The Significance Of Valuation And Protection Of An Intellectual Property

Intellectual property contributes to a good percentage of the value of a company. The importance of intellectual property has become evident in global economics due to initial public offerings (IPO), high-profile acquisitions and mergers, and litigation. All these factors have brought IP into a very significant position.

Despite its importance, several organizations have failed to understand the risk and value associated with it. With inadequate resources and receiving pressure from investors, companies are in requirement of an increased rate of return on their IP investments and adequate protection for it. Not taking proper action would lead to danger to the organizational success.

What Is meant by Intellectual Property?

Intellectual property is a term that defines a set of insubstantial assets that are owned and safeguarded legally by a company. It is very important to protect such type of properties from any sort of unethical use or getting implemented without consent especially in a mobile technology sector or a web-based environment. A company should obtain protective rights to prevent its replication by its probable competitors.

Which are those bodies that help in the enforcement of IP?

There is an international system made to define, protect, and enforce intellectual property rights. These rights comprise of multilateral treaty schemes as well as international organizations.

Some of these bodies and treaties are the Trade Related Aspects of Intellectual Property Rights, World Customs Organization, the United Nations Commission on International Trade Law, World Intellectual Property Organization, World Trade Organization, and European Union. However, the ways by which the rights will be enforced by them can be different depending on the local level.

What are the different forms of Intellectual Property?

Intellectual property plan is made by using four categories of intellectual property such as copyrights, patents, trademarks, and trade secrets.


Copyrights are the widely-used forms of protection that are granted to the authors of the original creation that are in published as well as the unpublished state. This form of protection is used to safeguard any tangible asset such as a book, music or work of art.


Trademarks are another form of Intellectual Property that is made by the “U.S. Patent and Trademark Office”. It is used to give protection to any word, symbol, name, or device, or any of their combination that can be used to identify the goods of one manufacturer/seller from another. It is not very robust as copyright protection.


When compared with all other types of intellectual properties, patents are highly valuable, difficult, and costly to get. It gives property rights to the owner to exclude other people from using, making or offering for selling, sale, selling, or introducing the invention. Patents can be used for objects and processes like business methods, new technology etc. It does not include web ideas or sites. A patent once obtained, is valid for twenty years from the application date.

By getting sufficient information about the concept, role, and its significance to a company, one should take effective measures in performing the best IP valuation.

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