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Business and culture – a winning partnership

Montreal recently announced its financial support of the Partenariat du Quartier des spectacles (Arts and Entertainment District), thereby acknowledging the leverage effect of the cultural sector on our city. More and more, culture is gaining recognition as a competitive factor for metropolitan Montreal. Many economic development players are recognizing the importance of the “creativity” factor in the appeal of a metropolis. In fact, culture is perceived to have a triple impact: not only does this industry generate economic activity and create jobs but it also contributes to the quality of life of residents and plays a key role in enhancing the city’s international reputation.

The economic impact of culture is substantial: $5.4 billion in annual gross expenditures¹, 90,000 direct and indirect jobs², average household expenditures of $1,196 on cultural leisure in 2001³.

More than an economic engine, culture is also an essential component of our quality of life. With a network of 57 public libraries, 37 cultural providers in the boroughs (including 12 cultural centres), 32 museums, 28 exhibition halls, 19 interpretation centres, more than 200 theatre troupes, and two symphony orchestras, culture in Montreal is a vibrant, accessible part of the daily lives of Montrealers.

Because we are surrounded by culture, some people forget that its vitality is an asset for the metropolis on the international scene, an important part of its brand image and reputation, as well as a source of pride for residents throughout the metropolitan area. Not only do we enjoy a rich and varied cultural offer, but our worldwide reputation as a cultural metropolis holds enormous potential.

The accessibility and diversity of culture gives Montreal strong pulling power. Its many cultural tourist attractions – festivals, museums, historic and trendy neighbourhoods, etc. – attract almost two million tourists annually⁴. In 2004, the 25th edition of the International Jazz Festival drew more than 1.9 million visitors, and the Just for Laughs Festival attracted more than 1.7 million, almost one quarter of whom were tourists.

In addition, thanks to world-class success stories such as the Cirque du Soleil, Montreal now holds a leadership position in certain artistic disciplines. Montreal’s enviable position in design arts has just led to the selection of Montreal as headquarters of the International Design Alliance. According to Richard Florida, an American economic development specialist, the reputation of the quality and creativity of a city’s labour force and cultural products can have a pulling effect on both companies and specialized workers.

The bottom line is that the culture sector is an engine for economic development at the source of a “virtuous” circle: a thriving cultural life together with a widespread climate of creativity results in a city whose quality of life is more attractive, drawing more people – both tourists and workers – more investments, and more companies to Montreal, generating greater prosperity. In return, the culture sector and the economy as a whole are stronger and richer. The relevance of this association is demonstrated by the results of a survey carried out by the Council for Business and the Arts in Canada (CBAC). It reveals that two thirds of Canadian companies questioned in 1997-98 participate in the funding of cultural activities since they believe that the arts are a positive force in society, stimulating creativity and encouraging new ways of thinking, and that a connection with them can enhance their company's image.

Paradoxically, the Montreal Health Report, a study carried out by the Board of Trade of Metropolitan Montreal and published last May, shows that the true value of culture as a competitive factor is not yet appreciated by the Montreal business community.

This fact is reflected, for example, in the lower contributions of Montreal’s private sector to the funding of cultural and artistic activities than those in other major Canadian cities. The Council for Business and the Arts in Canada (CBAC) revealed that in 1997-98, slightly less than 12% of the revenues of Quebec’s performing arts organizations came from the private sector compared to the national average of 22%, placing Quebec in second-last place in the country. The challenge is thus to increase the participation of the private sector in the funding of cultural and artistic activities. This is a challenge the Board of Trade of Metropolitan Montreal will tackle in the coming months.

Percentage of employment related to cultural and artistic activities

Source: Montreal Health Report, Board of Trade of Metropolitan Montreal, p. 53

¹ City of Montreal, Énoncé de politique culturelle, 2003.
² City of Montreal, Énoncé de politique culturelle, 2003.
³ MCCQ, Observatoire de la Culture et des communications du Québec, Statistiques principales de la culture et des communications au Québec, 2004 edition.
⁴ City of Montreal, Énoncé de politique culturelle, 2003.