This sum-up is to turn to the challenges that Bertram Chemicals Company is confronting in keeping place market place and Future growing in the planetary market Due to the hallmark violation.
Bertram Chemicals is a household concern started more that 45 old ages back, it ‘s really good cognize merchandise Siang Pure Oil a homeopathic non-prescription herbal merchandise that has an first-class success in Thailand and widely distributed in adjacent states. The Siang Pure Oil Secret Combination was taken from Traditional Chinese prescription and contains basic ingredients that are grown in China, the prescription given by a Chinese Practitioner, a friend of the Boonchua Eiampikul the male parent who started the concern of bring forthing the Sian Pure Oil in 60s. The merchandise was distributed locally and found successful, so was widely distributed and derive the assurance of the local community in Asia for its effectivity. The Product brought success to the company to make 330 Million Bt.
Boonchua Eiampikul had Three Daughters who are presently Pull offing The Bertram Company. Supeeya is Pull offing Production, Titima Managing finance and Human Resource and Suwanna pull offing Director.
The Global Market shows a growing of utilizing herbal medical specialty ( Specially Chinese Herbal Medicine ) and Complementary Medicine in Asia every bit good as in western states and go more popular. Despite the fact that most of the people who use the complementary medical specialty are located outside Western Countries, it is clear that monetary values in Europe and US are doing significant value in the planetary market for those merchandises.
Although Bertram Chemicals merchandises have been successfully administering Sian Pure oil, most of the mark market are older age people who knew that merchandise for long clip, the company started to follow new scheme to pull immature people to utilize its merchandise, one of the attacks was to alter the design, colour, aroma and frock of the merchandise to run into the market demand. Bertram besides started to present new merchandise that is more coveted by the immature people.
Bertram is confronting the challenge of hallmark violation, local companies are bring forthing merchandise that looks similar to Sian Pure Oil with low quality and assailing the utilizing lower monetary values policy. The faked merchandise is impacting the merchandise repute and consequently gross revenues figures. Other companies in other states are besides bring forthing similar merchandises and administering them locally and in other counties claiming that they are echt merchandises.
This paperss to Identify Intellectual belongings assets of Bertram and advices the direction on manner frontward to pull off these assets harmonizing to the international criterions
Intellectual belongings Report:
Looking to the state of affairs, Bertram chemicals need to hold an stock list for the IP assets being used to be able to pull off these assets efficaciously and be in place to protect them and its investing to guarantee future growing.
Bertram should do every attempt to place all the hazards involved in go againsting the company Trademarks, that will negatively impact distributing and bring forthing its herbal oil. It must guarantee to profit financially from keeping right of production. That will endeavour in back uping Bertram to do other merchandise every bit good as other successful merchandise that was in production for several decennaries.
The composing of the Herbal oil is a patent that can be protected under Patent jurisprudence. Although the jurisprudence would protect the composing of the certain figure of twelvemonth, there will be a hazard when the register expires and the secret combination will be disclosed and will impact the registered concern.
The Oil Container Design, form and Color are portion of the rights that could be protected by the IP jurisprudence. The Packaging design, form, logo and colour are the most attractive point to the client
Looking to the IP rules and the current state of affairs, it is of import to Bertram Chemical to measure the IP assets value to be able to protect investing trough doing usage of Paris convention, TRIPS understanding and Berne convention to protect Intellectual belongings. Looking more to the state of affairs we can foreground following issues:
Trademark Registration: Bertram registered the Siang Pure ( oil, Balm and inhalators ) with Thailand Authorities for 10 old ages in 2004. The Trademark selected consists of the image of the ( Boonchua Eiampikul ) .Selection of the name looks typical and Peoples would easy acknowledge the name. Selected Trademark identifies the degree of the quality of the merchandise. It was non mentioned that Bertram took any measure toward registering the merchandise in other Asiatic states or other counties.
Production procedure: The ingredients of the Bertram Chemical ‘s merchandise were grown in China and the formula is a secret in itself. The procedure of uniting and bring forthing the oil from the ingredients is alone, nevertheless Company did n’t register that under patent to guarantee its secretiveness as patents register expires after a piece and might expose the company to the hazard of cognizing its production secret.
The company Brand, Logo and Design are among the IP Assets of Bertram ; nevertheless Document did n’t clear up the issue of enrollment of those as IP assets.
The complementary medical specialties merchandises are known in Asia, and normally do n’t necessitate export enfranchisement, Regulatory blessing. While, In Western states, those issues are required in order to be able to get down administering the merchandise to the client.
Having a merchandise that is good distributed for 40 old ages shows a important high value for that IP. Furthermore the merchandise is deriving regional distribution which brings a regional range of the Trademark value and finally the Company repute. Possibly that what attracted other companies to choose for hallmark violation, thru low monetary value policy to retroflex the frock of the merchandise with really minor alterations and maintaining the expression as similar possible to be able to sell similar merchandise with less choice ingredient to derive money fast. That will besides impact the original merchandise repute particularly for those who are non regular users of that merchandise.
