Why Air Asia Wants to List Its Brand in Nasdaq

Air Asia, the low-cost airline based in Malaysia, has announced its intention to list its brand in Nasdaq, the US stock exchange that hosts many technology companies. The move is part of the company's strategy to monetize its intellectual property (IP) assets and diversify its revenue streams.

According to Air Asia, its brand is valued at US$1.15 billion. The company has a separate entity, called Capital A International, that will own and manage the brand and other IP assets. Capital A International will then seek a listing in Nasdaq through SPAC merger, while the airline business will remain listed in Malaysia under the name of Capital A Berhad.

But why would Air Asia want to list its brand in Nasdaq? What are the benefits and challenges of such a move? Here are some possible reasons:

- To access a larger and more diverse pool of investors. Nasdaq is one of the largest and most liquid stock markets in the world, with a market capitalization of over US$20 trillion. By listing its brand in Nasdaq, Air Asia can tap into a wider and more sophisticated investor base that values innovation and growth. This could help the company raise more capital and increase its valuation.

- To unlock the value of its IP assets. By creating a separate entity for its IP assets and listing it in Nasdaq, Air Asia can unlock the value of its intangible assets and generate more revenue from licensing, franchising, and partnerships. This could also create a positive spillover effect for its airline business, as it can benefit from the increased brand awareness and reputation.

In conclusion, listing its brand in Nasdaq is a bold and ambitious move by Air Asia to monetize its IP assets. The move could bring many benefits for the company, such as access to more capital and investors, and unlocking of the value of its IP assets.

The Impact of Trademarks Act 2019

Malaysia Trademarks Act 2019 is now in force since 27 Dec 2019 and Trade Marks Act 1976 is repealed. In Asia, the American spelling of trademarks is favoured over the British spelling of trade marks.  Several international trademark practices were adopted in the new Act. Here, we highlight several impact of Trademarks Act 2019.

1.       Scope of mark

The scope of qualifying mark is expanded to shape of goods, sound, scent, hologram, positioning, and sequence of motion. Shape of goods is also known as 3D mark. To qualify as a trademark, the shape must be distinctive in that it is not a result of the nature of the goods, eg. Toblerone chocolate. Example of distinctive sound marks include 20^th Century Fox fanfare.

Example of shape of goods - Toblerone chocolate (Image: Wikepedia)

2.       Qualifying mark

Trademark means any sign capable of distinguishing goods or services of one source from another source. The applicant must use or has intention to use the mark. Description of goods or services should accurately be described. Non-use of mark can be revoked.

3.       One step application process

The previous two step application process of filling and publication (after approval) is streamlined into a single step. The applicant has to pay the publication fee upon filling.

4.       Non-distinctive mark application to receive refusal (Absolute grounds of refusal)

A refusal is issued if the examiner finds that the mark describes kind, quality, quantity, intended purpose, value, geographical origin, characteristics of goods or services or time of production or rendering of services.

5.       Similar mark application to receive refusal (Relative grounds of refusal)

A refusal is issued if the examiner finds that the mark is similar with earlier trademark which comprises registered trademark, pending trademark or well-known trademark. Well-known trademark means any trademark that is well known in Malaysia.

6.       Registered trademarks as object of property

Registered owners can use the mark, authorize other person to use the mark, use the mark as a security interest and obtain relief for infringement.  

7.       One step international application process

After registering a trademark in Malaysia, the owner can file the trademark in multiple countries of Madrid Protocol in a single application. The owner can possibly save cost in filling the mark in multiple countries. The owner can also get double tax deduction for foreign trademark filling.

8.       Pending trademark applications

      Trademark applications filed before the implementation of Trademarks Act 2019 which are pending examination will be examined according to Trade Marks Act 1976.

Malaysians Can File International Trademark

YB Chong Chieng Jen, deputy minister of Domestic Trade introduced the long awaited Trademarks Bill 2019 in parliament on  9 April 2019. The Bill introduced several internationally practiced measures to improve trademark recognition in Malaysia. The bill was passed on 1 July 2019.

