Business Models

Lecture 20

2019-2020 Autumn Term Course Code: PID701

IP AND DESIGN MANAGEMENT
Unit 4

Business models and managing professional

practice
Types of Property
 Types of Property
Real
Land
Personal
Cars, jewellery, clothing
Easements
Non-corporal interest in real property
Railroads, utilities
Intellectual
Patents, copyrights and trademarks

4
 What is Intellectual
Property?
Intellectual Property is something produced using
human intellect which has commercial value.

Often intangible in nature, but usually contained

on a tangible, fixed medium- paper, CD, computer
chips…..

5
Introduction, IP and IPR

• Intellectual Property (IP) - is a property created by a

person / persons using his / her own intellect for ultimate
use in commerce and which is not available in the public
domain.

• Examples of IP are, an invention relating to a product or

process, a new design of an article, a literary or artistic
work and a trademark (a word, a symbol and / or a logo,
etc.)
Introduction continue ..

Intellectual Property Right (IPR) is the statutory right

granted by the Government, to applicant(s) or owner(s)
of an intellectual property (IP) to exclude others from
exploiting the IP commercially for a given period of
time, in lieu of the discloser of his/her IP in an IPR
application.
Importance of IPRs in general

Why should an IP be protected?

• IP is an assets and can be exploited by the
owner for commercial gains
• IP owner can stop others from manufacturing and
selling products and services which are dully
protected by the IP owner
• IP owner can sell and/or license the IP for
commercial gains
Importance of IPRs cont. ..

• IP can be used to establish the goodwill and

brand value in the market.
• Inventor, creator or author of an IP can mention
about the IP in his/her resumes and thus show
their competence
• IPR certificate establishes legal and valid
ownership about an intellectual property
IPR Acts India
1- The Patent Act, 1970,
2- The Designs Act, 2000,
3- The Trade Mark Act, 1999,
4- The Geographical Indications of Goods Act, 1999
5- The Copyright Act, 1957
6- Protection of Integrated Circuits Layout and Designs Act, 2000
7- Protection of Plant Varieties and Farmers Rights Act, 2001, and
also Trade Secret
Questions
Thank You
IP theory

Lecture 21

2019-2020 Autumn Term Course Code: PID701

IP AND DESIGN MANAGEMENT
Unit 4

Business models and managing professional

practice
Theories of Intellectual Property
1)Natural Right Theory
2)Personality Theory
3)Utilitarian Theory
Natural Right theory: Labour Theory (Locke’s
Theory)
●
Property right is a natural right. A person has a right to own the creation
of his mind in the same manner he owns creation of his labour.
●
At the beginning, everything was common but by using labour /intellect/
it has become private.
●
We need to protect somebody’s labour because it is a natural right. So,
it may take to conclude that intellectual property rights are natural
rights.
 Criticism of Natural Theory
●
The problem is that natural right theory doesn’t cope with the
temporal limitation of intellectual property rights.
●
Intellectual property is most of the time limited in time as to the
protection accorded by law.
●
This theory may be justifiable for corporeal ownership in which its
existence may be for indefinite period of time. In intellectual
property, however, after lapse of a certain time the work will be
part of the public domain.
 Personality Theory
●
Intellectual property rights are important to create personal self assertion.
●
As propounded by Hegel, a person would be more self assertive when she/he owns
property. He will feel more equal (equality). He will be freer.
●
It is believed that the work is the personal expression of the author’s or the inventor’s
thoughts.
●
So he should be given the right to decide when and how his work may be produced or
performed in public, and the right to prevent mutilations and changes.
●
Intellectual property laws are to be there to protect the author’s or the inventor’s
manifestation of his personality. This is also backed by the need for the safeguarding
of the individual’s freedom of expression.
 Utilitarian Theory
●
What do Intellectual Property Rights do? They make the public good a private,
a non rivalorous – rivalorous and the non-exclusive – exclusive, and the non-
scarce scarce which are not scarce by nature.
●
The laws create artificial scarcity of knowledge.
●
This is because creators do not have the necessary incentive unless they
have accorded some means to control their knowledge.
●
Unless this is done, they lack the necessary economic incentive. This is called
utilitarian theory of intellectual property.
IP AND DESIGN

MANAGEMENT

Lecture 22

2019-2020 Autumn Term Course Code: PID701

IP AND DESIGN MANAGEMENT
Unit 4

Business models and managing professional

practice
 Kinds of IPRs Cont. ..

