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Business strategies in the counterfeit market

Author

Listed:
  • Staake, Thorsten
  • Thiesse, Frédéric
  • Fleisch, Elgar
Abstract
Counterfeit trade is a multi-billion dollar industry affecting an ever-wider range of goods and markets. Despite the diversity of counterfeit products in terms of complexity, manufacturing techniques, investments in production facilities, potential dangers or value for the users, and degrees of conflict for the counterfeit producers with the local authorities, current academic literature still refers to counterfeit producers as one homogeneous group. Against this background, the present study investigates the existence of strategic groups among counterfeiters based on an empirical examination of counterfeited products using cluster analysis. The results indicate that brand owners are confronted with five different groups of counterfeiters: (1) disaggregators, (2) imitators, (3) fraudsters, (4) desperados, and (5) smugglers. The findings of this study contribute to a more differentiated understanding of each group's learning and growth strategies and help practitioners to better position their companies with respect to the counterfeit market.

Suggested Citation

  • Staake, Thorsten & Thiesse, Frédéric & Fleisch, Elgar, 2012. "Business strategies in the counterfeit market," Journal of Business Research, Elsevier, vol. 65(5), pages 658-665.
    • Handle: RePEc:eee:jbrese:v:65:y:2012:i:5:p:658-665
    DOI: 10.1016/j.jbusres.2011.03.008
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    References listed on IDEAS

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    Cited by:

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    5. Pittiglio, Rosanna, 2024. "Counterfeiting and firm survival. Evidence from the Italian manufacturing industry," Economic Systems, Elsevier, vol. 48(2).
    6. Amankwah-Amoah, Joseph & Boso, Nathaniel & Kutsoati, James Kofi, 2022. "Institutionalization of protection for intangible assets: Insights from the counterfeit and pirated goods trade in sub-Saharan Africa," Journal of World Business, Elsevier, vol. 57(2).
    7. André Le Roux & Marinette Thébault & Yves Roy, 2019. "Do product category and consumers' motivations profiles matter regarding counterfeiting?," Post-Print hal-02396896, HAL.
    8. Elton Beqiraj & Silvia Fedeli & Luisa Giuriato, 2019. "How do organized crime and counterfeit interact in Italian trading firms? An empirical analysis of their effects on trade," Working Papers in Public Economics 187, Department of Economics and Law, Sapienza University of Roma.
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