The term ‘know-how’ refers to practical knowledge, technical skills, experience, and methods acquired through practice and often specific to a particular sector or industry. It encompasses not only technical knowledge but also the ability to apply it effectively in concrete situations to achieve quality results. Know-how is a competitive advantage for companies because it is difficult to reproduce or transfer without training or direct transmission.
In a professional context, know-how can include production techniques, recipes, management methods, marketing strategies, and other operational knowledge that contribute to a company’s performance and innovation. It is often protected by confidentiality agreements or non-disclosure clauses, particularly when shared in partnerships, licenses, or franchises, to safeguard this strategic asset.
Although it is not always patentable, know-how is an essential component of a company’s intellectual property and can have significant economic value, particularly in business valuations and commercial transactions. The management and protection of know-how are key to maintaining competitiveness, promoting innovation, and ensuring the sustainability of businesses.