Question

Why do you think counterfeiting is so popular in places like India? Have you had any experience buying counterfeit goods? What are companies doing to fight against counterfeit products?

Answer 1

Countries like India which are seeing a transition from developing to developed country have lesser disposable income compared to developed countries. When the disposable income starts to increase but may not be sufficient to buy the original goods, the demand for counterfeit goods increases as the consumer would get the feel of buying an original good. So if the disposable income and purchasing power increases then customers would gradually move towards buying the original goods looking more towards quality of good.

In market there are plenty of counterfeit goods ranging from brands Nike, Adidas which are majorly fashion, sports and electronic goods.

So in order to avoid the damages to brand value companies do file complaints and take necessary steps to educate customers on risk of buying counterfeit goods and advantages of original goods.