Saturday, March 18, 2006

Another Cereality lawsuit

It's been a few months since I've reported on Cereality taking legal action against competitors (LINK 1) (LINK 2) (LINK 3), but it appears that they are at it again.
Yesterday Cereality filed a lawsuit against Cerealicious, contending that Cerealicioius has infringed on their trademarks and engaged in unfair competitive activities. (News Release here).
I understand that Cereality wants to protect their interests and that these types of lawsuits are common place in business. But, I reiterate: This may ultimately hurt Cereality more than help them. They may be perceived as bullies, and no one likes bullies. And, in an emerging market it is often helpful to have strong competition, because it increases the public's awareness of the concept, thereby increasing business. As the first, Cereality already has an advantage. And, if they truly provide a superior restaurant experience they should have no fear over their competitors who aren't even in the same cities as this point.
I just don't get it.

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