Jan Rath University of Amsterdam, Institute for Migration and Ethnic Studies (IMES)

1. Immigrant Entrepreneurship and Urban Competitiveness2nd OECD World Forum on ‘Statistics, Knowledge and Policy’, Istanbul, Turkey, June 27-30, 2007 Jan Rath University of Amsterdam, Institute for Migration and Ethnic Studies (IMES) http://users.fmg.uva.nl/jrath

2. Decline of agricultural and manufacturing industries Growth of service and knowledge industries Relocation of industries to low-wage countries International migration of both low-skilled and high skilled people Economic and demographic processes are associated, and: alter the opportunity structures shape and reshape forms of inclusion and exclusion add new dimensions to the already existing economic, social and cultural diversities Economic transformations

3. Economic prosperity and social cohesion--esp. position of lower-class third-world immigrants--are matters of serious political concern National and urban governments (in Europe) have developed a wide range of approaches fostering the incorporation of these immigrants in the host society Many have embarked on increasingly tougher integration policy, placing increasing emphasis on native norms, values and behaviour, and disciplining the Other Political challenges

4. Political focus has shifted from socio-economic to socio-cultural issues The idea has taken root that: assimilation--and spatial dispersion--is the only way the government is the only force capable of shaping these complex social processes Contestable issues

5. At the same time, governments are reaching out to high-skilled immigrant professionals—amongst other—to work in the cultural industries and to boost the urban economy Cultural industries have become the motor of economic development, esp. in so-called creative cities Their development is contingent--amongst other--on open social climate and exuberant urban diversity City governments give priority to supporting cultural industries and invest large amounts of money in sports, culture and entertainment, hosting of hallmark events, architectural fireworks, and other flagship projects. This helps attract high-skilled professionals and international investors. But…

6. Urban diversity is embraced as an economic resource…but, oddly enough, urban ethno-cultural diversity is looked upon differently Yet, it is obvious that ethno-cultural diversity holds great attraction for a broad public. Immigrant entrepreneurs play a key role here. Contradiction

14. Rise of immigrant/ethnic entrepreneurship in particular neighborhoods: local opportunity structure favorable for development of SMEs Commodification of cultural diversity offers social and economic opportunities (entrepreneurship, neighborhood revitalization, tourism and leisure industry) – diversity dividend Food Music, entertainment Clothing Fun shopping Experiences -- Ghetto as tourist attraction These are market-led developments Cultural diversity offers opportunities

15. A lasting development? travel guides and Internet shopping guides locations of festivals and parades destinies of ‘city safaris’ embedded in place marketing programmes Cultural diversity offers opportunities

16. The ‘right’ supply of ‘familiar exotica’ (‘cultural markers’, neighborhoods as nodal point of ethnic social networks, varies per ethnic group) Connected to larger urban tourism and entertainment industry (festivalization of urban space) Favorable regulation (development of inter-ethnic growth coalition, accessibility, cleanliness, safety, civic boosterism) Marketing – role of entrepreneurs and ‘critical infrastructure’ Conditions

17. Multiculturalism reduced to consumption of ‘sanitized ethnic Other’ Gazing at the ethnic Other, enhancing ethnic stereotypes New differences and even conflicts within and between ethnic groups (gentrification) Cultural diversity becomes dull and predictable Disruption of ‘natural’ economic-geographic processes (fossilization of urban landscapes) Risks and perverse effects

18. Tourism and leisure are one of the fastest growing sectors of the new service economy, providing opportunities to high and low-skilled immigrants of both genders These industries, esp. the entrepreneurs, can form a powerful interface between local immigrant communities and the wider knowledge economy The commodification of immigrants’ ethnocultural resources contributes to the making of the cosmopolitan city, and strengthens the social and economic integration of immigrants Equally important, it enhances the city’s potential to attract domestic and international knowledge workers and business investors. Conclusions

19. Bodaar, A. & J. Rath (2005) ‘Cities, Diversity and Public Space’, Metropolis World Bulletin, 5, pp. 3-5. Rath, J. (2005) ‘Feeding the Festive City. Immigrant Entrepreneurs and Tourist Industry’, pp. 238-253 in E. Guild & J. van Selm (Eds.), International Migration and Security: Opportunities and Challenges. London and New York: Routledge. Rath, J. (Ed.) (2007) Tourism, Ethnic Diversity and the City. London and New York: Routledge. web http://users.fmg.uva.nl/jrath e-mail j.c.rath@uva.nl Further reading…