Counterfeiting Video Links:
Name of Video Nightline Report on Counterfeiting
Televised Source: Nightline (ABC-TV)
Name of the Video: The World’s Greatest Fakes
Televised Source: 60 Minutes (CBS-TV)
http://www.cbsnews.com/news/the-worlds-greatest-fakes-26-01-2004/
http://xfinitytv.comcast.net/watch/60-Minutes/8451810442021271112/4152899840/The-World-s-Greatest-Fakes/videos
Here is the partial transcript: http://www.cbsnews.com/stories/2004/01/26/60minutes/main595875.shtml
China was referred to as the “workshop of the world.” Thusly, many brand-name manufacturers utilize Chinese factories to produce their products, in order to tap into the enormous cheap labor force, where it was stated that some workers can earn as little as $3.00 a day.
Calloway brand golf clubs and accessories were cited as a clear example of brand-name counterfeiting. Exact copies of Calloway clubs took only one week to produce, while copies of Nike sneakers took merely 10 days, at $4.00 per pair.
Dan Chow, a Professor of Law, at Ohio State University indicated that 15 to 20% of all goods produced in China are counterfeit. This amounts to tens of billions of dollars according to CBS reporter Bob Simon.
It was reported that in order to avoid worker unrest, when it comes to enforcing current statues and laws, authorities simply seem to “look the other way.”
The Internet, and sites such as: Alibaba.com and E-bay.com are fast becoming innocent conduits to this larceny, as some unsavory-people conduct transactions, via e-commerce, to pass these “fake” goods along the channel of distribution to the ultimate consumer.
Furthermore, in far too many cases, bogus pharmaceuticals have been exchanged causing injury and in far too many instances, even death to children and adults alike.
QUESTIONS:
1. How does this widespread practice hurt brand-name manufacturers?
2. How do legitimate retailers, such as Macy’s, suffer from this practice as well?
3. Considering that this is a crime, in the long run, are there any “real winners” in this
Counterfeiting equation? Explain.
DUE DATE: as indicated on Blackboard
