In Luxury Goods, Fakes Have Been A Chronic Disease.

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In the market, counterfeit goods have always been an old disease.

A recent report by the organisation for economic co operation and development and the Intellectual Property Office of the European Union reveals a major reason why counterfeit goods are hard to cure.

The benefits are staggering.

The report points out that the market value of global counterfeit trade is approaching us $461 billion annually.

In 2013, this figure accounted for 2.5% of the total imports of the world, especially the United States, Italy and France.

And in the huge market of counterfeit goods,

Shoes, hats, leather goods, electronic products, watches and medical devices are the most frequent categories.

In 2013, about 5% of the goods imported into EU countries were counterfeit and shoddy products with a total price of US $116 billion.

China is the country that exports the largest proportion of counterfeit goods.

Between 2011 and 2013, 63.2% of fake goods seized by customs were from China.

In 2013, 88 thousand pieces of counterfeit goods were confiscated in mainland China, and nearly 30 thousand were seized in Hongkong.

The number of counterfeit goods ranked behind China, followed by Turkey, Singapore, Thailand and India.

In fact, China's reputation for counterfeit goods has been accumulating for many years.

Data from the world customs organization show that between 2006 and 2010, 75% of counterfeit goods seized worldwide were produced in China.

In 2013, the US trade representative office listed China as the first place in the counterfeit entity market.

But at that time, experts from the Chinese Ministry of Commerce retorted the statement, saying that the United States wanted to implement the protectionism of the US mainland with a general attitude.

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But the problem of counterfeit goods is worthy of attention. The reputation of China's economy is only one side, and more importantly, the counterfeit economy is also hurting China's trade.

As Chinese pocketbooks become more and more popular, luxury groups are bullish on the Chinese market.

But in fact, 76% of Chinese luxury consumption has occurred overseas, and has not made any contribution to China's local economy.

The fact that counterfeit goods occupy too high a share in the Chinese market also allows luxury groups to draw a clear line with counterfeit prices or increase the service cost of genuine marketing, store decoration and so on while the luxury goods group is entering the Chinese market.

This situation is aggravated by the power of the electricity providers in recent years.

The electricity supplier once relied heavily on the third party wholesalers. The high profits of the luxury goods made many businesses in the middle chain risking their risks to adulterate them for profit.

This has also attracted the attention of the large luxury group in Europe. Kai Yun group and LVMH group have launched litigation mechanisms against eBay, Alibaba and other e-commerce platforms.

But in fact, the two sides of the Internet are also on the issue of counterfeiting.

The spread of counterfeit goods on the electronic business platform has constantly promoted many fashion brands to test water suppliers, and have opened up online flagship stores.

In China, the traditional luxury goods business may not have made such great determination.

However, the running in between them is also improving. For example, Taobao and Louis Vuitton have signed a memorandum of counterfeiting.

Before the United States accusing Alibaba of Kai Yun group later withdrew the lawsuit against Ali and reached a settlement agreement with it.