• Patent (to protect technologies - The Patent Act)

• Trade Mark (to protect words, signs, logos, labels –The
Trade Mark Act)
• Design (to protect outer ornamental configuration –The
Designs Act)
• Geographical Indications (GI) (to protect region specific
product –The Geographical Indications of Goods Act)
• Copyright (to protect literary and artistic work –The
Copyright Act)

All kinds of IPRs are territorial rights

How Intellectual Property
Law Works

• Affirmative Rights, NOT Protection

• Allows owner to file a lawsuit against a
transgressor
• Does not stop a transgressor

23
 Intellectual Property Rights

“INDUSTRIAL “COPYRIGHT”
PROPERTIES” LITERARY
PATENTS NOVEL
INDUSTRIAL DESIGNS POEM
TRADEMARKS PLAYS
TRADE SECRETS FILMS
PLANT VARIETIES MUSICAL
INTEGRATED ARTISTIC
CIRCUITS DRAWINGS
GEOGRAPHICAL PHOTOGRAHS
INDICATORS PERFORMING ARTS
SCULPTURES
SOFTWARE
Copyright

Lecture 23

2019-2020 Autumn Term Course Code: PID701

IP AND DESIGN MANAGEMENT
Unit 4

Business models and managing professional

practice
 COPYRIGHT
(Governed by the Copyrights Act,1957)

Copyright in :
a) Original literary , dramatic, musical and artistic
works;
-Computer Software's, Engineering Drawings
b) Cinematographic films; and
c) Sound recordings.
Copyright –Right to reproduce, make copy, adaptations
and translations as applicable
Term : Usually lifetime of the author until sixty years
following the year of death of author
Broadcast Reproduction right – Twenty Five Years
Performers Right- Fifty Years

Authors Rights- Moral Rights-Authorship/Object to

Alterations
Resale Share Right In original Copies

27
 COPYRIGHTS
• India has a very strong and comprehensive copyright law based on Indian
Copyright Act. 1957 which was amended in 1981, 1984, 1992, 1994 and 1999
(w.e.f.January 15, 2000).
• The amendment in 1994 were a response to technological changes in the means of
Communications like broadcasting and telecasting and the emergence of new
technology like computer software.
• The 1999 amendments have made the Copyright Act fully compatible with Trade-
Related Aspects of Intellectual Property Rights (TRIPS) Agreement. & fully
reflects Berne Convention.
• The amended law has made provisions for the first time, to protect performers’
rights as envisaged in the Rome Convention.
• With these amendments the Indian Copyright law has become one of the most
modern copyright laws in the world.

28
SOME ILLUSTRATIVE EXAMPLES OF WORKS.

Literary works : Novels, Diaries, Poems

Musical works: Symphonies, Jazz, Improvisation

Choreographic works : Dance, Ballet

Artistic works : Paintings, Engravings, Sculptures

Architectural works : Buildings themselves

Figurative works : Maps, Drawings and Charts of a scientific nature

Cinematographic Works : Movies, Video

Photographic works : Photographs, Photogravures

Program works : Computer Programs

29
 OTHER CATEGORIES OF PROTECTABLE WORKS

Derivative works:
A “derivative work” means a work created by translating, arranging musically,
transforming, or dramatizing, cinematizing or otherwise adapting a pre-existing work .
EXAMPLES ① translated works; ② arranged works ; ③ transformed works; and ④
adapted works. To exploit these works, authorization must be obtained from the
copyright owner of not only the derivative work, but also of the original work .

Compilations:
“Compilations” are works (not falling within the term “databases”) which constitute
intellectual creations, by reason of the selection or arrangement of their materials .
EXAMPLES
(e.g. Periodicals ;Databases ;Anthologies ;Audio-visual works ;Web pages).

