ENTREPRENEURSHIP FOR SCIENTISTS AND ENGINEERS
CHAPTER 5
THE CONCEPT OF INTELLECTUAL PROPERTY
LEARNING OBJECTIVES
After studying this chapter, students should be able to
1. Discuss the theory behind intellectual property
2. Explain what trade secrets are and how they are used
CHAPTER OVERVIEW
Intellectual property consists of all those proprietary rights in the form of patents, trademarks,
copyrights, and trade secrets that are granted by the U.S. Patent and Trademark Office and the
U.S. Copyright Office or through common law as in the case of trade secrets. These IP rights give
the holder the right to exclude others from making and using the protected property. It is
CHAPTER OUTLINE
1. The theory behind IP protections
a. Incentives to invent
2. Trade Secrets
a. Nondisclosure agreements
3. Copyrights
4. Trademarks
Entrepreneurship for Scientists and Engineers
a. Trademarks and the Internet
5. Patents
a. What constitutes a patentable invention?
6. Summary
END OF CHAPTER QUESTIONS
1. An inventor has just developed a new type of collapsible furniture that will be useful for
students in college dormitories where space is limited. What kinds of protections should the
inventor consider for this product and the business that would be developed to
commercialize it?
The inventor may be able to apply for a utility patent on the functionality of the furniture if
the collapsible feature presents a novel approach. He may also be able to apply for a design
2. Why would an inventor choose to file a provisional patent application rather than a
disclosure document?
The provisional patent is more powerful legally than a disclosure document and permits the
3. For what reasons might an inventor decide not to patent an invention that is clearly
patentable?
This question will spawn a variety of responses including the following suggested in the chapter:
4. What kinds of things are best protected through trade secrets?
a. novel and useful inventions for which the company chooses not to seek patent
protection
Entrepreneurship for Scientists and Engineers
CASE STUDY SUGGESTIONS
The case study on Gordon Gould can be used to illustrate the following concepts from the
chapter:
• The importance of thinking about intellectual property protections early in the discovery
process. Note that Gould immediately had his lab notes notarized because he knew that
he was in the very earliest stages of discovery and nothing at this point was patentable.
Unfortunately, Gould misunderstood his patent attorney and thought that he had to
have a working prototype to eventually patent his invention and that delayed his filing
enough that Townes filed on his “maser” ahead of Gould, initially making Townes patent
prior art for Gould’s patent when he filed it.
ACTIVITY
Study a Patent
Put students into groups of 3-4 and ask them to brainstorm a technology product they might like