Harmonizing to the Picture provided for the hallmark violation, rival produced the faked merchandise to profit from the well reputed merchandise of Siang Pure oil. The Red colour of the Package and the image of the Asiatic face for senior individual on the bundle while doing really minor alterations to protect them self from being retroflexing the design as it is. Non-regular Customer will be easy mis-leaded by the similarity between the original design and the faked design, those similarity of colour, image and size will
Appellation of Beginning: Lisbon understanding addresses the protection of denomination of beginning and their international enrollment. Bertram Chemical merchandise ( Siang Pure Oil ) is known as good merchandise in the local market and the adjacent states, the merchandise hallmark, design and Red frock colour point that merchandise is from China. And did n’t capture that component in the name which will assist client place the indicant of beginning and Geographical indicant as a consequence. Furthermore, Color can ne’er be found to be inherently typical for a grade, but it can get a secondary significance, which so makes it available for enrollment on the Trademark Office rule registry.
The Container design is non alone in form that would n’t assist people acknowledge that merchandise is echt or non. Company could profit from IP Hague understanding which protects the rational belongings signifier retroflexing the forms without written consent. Furthermore the same design is available in the market which will confound the client on which merchandise that truly is echt.
The company has over 140 employees and three locations for production. It is non clear if the responsibility/process of blending the ingredients and how secure it is. It is non clear what are the security measures taken, operation processs to procure the rational belongings assets involved. Possibly some information were passed to the rivals and that brought the hazard of doing similar expression with less monetary value.
The Chinese medical specialty is an old tradition and available since 3000 old ages, Bertram was merely able to raise that merchandise through the dedicated work to bring forth high quality oil and the successful scheme adopted in the past 4 decennaries to derive the assurance. Furthermore, the western states started to recognize the importance of the Chinese medical specialty thru emigres who contributed to portion the Asiatic civilization to the western community
Trademark Dilution: some rivals opted for utilizing a trade grade that does n’t hold to precisely fit Siang Pure Oil. This act is harming the repute of the Bertram Chemical Trademark by making an association in the head of the consumer that arises because of the similarity between a faked grade and trade name of Siang Pure Oil.
Initial computation for the IP Assets cost shows that Bertram have the undermentioned Internal Assetss
Trademark ( s ) around ( 400,000 USD )
Design ( s ) around ( 200,000 USD )
Recipe ( s ) around ( 180,000 USD )
The company besides has external assets like
Brand ( s ) around ( 500,000 USD )
In Addition to three locations/Factories, Distribution webs, Raw Material Network and Loyal clients.
Due Diligence Report:
Due Diligence study will supply the information on the Gaps that Management demand to bridge to keep IPR. The study is the manner to detect everything that might be hidden and will assist to find IPR and what the future expressions like is by carry oning thorough probe that by describes current concern and future chances.
The Bertram Chemical must set up an IP Section that will keep an IP scheme for the company, expression after the undermentioned information and certification to be filed decently and maintain path of Renewal every bit good as follow up on new issues arises as follows:
List of Patents and patent applications in Thailand, transcript of Patent application in Progress ;
List of registered hallmark in Thailand and in other states, transcript of the enrollment application on clasp or in procedure along with brief description of the merchandises and the procedure. A record of applications in Progress with elaborate clip frame of application day of the month and position of those application to follow up ;
List of hallmarks that non yet registered in Thailand neither globally ;
List for hallmarks that company is exporting to other states that are non registered yet ;
Transcript of all licence including ( hallmark, Patent or other IP assets ) . Expired licence with brief description ;
Transcript of contracts to export concluding merchandises or import basic ingredient to Thailand ;
Transcript of contracts or understanding with companies responsible of publishing the packaging stuff and bring forthing the merchandise container ;
Transcript of contract with companies responsible of logistics operations of transporting Goods across the borders/port and their duties ;
Transcript of correspondence with planetary Pharmaceutical production companies and partnership offers to administer merchandises in Europe and United provinces ;
Transcript of enrollment procedure started or about to get down to utilize Herbal oil in other states ;
Registration documents for mandate of export and import goods ;
Detailed list of authorised distributers inside Thailand and regional distributer along with active contracts.
That will assist the IP subdivision in Bertram Chemicals to:
Identify all averments of Trademark violation, Trade Dress violation, Dilutions or unjust competition ;
Review all material hallmark reclamation records ;
Obtain consequences of trademark hunts conducted by the mark company ;
Confirm ownership and clear rubric to Bertram Chemical company hallmark, trade names ;
Identify and decide any possible merchandise name disputes ;
Identify any Markss of the Bertram Chemical that non being used since a piece ;
Identify processs employed for quality control monitoring of licence usage of hallmarks ;
Conduct independent hunts for hallmarks of particular involvement.
Below is a list of suggested action to assist Bertram commanding the state of affairs and guarantee Future Growth through different scenarios like:
Stoping the hallmark violation following the Berne convention for enforcement of rights:
Inside the state:
Working thru the local distributers to place the companied that bring forthing the faked merchandise.
