Trade secret strategy

A trade secret is any information or device that produces a competitive advantage for its owner since it is generally unknown to competitors. An owner may decide not to seek a patent because:

- the trade secret may not patentable
- the owner deems the expense of patenting is too great
- the act of patenting might expose the secret and make it easier for a competitor to compete around the previous secret advantage.

The only protection a trade secret enjoys is secrecy itself, so businesses use binding legal contracts, such as non-disclosure agreements, non-compete agreements and other legal strategies, to protect them.

Remember, the moment any inventor is awarded a patent by the government, how that invention works becomes available to the public immediately.