Company: MKDWW
Filing Date: 2025-04-03
Form Type: 20-F
Source: 0001641172-25-002607
Chunk: 6

Company: MKDWELL Tech Inc.
Filing Date: 2025-04-03
Form: 20-F
Item: Item 3
Chunk 6
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 products primarily for the vehicle electronics and camper products industries, this may have a greater effect on MKD than it
would if it were a broader manufacturer with a wider range of product types and technologies. Many of MKD’s competitors are larger
and more established international companies with greater engineering and research and development resources than MKD. MKD’s failure
to identify or capitalize on any fundamental shifts in technologies in MKD’s product markets, relative to MKD’s competitors,
could harm MKD’s business, have a material adverse effect on MKD’s competitive position within MKD’s industry and harm
MKD’s relationships with MKD’s customers. In addition, to remain competitive, MKD must continue to innovate, improve manufacturing
yields and expand MKD’s sales. MKD may not be able to accomplish these goals, which could harm MKD’s business.

   4  

MKD
may be subject to claims of infringement of third-party intellectual property rights or demands that MKD license third-party technology,
which could result in significant expense and reduction in MKD’s intellectual property rights.

The
industries MKD serves are characterized by vigorous protection and pursuit of intellectual property rights. From time to time, third
parties may assert, patent, copyright, trademark and other intellectual property rights to technologies that are important to MKD’s
business and have demanded, and may in the future demand, that MKD license its patents and technology. Any litigation to determine the
validity of allegations that MKD’s products infringe or may infringe these rights, including claims arising through MKD’s
contractual indemnification of MKD’s customers, or claims challenging the validity of MKD’s patents, regardless of its merit
or resolution, could be costly and divert the efforts and attention of MKD’s management and technical personnel. MKD may not prevail
in litigation given the complex technical issues and inherent uncertainties in intellectual property litigation. If litigation results
in an adverse ruling, MKD could be required to:

  pay                                                                                                                                
  cease                                                                                                                              
  discontinue                                                                                                                        
  expend                                                                                                                             
  pay                                                                                                                                
  license                                                                                                                            
  relinquish                                                                                                                         

MKD
may fail to attract or retain the qualified technical, sales, marketing and management personnel required to operate its business successfully.

MKD’s
future success depends, in part, upon MKD’s ability to attract and retain highly qualified technical, sales, marketing and managerial
personnel. Personnel with the necessary expertise are scarce