30
 Geographical Indications

Geographical Indication (GI) means an indication

of goods as originating, produced, processed or
prepared in a specific geographical area or
territory of a country, where a given quality,
reputation or other characteristics of such goods
are essentially attributable to its geographical
origin.
 GEOGRAPHICAL INDICATIONS
➢India, as a member of the World Trade Organization,
enacted the Geographical Indications of Goods
(Registration & Protection) Act, 1999 has come into
force with effect from 15th September 2003.
➢The source of Geographical origin of the biological
material used in invention is required to be disclosed in
the specification

32
 GEOGRAPHICAL INDICATIONS
(Governed By The Geographical Indication
Of Goods (Registration & Protection)Act,1999 )

➢ An indication used to identify agricultural, natural or manufactured goods originating

from a definite territory in India.
➢ It should have a special quality or characteristics or reputation based upon the
climatic or production characteristics unique to the geographical location.
➢ Examples of Geographical Indications in India are Darjeeling Tea, Kanchipuram Silk
Saree, Alphonso Mango, Nagpur Orange, Kolhapuri Chappal, Bikaneri Bhujia, etc.

33
Protection of New varieties of Plants
(To Be Governed By Sui Generis system
The Protection Of Plant Varieties and Farmer’s Rights Act, 2001)

NEW PLANT VARIETY: a )DISTINCT b) UNIFORM and c)STABLE

The objectives of the Act are as follows :

• To provide for the establishment of an effective system for protection
of plant varieties;
• To provide for the rights of farmers and plant breeders;
• To stimulate investment for research and development and to
facilitate growth of the seed industry;
• To ensure availability of high quality seeds and planting materials of
improved varieties to farmers

34
 G I Continue ..

Who can apply for the registration of a GI?

An association of producers or an organization or
authority established by or under any law, representing
interests of the producers of the concerned goods and
desirous to register a GI in relation to such goods, can
apply for the registration of a GI.
Examples of GI
Examples of GI – Conti. ..
Examples of GI – Conti. ..
Management

Lecture 24

2019-2020 Autumn Term Course Code: PID701

IP AND DESIGN MANAGEMENT
Unit 4

Business models and managing professional

practice
G I Continue ..

Importance of GI
The GI is important because it;
• provides a particular indication (mark and/or
logo) to be used by the people(s) of that area
who are involved in producing a unique product
having unique properties and/or advantages;
• helps a purchaser or user of the goods to
identify the goods manufactured and/or
produced in a particular geography;
Importance of GI cont ..

• helps the manufactures and/or producers of that

area to establish goodwill in the market with
regard to their goods and/or product;
• owner of the GI can stop use and adoption of
the same GI, and/or deceptively similar GI to
the registered GI, by any person(s) not
authorized by the owner even of the same area
for which the GI has been registered.
G I Continue ..

What are the particulars needed to file a GI

application?
Mainly following particulars are needed;
• representations of any name, geographical or
figurative representation or any combination thereof
conveying or suggesting the geographical origin of
the goods to which it applies,
Particulars needed Continue ..

• statement as to how the GI serves to designate

the goods, as originating from the concerned
territory or region of the country, in respect of
specific quality, reputation or other
characteristics which are due to exclusively or
essentially to the geographical environment with
its inherent natural and human factors,
• the geographical map of the area,
Particulars needed Continue ..

• statement containing particulars of the

producers
• A power of authority, if the application is being
filed through a patent attorney.
G I Continue ..

What is the Govt. fee to file a GI registration

application?
The Government fee to file a design application is
only Rs. 5000.00 (Five Thousand, only).
G I Continue ..

Who can use a GI?

• Only the person(s), who has/have been
authorized by the registered owner of the GI
and particulars of whom have been
incorporated in Part B of the Register of GI at
the office of GI, can use the GI.
G I Continue ..

What is the life (term) of a GI?

• The GI is registered for a period of 10 years,
initially and can be renewed from time to time.
Thus, a GI can be kept in force so long as it is
renewed in a timely manner every after 10
year’s interval.
G I Continue ..

Can a GI registration be opposed?

Yes, registration of GI can be opposed by any
person within three months from the date of
advertisement of an application for registration,
in a prescribed manner and with a prescribed
fee.
The person (opponent) has to file a notice of
opposition in writing in a prescribed manner and
with the prescribed fee.
G I Continue ..

Is it possible to re-register a registered GI?

• Yes, a GI can be re-registered for different goods
included in different classes by the registered owner of
the GI.
Is it possible to restore a GI, if removed from the
register, due to non-payment of the renewal fee?
• Yes, a GI can be restored by filing a request ,in a
prescribed manner with the prescribed fee and in the
prescribed time period, to restore the GI.
G I Continue ..

