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Counterfeiting in the People´s Republic of China

Analysis of Impact, Drivers and Containment Options concerning increased Counterfeiting

Counterfeiting in the People´s Republic of China
Über dieses Buch
  • Art: Diplomarbeit
  • Autor: Ulf Kramer
  • Abgabedatum: März 2006
  • Umfang: 118 Seiten
  • Dateigröße: 937,8 KB
  • Note: 1,7
  • Institution / Hochschule: Friedrich-Schiller-Universität Jena Deutschland
  • ISBN (eBook): 978-3-8324-9859-7
  • ISBN (Paperback) :
    978-3-8324-9859-7 P
  • ISBN (CD) :978-3-8324-9859-7 CD
  • Sprache: Englisch
  • Prämierung:
  • Arbeit zitieren: Kramer, Ulf März 2006: Counterfeiting in the People´s Republic of China, Hamburg: Diplomica Verlag
  • Schlagworte: Produktpiraterie, Markenpiraterie, Fälschung, Markenschutz, Volksrepublik China

Diplomarbeit von Ulf Kramer

Zusammenfassung:

Die Arbeit beschäftigt sich mit allen Aspekten welche Produkt- und Markenpiraterie in der VR China berühren. Es wurde insbesondere Wert auf eine klare Analyse der Situation sowie der Herkunft von Markenpiraterie gelegt. Außerdem werden die dramatischen Auswirkungen und Mögliche Abwehrstrategien vorgestellt. Dabei werden praxisnahe Möglichkeiten in den Vordergrund gestellt sowie Ansprüche an politische Entscheidungsträger formuliert.

Alle Zwischenergebnisse wurden graphisch dargestellt um Vermittlung und Präsentation für Entscheidungsträger zu vereinfachen. Zusätzlich gibt es einen besonderen Schwerpunkt auf kulturelle Aspekte der chinesischen Markenpiraterie. Einleitend werden auch positive Aspekte von Produktpiraterie erörtert. Alle Angaben sind mit aktuellen Daten hinterlegt soweit diese zugänglich sind. Hypothetische Schätzungen wurden vermieden. Es wurden ca. 150 Quelltexte ausgewertet wobei die Aktualität der Referenzliteratur beachtet wurde.

Abstract:

The paper „Counterfeiting in the People’s Republic of China“ deals with all aspects of counterfeiting in China. Special attention is drawn on analysis of impact, drivers and containment options concerning increased counterfeiting. Beside a main focus are cultural reasons for counterfeiting. Additionally the paper includes many charts and graphs to support an easy summary or presentation to others. Overall 150 sources were examined and lates numbers are included.

Although Chinas counterfeiting issue makes headlines in the economic world, only few research examined the problem in a comprehensive way. Many journalists focus on legal issues and thus mainly on the supply side of counterfeiting. Other researchers simply blame Chinas cultural heritage to be the main cause. Most papers lack a broad approach, which is inadequate regarding the magnitude and scope of Chinas counterfeiting.

The objective of the present paper is to give a comprehensive overview about counterfeiting in the People’s Republic of China. Comprehensive shall mean that all aspects of counterfeiting are subject to analysis. In the following, supportive drivers for counterfeiting Although Chinas counterfeiting issue makes headlines in the economic world, only few research examined the problem in a comprehensive way. Many journalists focus on legal issues and thus mainly on the supply side of counterfeiting. Other researchers simply blame Chinas cultural heritage to be the main cause. Most papers lack a broad approach, which is inadequate regarding the magnitude and scope of Chinas counterfeiting.

The objective of the present paper is to give a comprehensive overview about counterfeiting in the People’s Republic of China. Comprehensive shall mean that all aspects of counterfeiting are subject to analysis. In the following, supportive drivers for counterfeiting Since counterfeiting is an illicit business, quantitative approaches are limited. Additionally comprehensive quantitative research faces problems such as the high level of heterogeneity within the Chinese environment or political restrictions.

Most counterfeiting research is based on personal interviews, observations, official records and data as well as publications of interest groups. Qualitative evaluation therefore seems the more effective methodological approach. lthough the present study shows the results of quantitative research, the general methodology follows qualitative trajectories.

The structure is divided into five main parts (Chapter 3 to Chapter 7) which combine descriptive and in the following, normative research. Chapter three introduces the impact of counterfeiting to highlight the up-to-date facts and importance of the issue. Chapter 4 to 6 represent the common market structure. They systematize the study into three main categories of research: environmental (economical, legal, political), supply side („the counterfeiter”) and the demand side („consumers”). Each research category is examined towards: relevant drivers, attributes, and containment options. Chapter seven gives a final summary and analyses future prospects.

