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Business strategies in the counterfeit market

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  • 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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    4. Beqiraj, Elton & Fedeli, Silvia & Giuriato, Luisa, 2020. "Policy tolerance of economic crime? An empirical analysis of the effect of counterfeiting on Italian trade," European Journal of Political Economy, Elsevier, vol. 65(C).
    5. André Le Roux & Marinette Thébault & Yves Roy, 2019. "Do product category and consumers' motivations profiles matter regarding counterfeiting?," Post-Print hal-02396896, HAL.
    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. 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, University of Rome La Sapienza, Department of Economics and Law.
    8. Sara Amoroso & Simonetta Pattuglia & Imran Khan, 2021. "Do Millennials share similar perceptions of brand experience? A clusterization based on brand experience and other brand-related constructs: the case of Netflix," Journal of Marketing Analytics, Palgrave Macmillan, vol. 9(1), pages 33-43, March.

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