We all know that trademarks have always been an important deployment target for corporate development, so why does such an "important" trademark turn famous brands into miscellaneous brands after being authorized? Let’s take a look at what’s going on with Bajie Intellectual Property:
Recently, Xinfei Electric, known as one of the “Four Golden Flowers” ??in my country’s refrigerator industry, has suffered an unprecedented crisis due to the pressure of its capital chain. the third production shutdown crisis. Due to the chaotic whirlpool of brand leases and the unaccustomed situation of foreign investment, Xinfei Electric has been squeezed out of the mainstream brand front in recent years. Now the brand is gradually losing its commercial value, and its future survival is unknown.
Why did Xinfei Electric fall into this situation? A letter from the board of directors of Xinfei Electrical Appliances to all Xinfei employees obtained by an industry insider stated: "In the past few years, Henan Xinfei Electrical Appliances Co., Ltd. has been operating in a highly competitive and challenging business environment. Home appliances Under the pressure of fierce price competition in the electrical appliance industry, it has become increasingly difficult for Xinfei Company to make profits."
In the 1990s, Xinfei refrigerators were once brilliant. Its product market sales and brand reputation are second only to Haier, and its market share has long occupied the top three. However, times have changed, and Xinfei Refrigerator has now completely become a marginalized brand.
Industry insiders believe that Xinfei’s decline is closely related to the company’s chaotic brand licensing. In recent years, Xinfei has been caught up in the whirlpool of trademark leasing operations, which has also made the future of the Xinfei brand uncertain. Authorizing "Xinfei", a Zhibajie intellectual property brand that has been operated and maintained for many years, to other companies can easily induce brand confusion. Unsafe factors.
When Xinfei Electric is already on the verge of collapse, Xinfei Electric has been caught in the vortex of trademark disputes, which undoubtedly accelerated the "decline" of Xinfei Electric.
At the National Small Home Appliances Exhibition held in March this year, among the list of exhibitors, three companies came to the exhibition on behalf of Xinfei Company at the same time, and each claimed that they each held the right to use the Xinfei trademark. Behind this is Xinfei Company's decision to "marry multiple women from one woman" to the "Xinfei" brand. It is reported that at that time, the ownership of the Xinfei brand belonged to the Xinxiang Municipal Government of Henan Province. Xinfei Refrigerator did not have brand ownership. With the exception of refrigerators, the right to use the Xinfei brand in other home appliance categories was leased to external parties to earn brand usage fees. .
“On the surface, licensing the brand to multiple companies will benefit in the short term, but without a strict and effective supervision mechanism, it will be detrimental to the healthy growth of the brand in the long run. Small home appliances frequently appear on the market Being on the quality black list overdraws the integrity of the entire 'Xinfei' brand, which will inevitably affect other categories under the 'Xinfei' brand. Eventually, 'Xinfei' will be reduced from a famous brand to a no-name brand," said Wu Chunyong, CEO of Fusion.com.
In addition, home appliance analyst Liang Zhenpeng said that Xinfei's acclimatization after introducing foreign investment was also one of the main factors that brought down Xinfei. As early as 1994, Singapore's Hong Leong Group and Xinfei Group formed Xinfei Electric. However, Hong Leong Group's main industries are in finance, real estate, hotels and other fields, which do not help much in the development of Xinfei Electrical Appliances' business, and are mainly financial investments. However, because Hong Leong Group did not understand the Chinese home appliance market and was relatively conservative, Xinfei missed the opportunity for diversified development. "Furthermore, Hong Leong Group did not retain Xinfei's original senior management team and technical backbone well, resulting in the loss of these talents, making Xinfei's operation and management increasingly imperfect."
This case According to analysis, the random authorization of trademarks will not only cause confusion in the market and make the quality of the products on the market uneven; it will also have a negative impact on the trademark (brand) and overdraw the trust of consumers. Bajie Intellectual Property reminds that when licensing a trademark, the authorized party must be carefully considered. The practice of "one girl marrying multiple people" will only speed up the "decline" of (brand) trademarks. Bajie Intellectual Property would like to say that you must find a reliable agency for trademark registration/transfer. Choose Bajie Intellectual Property Trademark Transfer Network. With 16 years of professional experience, it has the most professional and complete trademark services to help you build your trademark brand. road!