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A REPORT

ON

ANALYSIS OF INTELLECTUAL PROPERTY RIGHTS

IN

AUTOMOBILE INDUSTRY (INDIA)

BY:

ABHISHEK SINGH

ANKIT SHARMA

HIMANSHU SUMAN

TARUN PAL

VISHAL CHAUHAN

(Group-4)

Date: 31.08.01!



INTRODUCTION-BRIEF ABOUT AUTOMOBILE INDUSTRY

The Indian auto industry is one of the largest in the world with an annual

production of 21.48 million vehicles in FY 201!14.The automo"ile industry

accounts for 22 per cent of the country#s manufacturing gross domestic product

$%&'(.)n e*panding middle class+ a young population+ and an increasing interest

of the companies in e*ploring the rural mar,ets have made the two wheelers

segment $with 80 per cent mar,et share( the leader of the Indian automo"ile

mar,et. The overall passenger vehicle segment has 14 per cent mar,et share.

India is also a su"stantial auto e*porter+ with solid e*port growth e*pectations

for the near future. -arious initiatives "y the %overnment of India and the maor

automo"ile players in the Indian mar,et is e*pected to ma,e India a leader in the

Two /heeler and Four /heeler mar,et in the world "y 2020.

Market Size

ales of commercial vehicles in India grew . per cent to 2+481 units in anuary

201 from a year ago+ according to ociety of Indian )utomo"ile 3anufacturers

$I)3(.ales of cars also grew for a third month in a row to 15+00 units in

anuary 201+ up .14 per cent from the year!ago period.6ar mar,et leader

3aruti u7u,i India witnessed 8. per cent higher sales at appro*imately 118+1

units in Fe"ruary 201+ out of which 10+852 were sold in domestic mar,et and

10+5 units were e*ported.9yundai 3otor India :td $93I:( reported a 2.4 per

cent growth in total sales at 4+12 units in Fe"ruary+ compared with 4+0

units in the same month last year.

In the two!wheeler segment+ 9ero 3oto6orp witnessed sales of 484+5 units in

Fe"ruary 201.T- 3otor 6o posted 1 per cent higher sales at 204+ units

against 1+2 units.;aa )uto sold a total of 24+000 two and three!wheelers

segment.

Road Ahead

India is pro"a"ly the most competitive country in the world for the automotive

industry. It does not cover 100 per cent of technology or components re<uired to

ma,e a car "ut it is giving a good 5 per cent+ highlighted 3r -icent 6o"ee+

6orporate -ice!'resident+ =issan 3otor>s &atsun.

The vision of )3' 200!201 sees India+ ?to emerge as the destination of choice

in the world for design and manufacture of automo"iles and auto components

with output reaching a level of @A 14 "illionB accounting for more than 10 per

cent of the %&' and providing additional employment to 2 million people "y

201.C

The apanese auto ma,er 3aruti u7u,i e*pects the Indian passenger car mar,et

to reach four million units "y 2020+ up from 1.8 million units in 201!14.

Role of Intellet!al "ro#ert$ in A!to Ind!%tr$



/ith the continuous advancement of technologies new inventions in the

automo"ile industry is only paving the way for more and more technologically

superior and sophisticated vehicles. This in turn is forcing the automo"ile

companies to implement these latest technologies in their vehicles in order to

have an edge over competitors. The Indian automo"ile industry is on a high and

hence there is immense competition "ecause everyone wants to "e the "est

whether it is the domestic players or foreign players who have their

manufacturing units in India. :atest technologies are "eing e<uipped into the

vehicle. Dven the dearth and rising prices of traditional fuel have given the

automo"ile companies reason enough to introduce electric cars and alternate

fuel vehicle. 9ere the need of I'E comes into play as companies wants to protect

their innovation to gain competitive advantage as much as possi"le.

So&e of the Reent E'a&#le% of Inno(ation in A!to&o)ile Setor

Co&&on Rail Diret In*etion En+ine ,CRDI

The 6ommon Eail &irect Inection oers 2G more power than the normal direct

inection and ma,es "etter use of the fuel "y "rea,ing up the fuel into small

particles and ma,ing optimum use of it. The 6E&I engine has provided a

tremendous "oost to diesel engines.

M!lti "oint F!el In*etion En+ine ,M"FI

This technology stic,s to stricter auto emission norms and manages to s<uee7e

out the ma*imum "eneHt of the fuel "y ma,ing optimum use of even the lastdrop of petrol or diesel and providing the vehicle with a great mileage.

