IP Focus: Sophisticated counterfeiters and stronger enforcement

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clpstaff &clp articles

Chinese and foreign companies need to employ anti-counterfeiting strategies as actions against companies with registered intellectual property can be difficult

Contrary to what many people believe, the open manufacture and sale of counterfeit products is becoming uncommon in China. However, the losses caused to both foreign and Chinese companies from sophisticated counterfeiting operations and infringement increases every year. Strategic development of intellectual property rights and active enforcement will reduce the risks from these counterfeiters, infringers and growing competitors.

Every year, many Chinese companies maliciously register intellectual property and take advantage of the reputation of other companies to frequently sell sub-quality products. Increased investment in prosecution and enforcement provides long term benefits in protecting the reputation of brands and supports current operations and future expansion in the growing Chinese market. If a suspected counterfeiter or infringer is found and not investigated and challenged, there is a very real risk that its business could grow larger and larger, making it increasingly difficult to challenge its use in the future.

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