What is the effect of registration of a GI?

• The registration of a “GI” grants legal rights to
stop unauthorized use of the registered GI
even by the people of that geographical area.
Questions
Thank You
Lecture 25
Unit 4

Business models and managing professional

practice
 LAYOUT DESIGNS (TOPOGRAPHIES) OF
INTEGRATED CIRCUITS
[To be governed by The Semiconductor Integrated Circuits Layout Designs Law (SICLD)
Act, 2000]

• The Semi-Conductor Integrated Circuits Layout-Design (SICLD)Act, 2000 is

the governing Act for 'Lay Out Designs of Integrated Circuits' in India.
• The aim of the Act is to provide protection of Intellectual Property Right (IPR) in
the area of Semiconductor Integrated Circuit Layout Designs and for matters
connected therewith or incidental thereto.
• The Act is implemented by the Department of Information Technology,
Ministry of Information Technology.
• The Semiconductor Integrated Circuits Layout-Design Registry (SICLDR) is the
office where the applications on Layout-Designs of integrated circuits are filed
for registration of created IPR.
• The Registry has jurisdiction all over India.

56
 TRADEMARKS
(Governed By The Trade Marks Act,1999)

• A trade mark is any sign which can distinguish the goods of

one trader from those of another. Sign includes, words,
logos, pictures, or a combination of these.
• A trade mark is used as a marketing tool so that customers
can recognize the product of a particular trader.
• To register a trade mark , the mark must be:-
distinctive, and, not deceptive, or contrary to law or SONY
morality, and, not identical or similar to any earlier marks
for the same or similar goods.

OLYMPUS
57
 TRADE MARKS
VARIETY OF MARKS

FANCIFUL MARKS: INVENTED WORDS

“KODAK”

ARBITRARY MARKS: HAVING REAL MEANING BUT NO

RELATION TO GOODS

“APPLE” FOR COMPUTERS

SUGGESTIVE MARKS: GIVE HINT OF THE PRODUCT

58
 TRADEMARKS
➢India affords full protection to trade marks under the Trade Marks and Merchandise Act.
The Indian law of trademarks is protected by the Trade & Merchandise Marks Act, 1958.
➢A new statute i.e. the Trade Mark Act, 1999 has been enacted in India to bring it in
conformity with the TRIPs Agreement, to which India is a signatory. Indian Trademarks
Act, 1999, came into force on September 15, 2003.
➢ India has made a step towards fulfilling its international obligations. Consequently, the
Indian trademark law has now become fully compatible with the International standards laid
down in the TRIPs Agreement.
➢The New Act primarily consolidates and amends the old Trade & Merchandise Marks Act,
1958 and provides for better protection of goods and services

59
Design Patents
The existing legislation on industrial designs in India
is contained in the New Designs Act, 2000 India
had achieved a mature status in the field of
industrial designs and in view of globalization of
the economy.
The present legislation is aligned in view of the
changed technical and commercial scenario and
made to conform to international trends in design
administration.

60
 DESIGNS ACT 2000
(Came In To Force On 11-05-2001)
APPLIED TO
ANY ARTICLE OF MANUFACTURE IN TWO DIMENESION
OR THREE DIMENSION OR IN BOTH FORM

61
Industrial Designs
• The protection you receive is only for the
• Electrical JUG appearance of the article and not how it
works.
• Design registration is intended to protect
designs which have an industrial or
commercial use.
• Duration of protection is initially for 10 years
and extendable for another term of 5 years.
• Designs of stamps, labels, tokens, cards,
cartoons, or parts of an article not sold
separately, cannot be registered.

62
 METHOD OF MANUFACTURE
NOT PROTECTED BY DESIGN

FRUIT BASKET DESIGN

PATTERN OF THE BASKET

63
CLASSIFICATION OF DESIGNS

CLASS-01= FOODSTUFFS

Sub Class 01-01: Bakers’ products ,biscuit

pastry ….,Chocolates
Sub Class 01-04: Butcher’s meat, fish ..

Sub Class 01—06: Animal Foodstuff

CLASS 07 : HOUSEHOLD GOODS

Sub Class 07-01 : China ,glassware,dishes..

Sub Class 07-03 : Table Knives..

