Counterfeiting and Piracy

In: Business and Management

Submitted By rodeh
Words 1458
Pages 6
What are counterfeiting and piracy?
Counterfeiting and piracy are terms used to describe a range of illicit activities linked to intellectual property rights (IPR) infringement. Those are longstanding problems which are growing in scope and magnitude.

Quantitative analysis carried out by the OECD indicates that the volume of tangible counterfeit and pirated products in international trade could be up to USD 200 billion.
With a figure like this, sales of counterfeit goods world-wide exceed the GDP of approximately 150 States on the planet. This figure does not, however, include counterfeit and pirated products that are produced and consumed domestically, nor does it include the significant volume of pirated digital products that are being distributed via the Internet. If these items were added, the total magnitude of counterfeiting and piracy worldwide could well be several hundred billion dollars more.

In spite of all the efforts made up to now, counterfeiting and piracy are a plague that affects practically every economy on the planet and, what is more, they are expanding rapidly via various distribution channels that obviously include the Internet.

In 2006, all the records were smashed with more than 250 million counterfeit articles intercepted at European borders, compared with 75 million the previous year. The number of seizures also exploded, increasing from 26,000 to 37,000 from one financial year to the next.
Some see the rise in counterfeiting of goods as an inevitable product of globalization. As more and more companies, in an effort to increase profits, move manufacturing to the cheaper labor markets of the third world, areas with weaker labor laws or environmental regulations, they give the means of production to foreign workers. These new managers of production have little or no loyalty to the original corporation. They see that profits are…...

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