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How can Intellectual Property increase market value for small and medium enterprises?

Intellectual Property (IP) is often undervalued, and enterprises sometimes fail to recognize its potential in creating future opportunities and benefits. However, when IP right is protected and when there is market demand for legally recognized merchandise and services, IP can become a valuable asset in the following ways:

  1. IP generates revenue for your business through transfer of usage rights and commercialization of protected merchandise, which can raise enterprise market share and profit margin;
  2. IP raises enterprise value, especially to shareholders and financial organizations; and
  3. IP can considerably increase market value when firms are sold, merged, or transferred.

As a result, your enterprise can gain a competitive edge through strategic uses of intellectual properties. Organizations should prepare to meet their challenges, to utilize properties, and to protect their rights whenever possible. Similar to tangible properties, IP must be claimed, maintained, audited, priced, regulated, and managed carefully to meet its full potential. However, small and medium enterprises must first and foremost recognize the value of IP and consider it a worthy asset.