Sub Class 07-08: Fire Place Implements

64
 TECHNICAL ADVANCEMENT BY WAY OF
A NEW PRODUCT OR A NEW PROCESS
NOT LIMITED TO OUTER VISUAL APPEAL

KEEP IT SECRET DISCLOSE TO OTHERS

65
 CONFIDENTIAL INFORMATION
&
TRADE SECRETS
Secret Commercial
MANUFACTURING AND COMMERCIAL SECRETS
Value

Steps Taken
-CONSUMER PROFILES To Keep It
Secret
- DISTRIBUTION METHODS

-MANUFACTURING PROCESSES

-ADVERTISING STRATEGIES

66
 TRADE SECRET

• A typical example is Coca-Cola.

• This soft drink was invented in 1886.
• It was never protected by a patent,
only by a trademark (for the name
Coca-Cola) by an industrial design
• for this very special design of the
Coca-Cola bottle supposed to be in the
shape of a woman wearing a long
skin-tight dress).
67
➢ The process of the Coca-Cola drink is secret and is only known by
two persons in the world.
➢ They are not allowed to travel together, so that there is no chance
of them dying at the same time in an accident.
➢ The secret of the Coca-Cola process was well kept during all
these years, and nobody is able to produce a drink with exactly
the same taste still today.
➢ You all know that Pepsi Cola, its biggest competitor, has a different
taste.
Questions
Thank You
 Design
Management
Lecture 26
Unit 4

Business models and managing professional

practice
 THE PATENTS LAW AND PRACTISE
Guided By The Patents Act,1970 as amended
By The Patents (Amendment ) Act,2005
DISCLOSURE OF ADVANCEMENT

INVENTOR

THE
ASSIGNEE OF THE PATENT
INVENTOR
OFFICE
PATENT

LEGAL HEIR OF AN
INVENTOR/HIS
ASSIGNEE
15 YEARS EXCLUSIVE RIGHT
ON ADVANCEMENT 73
 Patent

• Patent is an exclusive monopoly right granted to an

applicant/patentee by the Govt., for a limited period to
practice the invention (manufacture, use and sale), in
lieu of the information (best known method) disclosed to
the Govt. with regard to an invention.

• The Patent confers rights to the patentee to exploit the

patent for commercial gains and also to stop others from
manufacturing, and selling the patented
products/process.
 PATENTS
• A patent is a legal title granting its holder the exclusive right to make use of an
invention for a limited area and time by stopping others from, among other things,
making, using or selling it without authorization.
• In return for this right, the applicant must disclose how his invention works in
sufficient detail.
• When a patent is granted, the applicant becomes the owner of the patent. Like any
other form of property, a patent can be bought, sold, licensed or mortgaged.
• Patents are territorial rights, so an Indian patent will only give the owner rights
within India and rights to stop others from importing products into India.

75
Patent Continue ..

Who can apply for a patent?

• A true and first inventor who holds the
rightful ownership in the invention
• A person who is an assignee/legal
representative of the first and true inventor
• A legal heir of the first and true inventor in
case of demise of the true and first
inventor.
 Patent continue ..

• An invention in general mans a new discovery,

relating to a product (machine) or process, even
to an existing module or idea.

An invention according to Indian Patent Act [Section 2(1)

(j)] means:
i- a new product or process;
ii- involving an inventive step; and
iii- Capable of industrial application.
 Patent continue ..

Therefore any:
- product (e.g. device, machine, composition)
- process (used for preparing a tangible product), is
patentable;
Criteria for patentability
➢Novel
➢Non-obvious
➢Useful
What is not patentable cont. ..?
• A method for agriculture and horticulture
• Any methods of treatment of human beings, or
animals
• Plants and animals in whole or any part thereof
other than microorganism.
• A mathematical or business method or a
computer program per se or algorithms
• A literary, dramatic, musical, artistic work, etc.
What is not patentable cont. ..?
• A mere scheme or rule or method of
performing mental act or method of playing
game
• A presentation of information
• An invention relating to the traditional
knowledge
• An invention relating to Atomic Energy (Sect.
4)
 Patent Continue ..