Malaysians can file a single international trademark application to designate 121 countries and territories which are members of Madrid Protocol. Before the introduction of Madrid Protocol, trademark owners need to spend time and money to file applications in multiple countries which incur translations and hiring or representative in each country.

Screenshot of Nestle spokesman (Source: WIPO)

"I encourage all companies to use the Madrid System as much as they can," exclaimed a Nestle spokesman.

"The most effective global trademark system for the borderless network era," remarked a Sony representative.

There are over 1.3 million trademarks registered in the Madrid System, according to World Intellectual Property Office (WIPO).

In 2018, US based applicants (8,825) filed the largest number of international trademark applications followed by  Germany (7,495), China (6,900), France (4,490) and Switzerland (3,364). Novartis AG (174) heads the list of top applicant, followed by L'Oreal (169), Daimler (129), Apple (87) and Henkel (86).

The most popular class of goods relate to computers and electronics (10.1%) followed by business services (8%), technological services (6.7%), education and leisure services (4.8%) and apparel (4.3%).

Lesson on Trademark by Pororo

The public wanted to distinguish Pororo's sled over other traders sled. Pororo have to come out with a trademark for the public to identify his work.

What are the criteria for selecting a mark? Watch the video to learn lesson of trademark by Pororo. The video is jointly developed by Korean Intellectual Property Office (KIPO) and Korea Invention Promotion Association (KIPA), with assistance from World Intellectual Property Office (WIPO) under the WIPO Funds-in-Trust arrangement of the Republic of Korea.

Google's look, evolved

Google has changed a lot over the past 17 years—from the range of our products to the evolution of their look and feel. And today we’re changing things up once again:

 So why are we doing this now? Once upon a time, Google was one destination that you reached from one device: a desktop PC. These days, people interact with Google products across many different platforms, apps and devices—sometimes all in a single day. You expect Google to help you whenever and wherever you need it, whether it’s on your mobile phone, TV, watch, the dashboard in your car, and yes, even a desktop!

Today we’re introducing a new logo and identity family that reflects this reality and shows you when the Google magic is working for you, even on the tiniest screens. As you’ll see, we’ve taken the Google logo and branding, which were originally built for a single desktop browser page, and updated them for a world of seamless computing across an endless number of devices and different kinds of inputs (such as tap, type and talk). - Google

The History of Logo Design

Explore more infographics like this one on the web's largest information design community - Visually.

Memorable Words from Steve Jobs

“I get asked a lot why Apple’s customers are so loyal. It’s not because they belong to the Church of Mac! That’s ridiculous. It’s because when you buy our products, and three months later you get stuck on something, you quickly figure out [how to get past it]. And you think, “Wow, someone over there at Apple actually thought of this!”

This is a tribute to the man that innovated how computers, media and phones work; some of the priceless words of Steve Jobs:

“Innovation has nothing to do with how many R&D dollars you have. When Apple came up with the Mac, IBM was spending at least 100 times more on R&D. It’s not about money. It’s about the people you have, how you’re led, and how much you get it.”

“Innovation … comes from saying no to 1,000 things to make sure we don’t get on the wrong track or try to do too much. We’re always thinking about new markets we could enter, but it’s only by saying no that you can concentrate on the things that are really important.”

“Sometimes when you innovate, you make mistakes. It is best to admit them quickly, and get on with improving your other innovations.”

“Be a yardstick of quality. Some people aren’t used to an environment where excellence is expected.”

“My job is to not be easy on people. My job is to make them better.”

“When you’re a carpenter making a beautiful chest of drawers, you’re not going to use a piece of plywood on the back, even though it faces the wall and nobody will ever see it. You’ll know it’s there, so you’re going to use a beautiful piece of wood on the back. For you to sleep well at night, the aesthetic, the quality, has to be carried all the way through.”

“People think focus means saying yes to the thing you’ve got to focus on. But that’s not what it means at all. It means saying no to the hundred other good ideas that there are. You have to pick carefully.”

