What is the secret of Coca-Cola's great taste?
The recipe for this iconic soft-drink has been zealously guarded
for over a century. Recently, there have been unconfirmed reports
that the formula has been revealed publicly. But given the ubiquity
of this drink, how is it that the formula could have remained
hidden for so long?
Casual observers may – incorrectly – assume
that the makers of Coca-Cola hold a patent for the recipe. Patents,
by virtue of the time-limited monopoly they confer, require their
subject matter to be publicly known. In contrast, secret recipes
such as that for Coca-Cola belong to an entirely different class of
intellectual property: trade secrets.
Although there are differing definitions, depending on
jurisdiction, a trade secret can be characterized as information
that is not generally known and that is valuable because it is not
generally known. Moreover, owners of trade secrets must make
reasonable efforts to protect the information.
