DECA Sports and Entertainment Marketing Practice Exam

What is the term for the legal protection of words and symbols used by a company?

1. Trade secret

2. Trademark

3. Copyright

4. Patent

The correct answer is: Trademark

The correct term for the legal protection of words and symbols used by a company is trademark. A trademark specifically refers to a word, phrase, symbol, or design, or a combination of these elements, that identifies and distinguishes the source of goods or services of one party from those of others. This protection allows companies to establish brand identity and prevent others from using similar marks that could cause confusion among consumers. Trademarks help maintain a company's reputation and allow customers to identify the quality and source of products or services. By protecting logos, brand names, and slogans, trademarks play a crucial role in brand recognition and assist businesses in building customer loyalty. While trade secrets protect confidential business information and processes, copyrights cover original works of authorship, such as literature, music, and art. Patents protect inventions and specific processes for a certain period. Therefore, when it comes to the protection of branding elements like words and symbols, trademark is the appropriate legal term.