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This results in a waste of resources from the point of view of social welfare. The problem can be addressed by new institutional forms, such as the user innovation communities that will be mentioned later. It is important to note that an additional incentive can drive individual user-innovators to innovate rather than buy: they may value the process of innovating because of the enjoyment or learning that it brings them.

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Inventive Step  A patentability requirement according to which an invention should be sufficiently inventive, i. non-obvious, in order to be patented. KISS method (Keep It Simple Stupid)  Taking a look at any project, process, idea and finding the simplest and most direct path.

Landed Cost  The total amount it costs of a landed shipment that includes freight, insurance, port fees, purchase price and any other costs that might be incurred to bring the product to the final port of destination. Large Entity  In United States patent law, one of the available applicant's status, along with the "small entity" status and the "micro entity" status. Letter of intent or MOU (Memorandum of Understanding)  Either document is used to state each party's intent and course of action to meet a common goal.

These documents are normally followed by a formal contract between the two parties once everyone is in agreement. Liability risk  The risk associated with liability for a product purchased by an individual that may cause or has caused damages to those owning the product.

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