“Design is a funny word. Some people think design means how it looks. But of course, if you dig deeper, it’s really how it works. The design of the Mac wasn’t what it looked like, although that was part of it. Primarily, it was how it worked. To design something really well, you have to get it. You have to really grok what it’s all about.”

“Simple can be harder than complex: You have to work hard to get your thinking clean to make it simple. But it’s worth it in the end because once you get there, you can move mountains.”

“When I was 17, I read a quote that went something like: “If you live each day as if it was your last, someday you’ll most certainly be right.” It made an impression on me, and since then, for the past 33 years, I have looked in the mirror every morning and asked myself: “If today were the last day of my life, would I want to do what I am about to do today?” And whenever the answer has been “No” for too many days in a row, I know I need to change something.

Innovative Products by Steve Jobs

Today is the day after Steve Jobs resign as CEO of Apple. Steve Jobs is credited as an innovator that changed not only the computing industry, but music, video and phone industry. This is a list of his contribution:
- Apple II computer; a computer with a case, keyboard and monitor.
- Macintosh; a computer with graphical user interface.
- Toy Story movie; a computer animated movie.
- iMac computer; a computer and monitor sharing an aesthetic case.
- iPod music player
- iTunes music store; an online store that sells music, video and software
- iPhone cell phone
- iPad tablet computer
The above mentioned brands became best selling products and the mere mention of the brand is enough to identify the products. However, the brand may one day become a generic word if it is not used with the product noun. Remember the fate of sellotape?

BAM says SMEs should build their own IP to boost product awareness

Small and medium enterprises (SMEs) should invest in “intangible” aspects of their businesses such as intellectual property (IP) to boost awareness, said Branding Association of Malaysia (BAM) president Datuk Lewre Lew.

“Malaysian SMEs are very fond of investing in tangible things such as buildings, plants and machinery. But they hardly invest in IP, which is something intangible,” he said at the launch of the Branding Entrepreneurs Conference (BEC) 2011 yesterday.

Lew said many small businesses in other Asian countries had started venturing into building their own IP. “It saddens me that many business owners, especially SMEs, in Malaysia are still laid-back and do not realise the importance of branding. It's about changing the mindset,” he said.

Now in its third year, the BEC, which was jointly organised by SME Corp Malaysia and the BAM, aims to promote the development of SMEs especially in building and developing their brands of products and services. -The Star

Renault Lotus and Team Lotus to continue Racing

The British High Court has declared that Group Lotus has the right to use 'Lotus' in F1. Group Lotus is the sponsor of Renault Lotus GP.

Justice Peter Smith found that the Proton subsidiary has goodwill associated with the name 'Lotus' in F1 and is free to compete in the sport under that name using the Lotus roundel. Also, Group Lotus trade mark registrations are unaffected and Group Lotus has the right to use the Lotus marque on cars for road use.

The judge also decided that 1Malaysia Racing Team Sdn Bhd, the owners of Team Lotus, is in breach of the Licence granted to them by Group Lotus to race in F1 under the name Lotus Racing (the name it used last year) and has awarded Group Lotus damages in respect of that breach.

However, the above concerns the name 'Lotus'. Team Lotus has the right to continue to race in F1 under the name 'Team Lotus' with the 'Team' in it.

Team Lotus would be able to continue using the Lotus name in F1 and confirmed Fernandes as the owner of the Team Lotus name having bought the rights to the name from Hunt; they also have the right to call their cars "Lotus", under the terms of a 1985 agreement between Group Lotus and Team Lotus.

Fernandes is happy that he can continue to race his cars under 'Team Lotus'. “Now our main aim is to build on the solid foundations that has made Caterham Cars the model for how to run a profitable contemporary car company and add more history to the incredible story of Team Lotus over the coming months and years and with the people, spirit, passion and determination we have in both businesses we know that marks the next stage in our incredible story,” Fernandes said.

Global Brand Database

In March 2011, WIPO launched its Global Brand Database, a new free, online tool that allows simultaneous brand-related searches of over 640,000 records relating to internationally protected trademarks, appellations of origin and armorial bearings, flags and other state emblems as well as the names, abbreviations and emblems of intergovernmental organizations. Additional national collections are expected to be added in the future.

