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Chapter 1 Introduction
As the development of technology, counterfeiting has become the one of fastest- growing industry in the world. The upsurge of counterfeiting does not only violate the intellectual property rights, but also can create much cost to the society. The Organization for Economic Co-operation and Development (OECD) publishes a report in 2008, stating that counterfeited and pirated goods moving through international trade alone equals $200 billion annually. Among the countries, China has the most severe problems in producing counterfeits. It is estimated that as much as 20% of all products sold domestically are counterfeit (Alcock, et al 2003). A wide range of Chinese industries have been affected by counterfeiting, including computer software, music movies, books, fashion products etc.
There are a number of reasons for the increasing counterfeit goods. Prior researchers mainly blame on the manufactures who produce counterfeit products or retailers who sell counterfeits (e.g. Olsen and Granzin 1992, 1993; Harvey and Ronkainen,1985). Recent studies show that although chasing abnormal profits encourages the increase of counterfeiting, the ever-increasing demand from consumers for counterfeit products is the trigger of producing counterfeits (e.g. Gentry et al., 2001; Chan et al.,1998). This leads to many researchers attentions on studying consumers behaviors and their decision-making on purchasing counterfeits. The existing researches have demonstrated that the influence of consumers judgments on the attitudes, social norms and purchase intention towards counterfeits may vary across different product categories, for example, the study of Ang e al.,(2001) on CDs , Tan(2002) on software ,and Maldonado and Hume (2005) on fashion industry. Therefore, my study this time contributes much work on examining factors which influence consumers’ purchase intention on counterfeit mobile phones (CMPs) by testing Chinese consumer market. CMPs refer to the mobile phone
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