1. Part F – INTELLECTUAL PROPERTY AS 91379 9 (3.1): Demonstrate understanding of how internal factors interact within a business that operates in a global context

2. WHAT is INTELLECTUAL PROPERTY (IP)? IP is an umbrella term used for human innovations and creativity that are capable of being protected under national law and international treaties.

3. AUTOMATIC PROTECTION In NZ copyright protection automatically exists from the date of creation to written texts (such as books, poems and plays), music, films, software, artistic works (drawings, paintings, sculptures, and architectural designs.

4. There is no formal registration requirement in NZ, but it is always worth making others aware of your rights where possible through a copyright notice followed by the creation date e.g. “Copyright John Hopata, May 2008”.

5. PROTECTION THAT REQUIRES ACTION O Patents O Trademarks O Designs

6. WHY PROTECT IP? Developing and managing IP allows a business and enhance its competitiveness. IP protection helps in: O Preventing competitors from copying or closely imitating a business’s products, technical processes or business services O Avoiding wasteful investment in research and development (R&D) and marketing

7. O Creating a corporate identify through a branding strategy O Negotiating licensing, franchising, and other IP-based contractual agreements O Increasing the market value of the business O Acquiring venture capital and enhancing access to finance O Obtaining access to new markets

8. BENEFITS When you start a business, you may not consider your business name or logo to be of great value. You may think the “branding” is only of interest to larger organisations. But from your first day of trading your distinct branding helps to establish your reputation in the market place and promote customer recognition of your products or services.

9. Over time your branding can become a business asset that may substantially increase the value of your business.

10. PATENTS A patent is a monopoly right giving exclusive use of an invention for up to 20 years. It can become a valuable business asset that can be bought, sold, transferred or licensed like any other property.

11. O To be able to be patented, an invention must meet certain criteria relating to novelty, inventiveness and utility. It must: O Be industrially applicable, that is, be able to be made or used in some kind of industry O Contain an inventive step, that is, “non obvious”. The invention cannot be already known, or be two or more products or processes put together with no new or improved effect O To be new or novel

12. TRADEMARKS A trademark is a unique identifier, often referred to as a “brand” or “logo”. Once a trademark is registered, the ® symbol may be used with the trademark. Trademarks can include words, logos, colours, shapes, sounds, smells – or any combination of these.

13. The main purpose is to create a distinctive and preferably memorable brand that customers associate with quality products or services. Satisfied customers will be more likely to buy the same brand again and refer the brand to others. A strong brand therefore helps a business both gain and retain its customers.

15. A trademark may not be able to be registered if it: O Is the same as, or similar to, or a translation of, another trademark that is well known in New Zealand O Is likely to mislead, confuse or is offensive O Is a superlative, e.g. BEST, SUPER, etc.

16. O Is a descriptive term. For example the word “apple” cannot be registered as a trademark for fruit. However, APPLE® is not descriptive of computers and therefore is distinctive in relation to computers.

17. O Is a geographical location associated with the good or service, e.g. BLUFF for oysters O Contains a representation, or an imitation of any representation, of Her Majesty or any member of the Royal family O Contains a representation of a flag, armorial bearing, insignia, orders of chivalry or state emblem O Suggests endorsement or licence by a particular person or organisation.

18. DESIGN Design relates to the visual appearance of an article. A registrable design in New Zealand is defined as the new or original features of shape, configuration, pattern or ornament that are applied to an article by any industrial process or means.

19. What is the difference between design and patent protection? O Design registration protects only the external appearance of a manufactured article, especially those novel or original design features that can appeal to the eye of a customer. O A patent protects the concept or idea behind an industrial product, such as its novel or original construction and functions.

20. To be able to be registered, the design must O not be published in New Zealand before the filing date. This means that you should keep the design confidential and not publish the design at least until after you have filed the application to register. In particular do not show your design on a website or in publicity pamphlets until after you have made your application. O consist of new or original “features of shape, configuration, pattern or ornament” that are applied to an article by any industrial process or means.

21. O have features that appeal to and are judged solely by the eye. O not be purely functional or relate to a method or principle of construction. For example, a registered design would not be granted for designing a fork, as this would prevent everyone else from making forks. However, the shape of a fork, or a particular pattern applied to a fork, may be registered as a design.