Protecting Innovation (AQA A Level Business): Revision Note
Syllabus Edition
First teaching 2026
First exams 2028
Exam code: 7132
Intellectual property
Intellectual property (IP) refers to creations of the mind, such as inventions, designs, brand names and creative works, that are legally owned by the person or business that created them
Intellectual property protection gives businesses legal ownership over their ideas and creative work
It can be protected in different ways depending on what is being protected, including patents and copyright
This means they benefit from their innovation without it being copied by others
It encourages businesses to keep investing in new ideas, as they can be confident of benefiting from the ones that succeed
The purpose and value of protecting intellectual property
It prevents competitors from copying a business's ideas, products or branding without permission
It allows a business to profit from its own innovation, for example by selling or licensing its IP to others
It increases the value of a business, as IP such as patents and trademarks can be bought, sold or used to attract investment
It encourages continued investment in innovation, since businesses know their ideas will be protected
Patents
A patent is a legal right that protects a new invention, giving the owner the exclusive right to make, use or sell it for a set period in exchange for making public how it works
Businesses apply for patents to prevent competitors copying a new product or process during that period
Example
James Dyson patented his bagless, cyclonic vacuum cleaner technology after developing it through more than 5,000 prototypes
When rival Hoover launched a vacuum cleaner using a similar cyclone system, Dyson sued for patent infringement
A UK High Court judge ruled in Dyson's favour, ordering Hoover to pay £4 million in damages plus £2 million in legal costs
Advantages and disadvantages of patents
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Copyright
Copyright is a legal right that automatically protects original creative works, such as writing, music, art, film and software code, preventing others from copying, distributing or using them without permission
Unlike a patent, copyright doesn't need to be applied for or registered
It exists automatically once an original work is created, and lasts for the creator's lifetime plus a further 70 years in the UK
Example
In 2017, the heirs of Ed Townsend, co-writer of Marvin Gaye's "Let's Get It On," sued Ed Sheeran, claiming his 2014 hit "Thinking Out Loud" copied elements of the earlier song's chord progression and rhythm
In May 2023, a jury found Sheeran not liable for copyright infringement, ruling that the songs only shared basic musical building blocks rather than genuinely original material
Advantages and disadvantages of copyright
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Case Study
Solstice Audio
Solstice Audio is a headphone and speaker manufacturer known for its distinctive design and sound quality.
After several years of research, the company patented a new noise-cancelling technology that reduced background noise more effectively than existing headphones on the market. Solstice also registered its brand name and logo as a trademark, and held copyright over an original jingle used in its advertising campaigns.
Shortly after launch, a smaller competitor began selling headphones using a very similar colour scheme and packaging design, prompting Solstice to take legal action under its trademark rights, which resulted in the rival being ordered to change its packaging.
Another company used a melody closely resembling Solstice's advertising jingle in its own advert without permission, leading to a copyright dispute that took over a year to resolve in court.
However, Solstice's patent did not stop a larger rival from developing a different noise-cancelling method that achieved similar results without infringing the original patent.
Examiner Tips and Tricks
When answering questions on protecting innovation, name the correct type of protection for the situation described - patents for inventions, trademarks for brand names and logos, copyright for creative works such as writing, music or code - rather than referring generally to "intellectual property rights," as examiners reward precise use of the correct term
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