This book explores the role of the cultural and creative industries (CCIs) as drivers of local economic development. More specifically, it builds on two novel perspectives in order to interpret the phenomenon. First, despite the general recognition that CCIs are innovative economic actors, their creative output is heterogeneous, as CCIs consist of extremely diverse industries, and the concept of innovation differs from sector to sector. Second, CCIs’ creativity is locally rooted, as the context provides innovative inputs for the development of creative ideas, binding creativity with well-established theories of the regional innovation literature. The book explores these new perspectives through a novel database on CCIs’ innovation at a fine industrial and regional scale. Building on these two ideas, the book is subdivided into three parts. In the first, a novel definition of creativity in CCIs is developed in which its heterogeneity and place-based nature are at the core. In turn, the second part addresses the phenomenon of localization choices in CCIs, highlighting their heterogeneous innovativeness and the filière which they belong to as key dimensions for the analysis. In the third part, the impact of CCIs on economic growth is explored. This book offers new evidence on the conditions under which CCIs cluster in space and stimulate development. It appeals to scholars in regional science, cultural economics and related fields, as well as policymakers and practitioners working in the cultural and creative industries.