Importance Of Intellectual Property

Intellectual Property contributes immensely in global innovation, contributing to the national as well as state economy. There has been times where considerable debate on the impact on developing countries of tightening Intellectual Property Rights. A country’s openness to international trade seems also to affect the relationship between IPRs and growth. The evidence suggests that stronger IPRs have a significant and positive impact on growth in more open economies.

Society reaps the following four benefits from granting such monopoly rights to innovations:

  • The stimulation of innovations by private agents, the primary social benefits of IPR.
  • The use of new knowledge in productive activity.
  • The greater dissemination of new knowledge to other agents.
  • The stimulation of innovations by other enterprises

From a consumer point of view, it helps them to make a choice about the safety, quality and effectiveness of the product, giving a sense of authentic among the consumer. It gives them foster confidence of purchasing consuming a specific branded or quality product. Thus, creating a strong bond between the consumer and the company or brand.

Intellectual property creates humongous number of jobs opportunity. It employs over millions of people worldwide and is expected to grow faster over next few decades.

The key features of IP rights for any business are

  1. Intellectual property can be used commercially even after the owner has a monopoly right over it, only after it has been licensed or sold
  2. Helps in protecting trade secret.
  3. Helps in creating brand value
  4. It ensures the availability of genuine and original product

Intellectual property not only protects the technology but also the traditional knowledge of the society, religion and country, at international level. Well-known examples are the Neem, Tumeric, Hoodia and Maca.