MEMORANDUM TO: Dr.Hokyu Hwang, Chairman of UNSW group
FROM: Benjamin Chung (Division Leader of Asia-Pacific Region) SUBJECT: Intellectual property considerations for entry into Chinese markets.
Thank you for rewarding us the opportunity to the lead upcoming Chinese market project. As requested, we have prudently evaluated the situation, and I recommend that we immediately proceed and invest enormous consideration onto devising the upcoming market entry strategy for our Chinese markets. As such, it is important to consider an array of economic, legal and political factors in order to succeed, and in particular guarding against our chief focus of intellectual property rights. As Asia-Pacific Division leader of UNSW group, I will fulfill the future obligation of our corporation motto “To be the best globally” and also our primary objective of prevailing as a renowned multinational enterprise.
Aforementioned, Intellectual property rights are the epitomic focus in dealing with our entry strategy into China. We can define Intellectual property rights as the property that is the product of intellectual activity, hence, we can classify them into three distinctions; patents, copyright and also trademarks (Cronk, Hill and Wickramasekera 2011, pp 258-262) . •Patents are a legal device that grants the inventor of a new product or process exclusive rights for a defined period to the manufacture, use or sale of the invention. (Our products designs/prototypes, manuals and also applications/programs for products) •Copyrights are exclusive legal rights of authors, composers, artists and publishers to publish and dispose their work as they see fit. (Our company's annual financial report and also other company publications) •Trade marks the designs and names often officially registered, by which merchants or manufacturers designate and differentiate their products. (Our UNSW group logo, symbols and slogans which are distinctive for the perception, competitive differentiation and also goodwill/intangible value of our company).
As a prominent multinational firm, our distinctive ideas and innovations were highly crucial of our success in American, European, and Middle-Eastern (Saudi Arabia-SABIC) markets and domestically in Australia, it's strong that we sanctify them in Chinese markets as part of our global success path. The primary notion around intellectual property is that laws are required to protect the originator's work and effort, without genuine legal protection, it would be irrelevant from a Business point of view to invest millions of dollars into R&D and innovation, whilst also it would be economically perilous in markets to expand globally into markets such as China. Historically, China is a country where foreign and domestic enterprises have been constantly exploited, gazed as one of the most venomous actors of piracy according to the WTO and the Office of the United States Trade Representative, and also prominently known as a country where exploited counterfeits such as Microsoft products are abundantly found. (Cronk, Hill and Wickramasekera 2011, pp 258-262) .In order to be successfully penetrate Chinese markets, we must follow a set of recommended legal guidelines and principles to protect ourselves against contingencies and exploitation. Firstly in order to protect ourselves, we must be familiar with the domestic and international laws that reinforce Chinese intellectual property rights. Due to the recent surge of exploitation and the rise of China's robust economic growth in recent decades, it has justified the Chinese government's ambition in pursuing a very powerful legal structure in guarding intellectual property rights through international and domestic frameworks. Domestically, Deng Xiao Ping's 1979 Open door Policy and Cultural Revolution 1965-1975 were a stepping stone towards strong intellectual property regulation, laws have been also established...