Commercial exploitation of Intellectual property

Commercial exploitation of IP

1.      The IP system provides exclusivity over the exploitation of innovative products and services, creative designs and business identifiers.

2.      Exclusivity means that an owner of IP has the right to prevent anyone else from using and exploiting the IP right

3.      Exploiting IP Assets: There are two of ways

·         Direct use: core to competitiveness of product or service.

·         Indirect use: Sale, license, franchise or merchandise, Joint ventures and strategic alliance.

4.      Direct commercialization of the IP asserts by oneself: Individual Exploitation to maintain the competiveness of the product

·         Make/produce copies of the products and sell them.

·         Reproduce the works on different types of products.

·         Exhibit the works in craft exhibitions, fairs, online catalogues, etc.

·         Enforce your IPRs against infringers.

·         In case of patent, the patentee himself can exploit the patent by manufacturing or producing, assign his rights or licence them to others on royalty basis or for a lump sum payment.

               

              Advantages: Direct quality and exploitation control.

              Disadvantages: High costs and risks.

5.      Indirect Commercialization of IP Assets: Mediate exploitation of IP Assets by third parties based on contractual agreements with the IP owner.

·         Can be in a form of Assignment of the IPRs to a third party.

·         License of the IPRs to a third party.

Advantages: Low investment / Low risks – Potentially high return

          

             Disadvantages: Lack of control – Special attention to contracting.