backtop


Print 38 comment(s) - last by neogrin.. on Jul 26 at 12:17 PM


Images inside the fake Apple store  (Source: BirdAbroad Blog)
Counterfeiting remains a global problem that only seems to accelerate, despite higher enforcement

Companies continually try to fight counterfeit and pirated material, but often fall short of successfully making a difference in stopping this billion-dollar industry.  

Counterfeiters are willing to steal anything from cash and tech products to gas, oil and cigarettes that consumers are mistakenly purchasing under the misconception of receiving real products.

Investigators in China are looking into a counterfeit Apple store that closely mimics a legitimate Apple store in other parts of the world.  The store is located in Kunming and isn't identified as an authorized Apple retailer, and police investigators visited the store.  From blogger photos and on-site investigation, even the employees wore identical Apple employee t-shirts you'd see in any other Apple store.

Ironically, the demand for counterfeit goods could generate larger business revenue for Apple, if the company wants to promote legal products.  A real iPad 2 can be purchased for up to $499, and in other parts of China can reach almost $600 in price, with counterfeiters able to draw in shoppers by offering lower-cost products.  

Other tech companies have adjusted price scales depending how prevalent pirated and stolen property is in China and other parts of the world, while also creating anti-counterfeit investigation teams.

Although it would seem unbelievable, similar faked stores have opened to sell counterfeit clothing and other consumer goods -- both inside China's borders, and across the world, including into the United States.

Consumers often ignore counterfeiting as solely a corporate problem, but companies warn everyone plays a role.  When shoppers head into neighborhoods to purchase fake handbags or movies, they understand it's a faked product; however, consumers purchasing counterfeit goods are being deceived into thinking it's a legitimate product.

Anti-counterfeit efforts have greatly increased by US federal authorities and across the world -- and it's not just the Chinese government that has to face this growing problem.  Authorities have discovered counterfeit goods can be significantly more profitable than drugs, with higher profit value and lower risk of jail time when caught.

A recent counterfeit smuggling ring based in China was busted making more than 11 million fake cigarettes with an estimated street value of almost $5M.  These cigarettes were aimed for the UK market, but increasing tobacco tax in the United States also makes it a lucrative market for fake cigarettes.  

Furthermore, counterfeit issues also plague medical patients trying to purchase real medications that are brought in from Mexico, South America, and other parts of the world.  Another recent epidemic includes fake consumer electronics that lead to hardware failure and electrical fires.  US investigators are most worried about these types of products being sold over the Internet, brought into the country, and otherwise hitting the streets due to public safety issues.

Companies from multiple industries plan to battle counterfeit goods, and actively assist police and federal authorities, as billions of dollars are up for grabs by sometimes clever criminals.  These companies also are trying to launch education efforts to help consumers to pay attention to the products they purchase, and where these items are reportedly coming from.



Comments     Threshold


This article is over a month old, voting and posting comments is disabled

RE: Wait... What???
By Landiepete on 7/26/2011 1:25:34 AM , Rating: 2
What about all the people that want a 'Rolex' watch to impress their friends and neighbours, but are not willing to part with the best part of 5000 USD for the privilege ? They actively look for the best 'counterfeit' they can get for 25 USD, knowing full well it's a fake, but wish to continue the charade to boost their egos ?


"This is from the DailyTech.com. It's a science website." -- Rush Limbaugh











botimage
Copyright 2014 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki