:

Cultural and creative industries (CCIs) are based on a regular capacity for innovation. Yet, recent technological dynamics support disruptive ways to devise, deploy, and make value from innovation. Whereas most of the existing literature addresses the disruptive changes in consumer practices and the business models of CCIs, this article investigates how disruptive technologies are challenging the whole organization and the value chain of the cinema industry. These transformations are supported by a multilayered evolution driven by technological middlemen, industrial partnerships, and information technology infrastructure. First, most of the changes observed are driven by new actors emerging outside the CCIs, while the traditional players of these industries are investing less in R&D and technology. Second, these new players, usually specialized technological suppliers (STSs), are building their position by using their technological expertise to serve the creative dimension of cultural works. Several observations are advanced in the article about the role of these STSs and the growing place of new industrial partnerships. Last, the growing importance of information and communication technologies and of Internet networks gives a key role to technological infrastructures and platforms leadership. This multilayer influence leads to a reconfiguration of the traditional business ecosystem and value chain of the cinema industry. It also questions the current role of public intervention. In particular, one may wonder whether this new environment should call for an alternative policy to the one of traditional “silo” financing (i.e., partitioning the regulation and financial support for each subsector of CCIs) that has dominated up till now..

Keywords: creative and cultural industries; cinema industry; intermediaries; disruptive innovation; value chain