This presentation is by Tom Tre

1. Introduction to the creative
Economy
Tom Tresser
Instructor

2. Creativity & American
Heritage
Intro to the Creative Economy 2

3. Intro to the Creative Economy 3
http://www.lib.utexas.edu/maps/historical/ward_1912.html

4. The Power of Political Theater
The Tea Act of 1773
The Tea Act, passed by Parliament on May 10, 1773, would launch the final
spark to the revolutionary movement in Boston. The act was not intended to
raise revenue in the American colonies, and in fact imposed no new taxes. It
was designed to prop up the East India Company which was floundering
financially and burdened with eighteen million pounds of unsold tea. This tea
was to be shipped directly to the colonies, and sold at a bargain price. The
Townshend Duties were still in place, however, and the radical leaders in
America found reason to believe that this act was a maneuver to buy popular
support for the taxes already in force. The direct sale of tea, via British agents,
would also have undercut the business of local merchants.
Colonists in Philadelphia and New York turned the tea ships back to Britain. In
Charleston the cargo was left to rot on the docks. In Boston the Royal
Governor was stubborn & held the ships in port, where the colonists would not
allow them to unload. Cargoes of tea filled the harbor, and the British ship's
crews were stalled in Boston looking for work and often finding trouble. This
situation led to the Boston Tea Party.
http://www.ushistory.org/declaration/related/teaact.htm
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5. December 16, 1773
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6. Account of Tea Party Participant, George Hewes
It was now evening, and I immediately dressed myself in the costume of an Indian, equipped with a
small hatchet, which I and my associates denominated the tomahawk, with which, and a club,
after having painted my face and hands with coal dust in the shop of a blacksmith, I repaired to
Griffin's wharf, where the ships lay that contained the tea. When I first appeared in the street after
being thus disguised, I fell in with many who were dressed, equipped and painted as I was, and
who fell in with me and marched in order to the place of our destination.
When we arrived at the wharf, there were three of our number who assumed an authority to direct our
operations, to which we readily submitted. They divided us into three parties, for the purpose of boarding
the three ships which contained the tea at the same time. The name of him who commanded the division
to which I was assigned was Leonard Pitt. The names of the other commanders I never knew.
We were immediately ordered by the respective commanders to board all the ships at the same time,
which we promptly obeyed. The commander of the division to which I belonged, as soon as we were on
board the ship appointed me boatswain, and ordered me to go to the captain and demand of him the
keys to the hatches and a dozen candles. I made the demand accordingly, and the captain promptly
replied, and delivered the articles; but requested me at the same time to do no damage to the ship or
rigging.
We then were ordered by our commander to open the hatches and take out all the chests of tea and
throw them overboard, and we immediately proceeded to execute his orders, first cutting and splitting the
chests with our tomahawks, so as thoroughly to expose them to the effects of the water.
In about three hours from the time we went on board, we had thus broken and thrown overboard every
tea chest to be found in the ship, while those in the other ships were disposing of the tea in the same
way, at the same time. We were surrounded by British armed ships, but no attempt was made to resist
us. [http://www.boston-tea-party.org/account-george-hewes.html ]
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7. The Power of words…
Thomas Paine – 1737 - 1809
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8. The Power of words…
“We have every opportunity and
every encouragement before us, to
form the noblest, purest constitution
on the face of the earth. We have it in
our power to begin the world over
again. A situation, similar to the
present, hath not happened since the
days of Noah until now.
The birthday of a new world is at
hand, and a race of men, perhaps as
numerous as all Europe contains, are
to receive their portion of freedom
from the events of a few months.”
Read the full text @ http://www.ushistory.org/paine/commonsense/singlehtml.htm
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9. The Power of words…
Estimates of copies sold range from 150,000 at start of
Revolution to a total sales figure of 500,000 for the
duration of the conflict. Since there were about 2.5
million people in America in 1776, that would like selling
78 million copies of a book in 2010 America !
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10. More on Thomas Paine
• Watch C-SPAN “American Writers” special @
http://www.c-spanvideo.org/program/ThomasPa
• Full text of his work - http://www.ushistory.org/paine
• TP National Historical Association - http://tpnha.keybrick.net
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11. The invention of America
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12. “We hold these truths to be
self-evident, that all men are
created equal, that they are
endowed by their Creator with
certain unalienable Rights, that
among these are Life, Liberty
and the pursuit of Happiness.
etc. etc.”
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13. Tom Crafts reads the Declaration aloud in Boston - July 19, 1776
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14. “The bells rang, the privateers fired the forts
and batteries, the cannon were discharged,
the platoons followed, and every face
appeared joyful…After dinner the King’s
Arms were taken down from the State
House and every vestige of him from every
place in which it appeared, and burnt…
Thus ends royal Authority in this State…and
all the people shall say Amen.”
Abigail Adams letter to John describing Tom Crafts, a house painter,
reading of the Declaration of Independence aloud on July 19, 1776
from small balcony in front of the Massachusetts State House, Boston.
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15. U .S .A !
U.S.A!
U.S.A!
U.S.A!
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16. America, the invented
country…
"The War was no part of the Revolution...It was only an effect and
consequence of it. The Revolution was in the minds of the people,
and this was effected...years before a drop of blood was drawn at
Lexington."
- John Adams, 1815 letter to Thomas Jefferson.
The United States was the first nation to be designed into
being. We were invented. The establishment of the
United States was an audacious act of creativity. We are
a creative work. We are a work in progress.
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17. VALUE OF
CREATIVITY
?
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18. Creativity is our promise
43,000,000 people in U.S. born abroad
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19. Creativity is our promise
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20. Tom’s Story
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21. I.I. Rabi won the 1944 Nobel Physics Prize for his work on the
Manhattan Project.
- born in Austria
- came to America as infant
- father worked making women’s blouses in a sweatshop
- Rabi was a brilliant student, became a physicist
- leading member of the Manhattan Project
On the occasion of the award a journalist asked, What did Rabi
think of this great honor? “What do I think? I think that in the old
country I would have been a tailor.”
- David Halberstam, “Defining a Nation – Our America and the Sources of its Strength,”
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2003.

