When we refer to the creative economy or orange economy, we can’t define it with a single, universal definition. To CIPE and its entrepreneurial participants, it’s an economy fueled by entrepreneurial activity happening in a range of industries, including software, publicity, film, culture, and art to name a few. Worldwide, the sector is growing rapidly and is estimated to make up 3% of the global GDP. This phenomenon stands out from other economic sectors because its goods and services are based on individual creativity, talent, and intellectual capital and it provides an alternative career path to a burgeoning and motivated youth population.
The idea that the orange economy can generate income and employment and help transform communities throughout Latin America is exactly what CIPE aims to capitalize on through its creative economy programming. In the region, the creative economy has one of the highest growth rates and currently contributes roughly 2.2% of the overall GDP. Since 2016, CIPE has worked in Central America to help build the capacity of entrepreneurs and the organizations supporting them to foster economic growth in this sector. Currently, CIPE leads a regional program called CONA which aims to support orange economy entrepreneurs in Guatemala and El Salvador. In order to get the perspective of the program’s beneficiaries, CIPE asked several entrepreneurs from this program how they see the orange economy and what it means to them.
According to Adolfo Quijel, an artist and entrepreneur based in Quetzaltenango, Guatemala, the orange economy is a new term still gathering meaning from the people within it, but it’s a way to take advantage of emerging talent to gradually create a better society for all. “Ideally, if each person or company can generate sources of income through creativity and innovation, it will generate new opportunities for anyone seeking them,” Quijel says.
Quijel participated in an earlier phase of the program called Xelajú Naraja, based in Quetzaltenango and supported by CIPE, where he learned the necessary skills to formalize his art studio as a business and get the opportunity to display and sell his artwork.
Cynthia Garcia, the founder of Kingdom Films, says the orange economy isn’t just the creative, artistic, and musical ventures, but it encompasses so much more and it’s growing in Guatemala. Garcia believes the orange economy is a part of every economic sector since every job requires an entrepreneurial and creative spirit from time to time. “It’s important to support the orange economy as it grows since it’s continuously providing an alternative to traditional career paths that are just as fruitful and fulfilling as a traditional post-graduate career,” Garcia mentions.
Cynthia participated in Xelaju Naranja, and through CIPE’s programming learned to increase her sales by 50% and create a more efficient business plan.
According to Josue and Zuri, two digital and graphic designers and marketing entrepreneurs, the creative industries are offering something new and refreshing to a new generation of workers. They believe the orange economy is non-traditional and capitalizing on a new generation of talent. They discussed how marketing may not be immediately considered part of the orange economy, but they make the compelling argument that seeing as how marketing requires creative skills in audiovisual tech, graphic design, digital marketing, and advertising, it fits squarely into the growing sector.
“The orange economy encourages mutual collaboration between entrepreneurs. In my case, I recommend the work of other entrepreneurs. I help them and they help me. We are a team. It invites us to consume what is ours, instead of looking for it elsewhere,” Josue added.
Through CIPE’s program, Zuri learned to diversify her company’s media offerings and become a more active member of her community. Josue was a part of the early stages of CIPE’s programming in the creative economy, he learned how to formalize his business and became a member of the Orange Consortium (a group of local leaders striving to strengthen the creative economy ecosystem in Central America.)
Mazatenango in Suchitepéquez, Guatemala is another community that is starting to capitalize on its community of creative entrepreneurs. As part of its efforts to expand orange economy programing in Central America, CIPE recently led a pilot programmatic expansion to Mazatenango, among several other communities in Central America. The entrepreneurs in the pilot phase are actively participating in workshops that will help them formalize businesses, become community leaders, and grow their local economies from the ground up.
According to a few entrepreneurs in Mazatenango, the orange economy represents opportunity and discovery. The entrepreneurs in Suchitepéquez describe the orange economy as something intangible that isn’t confined to the parameters of the traditional economy. To them, the orange economy is also a movement of people striving to support creative entrepreneurs who meet the needs of their communities. The interviewees from Suchitepéquez also argue that even though the orange economy is new and emerging as a mainstream idea, it still encompasses parts of the traditional economy because art and culture are engines that have progressed society forward for generations.
One thing each entrepreneur mentioned in Quetzaltenango and Mazatenango alike is that at the heart of the Orange Economy is an emerging network of like-minded individuals looking to improve the quality of life in their communities and build a new private sector. Striving to meet the needs of their communities means that each local creative ecosystem might look a bit different, but ultimately that’s what makes the creative economy special. No matter what ventures each entrepreneur comes up with, the priorities are always described as fostering a community, building support networks, and creating a better society for future generations.
While we all may not always agree on one definition of the Orange Economy, it is clear that those who are part of it see it as far more than a way to earn money. They describe it as a movement of people striving to capitalize on talent, promote culture, and modernize the way people participate in the economy. This last point is why the creative economy is at the heart of CIPE’s work. Ultimately, it is a way to democratize economic opportunities and help individuals and communities with their most important resource: people.
Published Date: November 16, 2023