Send a Letter of demand of Trademark violation to the Office of IP in Thailand to claim the Trademark violation.
Take legal action against those companies.
Approaching the trading governments ( Customs ) and export Ports to alarm those to look for any merchandises that being exported that violates the trade grade of Bertram.
Outside the state:
Measuring if the state is using Registered trade grade or Common Law hallmark ( hallmark established repute of the merchandise )
Register the Product as IP in those states if non already done.
Seek the Import governments in those states to look into if any faked merchandises being imported and send missive of demand for trade grade violation if found.
Seek the local distribution web to place if trademark violation occurred
If found, direct a missive of demand O f hallmark violation to the IP office in the state
Seek the Court for civil redresss for the amendss against the company involved in Importing infringed merchandises
Keeping the same trade grade but through presenting new steps to inform clients about quality. Bertram Chemical to get down a run to state clients on how to place faked merchandises through Advertisement or Television shows. The run should besides cover neighbouring states and address Internet users.That can be achieved on:
each bundle and/or merchandise have a alone consecutive figure that can be verified to guarantee it is echt ;
Customer if surmising the quality could inquire the store to verify the quality ;
Setup support telephone line to offer aid ;
Fix fictile seal with holograph on each seal that carries typical figure for the batch to place the beginning ;
Announce that Bertram Company is non responsible of any injury go oning signifier utilizing Faked merchandises that looks like the Siang pure oil.
Bertram to get down a Campaign on educating clients about infringed merchandises. Approach the Authorities to register complain and raise a instance for unjust competition.
Benefit from WIPO attack for harmonising and simplifying the regional system and use the ( TLT ) Trademark Law Treaty adopted in 1984 to register the trade name regionally.
Introducing New Design for Trademark ( s ) :
The Case clearly mentioned that hallmark violation is go oning widely and impacting the company repute, One option is to presenting new design that will slowly stage out the old design and taking the undermentioned stairss:
The new design of the hallmark should be registered in Thailand every bit good as other states. This procedure will take clip but will guarantee that no violation will take topographic point in the Future
Benefit from the well repute that Siang pure oil had in the yesteryear and seek to re-invent the merchandise to turn to the demand of wider sector of community both locally and Globally
Design an attractive papers or foliage left in each bundle that will assist people to do the best usage of the merchandise efficaciously and foreground the original ingredients of the herbal oil and state the narrative of how it was made.
Making usage of Hague system, Make a new alone design for the ointment container that is alone form, lodge the industrial design trough sedimentation file with the international agency of WIPO that will assist protecting the design of the container in several states for 15-20 old ages which will give the merchandise.
Adding the Seal option or utilizing UPC codification to track merchandises and be able to carry on quality control on returned point
Opt for the get ISO quality criterion that will assist the point to be distributed widely.
Opt for seeking the right channels to garner the blessing of administering the merchandise in Europe and United States that will well add to the company Revenue.
Trademark Dress: Bertram to revisit the trade frock to do it typical in a manner that it embodies the design of a merchandise, in order to get secondary significance peculiarity. The design could besides include the Functional facets to function to the useful intents of the point in commercialism.
Make the trade frock per se typical to place the Thai beginning of the merchandise. That will assist clients to go predisposed to see per se typical Markss as indicant of Bertram Chemicals from Thailand.
Revisit the Standard operations process for pull offing the Intellectual belongings in Bertram Chemicals Company thru:
Having an updated IP Audit study to measure the IP Assets value, work on Establishing IP scheme
Assign the undertaking of following up proactively on the IP register procedure and to keep the IP reclamation.
Undertake study on Customer Satisfactory degree.
Keep the quality degree of the Product as it is the chief factor for the investing.
Study the local market tendency and external market.
Identify possible market and clients.
Enhance the Customer trueness plan to guarantee that merchandise experience are go throughing from coevals to another
Work on pulling new coevals to the Products through foregrounding Customer satisfactory degrees.
Keeping the company information secretiveness, Manage the flow of information and guarantee that confidentiality of trade secrets are protected
Orient Staff and educate them on the importance of the rational belongings criterion.
Raise the consciousness on how such irresponsible behaviour will impact the company public presentation and lead to impact undertakings and by consequence staff employed in the Company.
Company might wish to register the Combination of Sian Pure Oil as patent, and continuing with planetary enrollment, Possibly that will protect combination globally. Bertram can profit from presenting the production licence to different companies in other states. The Company will profit from the Patent Cooperation Treaty which simplifies the patent enrollment for an discoverer through enrollment the patent in EU regional, Patent office will carry on an international hunt, International publication and so international preliminary Examination and so allowing national or regional patent. That will assist Bertram to present to production License to other companies and profit financially from production overseas. Create partnership with other companies overseas and seek to profit from their presence in the land and distribution web to present Bertram merchandises to Europe and United provinces.
Bertram should research other prescription from Chinese tradition al medical specialty to place other merchandises that help other type of hurting. Research the option of turning the ingredients locally in Thailand specially that will assist cutting the cost of production.