Late%t tehnolo+iall$ %!#erior ar%

olar 'ower 6ar "y Toyota %lo"al automo"ile giants Toyota already have

designed a car air conditioner running on solar power and now they have ta,en a

great leap and are a"out to design a car that runs on solar power. The car will "e

having H*ed solar panels on the roofs of the car. This would result in a real

revolution in the history of automo"ile inventions doing away totally with the

cost of fuels and emissions.

Eletri Car%/

The Eeva India#s Hrst "attery car was launched recently after 1 years of

research and development. The concept of the "attery car was introduced mainly

to have a pollution free environment. The Eeva is a small car carrying a price tag

of Es 2+55+000 and a fuel eJciency of 80 ,ms per charge. The life of the "attery

of the Eeva is 120 ,ms per charge. The company has managed to sell 2+00 units

already and still hopes to upgrade the Eeva for higher sales Hgures and a green

environment

Dri(erle%% ar%/



&riverless cars also ,nown as autopilot+ autonomous vehicle or auto!drive car

are intelligent vehicles "ecause of the simple fact that they drive themselves+ to

put it in a "etter way they actually do not re<uire drivers to drive them. These

vehicles navigate the roads themselves and give you a ta*i e*perience.

Late%t in(ention% in a!to&o)ile o&#onent%

In Car 0o!rne$ Reorder/

The latest inventions "y =i,,ai is the in car ourney recorder. This is meant to "eplaced of the windshield of the car. The ourney recorder is a video recorder

which records in front of you while you are driving. This is mainly meant to come

of use during accidents. It will "eneHt in the accessi"ility of loss incurred due to

accident and also if you are "eing accused even if you are not at fault.

S&art "edal Tehnolo+$/

The "ra,e override or mart pedal technology is a system which is "uilt into the

car to prevent fatal accidents. The computer system ,nown as the smart pedal

tells the engine to disregard the accelerator if the "ra,e and the gas pedal are

pushed at the same time. 6ompanies li,e 3ercedes and ;3/ have "een usingthis technology for <uite some time now and soon %eneral 3otors are

introducing the smart pedal in India as well.

1 Star Shine/

This is a uni<ue paint protection system that ,eeps your car clean for Hve years.

It has "een tested and has managed to survive 10 washings. This paint

protection system increases the e*terior life span of the car.

Referene-,e'a&#le%- htt#/22a!to&o)ile%.&a#%o3ndia.o&2a!to&o)ile-

hi%tor$2a!to&o)ile-in(ention%.ht&l

Ma*or %e+&ent% for the i&#le&entation of the I"R in the A!to&o)ile

Ind!%tr$/

1. Dngine parts2. Dlectrical 'arts. uspension and ;ra,ing parts4. &rive transmission and teering parts. )utomo"ile "ody parts

http://automobiles.mapsofindia.com/automobile-history/automobile-inventions.html






. 6hassis parts. D<uipment8. Kthers! )dditional or supplementary devices for dierent purposes li,e

convenience+ safety.

Intellet!al "ro#ert$ Ri+ht% i&#le&ented in the A!to&o)ile Ind!%tr$/

4. "atent/'atent plays the important I'E in the automo"ile industries which provides

the intellectual property rights on the new+ non! o"vious and usefulinvention in the automo"ile sector.-arious patents can "e made for the new invention related to engine

parts+ electrical parts+ suspension+ "ra,ing+ "ody+ chassis+ etc. o to

provide the security and gain the competitive advantage+ patent plays the

important role.

First patent was made in 185 "y the Kliver Dvans for the invention of the

steam Dngine in the automo"ile industry. In 188+ 6arl ;en7 developed a

new road vehicle which was having an internal com"ustion engine and he

received a patent $&'E =o. 4(. It was the patent for %) F@D:D& 6)E.

;en7>s &'E 4 patent is considered as the ;irth 6ertiHcate of motor

car. 6ontinuous evolution of the automo"ile industry ta,e place "y the

patents and today the modern automo"ile is result and outcome of more

than 100+000 patents and dedication of thousands of inventors.

D*ample The &TI $digital twin spar, ignition( 'atent =o. 15504 and

D*hausTD6 L'atent =o. 21458Mof ;)) )@TK are the latest and

considered as the revolutionary e*amples of growth in the automo"ile

industry.

