Legal and Economic Strategies for International Intellectual Property Protection: The Case of Software

Intellectual property is an important asset for business and society. In 1998, the worldwide software market was estimated at $135 billion. Piracy, however, is reducing profits, innovation, investment, and tax revenues. In order to curb piracy, international intellectual property protection must be improved. This paper analyzes the Trade Related Intellectual Property Rights Agreement and the World Intellectual Property Organization. It also examines other methods of intellectual property protection, including arbitration, Digital Rights Management Systems, and price discrimination. Evidence suggests that optimal protection includes a mixture of international laws, pricing strategies, and governmental intervention