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Fight Chinese Counterfeiting? Forget It

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Hailey Lynne McKeefry
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Change in DNA
Hailey Lynne McKeefry   5/31/2013 8:06:12 PM
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This post is certainly disheartening, to say the least. If the problem lies at the cultural level, and by this account it seems that it does, is there anything that customers or goverments can do to make a positive shift? That's not a retorical question...I'd really like to know. What one thing would you suggest that might make a baseline shift in this situation? Take a second and pretend you run the world.

keilaniswk
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China's market
keilaniswk   5/23/2013 12:44:42 PM
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China has a low artificial value of it's currency, has very cheap (almost enslaved) labor and a huge population and a large geographic size ( = a huge market for everything).

That alone made china a very attractive market.

But, the chineese government wanted fast (= break-neck) growth and decided to go the way of surpluse trade balance and mega hoding of foreign currency (trilions now).

Now china is the largest importer of raw material and energy, and the largest exporter of manufactured goods at the same time!

Add counterfeit to that and you get a very grim picture of chinese cheap exports flooding the planet (literaly!). And that is where I see the solution to this situation.

World-wide trade laws and agreements put various measers againest market flooding. A good example is the current EU measures to push back chinese PV modules eports flooding the EU market, using customes tarrifs or equivilent they are adding about 50% cost to the Chinese imports of PV into the EU.

Similar measures can be taken by all countries (if they can proove a case of market flooding to the WTO).

Jacob
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Re: Chinese market
Jacob   5/7/2013 9:53:19 AM
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"From many years they have been copying things and anything that has a mark "Made in China" is more cheaper. Almost everything in electrinics industry has a fake model made in china no matter how small or how big the stuff is. There is no business ethics. If you give your design for manufacturing in China, dont be surprised they will copy the design and start manufactring with the label Made in China."

SP, if you are not giving your design also, they will do the duplication through other sources. Their main intention is to bring an exact model of device with same functionality and features for Chinese citizens. Hence they can have the device at a low cost.

_hm
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Re: Is it difficult to design for China?
_hm   5/6/2013 7:05:33 PM

@Anandvy: I respect Chinese engineer. They conduct due diligence in new product design. They may follow good ideas and learn new solutions.

But that is also true for most engineers throughout world. Most organization also study good product. It is very hard to indict Chinese engineer.

 

anandvy
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Re: Chinese market
anandvy   5/5/2013 10:06:35 PM
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From many years they have been copying things and anything that has a mark "Made in China" is more cheaper.

@SP, I agree with you. The "Made in China" is more cheapter because compononents used inside the product are of low quality. Moreover since the companies just copy the existing designs, they save a lot on R&D cost. This give chinese companies added advantage and flexibility to price their proudcts low. 

anandvy
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Re: Is it difficult to design for China?
anandvy   5/5/2013 1:43:00 PM
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In general Chinese organization can design much better product, if required.

@_hm, nodoubt china can design much better products, but the problem is they are stealing most of the IP from different companies and they are building on it. This will definitely given the chinese companies an added advantage because they can save R&D cost. 

anandvy
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Re: FIGHT CHINESS COUNTERFEITING? FORGET IT
anandvy   5/5/2013 1:37:39 PM
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Almost all US companies have their manufactring divisions directly or indirectly in China.

@SP, I totally agree with you. US is highly dependent on China because many US companies have their manufactring divisions directly or indirectly in China. I think slowly US should start shifting such jobs back to US or to some other developing nations so that their dependancy on China reduces.

anandvy
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Re : Fight Chinese Counterfeiting? Forget It
anandvy   5/5/2013 1:31:33 PM
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Industry associations and the US government "can lobby all they like, but China doesn't care

@Brian, thanks for the post. Its really sad to that Chinese government has totally failed in protecting the intellectual property. I think only solution to this challenge is that all countries should come together and warn the chinese government that if IP theft is not stopped then they will boycott the chinese products. Such tactics will definitely put pressure on the chinese government.

SP
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Re: FIGHT CHINESS COUNTERFEITING? FORGET IT
SP   5/5/2013 10:21:11 AM
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@Adeniji, whether its too early or too late to say No to China. Well US is not in a position to say NO now to China. I think its China who will set the rule in the game. There is a flood of Made in China products all over the world especially in US. Its never to late to say No but the question is whether they will. There will be so many political and industry wise repurcussions. Almost all US companies have their manufactring divisions directly or indirectly in China. And since China has Communist government they will keep their interest in the first place.

Sometime back there was a news that China holds more US dollars than US.

SP
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Re: Chinese market
SP   5/5/2013 10:14:09 AM
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@Adenji. That's nice to hear. The only thing they cannot copy is human.Well its all biological so they cannot copy otherwise they will do that also :-)

I guess the culture in China is that everyone is ok with copying. Its completely supported by the Government. Also the copyright laws are also like that it will support Chinese actions.

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