Counterfeit iPhone Leather Products

This assignment delves into the problem of counterfeit iPhone leather products. It examines how a developer exploited Apple's copyright by producing and selling these illegal goods, falsely branding them as genuine. The case highlights the dangers of intellectual property infringement and emphasizes the importance of robust copyright protection, particularly in international markets where Apple promotes its products.

Innovation and Technology
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
1.1 Literature review...................................................................................................................1
1.2 Critical Evaluation................................................................................................................3
1.3 China gives permission for copyright to proceed.................................................................3
CONCLUSION:...............................................................................................................................5
REFERENCES:...............................................................................................................................6

INTRODUCTION
Innovation is necessary for the development of any organization (Johnston and Marshall,
2016). The main purpose of innovation and technology management is to guide the professionals
who do not have the degree in management and but they want to make their career to become a
manager. This programme focus on innovation management and understanding the importance
to guarantee that innovation can be used to increase the competition of any company. Apple is an
American technical company which was founded by Steve Jobs in 1976. It is specialised in
selling iPhone smartphones, Mac personal computers, iPad tablet computers, Apple watch etc. Its
total income is US$45.687 billion in the year 2016.In this report the main points that need to be
considered are as follows.
 To understand the concept of copyright/trade the legal protection.
 To identify impact of copyright / trade the legal protection on companies.
 To determine reasons due to which companies support copyright /trade the legal
protection
1.1 Literature review
According to Davenport (2013), copyright is the official right which grants the developer
of the work the peculiar rights for its use and distribution. These rights are valid only for a
specific amount of time. Copyright is given by the law of the country. As per the view points of
Oerlemans, Knoben, and Pretorius (2013), copyright is the bunch of rights given to the
developers of literary, dramatic, musical and artistic words and the creator of movies and sound
recordings. It was come in year 1957 . The Copyright includes the generation of the works,
communication of the work to the people, adaption of the work and transformation of the work.
The scope and time of the law varies with the environment of the protected work. India is a
member of most of the important international conventions governing the area of copyright law,
including the Berne Convention of 1886 (as modified at Paris in 1971), the Universal Copyright
Convention of 1951, the Rome Convention of 1961 and the Agreement on Trade Related
Aspects of Intellectual Property Rights (TRIPS).
From the view point of Saunders and Cornett (2014), A trade is the process, practice or
the compilation of the information not known by the others by which a business can gain an
economic benefits over the clients or customers. According to the Karlsson, (2016), trade is the
method that is appropriate for the maintenance of its privacy and in this data that is not known to
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the people. It ensures some part of the economic profit on its own holders. According to Yoo
(2013), trade secrets are not disclosed to the public, in spite of it is protected from the
competitors by using some special methods for managing it.
Chinese company has been given the permission to manufacture the leather product
named iphone by the Beijing court. Apple also requested to Beijing Municipal High People’s
Court to not to use the Xintong Tiandi Technology Co., Ltd. from using the “IPHONE” name
which the Chinese company first signs for leather products.
In the year 2010, Xintong Tiandi signs IPHONE for leather product. In 2002, Apple filed
a case against electronic goods but was not approved until the year 2013.
According to Chesbrough and Brunswicker (2014), Apple was failed to allow Xiantong
to use the iphone marked for the leather products when they overcome many other cases against
the Xintong. While Xintong sells brands named as Iphone and R registered marked symbol such
as many handbags, mobile phones and different products of leather. But both the parties ruled
against the Apple, so they requested their appeal to the Higher court.
According to Çetindamar, Phaal and Probert (2016), Apple is also facing many problems
in other areas of China. In the month of March, Beijing launched a new law in which all the
content shown in China must be saved on the servers which are based on Chinese mainland. This
law then results in closing of all Apple's iBooks and iTunes services in the country. This impacts
the Apple company very badly and it is blown out from the China as the China is the second
largest market for its products.
Lee, Kao and Yang (2014), stated that Apple is spending large amount of the money
across the globe by selling its product using the prefix 'I' for many long years including iphone,
ipads, ipo detc Among these products, iphone is first manufactured in the year 2007 in the US
country but was come in China after 2009. The impact of this is that the technology took the
Xintong Tiandi to China’s logo It brings Apple to the court and lost the initial case. On the
appeal of the court, the company was failed to give evidence that iphone product is famous and
well known to the public and therefore the Xintong Tiandi has not foliated the China's law
during the time when court ruled it. According to Xintong Tiandi the iphone brand is gaining the
publicity in outside Apple. They said that they will focus on the methodology and try their best
to bring mare profits to the iphone consumers.
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In China, intellectual property rights have long been a bone of contention where
simulation is the life of the world's electronics market involving Apple's iphone. China is the
main market of the Apple but it has lost its market and fallen down up to 26% in the first three
months of the year 2016. A battle for iTunes movies and iBooks services is faced by the Apple
company in China which are repeatedly closing from two weeks at the appeal of state censors .
Dispute in a Chinese court is not the single time case which was stung by the trademark.
