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Recognizing the Power of Intellectual Property – The Kiwifruit Dream

Here is an example of how the recognition of intellectual property, the capture of it and then exploitation can give far greater value than shipping out commodities.

Say you have invented Kiwifruit Liqueur. Most people would consider local and possible export of this commodity.

Kiwifruit has a high acid content. The commodity is kiwifruit liqueur, but the intellectual property is a new process for making a palatable drink from high acid fruit. This could be easily adapted to other fruit such as citrus.

Oh, you say, let’s export citrus liqueur.

The intellectual property in the manufacturing process could be patented so as to prevent competitors from copying it. Then, the intellectual property can be exported/licensed overseas to citrus growers in the US and Spain, kiwifruit orchards in Italy and Chile, and pineapple plantations in Australia and the Pacific.

A revenue stream can be generated without having to ship commodity out. Also, as part of the license you could stipulate that the source of the intellectual property is recognized in any publicity, thus confirming our place on the edge of innovation and encouraging outside investors to look here.

Strategic Use of Intellectual Property

Intellectual property strategy is more than just protecting your brand and ideas with trade mark registrations and patents. It is about research, knowing your markets, knowing your budget, knowing what you and your staff know and what your end game is.

Research is vital. Too many people invest time, money and effort into a project without researching it first. This does not have to be expensive, although you should seek guidance from a patent agency, such as Invent Help. You can search a number of free intellectual property databases.

Moving up a level from patent searching is the actual analysis. Patent mapping is a tool for finding where your competitors (or potential licensees) are concentrating their IP and for finding potential niche markets for yourself, or areas which have been deemed un-commercial. You can actually plan where your research and development program should be headed or what potential licensees should be investigated by conducting a more strategic analysis of the results of patent searching.

Consider what the market value is both now and in the future. Will the technology be outdated or is the world moving in that direction? This can help you decide whether it is actually worthwhile spending money on intellectual property protection.

Consider how much you are spending on R&D. Your R&D component has to be loaded onto the ultimate product price. If you do not have your intellectual property protected, then competitors can copy your product and produce it without an R&D loading on the price. Thereby, your competitors can undercut you.

Who are your competitors? Are they likely to be deterred by any intellectual property protection? Could they be encouraged to license your intellectual property from you?

Is your product a short-term or a long-term product? If it is a short-term product, then you may not need to spend money on formal protection of your IP. Instead, you could get away with hitting the market hard, getting established & leaving little room for competitors.

Is it possible to predict where your competitors are likely to market or manufacture and file patent applications preventing their growth in that area? When you have developed and protected your base technology, is it worthwhile looking at protecting your add-ons, thus stifling your competitors and building up a useful intellectual property ‘fence’ around your key technologies.

Can your intellectual property portfolio be used as leverage for securing funds from investors or even raising loans from the bank? Having professionals, like InventHelp agency by your side, could get you all the answers.

Put It All Together

In summary, IP is the lifeblood of a company. Without it your company could very well struggle to exist. By taking steps to recognize the IP in the company and strategically protecting that IP, your company can reap the benefits in a more stable future and maybe even gain a niche monopoly.

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