Entrepreneurs Need To Learn About Intellectual Property Too Late
Intellectual property (IP) is more valuable than ever in today's fast-paced, innovation-driven economy. Yet, many entrepreneurs, engineers, and business leaders only learn about patents, trademarks, and copyrights when they run into legal trouble. The Center for Intellectual Property Understanding (CIPU) released a February 2025 report titled "Manager and Entrepreneur IP Experience: The Limitations of On-the-Job Learning," highlighting a critical knowledge gap in IP literacy among professionals.
Based on fifteen interviews with IP professionals, the report reveals that managers, engineers, and entrepreneurs are largely unprepared for the complex world of intellectual property. The findings emphasize that on-the-job learning is not enough—lack of IP education can lead to missed opportunities, legal battles, and hindered innovation.
Here’s a deeper look at the four major findings from the report and what they mean for professionals navigating the modern business landscape.
1️⃣ The IP Education Deficit: Why IP Is Missing from Business and STEM Curricula
Despite IP’s increasing role in today’s economy, formal education on IP is nearly nonexistent in most business and STEM programs. The CIPU report found that most professionals—especially engineers, entrepreneurs, and managers—first encounter IP laws only after entering the workforce.
🔹 STEM and business schools rarely require IP courses
🔹 Most IP learning happens after a problem arises, not before
🔹 Entrepreneurs and managers don’t recognize the need for IP knowledge until they face disputes
This lack of foundational knowledge leaves many professionals exposed to costly mistakes, from accidentally infringing on patents to losing ownership of their own innovations. IP is often treated as a legal specialty rather than a business essential, but this mindset needs to change. If a business depends on innovation, IP education should be a core part of training.
✅ What Needs to Happen?
Business and STEM programs must integrate IP education as a standard course, not an elective.
Startup incubators and accelerators should offer IP workshops to help entrepreneurs understand trademarks, patents, and licensing.
Professionals should actively seek out IP training to avoid costly mistakes later.
2️⃣ On-the-Job Learning is Costly and Inefficient
Most professionals learn about IP through direct experience—often when they’re already in trouble. Whether it’s an entrepreneur forced into a trademark dispute or an engineer unknowingly giving away their patent rights, IP is too complex to leave to trial and error.
🔹 Many business owners don’t realize their IP vulnerability until faced with infringement issues.
🔹 Engineers frequently sign away patent rights without knowing it.
🔹 Creative professionals often don’t fully understand copyright protections and licensing.
A tech entrepreneur, for instance, may unknowingly infringe on a competitor’s patent, leading to an expensive legal battle that could have been avoided with basic IP knowledge. Similarly, a startup founder might fail to trademark their brand, only to find later that a competitor has legally registered the name—forcing a costly rebrand.
✅ What Needs to Happen?
Early-stage founders must be proactive in securing IP rights before launching products.
Companies should invest in IP training for employees working on innovation-driven projects.
Legal guidance should be sought early rather than waiting for disputes to arise.
3️⃣ IP Strategy is No Longer Just Legal—It’s a Business Imperative
Intellectual property is now a company’s most valuable asset. In 1975, intangible assets (including IP) accounted for less than 20% of the value of S&P 500 companies. Today, over 90% of corporate value is tied to IP and intangible assets.
🔹 Patents drive innovation and investment.
🔹 Trademarks define brand identity and market positioning.
🔹 Copyrights protect creative work, ensuring fair compensation.
Despite this, many business leaders fail to treat IP as a core business function. Instead of leveraging trademarks, patents, and copyrights strategically, companies often view them as legal obligations rather than competitive advantages.
✅ What Needs to Happen?
Executives should treat IP strategy like financial planning—an essential business function.
Companies must actively monitor and enforce their IP rights to maintain a competitive edge.
Startups should prioritize IP protections early to attract investors and prevent future legal disputes.
4️⃣ The Need for IP Education Reform
The CIPU report underscores that IP knowledge should not be limited to legal professionals. With the rise of AI, digital content creation, and global markets, businesses and individuals alike must understand how to protect their ideas.
🔹 Universities and business schools should prioritize IP education.
🔹 Companies should offer in-house training on trademarks, patents, and copyrights.
🔹 Freelancers and small business owners need accessible IP resources.
Without reform, innovators will continue to learn about IP the hard way—through costly legal battles. The current system forces individuals and businesses to react to problems rather than preventing them through proper education.
✅ What Needs to Happen?
Policymakers should push for IP education reforms at both university and corporate levels.
Companies should include IP literacy in professional development programs.
Online resources and courses must be made more accessible to non-lawyers.
Final Thoughts: Bridging the IP Knowledge Gap Before It’s Too Late
The CIPU report makes one thing clear—waiting to learn about IP until you need it is a losing strategy. Whether you’re an entrepreneur, engineer, or business leader, understanding IP is no longer optional—it’s essential for protecting your ideas, brand, and business growth.
✔️ If you're an innovator, take proactive steps to secure your IP rights now.
✔️ If you're an executive, make IP education a priority within your organization.
✔️ If you're an entrepreneur, consult with an IP attorney early to avoid costly mistakes.
The key takeaway? IP education needs to start before professionals enter the workforce—not when they’re already in trouble.
Take Action Now
Consider trademark registration and proactive brand protection today! As an Intellectual Property attorney and a leading expert in emerging technologies, entrepreneurship, and digital commerce, I have helped over 300 clients protect their trademarks and navigate the complex legal landscape—contact me today to safeguard your brand!
Pablo Segarra, Esq.
Book a free consultation today [https://www.trademarkia.com/attorneys/pablo-segarra].
The above opinions are those of my own.