Patent specification; two types

1. Provisional Specification -comprises mainly little
description regarding the invention,
2. Complete specification –comprises
i. Description and ii. Claims
• i. Description(technology section)
- Describes the BEST MODE, in detail, which the
inventor considers for practicing the invention
- Enables others skilled in the art to make and use the
invention without undue experimentation
 Patent continue ..

ii. Claims (legal section)

- KEY to all patents
- Protects legal rights of the patentee
- Defines the legal boundaries of the granted exclusive rights,
i.e., determines exactly what the inventor is entitled to exploit
commercially and exclude others from practicing (making,
using, selling, importing and/or offering for sale) inventor’s
invention.
 Patent Continue ..

Procedure for grant of a patent?

• Filing a patent application along with the required documents,
• Publication of the patent application (18 months publication),
• Filing a request for examination,
• Filing a pre-grant opposition by an interested person,
• Examination of the patent application based on the turn of the
request for examination,
• Filing reply to comply with the requirements of the objections
raised by the patent office,
• Attending hearing, if any,
• Acceptance or rejection of the patent application,
• Publication grant of the patent application,
• Filing a post-grant opposition by an interested person,
• Grant of patent
 Patent Continue ..

Documents required to file a patent application

• Application form (Form 1),
• Specification (Form 2),
• Drawings (if needed to describe the invention clearly and
sufficiently),
• Undertaking under section 8 (form 3),
• Declaration of inventorship (Form 5, in case complete
specification is filed after provisional),
• Document to claim priority (in case of a conventional
application)
• Power of Authority (if the patent application is filed through
a patent attorney)
Questions
Thank You
Lecture 27
Unit 4

Business models and managing professional

practice
 Patent Continue ..

Where to file a patent application?

• Patent Office Delhi -The States of Haryana, Himachal Pradesh, Jammu
and Kashmir, Punjab, Rajasthan, Uttar Pradesh, Uttarakhand, National
Capital Territory of Delhi and the Union Territory of Chandigarh.

• Patent Office Mumbai-The States of Gujarat, Maharashtra, Madhya

Pradesh, Goa, Chhattisgarh, the Union Territories of Daman & Diu and
Dadra & Nagar Haveli.
 Patent Continue ..

• Patent Office Chennai -The States of Andhra Pradesh,

Karnataka, Kerala, Tamil Nadu and the Union Territories of
Pondicherry and Lakshadweep.

• Patent Office Kolkata -Rest of India (States of Bihar, Orissa,

West Bengal, Sikkim, Assam, Meghalaya, Manipur, Tripura,
Nagaland, Arunachal Pradesh and Union Territory of Andaman
and Nicobar Islands)
 Patent Continue ..

• Term (life) of a patent

The term of the patent according to the amended
Patent Act is 20 years from the date of patent. 

• Govt. fee for filing a patent application

1. Individual -Rs.1600/-,
2. Other than individual, like MSME -Rs. 4000/-, and
3. Pvt. and / or Public Ltd. Company -Rs. 8000/-
Patent Continue ..

Opposition of a patent - Section 25 of the Patent Act

a) Applicant – wrongly obtained the invention ….
b) Publication before priority date of patent application.
c) Prior claiming
d) Invention publicly known
e) Obvious – no inventive step
f) No invention as per the Patent Act
Patent Continue ..

Opposition of a patent ..
a) Invention not described clearly and sufficiently
b) Undertaking under sec. 8, about foreign filing
c) Convention application not filed in 12 months
d) No disclosure about source or geographical
origin
e) Anticipation – traditional knowledge
 Patent Continue ..

Revocation of a patent
Yes, a patent cab be revoked, at any time, on the similar
grounds as applicable in case of an opposition.
The revocation application is to be filed at the office of
the Intellectual Property Appellate Board (IPAB) established
by the Govt. of India under the provisions of the amended
Patent Act.
 Patent continue ..

What is PCT and how is a PCT application initiated?

Patent Cooperation Treaty (PCT) is an International treaty which
provides facility, to an applicant of the member country, to file a
single patent application and designate the countries in which the
applicant wants to protect the invention.
This is known as international phase of the patent application
filed under PCT.
 Patent continue ..

Where can a PCT application be filed?

