Intellectual Property Flashcards
What is it patent?
Form of intellectual property
To protect an invention (e.g: New process, machine) + refers to exclusive rights given by the state to an investor (person or company). They are given for a limited period of time, so it means that’s for certain period of time the inventor has a monopoly on their invention. Exclusive rights mean that all the people or companies do not have the right to use, make, produce, sell, distribute the patented invention without their permission. Not everything can be patented. In order to get the patent, and invention must be three things: it must be a novelty, be non obvious And useful
What is a copyright?
It applies to any original work
Can be any creative, intellectual, artistic work
It gives the creator of an original work exclusive rights to it for limited period of time
Exclusive rights mean the right to be credited for the work, the right to financially benefit from it, the right to copy it, the right to perform it
What is a trademark?
It is important for counterfeiting
Anything that make it possible for consumers to distinguish a brand
It’s can be a logo, name, color
What is a trade secret?
It can be a recipe, a process that makes company more efficient
Anything that enables a company to obtain a competitive advantage over the competition
According to the OECD, what is the goal regarding intellectual property?
To promote poses that will improve the social and economic well-being of people
Last figures are for 2016, the importance of counterfeit and pirated Goods account for nearly $500 billion which represents 2.5% of all global imports
In Europe it’s even worse: European imports, counterfeit goods account for 5%
Figures of counterfeit goods according to the international anti counterfeiting coalition ? (IACC)
They considered that counterfeit goods accounted for 7% Of the world trade goods
Link of counterfeit goods and globalization?
Reasons we buy fakes: less purchasing power because of the financial crisis + not enough money to buy what they want so instead of buying less, by counterfeit
Rise of e-commerce websites (it has made it easier to distribute counterfeit goods because it is less regulated). If the company relocates its production to country we have a port protection of intellectual property then it provides the opportunity to make fake goods +piracy music, movies
Consequence on the economy? (Counterfeit)
The countries where the counterfeit goods come from: additional source of money they will spend in their country but of course for the state and government it is not an additional source of revenue since there are no taxes (underground economy). For the countries that counterfeit goods are imported: for the government: it deprives them of taxes (The government cannot collect taxes). For companies of course they would lose profit if we consider that every fake bought is a product that they will not sell (not entirely true because those who buy fakes want to buy a real one). But what is true: in direct consequence => not trying to innovate anymore if some steal from you
Consequence for companies? (Counterfeit)
Companies might spend less on research and development if they know they are creation would be stolen
They will spend more money to try and protect their goods from counterfeiting (this would increase the price and profit margin)
Consequence for consumers? (Counterfeit)
For example in cosmetic products they are chemical components
Toys for children
Bad components in food
Evolution of counterfeiting?
Stereotype about fake goods are that they are usually luxury handbag that today counterfeiting affects all products from cigarettes food drugs to computer parts
What is the solution regarding counterfeit goods?
Companies resulted to very different ways: more and more companies that are created offer anti-counterfeit measures (demand for that is growing and prices too)
Big companies are willing to spend a lot of money in counterfeiting measures
Some companies use advanced technologies to distinguish fakes (holograms, images printed with laser, things that are invisible to the naked eye, use of material with specific genetic markers, transparent ink
Cases of companies fighting about trademarks or creations?
Kit-Kat versus Nestlé
Amazone versus producer of pillowcases
The dispute settlement body?
Is composed of all WTO members
Its aim to is to settle disputes and gives the WTO the power to enforce rules
It contributes to the stability of global economy
Instead of taking actions unilaterally, go to the DS Kountry can go to the D as B when the Kountry violets the WTO agreement or consider that it violates
What is the goal of the DSB?
To settle a dispute but not necessarily by ruling, sometimes consultations are favored to find and out of port settlement. Usually what is favored is a country trying to discuss and settled by themselves
The DSB establishes panels of experts to consider the case. The panel considers the case and the DSP has the right to accept or reject the panels recommendations. Once a decision has been taken, the DSB the WTO monitors the implementation of the ruling or the recommendation and also has the power to authorize retaliation when a country does not comply with the ruling
