I. 1. The first characteristic of the developing situation of Changsha cultural industry is its large scale. There are 100 thousands of individual households engaged in cultural business and 2, 280 cultural legal entities in Changsha, among which more than ten cultural enterprises possessing capital assets of more than 100 million yuan, such as Changsha Evening Newspaper Group, Changsha Broadcast and Television Group, Hunan Xiang Embroidery City, etc.. The number of employees in the cultural industry is over 264.4 thousand, accounting for 6.9% of all the employees in Changsha. In 2008, business units engaged in cultural industry reaches up to 44, 692, composed by 5, 122 legal entities and 39, 570 individual households, up by 15.4% over the previous year. The gross cultural product reaches 61.79 billion yuan, up by 20.8% over 2007, and increases 29.3 billion yuan in value, up by 29% over the same period of last year. Therefore, the cultural industry, making up 9.8% of the municipal GDP, has become a key pillar in the economic development of Changsha.
2. The second characteristic is the well-known brand. The booming Changsha cultural industry has established its nation-wide reputation by building the nationally well-known brand such as Changsha KTV, Changsha animation, Changsha film and television, accounting for 9.8% of city's total GDP volume and two thirds of the provincial cultural industry.
3. The third characteristic is policy-guided. In April, 2003, the municipal committee office and the municipal government issued "Proposal on Further Strengthening Cultural Construction Work". And in 2005, the municipal government issued "Proposals on Some Policies of the Development of Accelerating Animation Industry".
4. The fourth characteristic is its mechanism. The mechanism for the private economy investing the cultural industry has formed. At present, private economy takes the main part in animation, KTV, folk art and the book trade.
II. The Situation of the Characteristic Industry
1. Industry of Cultural Relics and Museums: Hunan Changsha Cultural Relics and Ancient Architecture Co. Ltd. was founded in 2003 and reformed in 2005. It is a joint-stock company. The company possesses the gross assets of 8.9 million yuan and the net assets of 6.4 million yuan. It has 31 on-the-job workers and has offered jobs to 175 persons. In 2007, the company was promoted to the first-class enterprise from the national second-class construction enterprise.
2. The industry of artworks trade: Qingshuitang Cultural Relics and Artworks Market have been built.
3. The art industry: there are three professional art theaters: the Municipal Song and Dance Theater, the Municipal Xiang Theater, and the Municipal Huagu Theater. The Xiang opera is a major local opera in Hunan province, while Huagu Opera is a minor one. In 2008, there were 383 plays performed in the Municipal Song and Dance Theater, which created the income of 6 million yuan; 248 plays were performed in the Municipal Xiang Theater, bringing about the income of 620 thousand yuan; while in the Municipal Huagu Theater, the plays reached up to 170 and created 698.6 thousand yuan.
4. Cyber-culture industry: Changsha, one of the cities possessing the largest number of Internet cafes, has 1, 720 Internet cafes, 1, 103 of which are located in urban area. In 2005, Changsha was appointed as one of the experimental cities building the national effective management system for Internet Cafes. The management system for internet cafes containing eight items has been accomplished, the goal of building "green Internet cafes" and eradicating "black Internet cafes" has been achieved, and the operation and management modes of chain-orientation and corporatization for Internet cafes has made notable progress. Therefore, Li Changchun, a member of the Standing Committee of the Political Bureau, recommended that the experiences of Changsha in managing Internet cafes shall be popularized.
5. Entertainment industry: at present, there are 405 sites for art performances (KTV included) in Changsha, among which Tianhan Grand Theater (rented by Red Sun Performing Corporation, Ltd.), Qindao Performing Center, Gangdao Performing Arts Center, Dazhonghua Theater, and Ouyang Pangpang KTV have employed 20 thousand people. In 2003, these entertaining sites and performing bars created the income of 3.9 billion yuan.
6. The industry of cultural performance exhibition: in 2004, Changsha hosted the Fourth National Short Play Games of Golden Lions successfully. And in 2006, the Second Hunan Art Festival was held in Changsha, which lasted fifteen days and included the five main activities of the opening ceremony, the closing ceremony, professional art performances, exhibitions of folk cultural activities and exhibitions of drawing, calligraphy and photograph.