You cannot understate the value of your intellectual property. Some have called it the foundation of your business. It is the very thing that gives your brand such an edge in a competitive marketplace.
Losing your intellectual property via theft can dramatically impact what your business is worth and can cost you sales when someone else begins making products or services that are similar to yours. But there are other ways that IP theft can hurt your brand, such as making the brand appear less trustworthy and therefore harming your reputation.
What do people think about your brand?
For instance, say that you have a luxury brand. Much of the value of that brand lies in the fact that people believe it is a sign of quality and money well spent. If someone else begins making knockoff items that are very similar to yours or that use the same trademarked logos, colors, and other design elements, some consumers may start to believe those are genuine products. If the quality of those products is inferior to your own, people may lower their opinion of your products — even though you had nothing to do with the knockoff items.
Additionally, just the fact that someone is out there making similar items and taking your branding to sell them may make potential buyers question if the goods they see are authentic or not. If that question is enough to make them avoid a purchase, even when the product is valid, then you are still suffering from that IP theft. This is true even if the other company isn’t making the sale.
The ramifications of IP theft can be wide-ranging, and it is important to know what legal options you have when you have been wronged.