232. We want to thank the United States for the paper, and we are pleased to be co-sponsors. For enterprises, inventors, and creators, securing funding through licensing patents, trademarks, and copyrights is an important source of income. We have detailed provisions on the form and subject matter of licensing in relevant intellectual property laws and regulations for reference to intellectual property rights owners.
233. According to our intellectual property regulations, depending on whether the rights owner and third-party use are excluded after licensing, there are two types of licensing of patents, trademarks, and copyrights - "exclusive licenses" and "non-exclusive licenses." In addition, "sole license" also exists in practice, which means that the rights owners authorize only one licensee without excluding their own use during the license period.
234. With respect to licensing organizations, provisions for copyright collective management organizations are in place. Collective management groups manage copyright for copyright owners, administer royalty rates and methods for distribution of royalties, and establish license agreements with users, with music and sound recordings as the main categories. For other types of copyrights, trademarks, and patents, licensing agreements are usually handled by rights owners themselves.
235. Convenience store brand owners expand their business territory through trademark licensing, which should be one of the best practical examples of using intellectual property licensing in the Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu. According to statistics, by the end of 2020, the top five convenience store chains had a total of 11,985 stores, with an average of 0.34 stores per square kilometre. The crucial factor for the rapid expansion of convenience store chains is the opening of franchises, and the authorization of trademarks is undoubtedly one of the key points of such franchising contracts. The franchisee obtains a complete set of business model and is able to use the trademark owned by the headquarters under certain conditions; the franchiser can reduce the cost required for store expansion through such cooperation framework, allowing their brand and business territory to expand rapidly. Besides convenience stores, similar models can also be seen in our beauty and apparel industries.
236. The Intellectual Property Office conducts annual information sessions on trademark applications for start-ups and small and medium-sized enterprises. It also provides counselling and consultation services to assist start-ups and MSMEs in gaining a deeper understanding of relevant provisions and equips them with the information necessary to utilize the licensing mechanism effectively. It is of paramount importance to us to figure out the means to assist rights holders in obtaining funds through licensing and encourage continuous innovative development. We welcome Members to share relevant measures and experiences.