• A PCT application can be filed by the applicant either at the
national receiving office in his/her own country or at the office
of international Bureau (WIPO), Geneva.
• The applicant can claim the date of filing as the priority date in
other countries during national phase entry.
Patent continue ..
What is not patentable?
• An invention contrary to well established natural
laws, for example perpetual motion,
gravitational force etc..
• An invention contrary to laws of public health
and morality, for example, toxic drugs, food
items, drinks, etc..
• Mere discovery of scientific principles or
formulations of an abstract theories or mere
discovery of any living thing or non-living
substance occurring in nature.
Patent Continue ..
What is not patentable cont. ..?
• Mere discovery of any new property or new use
for known substance unless the efficacy of that
substance is increased or mere use of a known
process or machine
• Substance obtained by mere ad mixture
resulting only in the aggregation of the
properties of the components - no new product
• Mere arrangement or rearrangement of the
known devices working independently in a
known manner
 PATENTS
• As on date, India is fully in compliance with its international
obligations under the TRIPs Agreement.
• The Patents Act 1970 has undergone three amendments –
1999, 2002 & 2005.
• The III Amendment in 2005 has major implications on the
following:
• Introduction of product patent protection for food,
pharmaceutical and chemical inventions.
• Examination The “mail box” applications, from January
01, 2005

100
 Quiz
Which of the following is patentable?
• An abstract idea: transporter
• A law of nature: gravity
• A natural phenomenon: lightning, earthquake
• Mathematical algorithms per se: quadratic formula
• Isolation of a microorganism present in nature.
• A mere admixture of the known substances not resulting into a new
product.
• Mere arrangement or rearrangement of the known device working
inter-dependently.
• A microorganism isolated from a natural product.
• Treatment of human being or plant.
Quiz Cont. ..
• Discovery of new use or new property of a known
substance.
• A genetically modified microorganism by human
intervention.
• Discovery of new living thing or non-living substance
available in nature.
• Computer program per-se.
• A literary or artistic work.
• Method of presentation.
• An invention relating to atomic energy.
• An invention relating to traditional knowledge.
 HOW IP CAN BE GENERATED
AND WHAT CAN BE THE BENEFIT

IT IS A MYTH THAT INTELLECTUAL PROPERTY IS

HIGH TECH AND SO THE MOST BUSINESS OPERATORS
ARE VERY REMOVED FROM THE CONCEPT OF
INTELLECTUAL PROPERTY AND INTELLECTUAL
PROPERTY RIGHTS.

103
 Worlds first instant noodle made in roads into the global market by
way of patents.

Mr. Momofuku and of nissan food

products,ltd., Japan had embarked on a quest
to create noodle that could be eaten anywhere
with just a bowl and chopsticks.
His research resulted in successful
development of worlds first instant noodles,
“chicken ramen” in 1958.
 CHICKEN RAMEN

• Turned out to be a big hit

• Crude imitations appeared in market.
• Nissin used its patents on manufacturing
• Methods to combat counterfeit.
• Intellectual property by way of patents
• Allowed retain exclusivity.

105
IP AS A TOOL TO COMPETE WITH MULTINATIONALS
CASE OF GOLDTOUCH TECHNOLOGIES VS MICROSOFT

• Goldtouch a small company developed an ergonomic keyboard

manoeuvred into different positions to suit user needs and mouse
design.
• Filed applications for patents for its products.
• Licensed to Lexmark and ibm
• Subsequently approaches Microsoft to discuss licensing.

106
 A YEAR LATER ELEMENTS OF THE NOVEL MOUSE DESIGN
FOUND INCORPORATED IN MICROSOFT MOUSE

GOLDTOUCH START LOSING SALES

➢
PRODUCT BRANDED WITH THE LOGO “MICROSOFT” MORE ACCEPTABLE
THAN LESSER KNOWN GOLDTOUCH”

➢
POWER OF MICROSOFT LOGO GREATLY REDUCED POTENTIAL SALES OF
GOLDTOUCH DESPITE - GOLDTOUCH DESIGN -ORIGINALITY

➢
ONLY BECAUSE OF THEIR PATENT GOLDTOUCH COULD EVEN THINK OF
STOPPING MULTINATIONAL MICROSOFT FROM SELLING PATENTED PRODUCT

ADVANTAGE IP

107
FOR MOST PRODUCTS EVERY FORM OF
INTELLECTUAL PROPERTY
RIGHTS CAN BE OBTAINED

CAMERA

“PATENT”  For every individual improved mechanism

“DESIGN”  For outer shape & Contour / Configuration

“TRADE MARK” Brand name or Logo for goods denoted as ®

“Copy right” For Instruction / manual booklet denoted as ©

108
 CD PLAYER
Music played on the
Industrial design CD player is
protection for 3D protected by
shape copyright

Various technical
parts & mechanisms
are subject mater of
protection under
Brand name- Patents
registered under
trademark
109
• List various components of Laptop which can be protected IPR.
Also name the IPR type with component.
 INTELLECTUAL PROPERTY AND MARKET

