What are trade marksNEXT
What are trade marks
Trade marks are an important business asset.
They are signs that help your customers identify your products and services, and to distinguish them from a competitor’s products and services.
The recognition of your trade mark by your customers enables:
- the building of your business reputation by virtue of the distinctive identity of your products and services;
- repeat business, because your customers will want to buy the identical product they have bought previously and liked
- loyalty business, where your customers will try a new product or service that you launch, because of the confidence they have in your existing products.
The recognition of your trade mark by your customers therefore represents a very large part of the goodwill of your business.
The trade marks of many companies represent a large part of the value of the company, such as the value of the following trade marks: Microsoft, Shell, McDonalds, Octopus, Cathay Pacific, Watson’s, Vitasoy, Café de Coral, Lee Kum Kee and Garden.
You should protect your trade mark, by registering it. This helps you stop your competitors, and others, from using your trade mark, and by doing so, free-riding on the goodwill and reputation that your trade mark has earned in the marketplace by your efforts.