Staging experience, valuing authenticity: Towards a market perspective on territorial development

Abstract

Drawing on particular socio-economic theories, this paper discusses the implications for regional studies of the experience economy approach through the broader question of market valuation. Different forms of market construction are identified and compared with regard to distinct models of regional development. It is observed that most of established territorial innovation models give prominence to a technical form of market valuation driven by technological change, by localized innovative production and by the mobility of goods and services. Conversely, experiential valuation primarily points to alternative models of development focusing on the local capacity to set attractive and engaging stages and to exploit consumer mobility. While the former models have mainly been applied to export-based manufacturing, the latter have essentially been applied to leisure, entertainment and tourism activities. The second part of the paper discusses the limits of technical as well as experiential market valuation in the case of the Swiss watchmaking industry. In such a case, experience in consumption and technology in production appears as strategic economic resources but what is primarily valued is authentic watchmaking. Authenticity is regarded as a third possible form of market valuation revealing specific socio-economic and territorial dynamics. The paper finally argues that market valuation should be considered as a key issue for future understandings of economic and territorial development.

Urban and regional studies in the experience economy: What kind of turn?

“…The first contribution, by Jeannerat (2013), builds on the argument that considering the pertinence of the experience economy in regional innovation calls for a renewed approach to economic valuation and market construction. Building bridges between economic geography and economic sociology, the author conceptualizes different forms of market valuation.…”

Beyond Production and Standards: Toward a Status Market Approach to Territorial Innovation and Knowledge Policy

“…For instance, the experience of visiting a traditional handcraft car manufacture or the experience of attending a race event makes the consumer more knowledgeable about the values promoted by the producer. Becoming an 'initiated connoisseur' (JEANNERAT, 2013), impacts, in turn, on the knowledge generation of producers engaged with the common values. Thus combining a new material or a new technology with a traditional industrial element of handcraft, design or processing is recognized or 'known' as authentic by consumers.…”

Knowledge, Resources and Markets: What Economic System of Valuation?

“…Thus the socio-institutional organization of the system supports the initiation of intermediaries and end consumers who become 'connoisseurs' (JEANNERAT, 2013). In this context, particular 'hybrid communities' develop and evolve around shared knowledge (GRABHER et al, 2008).…”

“…Additionally, on the island of Bornholm, local food producers promote branded products based on particular imaginaries and songs learned at school by Danish pupils (MANNICHE et al, 2009;MANNICHE and LARSEN, 2013). In another example, car manufacturers in the West Midlands (UK) and Swiss watch manufacturers seek to evade mass competitors with authentic products that rely on consumer knowledge about their specific cul-tural and technical value (MACNEILL et al, 2009;JEANNERAT et al, 2009;JEANNERAT, 2013).…”

“…Consumers' knowledge about mechanical watches enables Swiss watch manufacturers to establish their legitimacy through the development of new mechanical complications (JEANNERAT, 2013), while the new cars developed by Morgan Motors conserve certain historical particularities recognized by consumers as authentic, such as flowing wings, a flat windscreen and an ash frame (MACNEILL et al, 2009). In such cases, innovation in production is oriented by the identification of consumers' common knowledge, which is turned into a resource that enables producers to build a specific authenticity or to sell a 'memorable experience' (PINE and GILMORE, 1999).…”