A Comparative Study Of Investment And Financing In Cultural Industry Between China And The United States

Culture industry, as a knowledge and capital intensive industry, sufficient capitalis the basis and security of sustainable and healthy development of industry. Hence,the investment and financing problem of culture industry is the fundamental problemthat concerns the development of culture industry. For now, developed countries suchas American have formed perfect system of and financing during nearly100yearsdevelopment of culture industry, which provides important security for domesticculture industry development. The building of culture industry in our country startedlate and the system of culture industry investment and financing is under construction.The problems such as the imperfection of culture industry investment and financingmechanism and the short of investment and financing manner are the mainbottlenecks that block the further development of culture industry. Based on this, thispaper selects the comparison of culture industry investment and financing betweenChina and America as topic and makes a systematic analysis and objective valuationabout the problem of culture industry between China and American. The order is torefine the basic experience of culture industry investment and financing of Americanand to provide the theoretical guidance and experience reference for boosting thedevelopment of our country’s culture industry investment and financing. This paperincludes six partsPart one is an introduction. This part mainly introduces the research backgroundand the significance of the topic. This part summarizes and reviews the literaturesabout the relevant theories of culture industry investment and financing, the operationmechanism of culture industry investment and financing and the efficiency ofinvestment and financing. At the same time, this part states the research method andstructure arrangement of this paper, and indicates the innovation points and thepaucity of research.Part two states the present situation of Chinese and American culture industryand culture industry investment and financing development. Among the research of Chinese culture industry development, the emphasis is analyzing the current situation,tendency, existed shortage of Chinese culture industry and so on. The research ofChinese culture investment and financing mainly analyses the present situation,characteristic, existed problem and so on. The research of American culture industrydevelopment puts emphasis on the role of American culture industry in its economicdevelopment, the present situation of culture industry development, the characteristicand experience of culture industry development and so on. The start point ofAmerican culture industry investment and financing research is summarizing thecharacteristic and experience of American culture industry investment and financing.The analysis of this part is the basis of follow-up study.Part three is the comparison of the Sino-US cultural industry investment andfinancing mechanism, and analysis of the specific performance of the Chinesecultural industry investment and financing mechanism is missing. In the main body ofinvestment, China has formed a government investment-led investment and financingsystem; while the United States to establish a government investment guide, socialcapital is actively involved in the diversification of investment and financing system.Policy in support of China’s cultural industry, government policy support system isnot perfect, and in particular in: insufficient tax incentives, intellectual property lawsand regulations are not sound, etc.; cultural industries policy support system from theUnited States point of view: the tax incentives more increased and tax relief policiesmore flexible, and more complete intellectual property laws and regulations. To theinnovation in investment and financing mechanism, China’s cultural industry hasexperienced a baptism of cultural investment and financing system reform, in the caseof gradual liberalization of market access restrictions, there is a more diversifiedinvestment entities; while the U.S. cultural industry investment and financingmechanism of innovation is even more multi-performance in the innovation offinancial products, which provides effective support to the American cultural industryand the financial capital of docking. On a comparison of the Sino-US culturalindustry investment and financing mechanism, the defects of China’s cultural industryinvestment and financing mechanism in its invalidity avoid investment risk. Forexample, investment information is not smooth, piracy, and the presence of moralhazard of investment and financing. To solve the above-mentioned investment and financing defects should be by accelerating the development of a diversifiedinvestment body, promote investment and financing mechanism for market-orientedreforms and improve the government’s policy support angle.Part four is comparison of Sino-US cultural industry investment and financingways. Cultural industry in China has initially formed a diversified financialinvestment, loans from financial institutions, capital market financing and venturecapital financing. American culture industry mainly uses financing credit facilities,capital markets and risk capital intervention. Also, respectively, from the perspectiveof cultural industries policy constraints perspective, the business model perspective,as well as financial innovation perspective, this paper carries out a comparativeanalysis on investment and financing of cultural industry in China and the UnitedStates.Part five is on the basis of a comparative analysis of the mechanism of Sino-USinvestment and financing, and the ways of investment and financing, further evaluatesthe efficiency of investment and financing of the cultural industries of the twocountries. The cultural industries of the two countries’ differences in the operatingmechanism of the investment and financing, and the ways of investment andfinancing, and will eventually be reflected in the difference of the level of efficiencyof investment and financing in the cultural industries of the two countries. Resultsfrom the analysis point of view, the listed cultural enterprises in U.S. have higheroverall level of investment and financing efficiency than China’s.Part six based upon the drawing on the experience of the American culturalindustry investment and financing, suggests the proposed basic recommendations toimprove the investment and financing system of China’s cultural industry. That shouldfurther improve the policy support systems, diversify financing system to buildcultural industries, as well as to speed up the investment and financing systemconstruction, then to further improve China’s cultural industry investment andfinancing system.