Upon completion of class you should be able to…
1. Discuss the Ethics of Entrepreneurial Engagement in Developing Countries
2. Name Intellectual Property Rights
Concepts and Definitions
1. Intellectual Property
http://en.wikipedia.org/wiki/Intellectual_property
http://www.wipo.int/about-ip/en/
http://www.uspto.gov/web/offices/ac/ahrpa/opa/museum/1intell.htm
2. Patent
http://www.uspto.gov/patents/index.jsp
http://www.kuesterlaw.com/when.html
http://en.wikipedia.org/wiki/First_to_file_and_first_to_invent
3. WIPO
4. Indian Law – CCI and Right to Information Board
5. US Patent Office
Pre-Class Activities
Required Materials
1. Watch I-MAK’s Tahir Amin on Washington Business Tonight
2. Watch Howard Rheingold on Way New Collaboration
3. Watch Innovation in the field of ICT4D: Richard Jefferson
Supplemental Materials
1. Read Learning from the Open Source Movement (Geof Cox)
Case Study
Azadirachta indica (Neem), a tree indigenous to India is considered sacred by Hindus as well as Muslims. The 14 million trees in India have been used extensively over the past 2,000 years for medicinal purposes, food production, toiletries, fuel, and pesticides. Neem products, especially pesticides are used widely across India and the industry as a whole employ over 100,000 of the poorest people.
Chetan lives in Agra, India and operates a small business of neem tree products including not only pesticides, but also skin creams, contraceptives, lamp oil and many more. Chetan’s family has owned this business for the last seven generations and after completion of his high school education, he took the reins. The business employs 60 people in different functions; mostly manufacturing but also scientific analysis, quality control and sales. Despite being familiar with over 200 applications of the tree and its derivatives, Chetan does not know the exact name of the neem seed extract, Azadirachtin.
Ten years ago, Tom Johnson, the Director of Oregon Organic Pesticide Services (OOPS) traveled to India on vacation and discovered the neem seeds’ use as a potent pesticide. After importing neem seeds to his factory in the US and experimentation, he developed a formula for an organic pesticide based on the seeds. His company invested $5 million to conduct extensive safety and performance tests over the next decade. Finally, after securing the necessary clearances required by the EPA, Tom received a patent for the pesticide formula and brought the product to market. The product was an instant success with a net profit of $12.5 million in the first year.
OOPS now wants to set up a subsidiary business in the rapidly emerging market of India. They have the world-wide patent and financial capital to manufacture and sell the product on a large scale. With economies of scale, OOPS will be able to sell the product at a lower price that Chetan’s business. People are likely to prefer buying products from American companies over small Indian cottage industries further affecting Chetan’s business. Based on their patent, OOPS is demanding a royalty from Chetan’s business and other small industries that make neem-based insecticides. What rights does Chetan have and is it fair for the American company to uphold their patent rights? How does it affect business?
Adapted from a case developed by American University
Points to Ponder
- Should world-wide patents apply to indigenous communities?
- What right to indigenous inventors have? How can they claim those rights?
- What can various governments do to ensure that the intellectual property rights are not compromised in the western countries or developing countries?
- What is the best intellectual property strategy for HESE?
Bring to Class
- Ethical case study analysis
- 3 take-aways from each of the required materials