A stronger economy will benefit the industry.
Melbourne, Australia (PRWEB) February 21, 2013
The Intellectual Property Leasing industry has recorded relatively weak growth over the past five years as the uncertain economic environment has led consumers to cut back on discretionary spending, reducing demand for many of the products and services created with intellectual property. Deteriorating business conditions have also led companies to become more cautious in their investment decisions, leading some to cut back on investing in brands and delaying new products requiring patents. According to IBISWorld industry analyst Steven Connell, “the franchise sector has performed much better, led by expansion in food franchises.” Global franchisors have focused on Australia as their home markets have struggled, while the business owners have sought the relative safety of a franchisor's brand rather than beginning an independent business. IBISWorld estimates industry revenue will increase at a compound annual rate of 1.5% over the five years through 2012-13.
“The industry exhibits a very low level of concentration, owing to its large size and the myriad companies using intellectual property,” says Connell. The industry also contains a high number of owner operators such as inventors and scientists, as well as small businesses. Therefore, there are no major players.
The Intellectual Property Leasing industry is forecast to record stronger growth over the next five years. The economy should return to trend growth, resulting in higher spending on discretionary products and services. Franchising will continue to record strong growth, with food retailing leading the way. Service industries are also forecast to record strong growth in franchise store numbers, underpinned by rising disposable incomes, greater workforce participation and people working longer hours. A rise in global investment into technology, healthcare and consumer products should boost demand for patent leases. While the rising incidence of patent litigation threatens this, the roll-out of patent reform in Australia should aid industry growth in the longer term.
For more information, visit IBISWorld’s Intellectual Property Leasing report in Australia industry page.
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IBISWorld industry Report Key Topics
Operators in this industry hold and lease intellectual property, including patents, trademarks and franchise systems. The industry does not include copyright. Operators lease the right to use their intellectual property to businesses in exchange for royalties or fees.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Technology & Systems
Regulation & Policy
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