Crackdown on knockoffs requires joint and lasting effort

By Yu Ning Source:Global Times Published: 2016-3-15 0:23:02

Counterfeit products are a huge challenge to Chinese retailers and companies. Alibaba, the world's biggest online retailer, has particularly been plagued by issues with counterfeit and sham goods for years. On the eve of March 15th, World Consumer Rights Day, Jack Ma, the e-commerce giant's helmsman, launched a campaign against fake products. It's reported that Ma will establish and support an anti-counterfeiting team with an unending budget and manpower.

Ma is mobilizing an anti-counterfeiting team not only for Alibaba, but also China. As Alibaba has the lion's share of China's e-commerce market, responsibilities naturally fall on the company to take the lead in China's anti-counterfeiting campaign. "It's easy to eradicate Alibaba, but difficult to wipe out fake goods," the e-commerce tycoon commented on China's prevalent knockoff culture.

China is the world's largest manufacturing power, but it also earned an ill-famed reputation as the world's leading counterfeiter. There are repeated Western reports accusing China of producing a torrent of counterfeits, ranging from auto parts to  pharmaceuticals.

A crackdown on fake goods makers and sellers is of great need in China today and also of great value in the process of economic transition. China's past over three decades of rapid growth were driven by capital investment, exports and consumption. Now, in order to sustain growth, China is advancing "supply-side structural reform" in which companies are encouraged to become more productive to promote growth.

Cracking down on knockoffs and infringement upon intellectual property rights will stimulate enterprises to offer more superior-quality products and services. It will also help protect the enterprises' initiative to innovate. Dumping easily prevails in an unfavorable business environment where adulterated goods are traded rampantly on the market. It will be hard for China to have world-class enterprises under such conditions.

Moreover, China has become the world's factory, with approximately 70 percent of Chinese exports consisting of manufactured goods. The image of "made in China" has been closely tied to that of China. A firm crackdown on counterfeits is a must to retain the international community's confidence in "made in China" and to improve China's image.

Anti-counterfeiting is not merely a war waged by Alibaba and other companies, but a campaign by the country. Instead of making it a transient campaign on an awareness day, we should make continuous efforts, establish a sound mechanism and nurture a healthy business culture.



Posted in: Observer

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