Apple is charged a penalty to pay $60 million to a tech organization from the southern city of
Shenzhen. In 2012 ruling order allows to use the iPad product in the China country. The sales
market in China falls year on year for the first quarter of 2016, at this time the case comes to the
sensitive situation for the Apple company in China which is the second largest economy for
Cupertino-based tech giant. According to Lai and et.al. (2014), Apple was facing bad publicity
after the consumer affairs which was shown on newspaper and television network, which the
organization was blown out for providing bad service and costing the China as compared with
other markets.
1.2 Critical Evaluation
To be an intelligent an AI system must use the knowledge to make the effective choices.
Intelligence requires knowledge to handle information the computers are good. They are made
to help to solve the problems which arises in the work. AI is a creation of intelligence only. It
makes the work smooth and to bring out the solution quickly (Nambisan, 2013). AI is not
introduced to replace the humans it is made to make the knowledge and experience more widely.
1.3 China gives permission for copyright to proceed
In China intellectual property rights have long been a bone of contention where
simulation is the life of the world's electronics market involving Apple's iPhone. In order to
collect loyalty of customers, China allowed copyright to proceed. The main reasons for the
support of copyright / trade by the company is the guidelines for the Apple license, authorised
vendors, customer and other parties who wishes to use Apple trademarks, service signs or images
in developing, promoting, enhancing, instructional on their websites, items, labels and
packaging. Without the prior permission and continuously use of keyboard apple's signs for
business purposes. Apple may constitute trademark infringement and unfair competition in the
offense of organized and state laws. Until the expressed authority defines, the use of Apple logo
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must be avoided (Çetindamar, Phaal and Probert, 2016). The authority which has an Apple
Authorizes reseller, the organization has some additional limitations.
Valuable assets of Apple company are Apple's logo, service marks, occupation name and
trade dress. These guidelines help the authority to save their valuable logos and enhance the
performance of our industry and brand issues. All the people who have given the special
trademark usage has to strictly follow the guidelines. By using the Apple's trademark, the dealer
promises that they will not oppose or intruding the Apple's rights and the facilities involving the
challenging Apple's use, application to register such logos alone or with the contribution of
others anywhere in the whole world (Hashim, 2015). The help from any part of the Apple
trademark will familiarise and advantages to the Apple. The Authorized use of the Apple's sign is
to advertise and promote the products. Only the members of apple company and its authorized
consumers and licensees may use the apple logos for promoting the apple's product. These type
of dealers may use the Apple trademark only in some special conditions defined in their
agreement. The second authorized use of apple logo is its compatibility. In referential phrase on
promoting and advertising the product, authorizers may use the Apple, Macintosh, iMac or any
other Apple word mark to explain that other party product which may be adaptable with the
identified apple product or technology, given that they fulfil the following requirements:
 The Apple symbol should not be the part of the item name.
 It must be used in relational phrase such as smoothly working on, for use with and must
adaptable with etc.
 The other product name must be less bulging with Apple product name.
The third use is in advertising, Seminars and conferences. We can use the Apple logo
with book titles, magazines, comics, seminars and conferences. The fourth use is to make use of
websites in promoting the sales materials. Websites is the best medium for the promotion of the
apple's product. Suitable trademark must be used by the Apple brands or technology. The fifth
and the last use of Apple's logo is the Apple's Web Badge Licence Program. In this program,
Apple web badge is used by the websites. Any developer can make unauthorized use of the
Apple logo and this is the main reason that leads to the filing of the case by the Apple company
against the China Developer who was selling the leather product named as iphone.
The unauthorized use of trademark includes any of the reason like using the company
name, Apple's logo without taking the copyright of the Apple's company, Variations,
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abbreviations such as use of an image of real apple or somewhat other changes in the apple's
logo for any intension, sponsorships and endorsement in which one cannot use the Apple owned
graphic symbols or icons, merchandise items where one cannot sell and manufactures, one
cannot use the Slogans and tag-lines and domain name similar to the Apple's trademark.
From the view point of the Camisón and Villar-López (2014), Apple also appealed the
China Court and said it was very disappointed with the decision and also request to the Supreme
Court people's. It has taken strict actions for protecting the company's trademark right. Some
enterprising organization are taking fast actions to snap up the company's logos and known
foreign policies but are not registers in the hope that they will pay-off down the line. Also, the
company was not supported by the court because the public in China is not much familiar with
the Apple 's product and the product has not gain much popularity with the Apples product. In
2012, Apple stated that it has paid $60 million to the end of the Lengthy legal conflict over the
iPad logo in the China. Due to this billionaire activist investor Carl Icahn stated that he sold all
its stake in the organization. He sold it because he was confused that China will more
prohibitive in the marketing business because of the economic slowdown of the People's
republic.
CONCLUSION:
From this report, it can be concluded that iphone has lost second largest market in China
by losing the case. The Apple's company has to bear a large loss in the business due to a small
mistake of handling its copyright. Due to its loosely secured copyright, the illegal developer has
make use of it and sold the leather product labelled with iphone and make profit of it. Also, this
developer has make the illegal use of the company's copyright which was only used by the
authorized dealer of the Apple company. So the company has to be careful while promoting its
product in their own and other county's.
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