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Prado Museum - Successful Model for Raising Competitiveness in the Romanian Cultural Organizations in the Context of Urban Development

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Prado Museum - Successful Model for Raising Competitiveness in the Romanian Cultural Organizations in the Context of Urban Development PRADO MUSEUM - SUCCESSFUL MODEL FOR RAISING COMPETITIVENESS IN THE ROMANIAN CULTURAL ORGANIZATIONS IN THE CONTEXT OF URBAN DEVELOPMENT Senior Lecturer, Ph.D. Răzvan-Andrei CORBOȘ Academy of Economic Studies, Bucharest Email: [email protected] Associate Professor, Ph.D. Ruxandra-Irina POPESCU Academy of Economic Studies, Bucharest Email: [email protected] Abstract: The interest in the conceptual delimitation of the competitiveness of cultural organizations, as well as in identifying the sources of its growth, has increased in recent years due to the need to diversify the funding sources of this type of organization, urban development and the willingness to adapt to the requirements of customers who are more numerous and have diverse expectations. Practice shows that cultural organizations that have adopted a competitive economy vision and have applied specific management tools for increasing the organizational competitiveness, have achieved a good performance, becoming, this way, an example of managerial success story in the field. The experience of Prado Museum, one of the emblems of Madrid, falls in this direction. The substantial increase in the number of tourists, the decrease in state funding combined with the increase of proprietary financing resources, the enhancement of the national and international reputation, are just some of the positive results that prove the quality of used management. This paper presents and analysis these effects and the causes that have generated them, thus providing some possible suggestions for action for Romanian cultural organizations in order to increase their competitiveness. Keywords: Museums, marketing, tourism development, cultural development, competitive advantage, marketing mix, visitors, best practices. Will, 2009, p. 3). Also, the cultural 1. The importance of culture organizations have the potential to play in urban development the role of key stakeholders that can "Arts and culture are tools that effectively shape a city branding have a great potential in the economic strategy and provide cities with and cultural development of urban competitive advantages in attracting centers" (Cheney and Will, 2009, p. 3). tourism. According to Popescu (2012, p. "Museums, theatres, art galleries, 497), "actors from cultural, educational historical sites animate the urban and sports fields are usually involved in landscape through the complexity of the shaping and implementing the city cultural offer, which combines branding strategy". entertainment, recreation and Urban centers renowned for the educational opportunities. The benefits quality of residents' life and improved of these cultural institutions aren't just living conditions are very attractive for about improving the quality of life, but companies or firms that are planning to also are reflected in the degree of expand their businesses (Flynn, 2005). development of the city" (Cheney and "When considering new locations, apart 342 Management&Marketing, volume X, issue 2/2012 from the taxes and the availability of cultural sector helps develop urban labour, investors also take into account centers. the city's quality of life" (Wells, 2002). For example, "when the investor has to 2. Prado – the “emblem decide between two equivalent museum” of Madrid locations, he'll choose the city where Prado National Museum was there are more cultural institutions, opened to the public for the first time in because cultural diversity attracts 1819 (Museo Nacional del Prado, additional revenue and contributes to 2012a). In November 2003, the Law the overall economic dynamism of the no.46 - for regulating the status of the region" (Will et al., 2001, p. 2). Prado National Museum, was passed, The diversity of cultural institutions and the museum has passed from being and the multitude of artistic events an Autonomous Body to an Entity attract many skilled labour from outside Governed by Public Law. This implies a the city, and quite a big number of greater autonomy, without exceeding its artists, painters, sculptors, musicians - public character. The new management who see in this a good way to affirm of the museum is part of the trend that themselves and a way to practice their was successfully developed in other profession / skill. So, ”the major European public museums. unprecedented expansion of services Another main objective of this and the increase of their importance in reform was for the museum to have a society involved adapting the work to greater responsibility in terms of its the diverse requirements of the management and to increase its self- beneficiaries of