In the last Five years

Ma*or "atent 5oldin+

Co&#anie% in India)sho, :eyland;aa )uto6lutch )utoD*ide IndustriesFord%eneral 3otors%a"riel India9onda 3otor9yundai 3otor3aruti @dyog



3ahindra N 3ahindra3inda Industries3otherson umi

Tata 3otors T- 3otor

:3: :imited9ero 3otocorp

6. Trade %eret/ometime dilemma occurs in the patenting of new invention or ,eeping it

as the trade secret./e ,now that patents are fully disclosed to pu"lic through pu"lication "y

the respective state I'E oJce. o patent increase the ris, that rival or

other competitors can ma,e or copying the patented technology in the

automo"ile industry. o a dierent approach to secure and protect the

technical invention is used as the trade secret+ in which there is no Hling of

patent protection is done+ instead of it+ try to protect the new

technological invention "y avoiding sharing or disclosure of the

information to the third parties.

7. DESI8NS

:oo,s plays a "ig role in commercial feature of automo"ilecompany.9onda+3aruti+9ero all have uni<ue design impression on a customer

and they change their design patterns according to change in taste of consumer.

o therefore design plays a "ig role in dierentiating products in minds of

consumer.

For this protecting design through I'E in automo"ile Industry is very necessary.

So&e e'a&#le% are-

A!to&o)ile 5ood9 SL" "erfor&ane "art%9 In. :De%i+n "atent No.

D;4<9;=1>



?ehile @heel Front Fae9 A&erian Rain+ E!i#&ent9 In. :De%i+n

"atent No. D7=9;=4>

C$lindrial "leated Air Filter @ith To# and Sideall Filterin+ Area%9 N

En+ineerin+9 In. :De%i+n "atent No. D;79;4;>

Bene3t% of De%i+n "atent Re+i%tration :i,e the trademar, registration+ a

valid design patent shows that you are the true owner of the ornamentation that

adorns the product. @.. courts will accept the patent as proof of the e*clusivity

of the design. Knce again+ it is the mechanism that allows you to protect your

uni<ue intellectual property and then see, protection in the courts.

;. Co#$ri+ht/

3ost of the automo"iles companies uses advertisement as a promotional

strategy+ it "asically serves dou"le purpose Hrst "eing informative purpose

that is+ giving details a"out the product to consumer and secondly it servers

persuasive purpose that is "y attractive slogans or characters inOuence

customer to "uy their products.

%iven enormous creativity+ Hgure of investment in ma,ing an advertisement

and Herce competitiveness in advertisement Held+ issues of copyright

protection is very important for every player involved in this "usiness.



1. Trade&ark%

;rand value decides how much a consumer is willing to pay more for one "rand

over the other+ so consumer recognise particular name "y its logo+ and it helps

company to e*pand+ create new mar,et etc. o therefore through Trademar, I'E

company can protect its "rand value or recognition.

)nother area where trade mar, is necessary in automo"ile mar,et is the mar,et

for spare parts. 'arts distri"utors+ whether wholesalers or retailers+ may consider

selling counterfeit products at real!product prices+ increasing their own margin

su"stantially. From a consumer#s point of view+ the "est way to cur" the ris, of

"eing saddled with inferior counterfeits is to purchase only from <ualiHed

dealers+ and consumer can recognise original company through trademar,s.

So&e e'a&#le% of Trade&ark in A!to&o)ile

De%i+n%/ Chr$%lerG% H"enta%tarH de%i+n for a!to&o)ile%:U.S. Re+. No.<44>

@ord% and De%i+n%/ 8ood Year and @in+ed Foot De%i+n :U.S. Re+. No.

<<71>

=. Take Aa$ Me%%a+e;road range of I'E li,e trademar,+ patents and trade secrets+ etc. are

involved in automo"ile Industry. The Hrst thing that owner has to chec, is

that whether I'E are valid in India+ for trademar, and patents they need to

chec, whether it is registered in India and for trade secrets appropriate

steps should "e ta,en. o while designing any strategy in )utomo"ile

sector+ I'E must "e consider parallel with the strategy planning. Eole of

I'E is signiHcant at every step of the "usiness model.In general all automo"ile Industry who wants to "e in Indian mar,et needs

to "e clear with its I'E strategy so that their innovation and "rand remains

protected. 'roper measure along with parallel e*ecution of the I'E with

strategy should "e ta,en care to e*ecute such protection in automo"ile

industry.

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