Business innovations are made with some incentive that the inventors will get some commercial benefits out of it. In order to protect such innovations from misuse, there are various channels, such as Copyrights, Patents, Trademarks, or even Strategies. Here we are looking specifically at Trademarks. Trademarks are essential to a business because money is the essence of any business, and trademarks help in maximization and also protection of profits. For many companies, their brand is what fetches them their earnings. For example, Apple, Mercedes, Starbuck, etc. these companies have their own value, and this value gives them the privilege to demand the premium amount for their products. These brands are not seen on the balance sheets of the companies, or in the account books, but they contribute to the company’s success. The people are ready to pay high prices for Starbuck coffee as against regular coffee because of the brand value that the company has built for itself over the years. The importance of trademarks to protect this brand value. It is seen that, for startups, the trademark is not as essential and significant as it is for established companies. Because they do not have a brand value that has already been built up; therefore they resort to copyrights and patents in order to protect their business innovations.
It is not mandatory to register one’s patent, but it is a good idea to do so. In the event where another person, company, or business tries to use the same name as your company, registration of a trademark is the way to stop them from doing so. The trademark of your business marks all the products with that mark as yours, and this mark protects you from counterfeit products.
Reasons why Businesses should have Registered Trademarks
Therefore, even though it is not mandated by law to register the trademark, it is advisable to do so, because this increases the chance of protecting one’s brand and to legally challenge the violating party in court. In India, it is not valid to file a lawsuit for violation of the trademark in case the trademark has not been registered. Therefore, registering the trademark only makes legal processes easier and increases the brand value of the company.