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Packaging Products Blog

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Jul
10

Counterfeit Mitigation

In today’s global market, counterfeiting is, unfortunately, a common occurrence. Counterfeit items have a large impact on the end user, the companies in the production supply chain, and the manufacturer. Counterfeit items account for an approximate loss of $200 billion in revenues annually for American businesses and about 2.5 million jobs have been eliminated due to “black markets” (Levin, 2009). Often, these imitations have not undergone the same testing that the legitimate products have and pose a greater risk to the wellbeing and safety of the end user. This risk to the end user compounds the impact upon the company with lack of continuity and increased variance amongst packaged units. When one business unit cuts corners by using counterfeit components, corporate risk skyrockets! With the widespread use of the internet, it has never been easier for counterfeit products to enter the supply chain and ultimately end up in the hands of consumers. It is important for all players, from suppliers to consumers, to know the important role that they play in counterfeit mitigation through due diligence, awareness, and notification.

Due diligence within the distribution and manufacturing supply chains can be a strong and effective tool in combatting the propagation of inauthentic products. To combat supply chains from becoming infected with counterfeit components, it is best to only deal with trusted and reputable suppliers. Doing this can alleviate the risk of counterfeit products being supplied and can avoid the parts being over-produced and subsequently sold on the “black market”. Taking responsibility in managing your supply chains is an integral step in preventing the distribution and use of sub-standard products. Additionally, companies should scrutinize the products that are received from their suppliers. Quality, logo, and other distinct features should all be present during the initial inspection. If there is any doubt to authenticity or you encounter another company selling counterfeit Allen Field Co. products, we urge you to contact us either by email at sales@allenfield.com or by calling 1-800-225-0396.

Counterfeiting is a serious challenge that poses deep economic and social impacts. However, when manufacturers, suppliers, and customers work in conjunction with one another, we can mitigate the adverse effects that counterfeiting has on the economy and society. Internal and external communication is key. Always be aware of the potential for this to occur by identifying possible vulnerabilities and being proactive in adapting company policy to address them and lessen the risk.

References

  • Levin, E. K.; A safe harbor for trademark: Reevaluating secondary trademark liability after Tiffany v. eBay. Berkeley Technology Law Journal, 24(1), 491-527.
  • G. Baldini, I. Nai Fovino, R. Satta, A. Tsois, E. Checchi; Survey of techniques for the fight against counterfeit goods and Intellectual Property Rights (IPR) infringement; EUR 27688 EN; doi:10.2788/97231

 

 

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