Upload
gemdeane1
View
1.695
Download
3
Embed Size (px)
DESCRIPTION
Citation preview
Generating and Protecting Business Ideas
BUS1
Sources of Business ideas
• Spotting trends and anticipating their impact
• Identifying a market niche
• Copy ideas from other countries
• Taking a scientific approach
Franchising
Formation and operation of a franchise
Most common type is a ‘business format franchise’.
The franchisor grants licence to the franchisee to
use their business idea.
The franchisee sells the franchisor’s products/services, trades under the franchisor’s
trademark or name, and benefits from the franchisor’s
help and support
In return, the franchisor usually pays an initial fee to the franchisor and then a percentage royalty on sales. The
franchisee owns the outlet, but the franchisor maintains control over how products and services are marketed and
sold and how their business is used
Protecting a business idea
• Copyright
• Patents
• Trademarks
CopyrightsIf a business creates or
employs someone to create an original piece of literary, dramatic, musical or artistic work, it automatically holds the copyright on the work
The material cannot be copied without permission from the owner of the copyright. The law allows the owners of the copyright to decide whether it can be copied and adapted, and allows them to charge a royalty or licence fee.
In general, the copy right protection for literary, dramatic, musical and artistic works last until 70 years after the death of the creator! Unlike Patents there is no requirement to register an authors copyright. The
law on copyright is governed by the Copyright, Designs and Patents Act
1988. Copyright is indicated by ©
PatentsIf an individual invents a new process, piece of equipment, component or product he or
she must apply for a patent in order to prevent other people
copying the invention and then making, selling, importing or using it without permission
To register a patent the inventor must provide full
drawings of the invention for the UK Intellectual Property
Office (UK-IPO), demonstrate that the ideas have original features, and promise that the ideas are his/her own
The Copyright, Designs and Patents Act 1988 gives the patent holders the monopoly right to use, make, licence or sell the
invention for up to 20 years after it has been registered.
Trademark
Trademarks can be powerful marketing tools, helping
customers to recognise the products of a business and to
distinguish them from competitors
The trademark must be registered at the Intellectual Property office. Once it has
been registered the company has exclusive
rights to its use. They are recognised by the symbol ®