Trademark Protection or Protectionism?

Trademark Protection or Protectionism?

This paper explores the extent to which discrimination against foreign applicants in the trademark registration process can be used as a "behind-the-border" barrier to imports. Prima-facie evidence shows that in some developing countries...

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Bibliographic Details
Main Authors:	Baroncelli, Eugenia, Krivonos, Ekaterina, Olarreaga, Marcelo
Format:	Policy Research Working Paper
Language:	English en_US
Published:	World Bank, Washington, D.C. 2013
Subjects:	TRADEMARKS TRADE REGULATION EXCHANGE RESTRICTIONS FOREIGN EXCHANGE IMPORTS TRADE BARRIERS AGRICULTURE BRANDS CD CONSUMER SURPLUS CONSUMERS DISCRIMINATION DOMESTIC MARKET DOMESTIC PRODUCTS EMPIRICAL EVIDENCE EXPORTS FISH FUTURE RESEARCH HOME MARKET IMPERFECT COMPETITION INCOME INFORMATION ASYMMETRIES INTERNATIONAL TRADE LAWS LEGISLATION MARKET MECHANISM MARKET SEGMENTATION MARKET SHARE MERCHANDISE METALS PERFECT INFORMATION PRODUCERS PRODUCT QUALITY PROPERTY RIGHTS PROTECTIONISM QUALITY STANDARDS QUOTAS SALES SURPLUSES TRADE BARRIERS TRANSACTION COSTS WILLINGNESS TO PAY WTO WORLD TRADE ORGANIZATION
Online Access:	http://documents.worldbank.org/curated/en/2004/02/3909851/trademark-protection-or-protectionism http://hdl.handle.net/10986/14312

Description
Summary:	This paper explores the extent to which discrimination against foreign applicants in the trademark registration process can be used as a "behind-the-border" barrier to imports. Prima-facie evidence shows that in some developing countries the ratio of trademark registration to applications is much higher for national than for foreign applicants, which is consistent with the notion of discrimination against foreign firms. The authors develop a simple model that suggests that incentives to discriminate are stronger when foreign firms produce products that are close in quality to the product produced by domestic firms. This hypothesis is then tested and empirically confirmed in three of the four countries in their sample, suggesting that discretion and discrimination in the trademark registration process can sometimes be used as a protectionist tool.