Doing Business Internationally. Macrotech, Inc.,develops an innovative computer chip and obtains a patent onit. The firm markets the chip under the trademarked brandname “Flash.” Macrotech wants to sell the chip to Nitron,Ltd., in Pacifica, a foreign country. Macrotech is concerned,however, that after an initial purchase, Nitron will duplicate the chip, pirate it, and sell the pirated version to computermanufacturers in Pacifica. To avoid this possibility, Macrotech could establish its own manufacturing facility in Pacifica, but it does not want to do this. How can Macrotech,without establishing a manufacturing facility in Pacifica, protect Flash from being pirated by Nitron? (See Doing BusinessInternationally.)
Doing Business Internationally. Macrotech, Inc.,
develops an innovative computer chip and obtains a patent on
it. The firm markets the chip under the trademarked brand
name “Flash.” Macrotech wants to sell the chip to Nitron,
Ltd., in Pacifica, a foreign country. Macrotech is concerned,
however, that after an initial purchase, Nitron will duplicate the chip, pirate it, and sell the pirated version to computer
manufacturers in Pacifica. To avoid this possibility, Macrotech could establish its own manufacturing facility in Pacifica, but it does not want to do this. How can Macrotech,
without establishing a manufacturing facility in Pacifica, protect Flash from being pirated by Nitron? (See Doing Business
Internationally.)
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