Creative industries maintain and protect historical and cultural heritage, improve cultural capital, and foster communities as well as individual creativity. This leads to the improvement of cultural assets of cities, the establishment of city brands and identity, the promotion of the creative economy, and overall economic and social development. In this context, creativity is changing China. Three forces drive the development of creative industries as seen in Shanghai, which "blossomed" creatively thanks to a joint effort by the government, the market and intermediary institutions. The author also looks at the significance of virtual space on human relationships and consumption, and how new technologies have impacted on traditional art forms while in turn creating a large number of new art forms.
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