Commenting on the launch, WIPO Director General Francis Gurry said, “This is an important part of WIPO’s efforts to facilitate access to such valuable assets and reflects the Organization’s commitment to narrowing the global knowledge gap by improving access to, and use of, IP information.”

The Global Brand Database builds on existing brand-related search resources by providing a centralized platform to search multiple sources. A novelty is the addition of an advanced function that allows searching for fuzzy and phonetic terms.

The service will be integrated into WIPO GOLD, which provides quick and easy online access to a broad collection of searchable IP data and tools relating to, for example, technology, brands, designs, statistics, WIPO standards, and international classification systems. -WIPO Magazine

Top 7 Luxury Brands

For 2010, there are 7 luxury brands that make it to the top 100 brands, evaluated by Interbrand. The rankings sorted according to brand value (USD billion):

1. Louis Vutton (21.9)
2. Gucci (8.3)
3. Hermes (4.8)
4. Tiffany & Co (4.1)
5. Cartier (4.1)
6. Georgio Armani (3.4)
7. Burberry (3.1)

Brand evaluation is based on earnings forecast. I was in Paris last October, and queued for 40 minutes to get into LV boutique. I was told that tourist can only make a single purchase as there are limited stocks available so that every visitor can leave Paris with a souvenir of LV.

Top 10 Automotive Brands

For 2010, there are 10 automotive brands that make it to the top 100 brands, evaluated by Interbrand. The rankings sorted according to brand value (USD billion):

1. Toyota (26.2)
2. Mercedes-Benz (25.2)
3. BMW (22.3)
4. Honda (18.5)
5. Ford (7.2)
6. Volkswagon (6.9)
7. Audi (5.5)
8. Hyundai (5.0)
9. Porsche (4.4)
10. Ferrari (3.6)

No surprise that the number one and number two luxury car in Malaysia is Mercedes-Benz and BMW. The top selling non-national brand is Toyota and Honda. Brand evaluation is based on earnings forecast.

A Tribute to the Man behind the Swatch

The world famous Swiss watch industry lost a leading figure recently with the death of Mr. Nicolas G. Hayek on June 28, aged 82. Mr. Hayek was born on February 19, 1928, in Lebanon and at the age of seven emigrated to Switzerland, where he became a Swiss citizen.

A pioneering and charismatic entrepreneur, Mr. Hayek, co-founder and former Chairman of the Swatch Group, is widely credited with reviving the Swiss watch industry in the 1980s when it was under threat from mass-produced, low-cost electronic timepieces. The innovative strategies he implemented in the early 1980s breathed new life into the entire Swiss watch industry, enabling it to regain its leading position worldwide. The industry, Switzerland’s third largest exporter after the machine and chemical industries, sells nearly 95 percent of its production to overseas markets.

Mr. Hayek was a decisive force in the launch in 1983 of the Swatch watch, an icon of popular culture.

In developing the Swatch phenomenon, Mr. Hayek’s unique entrepreneurial talent combined “disposability, affordability and reliability” to deliver a range of colorful, trendy and low-cost plastic watches for every occasion. The Swatch’s innovative mechanism has only 51 parts compared to the over 91 parts in a conventional watch. Its avant-garde designs made Swatch a fashion statement. Its low cost means that fashion-conscious consumers can own several Swatches to suit mood and occasion. In a recent interview, Mr. Hayek said, “I am not making watches only to look at the time. I am making jewels! They are jewels!”

Today Swatch launches some 300 designs a year and is one of the largest users of WIPO’s Hague System for the International Registration of Industrial Designs which offers a cost-effective way to protect designs internationally by filing a single application, in one language (English, French or Spanish) and in one currency (Swiss francs). About half of the designs Swatch launches each year are phased out after six months, making them highly collectible. A 1988 fake-fur Swatch is reported to have been recently valued at £18,500 (approx. US$28,316).

