Trade secrets they help companies to stay competitive by,
1. Misappropriation. A company discovery this trade secrete through the lawful methods of employee poaching or reverse engineering and the unlawful ones. For example, industrial espionage.
2. Protection. The owners who protects the trade secrete from the competition by having special procedures on how to handle it and legal security measures and technology.
3. Value. The value of a company trade secrete is measured by way of capitalization of market which is major and invisible whereby it is hard to measure the contribution.
Trade secret is termed as the pattern, instrument, practice, process and formula and compilation of information which is not known by others where a business can have advantages over the customers or the competitors.