Take Care with Overseas Branding

The United States is fertile ground for launching brands: Interbrand reported that in 2011, of the 100 most valuable brands world-wide, 49 percent originate here. But branding overseas requires extra care. A brand is considered under law to be a trademark, and trademarks are protectable in other countries, as in the United States. However, there are significant differences that can affect a trademark overseas.

First, consider how an English brand name may be translated and the glitches that might result. The most famous example of the potential issue is Chevy’s NOVA brand, which in Mexico translated to “doesn’t go.” A good linguistics company, usually a division of a larger branding or advertising agency, can catch these issues.

A brand that is a coined term like XEROX for photocopiers, or arbitrary, like APPLE for computers, will be highly protectable worldwide. In the United States there is common law protection for trademarks that have been used in commerce but not registered with the USPTO, but in most countries a trademark must be registered before the owner can derive any benefit.

One useful international strategy is to file in a foreign venue before use has commenced in that country and when it may not for some time. This is known as a defensive filing.

International branding is a complex area under trademark law. To avoid problems in the business of selling goods and services overseas, a company should be sure its international trademark approach is sound.