Table of Contents:

List of Tables iv
List of Figures v
List of Abbreviations vi
1. Introduction and Preliminary Remarks 1
2. Definition and Delimitation of Relevant Terminology 4
3. Impact of China’s Counterfeiting Problem 8
3.1 Negative Impacts of Counterfeiting in China 8
3.1.1 Introductory Remarks 8
3.1.2 Costs to the Right Holder 8
3.1.3 Costs to Consumers and Potential Users 11
3.1.4 Social Costs 12
3.2 Positive Impacts of Counterfeiting 14
3.2.1 Positive Impacts to Consumers and Local Economies 14
3.2.2 Positive Impacts for Development and Innovation 16
3.2.3 Positive Impacts for China’s Political Environment 17
3.3 Summary of Main Impacts and Evaluation 17
4. Analysis of economic, legal and political environment 18
4.1 Insights of Contemporary China 18
4.2 Drivers for Counterfeiting 19
4.2.1 China’s Transition Process and Economic Framework 19
4.2.2 China’s Enforcement Institutions and Legal framework 20
4.2.2.1 Enforcement Institutions 20
4.2.2.2 Legal Framework 25
4.2.3 China’s Political Framework 28
4.2.3.1 Attitudes of the People’s Government of PRC 28
4.2.3.2 Local Protectionism and Development 30
4.2.4 Summary 32
4.3 Containment Options concerning Environmental Determinants 32
4.3.1 Extensive Legal Protection 33
4.3.2 Reforming China’s IPR Enforcement System 33
4.3.3 Improving China’s IPR Legislation 35
4.3.4 Lobbying and Encouraging Political Commitment 35
4.3.5 Summary 37
5. Analysis of Suppliers on the Counterfeiting Market 38
5.1 Attributes of China’s Counterfeiters 38
5.2 Drivers for Counterfeiting 40
5.2.1 Unawareness of Statutory Provisions 40
5.2.2 Financial Incentives 41
5.2.3 Enabling Resources and Technical Knowledge 41
5.2.4 Historic Insights and their Influence on the Perception of IPRs 43
5.2.4.1 Attitude towards the „West” 43
5.2.4.2 The Communist Era and the Perception of IPR 44
5.2.5 Cultural Traits and their Impact on Contemporary Counterfeiting 45
5.2.5.1 Confucianism 45
5.2.5.2 Collectivism and other Cultural Dimensions 47
5.2.6 Summary 50
5.3 Containment Options 51
5.3.1 Innovation and Constant Change of Product Attributes 51
5.3.2 Anti-Counterfeiting Technologies 51
5.3.3 Education and Deterrence of Counterfeiters 53
5.3.4 Securing the Value Chain 54
5.3.5 Co-Opting Preeminent Offenders 55
5.3.6 Passive Measures 56
5.3.7 Summary 57
6. Analysis of Consumers on the Counterfeiting Market 58
6.1 The Consumer of Counterfeited Goods 58
6.1.1 Introductory Remarks 58
6.1.2 Attributes of Chinese Consumers who Buy Counterfeits 58
6.2 Drivers for Counterfeiting 61
6.2.1 Increased Consumer Rent 61
6.2.2 Impact of Availability of Counterfeits on Purchase Intention 62
6.2.3 Cultural Traits and Consumer Behaviour 62
6.2.4 Sophistication of Chinese Consumers 65
6.2.5 Perception of Wrongdoing and Unethical Behavior 66
6.2.6 Anti-Big-Business Attitude 67
6.2.7 Novelty Seeking and Risk Avoidance 68
6.2.8 Summary 69
6.3 Containment Options 70
6.3.1 Matching Consumers’ Needs 70
6.3.2 Communication and Education 72
6.3.3 Summary 75
7. Conclusions and Outlook 76
7.1 Conclusions 76
7.1.1 Recommendations for Companies 76
7.1.2 Recommendations for the People’s Government of PRC 78
7.1.3 Recommendations for Chinese Consumers 78
7.2 Outlook 79
7.3 Concluding Remark 80
8. Bibliography 81
9. Appendix 96
A Tables 96
B Figures 102
D Short interview concerning counterfeiting in the PRC 105
E Table of Chinese terms used in the paper 108

Arbeit zitieren:
Kramer, Ulf März 2006: Counterfeiting in the People´s Republic of China, Hamburg: Diplomica Verlag

Schlagworte:
Produktpiraterie, Markenpiraterie, Fälschung, Markenschutz, Volksrepublik China

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