Dynamic Nexus
International

Building a Global IP Strategy: A Practical Guide

Sarah Mitchell
June 10, 2022
12 min read
Building a Global IP Strategy: A Practical Guide

Building a Global IP Strategy: A Practical Guide

In today's interconnected economy, a domestic-only IP strategy leaves your innovations vulnerable. Companies expanding globally must understand international IP protection to secure their competitive advantages worldwide.

Why International IP Protection Matters

The Global Marketplace Reality:

**Instant Global Competition**: Products launch simultaneously worldwide

**Manufacturing Abroad**: Supply chains span multiple countries

**Cross-Border Infringement**: Online sales make borders irrelevant

**Foreign Competitors**: Protection needed against international rivals

**Cost of No Protection:**

  • Lost market share to foreign copycats
  • Inability to enforce rights abroad
  • Reduced company valuation
  • Limited licensing opportunities

    • The Three Pillars of International IP

    1. Patents

    **Key International Treaties:**

    **Patent Cooperation Treaty (PCT):**

  • File one application covering 157 countries
  • 30-month window to enter national phase
  • Delays costs while preserving rights
  • International search report provides guidance

    • **Paris Convention:**

  • 12-month priority period for patents
  • File in one country, claim same date elsewhere
  • 177 member countries
  • Useful for strategic markets

    • 2. Trademarks

    **Madrid Protocol:**

  • Single application for 130+ countries
  • Centralized management and renewal
  • Cost-effective multi-country protection
  • Extensions processed within 12-18 months

    • **European Union Trademark (EUTM):**

  • Single registration covers all 27 EU countries
  • Enforced uniformly across the EU
  • Renewal every 10 years
  • Opposition period for third parties

    • 3. Copyrights

    **Berne Convention:**

  • Automatic protection in 179 countries
  • No registration required
  • Minimum 50-year protection after death
  • National treatment principle

    • Developing Your International IP Strategy

    Phase 1: Assessment (Months 1-2)

    **Market Analysis:**

  • Identify target markets for products/services
  • Research competitor presence by country
  • Assess manufacturing and supply chain locations
  • Evaluate licensing potential

    • **IP Audit:**

  • Inventory all protectable innovations
  • Assess domestic protection status
  • Identify gaps in current portfolio
  • Prioritize assets for international filing

    • **Budget Planning:**

  • Estimate filing and prosecution costs
  • Calculate maintenance fee projections
  • Plan for translation expenses
  • Budget for enforcement costs

    • Phase 2: Strategic Filing (Months 3-12)

    **Priority Markets:**

    **Tier 1 - Critical Markets:**

  • Countries where you manufacture
  • Major sales markets
  • Key competitor locations
  • High-infringement risk countries

    • **Tier 2 - Strategic Markets:**

  • Emerging markets with growth potential
  • Licensing opportunity regions
  • Supply chain countries
  • Future expansion targets

    • **Tier 3 - Defensive Filings:**

  • Known copycat jurisdictions
  • Low-cost manufacturing countries
  • E-commerce distribution hubs

    • **Filing Strategies by Region:**

    **United States:**

  • File first to establish priority date
  • Pursue continuation applications
  • Consider provisional applications for speed

    • **European Union:**

  • Direct EPO filing or PCT route
  • Validate in specific countries post-grant
  • Consider EUTM for trademarks

    • **China:**

  • File early - first-to-file system
  • Use certified translations
  • Monitor for bad-faith registrations
  • Consider design patents

    • **Japan:**

  • Detailed examination process
  • Substantive examination required
  • Value interviews with examiners
  • Strong patent protection

    • **Emerging Markets:**

  • India: Growing patent office efficiency
  • Brazil: Backlog challenges, plan accordingly
  • Southeast Asia: File in major economies
  • Africa: ARIPO and OAPI regional systems

    • Phase 3: Management (Ongoing)

    **Portfolio Management:**

  • Track deadlines across jurisdictions
  • Coordinate prosecution strategies
  • Assess continuation of protection
  • Prune non-performing assets

    • **Monitoring and Enforcement:**

  • Customs recordation programs
  • Online marketplace monitoring
  • Competitor watch services
  • Local counsel relationships

    • Cost Management Strategies

    Reduce International Filing Costs:

    **PCT Strategy:**

  • Use full 30-month window
  • Receive search results before national phase
  • Abandon weak applications early
  • Enter only viable markets

    • **Staggered Filings:**

  • File critical markets first
  • Assess market performance
  • Add countries based on success

    • **Regional Filings:**

  • Use EPO for European coverage
  • ARIPO for African countries
  • OAPI for Francophone Africa
  • GCC for Gulf states

    • Translation Savings:

  • Negotiate volume discounts with translators
  • Use machine translation for informal review
  • Request examiner interviews in English
  • Leverage translation memories

    • Enforcement Across Borders

    Customs Programs:

    **U.S. Customs and Border Protection:**

  • Record IP with CBP
  • Training for officers
  • Seizure of infringing imports

    • **European Customs:**

  • Register with EU customs database
  • National customs authorities enforce
  • Coordinated border seizures