Mr. Hayek was a master of marketing, introducing simple ideas to leverage the reputation, prestige and exclusivity of the Swatch Group’s stable of 19 watch brands, including Breguet, Calvin Klein, Longines, Tissot and Omega. In a recent interview with the Indian daily MINT, Mr. Hayek outlined the company’s approach to branding. “We have a unique message for each of our brands. This is a very strong part of how we operate”. For example, the message for the Jaquet-Droz brand is “Eternity - the Ultimate Luxury”. The Swatch Group is a regular user of WIPO’s Madrid System for the International Registration of Marks, a user-friendly and cost-effective option for registering and managing trademarks internationally.
Full article -WIPO Magazine

Sabah’s shopping complex wins legal right to use ‘Suria’

The state’s latest shopping mall has won the legal right to use the word “Suria” after the High Court here dismissed a suit by Kuala Lumpur-based Suria KLCC Sdn Bhd against its use.

Suria KLCC filed the suit in 2009 against Makamewah Sdn Bhd, the developer and operator of Suria Sabah mall here, seeking damages and an injunction for the Sabah firm to stop using the “Suria” name and logo in its trade.

In dismissing the suit, Judicial Commissioner Stephen Chung held that the company had failed to prove that Makamewah’s act and conduct amounted to misrepresentation that would cause actual damage to its business.

He also held that Suria KLCC did not have monopoly or exclusive use of the word “Suria” as it was a common word and not invented.

In his 10-page ruling, Chung said the Suria KLCC’s trademark registration provided protection for the words “Suria” and “KLCC” when they are used together along with the swirl device or logo as a distinctive mark.

He added that Suria KLCC also operated two other shopping malls, the Alamanda Shopping Centre in Putrajaya and Mesra Mall in Terengganu.

“It is pertinent to note that these shopping malls are not known as ‘Suria Putrajaya’ or ‘Suria Terengganu’ or use the word ‘Suria’ as part of their name.

“There is no shopping mall chain in Malaysia which uses the word ‘Suria’ as part of its name,” Chung held.

Suria KLCC had claimed that Makamewah’s use of the word “Suria” in Suria Sabah and the use of the swirl logo were likely to cause confusion and deception among the business community and the public.

Suria Sabah opened over six months ago. - the Star

EBay found liable in Louis Vuitton suit

EBay Inc. will pay about $316,500 to Louis Vuitton Malletier for legal costs and damages and stop using Internet search terms the luxury goods maker protested, following a ruling Thursday by the Paris District Court.

The online auction site was found liable for harming the reputation of Louis Vuitton trademarks, the company name and domain name - all held by LVMH Moet Hennessy Louis Vuitton.

Ebay had been buying keywords such as "Viton," "Vitton" and "Wuiton" so that online shoppers using these misspellings into a search engine, along with anyone using the brand's correct spelling, would be directed to links promoting eBay, a Louis Vuitton spokeswoman said.

The court, which called eBay's actions "parasitic," ordered the company to stop using the keywords. The court said the practice harmed Louis Vuitton's brand.

The online auction house must pay Louis Vuitton euro200,000, or $275,000, in damages plus euro30,000, or $41,300, in legal costs. In a prepared statement, eBay said it was disappointed but noted Louis Vuitton was awarded less than the euro1.2 million, or $1.7 million, it sought. - StarBiz

DAP gives go-ahead to Rocket cafe

The DAP central executive committee has given its approval to a group of party members and supporters to set up the Rocket United Cafe in SS2/63 here and use the party’s logo on its signboard, said the head of secretariat for the DAP secretary-general’s office, Foo Yueh Chuan.

She said the approval from the Petaling Jaya City Council (MBPJ) was secured for the cafe’s signboard and business premises on Aug 18, adding that the objective of the cafe was for the party to increase its reach to Malaysians.

“It is also to make available services such as voter registration and the registration for state benefits, such as the Mesra Usia Mas and the Tabung Warisan Anak Selangor,” she said in a statement here yesterday. -The Star

Geox SpA

The founder and president of Italy’s largest footwear brand, Geox SpA, shares about his true calling – designing and marketing shoes.

