Ups and Downs of China’s Old Brands

2010/08/09,Planned by Li Xue, Zhou Yi, Nie Shihai, Zhang Qi, China IP,[Trademark]

For China’s time-honored brands, nothing is more valuable than their goodwill. Brand founders ever regarded facia boards as their lifelines. Now, brands and the carefully built reputation passed down through generations have become the most precious fortune for the businesses.
  Time-honored brands show more promises of becoming world famous Chinese brands, because they represent the continuation of Chinese culture, the distillation of centuries of commercial and handicraft competitions, and the market leadership which has gone through arduous struggles and hard work.
  Since 2007, when the Chinese government issued incentive policies for the development and protection of time-honored brands in China, the old branded businesses are no longer “IP outsiders” - they have rolled up their sleeves to strengthen the protection and development of their brands.
  The July 2006 case of a third party registering “Wangzhihe” in Germany, and the ensuing trademark conflicts sounded the alarm for the time-honored brands in China. According to the survey of “Top 500 Most Valuable Brands of China,” released by the World Brand Lab, nearly 50% of Chinese brands are unregistered in the U.S., Australia and Canada, and the non-registration ratio in the EU is as high as 70%.   

  Better safe than sorry. With the support of the government, the time-honored brands have swarmed to overseas markets to register their brands and to pave the road for overseas development. But after solving the external problems, the businesses get stuck in the internal protection bottleneck: With their limited human and capital resources, how to establish an effective monitoring mechanism against infringements, how to synchronize development and protection, and how to coordinate all the protection activities of the nation shall depend on their own efforts and government’s support. IP  

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