The Counterfeit Crisis
by Rebecca Button on March 18th, 2008
There is quite a lengthy article on the Modern Distribution Management website that explores one of the biggest problems the wholesale/retail industry faces — counterfeiting. It sites statistics such as "The Counterfeiting Intelligence Bureau estimates counterfeiting accounts for 5 percent to 7 percent of world trade" and "most counterfeit goods (close to 95 percent) can be traced back to China, according to a report from the International Anti-Counterfeiting Coalition."
While counterfeiting is not a new trade by any means, what IS new is how the development of e-commerce has aided in its proliferation. “The Internet has made it possible for people to represent themselves more readily to more people in a professional manner that makes it look like they are legitimate.” So what is the industry doing to counteract this widespread (and growing) problem?
Well, there have been many associations; national government policies; and international agreements that were formed as part of the World Trade Organization. Individually, companies can create agreements with "authorized distributors" as well as pursue legal action upon catching any counterfeiters.
What are you doing to protect yourself from fakes ?