MARIO Moretti Polegato grew up in a family that had been in the wine business for three generations. He even studied wine technology at the University of Ferrara in Italy.

He is the founder, president and biggest shareholder of Geox S.p.A, Italy’s largest footwear brand and the world’s second largest footwear brand in the lifestyle casual leather shoe category.

The story goes that one day in the 1990s, after he finished promoting his family wine at an exhibition in Reno (not far from Las Vegas), he went for a walk in the desert. To soothe his overheated feet, he used his Swiss knife to cut holes in his sneakers’ rubber soles. That was his eureka moment.

“Later, when I came back to Italy, I introduced a new (shoe) technology. I utilised a special material that we call the membrane, which is water-proof and breathable at the same time because it is made with millions of micro-pores,” Polegato says.

“These pores are smaller than a drop of water. The vapour from our skin is 700 times smaller than a drop of water. So perspiration goes out through the pores but water (from outside) won’t come in.”

Polegato had created the world’s first breathable rubber-soled shoes.

Immediately he patented the technology in Italy, and today he has patented it in other countries as well, covering Europe, Asia and America.

Not everyone shared Polegato’s enthusiasm, however. “I offered this technology to the large footwear companies in Italy, Germany and America, but incredibly, nobody believed in me.”

In the end he decided to produce the shoes himself in Italy.

He spent three years to find a partner and set up Geox in 1995.

Explaining the name, he says Geo is Greek for earth, “because when you’re walking, the best walk is when you walk barefoot – feet on the ground. X is a technology symbol.”

Polegato started Geox with just five employees, all from the Montebelluna area, which is about 7km from Crocetta del Montello.

The employees were assigned specific responsibilities, from marketing to production. Today, 14 years hence, Geox employs directly and indirectly 30,000 people (including those employed by companies contract manufacturing its products) and is listed on the Milan Stock Exchange.

“Entrepreneurs should invest more in innovation, collaborate more with universities, and invest more in young people, because this is the key to win against the competition in the future,” he says.

Polegato, who has taught on intellectual property in various universities, emphasises the importance of creativity. “An idea,” he states, “is worth more than a factory.”

Polegato believes that everyone can walk in his footsteps and be as successful.

“Everybody has the possibility to repeat my experience, my story, because everybody has a brain that can be utilised.” -StarBiz

Should 'Penang' be exclusively limited to the State Government?

The Star reported that the Penang state government has laid claim to the word 'Penang'. It is reported that Chief Minister Lim wants to avoid confusion that events carrying the Penang prefix is organized by the state government. The state wants every event which carries the 'Penang' prefix to be registered with the state government.

Private entities use the prefix Penang to indicate that it has a Penang origin. Events using the prefix Penang indicates that the event is being held in Penang. These are measures which indirectly boost 'Penang' as a brand.

Requiring the permission to use the prefix 'Penang' will limit the exposure and success of Penang brand.

Instead, the state should educate the public the use of the term 'Penang state government' and Penang state emblem to state supported events. Those who are found to abuse the term 'Penang state government' and Penang state emblem can be prosecuted by the state.

Kodak: An Invented Term

The term Kodak is an invented term; the best arrangement of alphabets for a trademark. Invented term has the strongest chance for being registered due to its distinctiveness. Remember that trademark is suppose to help consumers to associate a brand with its product origin.

On this day, September 4, 1888, George Eastman applied for the registration of Kodak, prior to the founding of Kodak Company in 1892. The letter "K" had been a favorite alphabet of George Eastman. Together with his mother, he devised the name Kodak with an anagram set. He used three principal concepts to create the name:

1) It must be short
2) It could not be mispronounced
3) It could not resemble anything else or be associated with anything other than itself.

The 'Kodak' trademark is a successful brand because it is short and simple. It uses only two syllables to pronounce. Consumers would have low chances of mispronouncing or misspelling the term. The third principle resonates with trademark laws; that a mark should be distinctive.