Inventions and creations can have a huge impact on a global scale. An inventor has the right to market or license his creations and benefit from them under intellectual property rights and laws. An innovative creation can affect economic development processes and growth. These processes are based on multiple variables. There is evidence that stronger and concise IPR laws can increase economic growth while fostering beneficial change, thus improving prospects of development. However, it is important to structure these developing prospects in a manner promoting effective and dynamic competition. In this article we shall speak about the economic benefits of intellectual property rights.
For any business to carve a niche for itself, innovation has become the backbone, especially in the competitive environment today. Innovation paves the path for the creation of intellectual property and leveraging this intellectual property provides your business the competitive edge while also contributing massively to its success. Intellectual property is a valuable resource for each and every business, especially those investing large sums of money towards research and development in order to create unique products and services. It is not limited to just technology brands, although such brands are often the biggest newsmakers.
To reap the economic benefits of IPR, companies should proactively implement intellectual property solutions. This allows them to identify novel, unique creations and also increase their revenue. It is also important to define the intellectual property goals clearly as it can help companies achieve their business objectives.
As business revenues begin to grow, IP developers can create strategies to protect the unique aspects of their creations. Innovations can be further fostered by exploring newer geographies. To achieve this, companies can enter into licensing deals and/or joint ventures to generate novel solutions which can satisfy the needs of their target customers.
While speaking of the commercial value of IPR, there is one thing that takes top-most priority; companies need to evaluate their existing IP so as to determine whether it matches their business objectives. Only then can they accrue the economic benefits of intellectual property rights.
Evaluation of the existing IPR helps companies identify new and unusual ways of leveraging their intellectual properties through licensing opportunities as mentioned above. Companies can also look for new avenues and fields to expand the products on offer, which further leads to an increase in their sales revenue. It can also help a brand foray into newer markets; both domestically and internationally.
For a business to be truly successful, a company’s patent portfolio makes a huge difference. The more patents a company has under its portfolio, the higher its value increases, in cases of mergers, acquisitions and even outright sale of the company. As such, a company’s patent portfolio plays a vital role, especially when it comes to its success in the future.
The patent portfolio includes not just the intellectual property, but also assets such as design and utility patents, copyrights, trademarks and so on. As such, companies need to pay special attention to their existing portfolio, determine methods to increase the portfolio while also realising how they can maximise their portfolio. It is necessary that they follow effective portfolio management methods to gain economic benefits of IP.
Apart from these above mentioned points that can help companies make the most of economic benefits of IPR, companies also need to understand their patent portfolio in relation to its competencies and the available market opportunities. Companies must pay special attention to identifying white spaces where they can license their patent portfolio or even deny the rights to competitors so that they alone can benefit from financial gains. It is therefore essential to devise an effective and clear patent strategy as it can help the company manage its existing patent portfolio.