The Metro Corporation Technology Licensing Negotiation
The Metro Corporation Technology Licensing Negotiation
The Metro Corporation Technology Licensing Negotiation
By
K. Hari Krishna( 1226210115)
Hima teja ( 1226210116)
Gunasekaran( 1226210113)
Metro Corporation
Metro corporation is a diversified steel rolling, fabricating
and construction company .
Technical Copyright
Trademark core.
Technical
know how:
Patents
Managerial
know how
Marketing know-how
Strengths
Well established corp.
Diversified
Developed reputation
Experienced in licensing
Technologically advanced
Weaknesses
Few and far between innovations
Avoidance of patenting outside US
Insufficient license agreement
Opportunities
Expanding market
Impecina is a considerable actor in the
Peruvian market
Patenting outside US
Cooperation with Impecina in other
countries
Threats
Cultural differences
Peruvian governmental regulations
Competition from other US companies
Impecina can copy/steal Metros
technology
Metro Corporation: Technology
Licensing Negotiation
Licensor Licensee
Licensing agreement
Metro Corp. Impecina
Metro Corporation give Impecina the right to use their name and
petroleum tank technology in exchange for an initial payment
and 2 % royalties.
Metro’s Benefits
Effective technology
transfer
Licensing
Feedback/market Other joint
knowledge Relationship operation
Development possibilities
Renewed/enchanced
licensing agreement
Action Plan
Possible actions
Accept formal offer
Reopen negotiation
End negotiation
Critical Success Factors
Cultural understanding
Make sure Impecina does not become a
competitor, due to lack of control over
production & marketing
Understand reasons for government
intervention
Technology innovation based on market
development
The final agreement – active involvement
Negotiation technique
Short Term Goals
Secure patents outside US
To make sure that the license agreement
operate successfully
To provide Impecina with all the technical
training and resources (know-how) they
need to be successful for Metro
To develop a good relationship with
Impecina
Long Term Goals
A long term profitable cooperation
Gain of tactical and strategic advantages
related to expansion in foreign markets
Using the licensing agreement as a
steppingstone strategy
To recognize and act upon opportunities
Conclusion
Preserving patents is a key issue
If the cooperation is to be successful, we
recommend that the agreement is
renegotiated in accordance with the
action plan