    • **Chinese Customs:**

  • Essential for manufacturing source control
  • Quick action on recordation
  • Effective deterrent to exports

    • Litigation Considerations:

    **Forum Selection:**

  • Where is the infringer located?
  • Where do they have assets?
  • Speed and efficiency of local courts
  • Enforcement capabilities

    • **Procedural Differences:**

  • Discovery: Limited in many countries vs. broad U.S. discovery
  • Damages: Often lower outside the U.S.
  • Injunctions: More readily available in some jurisdictions
  • Costs: Loser pays in many countries

    • **Alternative Dispute Resolution:**

  • WIPO Arbitration and Mediation Center
  • ICC International Court of Arbitration
  • Faster and more cost-effective
  • Enforceable internationally

    • Country-Specific Strategies

    China

    **Critical Steps:**

  • File trademarks immediately (bad-faith risk)
  • Patent filing before any public disclosure
  • Register copyrights with National Copyright Administration
  • Customs recordation mandatory
  • Monitor online platforms (Alibaba, Taobao)

    • **Enforcement Options:**

  • Administrative enforcement (fast, effective)
  • Notarized purchase evidence
  • Multiple simultaneous raids
  • Criminal prosecution for serious cases

    • India

    **Key Considerations:**

  • Working requirements within 3 years
  • Compulsory licensing risk
  • Reasonable patent prosecution timeline
  • Strong pharmaceutical exclusions

    • **Best Practices:**

  • Establish local manufacturing or licensing
  • File early under PCT
  • Careful claim drafting for Section 3(k)
  • Active prosecution management

    • Brazil

    **Challenges:**

  • Examination backlog (improving)
  • Prior ANVISA approval for pharma
  • Higher costs and fees
  • Longer prosecution timeline

    • **Strategies:**

  • File early to establish priority
  • Monitor prosecution actively
  • Consider licensing to local entities
  • Leverage PROSUR cooperation

    • Technology-Specific Strategies

    Software and AI

    **U.S.**: Strong patent protection post-Alice

    **Europe**: More restrictive, technical effect required

    **China**: Increasingly accepting of software patents

    **Strategy**: Multi-pronged approach with trade secrets

    Biotechnology

    **U.S.**: Broad patent protection available

    **Europe**: Moral utility restrictions

    **India**: Section 3(j) exclusions

    **Strategy**: Tailor claims to jurisdiction

    Business Methods

    **U.S.**: Limited after Alice decision

    **Europe**: Generally excluded

    **Australia**: Case-by-case assessment

    **Strategy**: Focus on technical implementation

    Measuring International IP ROI

    **Key Metrics:**

    **Protection Coverage:**

  • % of revenue from protected markets
  • % of manufacturing in protected countries
  • Competitor coverage rate

    • **Cost Efficiency:**

  • Cost per market as % of revenue
  • Maintenance cost per protected sale
  • Filing cost to portfolio value ratio

    • **Business Impact:**

  • Market share in protected vs. unprotected markets
  • Licensing revenue by jurisdiction
  • Infringement deterrence rate

    • Common International IP Mistakes

    **Avoid These Pitfalls:**

    1. **Public Disclosure Before Filing**: Destroys novelty in absolute novelty countries

    2. **Missing Deadlines**: Priority dates and Paris Convention windows

    3. **Translation Errors**: Scope changes due to poor translation

    4. **Inadequate Budgeting**: Surprise costs derail strategy

    5. **No Enforcement Plan**: Rights without enforcement are worthless

    6. **One-Size-Fits-All**: Failing to adapt to local requirements

    7. **Neglecting Monitoring**: Miss infringement until too late

    8. **Poor Local Counsel**: Critical to have strong country representation

    Working with Dynamic Nexus

    Our international IP practice includes:

    **Strategic Planning:**

  • Global IP strategy development
  • Market and competitor analysis
  • Cost-benefit modeling
  • Portfolio optimization

    • **Filing and Prosecution:**

  • PCT and Paris Convention filings
  • Coordinated prosecution worldwide
  • Vetted local counsel network in 100+ countries
  • Translation management

    • **Enforcement:**

  • Customs recordation programs
  • International litigation coordination
  • Cross-border investigations
  • Settlement negotiations

    • **Portfolio Management:**

  • Deadline tracking and management
  • Annuity and renewal coordination
  • Portfolio pruning and optimization
  • Regular strategy reviews

    • We've helped clients secure IP protection in over 80 countries, with a 95% grant rate and average 30% cost savings through strategic filing.

    Conclusion

    A well-crafted international IP strategy is essential for global business success. By understanding international treaties, selecting priority markets strategically, managing costs effectively, and enforcing rights vigilantly, you can protect your innovations worldwide.

    The key is planning early and executing consistently. Don't wait until after expansion to protect your IP globally.

    Contact Dynamic Nexus today for a comprehensive international IP strategy consultation. Our global network and decades of experience will help you navigate the complexities of worldwide IP protection.

    Need IP Legal Advice?

    Our team of expert attorneys is ready to help you protect your innovations and build a robust IP strategy.