Trade in counterfeit goods has developed into a substantial threat to many industries. The problem is no longer confined to prestigious, easy-to-manufacture products which consumers all too often knowingly purchase as cheap imitations. Today counterfeiting affects pharmaceuticals, mechanical spare parts, fast-moving consumer goods and electronic components as well as fashion accessories, clo- ing, cigarettes, and digital media. Even within the different product categories counterfeit supply is extremely diverse. While some goods pose a severe risk to the health and safety of consumers, others have a decent level of quality and s- isfy the needs of most of their users; manufacturing sites exist where people work under almost inhuman conditions whereas other facilities resemble modern, highly automated plants; and counterfeit producers may act like small-time criminals, but may also manage their businesses like multinational companies. On the dema- side consumers sometimes invest considerable effort in searching for low-cost imitations or may become actively engaged in a company’s anti-counterfeiting program. The implications for brand owners are as manifold as the market itself. Effects include losses of revenue due to substitution and constraints to product pricing, erosion of brand value when corresponding goods appear to become less exclusive or of lower quality, liability claims and product recalls if substandard imitations end up in products or on the shelves of licit companies, and increased competition resulting from learning effects among illicit actors who may eventually turn into licit manufacturers.
Counterfeit trade is a highly complex phenomenon. It is a ruthless crime as well as a smart knowledge-transfer strategy – and it is everything in between. Companies need a thorough understanding of the strategies of illicit actors, the role of the consumer, and the associated implications in order to develop successful brand- and product-protection measures. Providing this know-how is the key-objective of the book at hand. The authors present an unbiased, in-depth analysis of the supply- and demand-side of the illicit market, outline state-of-the-art brand- and product-protection strategies, and introduce a set of novel tools to support market monitoring, reaction, and prevention efforts. Furthermore, challenges with established product security technologies are highlighted and the benefits and hurdles when using Radio Frequency Identification (RFID) as protection technology are discussed. A major benefit of the book is the strong focus on assisting practitioners to deal with the challenges; another is the high standard of research that backs up the findings presented.
