A trademark, trade mark, or trade-mark[1] is a distinctive sign or indicator, used by an individual, business organization, or other legal entity, to identify

that the products or services with which the trademark appears originate from a unique source, and to distinguish its products or services from those of other entities. A trademark may be designated by the following symbols:

(for an unregistered trade mark, that is, a mark used to promote or brand goods) (for an unregistered service mark, that is, a mark used to promote or brand services) (for a registered trademark or service mark)

A trademark is typically a name, word, phrase, logo, symbol, design, image, or a combination of these elements.[2] There is also a range of non-conventional trademarks comprising marks which do not fall into these standard categories, such as those based on color, smell, or sound. The owner of a registered trademark may commence legal proceedings for trademark infringement to prevent unauthorized use of that trademark. However, in some countries unregistered rights in a sign may also be enforced. These are often known as 'common law' rights. An unregistered sign is usually only protected within the geographical area within which it has been used or in geographical areas into which it may be reasonably expected to expand. The term trademark is also used informally to refer to any distinguishing attribute by which an individual is readily identified, such as the well-known characteristics of celebrities. When a trademark is used in relation to services rather than products, it may sometimes be called a service mark, particularly in the United States.[2] The essential function of a trademark is to exclusively identify the commercial source or origin of products or services, such that a trademark, properly called, indicates source or serves as a badge of origin. In other words, trademarks serve to identify a particular business as the source of goods or services. The use of a trademark in this way is known as trademark use. Certain exclusive rights attach to a registered mark, which can be enforced by way of an action for trademark infringement, while in some countries unregistered trademark rights can be enforced pursuant to the common law tort of passing off. It should be noted that trademark rights generally arise out of the use or to maintain exclusive rights over that sign in relation to certain products or services, assuming there are no other trademark objections. Different goods and services have been classified by the International (Nice) Classification of Goods and Services into 45 Trademark Classes (1 to 34 cover goods, and 35 to 45 services). The idea of this system is to specify and limit the extension of the intellectual property right by determining which goods or services are covered by the mark, and to unify classification systems around the world.

A foreign-trade zone (FTZ) in the United States is a geographical area, in (or adjacent to) United States Ports of Entry Ports of Entry, where commercial merchandise, both domestic and foreign receives the same Customs treatment it would if it were outside the commerce of the United States. Merchandise of every description may be held in the Zone without being subject to Customs duties and other ad valorem taxes . This tariff and tax relief is designed to lower the costs of U.S.-based operations engaged in international trade and thereby create and retain the employment and capital investment opportunities that result from those operations. These special geographic areas Foreign-Trade Zones are established "in or adjacent to" U.S. Ports of Entry and are under the supervision of the U.S. Customs & Border Protection under the U.S. Homeland Security. Since 1986, U.S. Customs' oversight of FTZ operations has been conducted on an audit-inspection basis known as Compliance Reviews, whereby compliance is assured through audits and spot checks under a surety bond, rather than through on-site supervision by Customs personnel.[1] Today there are over 230 Foreign-Trade Zone projects and nearly 400 Subzones in the United States.[2] The U.S. Foreign-Trade Zones program was created by the Foreign-Trade Zones Act of 1934. The Foreign-Trade Zones Act was one of two key pieces of legislation passed in 1934 in an attempt to mitigate some of the destructive effects of the Smoot-Hawley Tariffs, which had been imposed in 1930. The Foreign-Trade Zones Act was created to "expedite and encourage foreign commerce" in the United States. Through World War II, manufacturing activity was allowed only on a very limited basis. In 1950, the original act was amended to open up FTZs to manufacturing, but it had little impact until 1980. In that year, Congress again amended the act so that products manufactured in the zones would not be assessed on U.S. value-added. This ensured that the only tariffs a producer inside the zone selling to U.S. customers would pay, would be on the raw materials imported into the zone. This "integrated" model, which replaced the previous "island" model, spurred growth in the U.S. Foreign-Trade Zones program. [3]

Export Management Company

Independent private firm that acts like an export department for several non-competing manufacturers and producers. Export management companies can be quite varied; they can be either local or foreign-owned, and operate on either a commission or a fee basis. A company may solicit orders from foreign buyers on behalf of its clients or take possession and title of their goods for direct export. The company also has the ability to appoint sales representatives in importing countries, promote goods and services of its clients, arrange for transportation, provide warranties and after-sales-service, and extend importer credit. also called export trading company.

An Export Management Company (EMC), functions as an external export sales department. o They represent your product along with various other non-competitive manufacturers. An EMC typically provides the following services: o Performs market research and develops a marketing strategy

o o o

Uses existing foreign sales agents to put your product into the foreign market Functions as an overseas distribution channel or wholesaler Takes title to the goods and operates on a commission basis This depends on the arrangement between the EMC and the manufacturer

An EMC must balance the product lines it represents. o Product diversification protects an EMC against radical changes in foreign market. o It also maximizes their economies of scale. Export Trading Companies (ETC) are very similar to Export Management Companies. o An ETC is more likely to take title to the product and pay you directly. o An ETC acts as an export department. o An ETC tends to be demand driven and transaction oriented. In the United States an ETC is a legally defined entity under the Export Trading Company Act. o An ETC is very difficult to set up. Special certifications and requirements must be met.
There are several advantages to using an EMC or an ETC. o Faster entry into the overseas market in terms of first recorded sales. o Better focus on exporting, because most firms give priority to their domestic problems. o Lower out-of-pocket expenses. o Gives you an opportunity to study the methods and potential of exporting. o They have expertise in dealing with the special details involved in exporting. There are several disadvantages to using an EMC or an ETC. o Loss of control of your export strategy. o Loss of control of post-sales service. o Reluctance on the part of some foreign buyers to deal with a third party intermediary. o Added costs and higher selling prices because of gross profit margin requirements of the EMC/ETC. Unless economies of scale off set this. o An EMC/ETC may neglect your product in favor of other products that are more profitable and easier to sell.