Counterfeiting and Pricing in China and UK - Dissertation Example

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Counterfeiting and Pricing in China and UK

This essay discusses that the form of consumer fraud is product counterfeiting in which product is sold claiming to be a product that it is not. This is different from violation of copyright as it is based on organized group of activity so that maximum profit is achieved. The lack of regulatory capacity makes manufacturing of unauthorized products possible and products that are high in demand made on similar design and branded in a way that make them distinguished from original product. The counterfeit products sell in the parallel markets or introduced in authorized supply chain. These products make extreme profits because of no overheads of licit products and this is the reason that these products are very price competitive. Because of this competitive edge, counterfeit products are common than original products in some part of the world. Counterfeit products in UK causing lower profits, lost sales, and brand trust affect legitimate businesses. The government of UK is also affected because it sees lower tax revenues and high spending on health services, welfare, and prevention of crime. The companies in UK are cutting jobs and reducing their investment leading lower economic growth due to counterfeiting. This study is conducted to determine factors affecting buying behavior of consumer when buying counterfeit products and luxury brands. The study also examines the effect of counterfeiting and piracy on the people living in UK. ...Show more

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The researcher of this essay aims to investigate customers’ perspective by conducting a qualitative study involving primary research comprising of a survey questionnaire. Responses were collected from 100 customers shopping in London. …
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Counterfeiting and Pricing in China and UK essay example
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