How to transform inventions into profitable asset for your SME? | The Odyssey Online
Start writing a post
News

How to transform inventions into profitable asset for your SME?

Innovative ideas are the basis of most prosperous companies

60
How to transform
inventions into profitable asset for your SME?

In This Article:

.

Innovative ideas are the basis of most prosperous companies

However, the ideas themselves have very little value and must be developed, transformed into innovative products or services, and marketed successfully for the company to reap the benefits of its innovation and creativity. Intellectual property, particularly patents, can be essential when converting innovative ideas and inventions competitive products that significantly increase profit margins.

Also, your SME can use patents to obtain royalty income by granting patents for patented inventions to other companies that can market them. Not only will this save your SME money, but it will also provide you with a stream of income from your inventions or your employees' inventions, without the need to invest in your marketing.

For practical information on the costs of acquiring patents, the time needed to grant them and other frequently asked questions, consult the link or go to your national intellectual property office.

Someone else could patent them:

In most countries the first person or company that applies for an invention patent will have the right to the patent. This means in fact that, if you do not patent your inventions or the inventions of your SME employees, another person, who may have developed the same invention or an equivalent invention later, may patent and legitimately exclude your company from the market. , limit its activities to the continuation of the previous use, when the patent legislation provides for such an exception, or ask your SME to pay a fee to use the invention under license.

Competitors will take advantage of their invention:

If the product is successful, many other competing companies will be tempted to manufacture the same product using their invention, without having to pay for such use. Large companies can take advantage of economies of scale to manufacture the cheapest product and compete at a more favorable market price. This can significantly reduce the market share of your SME concerning that product. Even other small companies that compete with you can manufacture the same product and often sell it at a lower price since they do not have to recover the research and development costs incurred by your SME.

The possibilities of licensing, sale or transfer of technology will be greatly hindered:

Without intellectual property rights, technology transfer will be difficult, if not impossible. The transfer of technology presupposes the ownership of a technology that can only be obtained through the adequate protection of intellectual property. Besides, when negotiations occur for the transfer of a given technological discovery without the technology in question is being protected by intellectual property, the parties will be reluctant to disclose their inventions; for fear that the other party will subtract the invention. The protection of intellectual property, especially patent protection, is essential for the acquisition of technology through licensing.

Reasons to patent your inventions

Exclusive rights:

Patents provide the exclusive rights that usually allow your SME to use and exploit the invention for 20 years from the date of filing of the patent application.

Solid position in the market:

Thanks to these exclusive rights, you will be in a position to prevent other people from commercially using your patented invention, thereby reducing competition and acquiring a prestigious position in the market.

Higher return on investments:

Having invested a considerable amount of time and money in the development of innovative products, under these exclusive rights, your SME could market the invention allowing you to obtain a higher return on investments.

Opportunity to sell the invention or transfer it under license:

If you choose not to exploit the patent yourself, you can sell it or transfer the rights to another company to market it under license, which will be a source of income for your SME.

Increased bargaining power:

If your SME is in the process of acquiring rights to use the patents of another company, through a license agreement, your patent portfolio will increase your bargaining power. That is, it is possible that your patents will be very interesting for the company with which you negotiate and your company could enter into a mutual licensing agreement whereby, in short, both companies could exchange patent rights.

A positive image of the company:

It is possible that associated companies, investors and shareholders consider that the patent portfolios are a sample of the high level of technical knowledge, specialization and technological capacity of their company. This can be useful when raising funds and looking for business partners and could increase the value of your company in the market.

Report this Content
This article has not been reviewed by Odyssey HQ and solely reflects the ideas and opinions of the creator.
an image of taylor swift standing center stage surrounded by her backup dancers in elegant peacock esque outfits with a backdrop of clouds and a box rising above the stage the image captures the vibrant aesthetics and energy of her performance during the lover era of her eras tour
StableDiffusion

A three-and-a-half-hour runtime. Nine Eras. Eleven outfit changes. Three surprise songs. Zero breaks. One unforgettable evening. In the past century, no other performer has put on an electric performance quite like Taylor Swift, surpassing her fans ‘wildest dreams’. It is the reason supporters keep coming back to her shows each year. Days later, I’m still in awe of the spectacle ‘Miss Americana’ puts on every few days in a new city. And, like one of Taylor’s exes, has me smiling as I reminisce about the memories of the night we spent together.

Keep Reading...Show less
Entertainment

Every Girl Needs To Listen To 'She Used To Be Mine' By Sara Bareilles

These powerful lyrics remind us how much good is inside each of us and that sometimes we are too blinded by our imperfections to see the other side of the coin, to see all of that good.

80228
Every Girl Needs To Listen To 'She Used To Be Mine' By Sara Bareilles

The song was sent to me late in the middle of the night. I was still awake enough to plug in my headphones and listen to it immediately. I always did this when my best friend sent me songs, never wasting a moment. She had sent a message with this one too, telling me it reminded her so much of both of us and what we have each been through in the past couple of months.

Keep Reading...Show less
Zodiac wheel with signs and symbols surrounding a central sun against a starry sky.

What's your sign? It's one of the first questions some of us are asked when approached by someone in a bar, at a party or even when having lunch with some of our friends. Astrology, for centuries, has been one of the largest phenomenons out there. There's a reason why many magazines and newspapers have a horoscope page, and there's also a reason why almost every bookstore or library has a section dedicated completely to astrology. Many of us could just be curious about why some of us act differently than others and whom we will get along with best, and others may just want to see if their sign does, in fact, match their personality.

Keep Reading...Show less
Entertainment

20 Song Lyrics To Put A Spring Into Your Instagram Captions

"On an island in the sun, We'll be playing and having fun"

8531
Person in front of neon musical instruments; glowing red and white lights.
Photo by Spencer Imbrock on Unsplash

Whenever I post a picture to Instagram, it takes me so long to come up with a caption. I want to be funny, clever, cute and direct all at the same time. It can be frustrating! So I just look for some online. I really like to find a song lyric that goes with my picture, I just feel like it gives the picture a certain vibe.

Here's a list of song lyrics that can go with any picture you want to post!

Keep Reading...Show less
Chalk drawing of scales weighing "good" and "bad" on a blackboard.
WP content

Being a good person does not depend on your religion or status in life, your race or skin color, political views or culture. It depends on how good you treat others.

We are all born to do something great. Whether that be to grow up and become a doctor and save the lives of thousands of people, run a marathon, win the Noble Peace Prize, or be the greatest mother or father for your own future children one day. Regardless, we are all born with a purpose. But in between birth and death lies a path that life paves for us; a path that we must fill with something that gives our lives meaning.

Keep Reading...Show less

Subscribe to Our Newsletter

Facebook Comments