Value proposition management in contemporary fine art: case studies of six Latvian artists

Abstract

Contemporary fine art, along with other art forms, has more myths when it comes to business and earning money (Abbings, 2002) than any other industry, since people tend to perceive art as something divine and not related to anything manageable by the human brain and logic. Even the value of artwork, which is set by the artist, gallerist or buyer, has been considered as mysterious and unexplainable (Abbings, 2002; Thompson, 2008). The changing social and business environment nowadays allows artists to become more independent and the question of value proposition management is important for millions of visual artists around the globe.

The purpose of this paper is to identify elements that affect value proposition and look at management possibilities for increasing value proposition.

The design of the paper – theoretical discussion is carried out in first part of the paper. Case studies of 6 Latvian contemporary artists in the second part illustrate how artists manage their value proposition in real life.

The main findings are that value proposition in fine art can be viewed from the following points of view: artistic value, social and personal value, and exchange value. From the management perspective, artistic value management is realized through artistic talent management; social and personal value management is reflected in the artist’s personal brand management; and exchange value is managed through business model management. The case studies show different ways artists approach value proposition management – from homogenous to very diversified practices in artistic talent development, personal brand and business model management.

Research limitations – there is a geographical limitation, as all 6 artists are from Latvia and work mainly in Latvia; all artists represent contemporary visual fine art; the lifecycle of artists – late emerging / early established artists (no early emerging and no fully established artists were interviewed). Suggestions for further research – expand geographically and in terms of other lifecycle representation.

Practical implications – the findings of the research can be applied directly by other visual artists and their representatives and managers both in Latvia and in other countries, since they are universal.

Social implications – the paper discussed the management of value proposition, stating that the value of artwork can and should be managed, thus debunking the myth of the mysterious luck of a few artists.

Originality of the paper – the theoretical understanding of value proposition elements and the model of value proposition management that can be used by industry practitioners and academia for further research.

Research paper: case studies