22. From 1906 to 2011, 315 U.S. citizens have
been awarded Nobel Prizes.
82 were foreign-born
(including Isidor Rabi).
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23. Intro to the Creative Economy 23

24. Introduction to the creative
Economy
Tom Tresser
Instructor

25. Creativity Drives U.S. Social + Economic Progress
Jane Addams
Jonas Salk
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26. Creativity in business
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27. Joe Pine
Jim Gilmore
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28. The progression of economic value
Differentiated
Stage
experiences
Deliver
services
COMPETITIVE
POSITION
Make
goods
Extract
Undifferentiated commodities
Market Premium
PRICING
Intro to the Creative Economy 28
Pine & Gilmore, “Welcome to the Experience Economy,” HBR, July/Aug 1998.

29. Economic Distinctions
Type of Economy Agrarian Industrial Service Experience
Economic Commodities Services Experiences
Goods
Offering
Economic Extract Deliver Stage
Make
Function
Nature of Tangible
Fungible Intangible Memorable
Offering
Key Attribute Natural Customized
Standardized Personal
Delivered on
Method of Inventoried Revealed over
Supply Stored in bulk after production Demand a duration
Trader
Seller is… Manufacturer Provider
Stager
Buyer is… User
Market Client
Guest
Factors of Benefits
Characteristics Features Sensations
Demand
Intro to the Creative Economy 29
Pine & Gilmore, “Welcome to the Experience Economy,” Harvard Business Review, July/Aug 1998.

30. Put it
another way
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31. As the economy has evolved, so has business evolved
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32. Rise of the Creative Class
Services
Manufacturing Creative
Farming
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Source: Martin Prosperity Institute, Rotman School of Business, University of Toronto

33. Rise of the Creative Class
Manufacturing
Services
Creative
Farming
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Source: Martin Prosperity Institute, Rotman School of Business, University of Toronto

34. The increasing value of creativity
2007 = Services
accounted for
79% of US Creative Economy
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35. The increasing value of creativity
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36. Intro to the Creative Economy 36

37. Creative Economy
Industries
• TAPE:
– Technology, R&D, Innovation
– Arts & Culture
– Professional & Managerial
– Education & Training
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38. Value of U.S. Copyright Industries 2007
Core Partial Support Independent
To create, Some Distributes Produce,
produce, aspect of both © and distribute
distribute, product non-© to equipment that
exhibit qualifies for business/ used in creating,
copyright © consumers use of ©
materials protection materials
Books, Fabric, Transporta- Manufacturer,
periodicals, jewelry, tion, distrib,retail of CD
movies, toys, communi- players, TV,
music, games, cation, VCRs, PCs,
broadcast, furniture whole-sale, blank discs, etc.
software, retail
DVDs (only partially counted)
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39. Value of U.S. Copyright Industries 2007
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40. Value of U.S. Copyright Industries 2007
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41. Intro to the Creative Economy 41

42. Creativity can be applied
to all types of business
BECAME THIS
THIS
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43. Intro to the Creative Economy 43

44. Intro to the Creative Economy 44

45. How much value does Starbucks add?
Cost of coffee bean when harvested 2011=
AN $1.24/lb.
INCREASE OF
VALUE OF
APPROX.
Value realized by Starbucks from selling
cup of coffee =
20,000%
$230/lb.
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46. So, Starbucks is doing very well…

47. Creativity can be applied
to all types of business
BECAME THIS
THIS
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48. Creativity can be applied
to all types of business
THIS BECAME THIS
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49. CEOs Are Demanding
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50. What CEOs are worried about
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51. What CEOs are worried about
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52. The Solution to What Is Keeping CEOs Up at Night?
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53. Intro to the Creative Economy 53

54. Innovation as a mindset,
not a department
IBM 2010 Global CEO STUDY
-1,500 global CEOs surveyed
- http://www-935.ibm.com/services/us/ceo/ceostudy2010/index.html
- The number one talent being sought by CEOs for their managers
and employees = CREATIVITY!
“Innovation isn’t a department, it’s a culture” Thomas Tsao, Gobi
Partners
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55. TOM’S UNIFIED
FIELD THEORY
OF PERSONAL
AND CIVIC
CREATIVITY
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56. Intro to the Creative Economy 56

57. Introduction to the creative
Economy
To Sum Up…
• The global economy has evolved
• American economy no longer powered by
manufacturing
• New type of jobs have developed
• New skills needed to succeed
• New educational, national priorities required
• Creativity powers the economy AND
democracy
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58. “If I were not a physicist, I would
probably be a musician. I often
think in music. I live my day
dreams in music. I see my life in
terms of music…I get most joy in
life out of the violin…I am
enough of an artist to draw freely
upon my imagination.
Imagination is more important
than knowledge. Knowledge is
limited. Imagination encircles the
world.”
- Albert Einstein, October 1929
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