Strong IP protections increase foreign direct investment and jobs
Ganesh, Global Council for the Promotion of International Trade director, 24
[Santosh Ganesh, 5-11-24, Global Council for the Promotion of International Trade director, LinkedIn, “The High Cost of Frivolous Patent Suits: Stifling Innovation or Protecting Rights?,” , accessed: 7-9-24, ES]
Global Market Expansion: Strong IP protection, achieved through a balanced patent system, allows companies to confidently enter new markets and commercialize their inventions. The World Trade Organization (WTO) estimates that global trade in goods protected by intellectual property rights reached over $5.7 trillion in 2021.
Attracting Investment: A robust IP system attracts foreign direct investment (FDI) by assuring companies their innovations will be protected. The United Nations Conference on Trade and Development (UNCTAD) reports that global FDI inflows reached $1.58 trillion in 2021. A strong patent system contributes to this by fostering a climate of trust and security for investors.
Job Creation: Innovation driven by a healthy patent system leads to job creation. The European Patent Office (EPO) estimates that IP-intensive industries in Europe support over 6 million jobs. This positive impact can be replicated on a global scale with a well-functioning patent system.