Prices are expected to continue increasing as companies use rising corporate profit to invest in research and development activities and invest more in computers and software.
Los Angeles, CA (PRWEB) September 27, 2014
Patent, trademark and copyright law services have a buyer power score of 3.3 out of 5. When purchasing intellectual property (IP) law services, buyers have several factors working for and against them. As such, buyers are considered to have a moderate amount of negotiating power. “Buyers primarily benefit from low market share concentration and little price volatility,” says IBISWorld procurement analyst Aileen Weiss. “The low market share concentration means that there are a large number of operators from which to choose.” There are currently about 31,784 active patent attorneys in the United States, according to the United States Patent and Trademark Office (USPTO). The large number of patent attorneys gives buyers leverage when looking for a new supplier or switching between suppliers. Buyers also benefit from the low price volatility, which reduces the need for buyers to lock in current prices because it is unlikely that prices will drastically fluctuate.
On the other hand, several factors work against buyers of patent, trademark and copyright law services. “While prices have displayed little volatility, they have steadily increased over the past three years due to revisions in US patent law under the America Invents Act,” adds Weiss. “Furthermore, the high degree of specialization reduces the number of providers that can readily provide services to a buyer, in spite of the large number of providers.” For example, a service provider might specialize in pharmaceutical patent law, which does little to help someone who has developed a new type of bracket for construction.
Buyers should consider locking in prices now if they have an idea of their future needs. Over the next three years, buyer power is expected to decline marginally as demand continues to rise in light of the recent patent wars among tech giants such as Google, Samsung and Apple. The signing of the America Invents Act especially encouraged more buyers to file for patents to receive the patent first, even if their invention was the first to be invented. However, the rising interest in intellectual property is expected to bring more lawyers into the field, which will increase competition and mitigate drastic price increases. For more information, visit IBISWorld’s Patent, Trademark & Copyright Law Services procurement category market research report page.
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IBISWorld Procurement Report Key Topics
This report is intended to assist buyers of intellectual property law services. Suppliers are legal practitioners, known as lawyers or attorneys, who are primarily engaged in the practice of patent, trademark and copyright law services. This report does not include the services provided by patent agents.
Recent Price Trend
Product Life Cycle
Total Cost of Ownership
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Market Share Concentration
Buying Lead Time
Key RFP Elements
Buyer Power Factors
About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.