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What is a trademark? What role does applying for a trademark play for a business?

I believe that many entrepreneurs have heard of trademarks when they started their businesses and think that the company should register a trademark, but they do not understand the specific meaning of the trademark. So what exactly is a trademark? For enterprises, what role can applying for a trademark play?

Explanation of the specific meaning of trademark

Trademark is a specialized legal term and a sign used to identify and distinguish the source of goods or services. So if you want to distinguish the goods produced by your company from those produced by other companies, you should apply for a trademark, so that you will have a unique trademark and consumers will recognize this trademark. Any natural person, legal person or organization can apply for a trademark. A trademark consists of words, graphics, letters, numbers, three-dimensional logos, color combinations and sounds. Therefore, there are some brands that can apply for trademarks in China or abroad, and they can also form trademarks after registration with the relevant government. Trademarks are protected by law, and the registrant has the exclusive right to use the trademark.

What is the role of a company applying for a trademark?

Many companies now apply for trademarks, but some first-time entrepreneurs do not understand the role of a company applying for a trademark. The editor will explain it below. The first one can distinguish the source of goods or services and allow consumers to identify the products produced by the company to facilitate consumers' purchases in the market. Second, a registered trademark can guarantee the rights of the product to prevent it from being copied by others. Third, after registering a trademark, competition can also be formed in the market. As the popularity of the trademark increases, the competitiveness of the product will also increase. After the fourth trademark is registered, it can be protected by law, and the law will severely punish those who use the trademark fraudulently.

Summary

So the role of trademarks is very important. If a company wants to make its business bigger and better, it should apply to register a trademark, so that it can attract more consumers can also form unique competitiveness in the market, allowing consumers to identify this product.