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Global Strategic Management - Assignment Example

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The term “counterfeiting” refers to the practice of prodding goods of lower quality that bear a brand name without the knowledge nor authorization of the owner of the brand(Sullivan & Chermak, 2013). Usually, the manufacturers of counterfeit goods will try to differentiate…
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Download file to see previous pages The latter entails using similar and confusing trademarks or service marks on a similar, not fake, product or service.
Counterfeit goods are sold around the world. However, the vice is more prevalent in developing countries where it is relatively cheaper to produce a product (Sullivan & Chermak, 2013). For instance, Taiwan and China in Asia are exceptionally prone to counterfeiting. The practice is also found in developed economies, albeit to a lesser degree. Counterfeiting is not only illegal, but also unethical. It is unethical because it involves profiting from another person’s sweat, so to speak. The producers of counterfeit goods are not prepared to introduce their brands and grow them. Instead, they cut corners and try to profit from established brands behind the backs of their owners.
The world over, business organizations adopt a variety of measures to address counterfeiting. These can be business, legal or technological. An example of a legal measure is an organization registering their trademarks. Today, it is common for large multinational corporations to have the various components of their manufactured in different jurisdictions then ship them to the assembly plant. Usually, this mode of operation is designed to take advantage of the advantages that various jurisdictions have to offer. For example, a manufacturer of smartphones located in Singapore may have their battery manufacturing plant situated in Finland. Under these circumstances, the smartphone manufacturer will do well to have all their trademarks registered in all the jurisdictions where parts of the smartphone are made. This is in addition to registering those trademarks in all the countries where the finished phones are sold.
Some of the business measures that organizations take to combat counterfeiting include creating and maintaining an anti-counterfeiting department (Spink & Fejes, 2012). The key role of the department to initiate and implement measures to prevent the ...Download file to see next pagesRead More
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