➢ Differentiates your products and services from others

➢ Promotes your products and services and creates a loyal
clientele
➢ Diversifies your market strategies to various target groups
➢ Popularizes you in foreign countries
➢ Keeps away your competitors/copiers
Questions
Thank You
Lecture 28
Unit 4

Business models and managing professional

practice
 Business model: Definition

A business model describes how an

idea will create value.
 Building your business model

You can visualize your business model using a

business model canvas…
 Adapting the business model canvas

The structure of the business model canvas can be

used to develop any idea...
…even if you aren’t planning on turning that idea
into a business.
Adapting the Business Model Canvas

By modifying the language of the business model

canvas, we can transform it into an “idea canvas.”
Lecture 29
Unit 4

Business models and managing professional

practice
Examples
• Bricks and clicks business model
• Business model by which a company integrates both offline (bricks)
and online (clicks) presences.
• One example of the bricks-and-clicks model is when a chain of
stores allows the user to order products online, but lets them pick
up their order at a local store.
• popular example of the bricks and clicks model is when a chain of stores
allows the customer to order products either online or physically in one of
their stores, also allowing them to either pick-up their order directly at a
local branch of the store or get it delivered to their home.
• There are many alternative combinations of this model. The success of the
model in many sectors has lessened the credibility of some analysts who
argued that the Internet would render traditional retailers obsolete through
disintermediation
Collective business models

• Business system, organization or association typically composed

of relatively large numbers of businesses, tradespersons or
professionals in the same or related fields of endeavor, which
pools resources, shares information or provides other benefits for
their members.
• For example, a science park or high-tech campus provides shared
resources (e.g. cleanrooms and other lab facilities) to the firms located
on its premises, and in addition seeks to create an innovation
community among these firms and their employees
Cutting out the middleman model

Or Disintermediation
➢Disintermediation is the removal of
intermediaries in economics from a supply
chain, or "cutting out the middlemen" in
connection with a transaction or a series of
transactions.
➢Instead of going through traditional
distribution channels, which had some type of
intermediary (such as a distributor, wholesaler,
broker, or agent), companies may now deal
with customers directly, for example via the
Internet
 PID701
IP AND DESIGN

MANAGEMENT
Lecture 30

2019-2020 Autumn Term Course Code: PID701

IP AND DESIGN MANAGEMENT
Unit 4

Business models and managing professional

practice
Direct sales model
• Direct selling is marketing and selling products to consumers directly,
away from a fixed retail location.
• Sales are typically made through party plan, one-to-one
demonstrations, and other personal contact arrangements.
• A text book definition is: "The direct personal presentation,
demonstration, and sale of products and services to consumers,
usually in their homes or at their jobs."
Franchise

• Franchising is the practice of using another firm's successful business model.

• For the franchisor, the franchise is an alternative to building 'chain stores' to
distribute goods and avoid investment and liability over a chain.
• The franchisor's success is the success of the franchisees.
• The franchisee is said to have a greater incentive than a direct employee because he
or she has a direct stake in the business.
Freemium business model

• Business model that works by offering basic Web services,

or a basic downloadable digital product, for free, while
charging a premium for advanced or special features.
Google Play Stores App,Games
Pay what you can
• "Pay what you want" (PWYW) is sometimes used synonymously,
but "pay what you can" is often more oriented to charity or
socially oriented uses, based more on ability to pay.
• while "pay what you want" is often more broadly oriented to
perceived value in combination with willingness and ability to
pay.
Value Added Reseller
• Value Added Reseller is a model where a business makes something which is resold by
other businesses but with modifications which add value to the original product or
service.
• These modifications or additions are mostly industry specific in nature and are essential
for the distribution.
• Businesses going for a VAR model have to develop a VAR network.
• It is one of the latest collaborative business models which can help in faster
development cycles and is adopted by many Technology companies especially
software.
 How do they make money?

Product & service Subscription to a service Ad revenue

sales
 How do they make money?

Commission Freemium