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IP licensing is helping more multinational companies enter the Indian markets than ever before. This has been prompted by lifting of trade restrictions and administrative hurdles and a tougher approach to misuse.

The importance of licensing as a business strategy has grown over the years as a consequence of increased industrialisation, which has Jed to diminishing real estate resources and increasing infrastructure costs. Building tangible assets now requires not only greater effort and investment, but also an increased burden of risk. Businesses are adapting by developing or acquiring intangible assets and exploiting these as alternate or additional sources of wealth. With time, collaborations and alliances involving licences of strong IP have become critical to a business’s success.

Authored by Binny Kalra.

This article was published in Licensing in the Boardroom 2009.

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