these services” (Zamfir, financing from 27% in 2003 to 50% in 2011, p. 28). terms of operating expenses. This Apart from their contribution to percentage was reached and was even stimulating business environment, slightly exceeded in 2009. This way, cultural institutions have a large force of Prado was able to improve substantially attraction on the visitors / public outside the means to implement its main the city (Moses, 2001). Cultural objective - the preservation, activities and tourism are in a very close investigation and increasing its artistic relationship, museums are considered heritage. to be "magnets" for tourists. Prado Museum headquarters are Cultural institutions are both a in Villanueva building. The building was source of leisure activities and a way "to restored and reformed several times promote the city, generate additional over the years, due to the need of revenue, create a positive image and space for exhibiting the increasing attract investments" (Saayman and heritage. In addition to the main Saayman, 2006). building, Prado Museum owns other The amounts of money that secondary buildings, which were tourists spend are an external source of acquired due to the expansion need. revenue for the town. Even if their visit is due to cultural offers, such as: 2.1. Collections concerts or art exhibitions, expenses Prado Museum has one of the will not be limited to this sector. Being in most interesting collections of European a new city, tourists are tempted to art from the XIV century up to the early spend extra money on food, XIX century. accommodation, parking, shopping, and Founded as a painting and visiting other cultural institutions than sculpture museum, "El Prado" has originally planned (Moses, 2001). All also an important collection of over these revenues fuel the local economy 5,000 drawings, 2,000 posters, 1,000 and represent another way in which the Management&Marketing, volume X, issue 2/2012 343 coins and almost 2,000 decorative • ”General Price: 12 €; objects and works of art. Sculpture is • General admission + official represented by more than 700 works guide: 22 €; and by a smaller number of sculptural • Reduced price: 6 € (citizens pieces. The exquisite gallery of over 65, members of large families, paintings (8,600 painting) is the element holders of youth cards); that gives the museum its international • Free entry: 0 € (for different renown. Undoubtedly, Prado has the groups of people, such as: visitors largest collection of works of art under 18, students 18-25, visitors with belonging to the Spanish artists: physical impairments, citizens who are Velazquez (48 paintings) and Goya officially unemployed, personnel from (133 paintings). Also, the museum the State Museums section of the exhibits a series of excellent collections Ministry of Culture, etc.)” (Museo signed by El Greco (36 paintings and 2 Nacional del Prado, 2012c); sculptures), Eduardo Rosales (nearly • The price for 200 works of art, paintings and temporary exhibitions varies. drawings), Tiziano (40 paintings), El Visitors to the museum can benefit Bosco, Patinir, Rubens, Ribera. from the following type of subscriptions: Prado Museum organizes over 10 • Paseo del Arte (Art Walk): temporary exhibitions per year that are unique price of 21,6 €; available to visitors for 3 - 9 months, • Annual membership card for depending on the magnitude and public state museums: unique price 36,06 €. interest. For example (Museo Nacional Also, it must be said that there is a del Prado, 2012b): separate price for groups, depending on • In 2010, there were a total of 15 their type (cultural, tourist etc.). temporary exhibitions, the most successful of which were: "Turner y los 2.3. Distribution policy Maestros" 1 (June 2 - September 19, "Distribution policy is an important 2010), "Rubens" (5 November 2010 - 23 variable of the marketing mix because it January 2011), "Pasion por Renoir "(19 is the very condition for cultural creation October 2010-13 February, 2011) and fulfilment" (Moldoveanu & John-France, "Las Meninas" (23 March 2010 - 4 July, 1997, p.172). Distribution means in fact 2010); - expanding the cultural access to all • In 2011: 19 temporary market segments. Although some exhibitions; heritage offers address certain well- • In 2012: 15 temporary defined categories of public, the exhibitions. distribution process must be designed in such a way that the product becomes 2.2. Price policy available, at least partially, to other As a result of the changes it segments as well. The way products are undergoes continuously in the increase disseminated influences decisively the of quality and number of its cultural efficiency of the entire activity of the offers, as well as strengthening the organization. institution, it was required a revision of Among the distribution methods the visiting system of the Prado National used by the museum, there are: Museum: • Permanent and temporary
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