To most people, counterfeiting means forged currency. But counterfeiters are copying an ever-widening range of products. For some time they have been churning out imitation designer fashion, software and CDs. Now they are copying medicines, mobile phones, food and drink, car parts and even tobacco.
1 ________
2 ________ New technology has broadened the range of goods that are vulnerable to copying. It has dramatically improved their quality, as well as lowering their cost of production. Where once counterfeits were cheap and shoddy imitations of the real thing, today their packaging and contents (especially for digital products such as software, music CDs and DVDs) often mean they are almost indistinguishable from the genuine article.
A counterfeit, by definition, is something that is copied or imitated without the perpetrator having the right to do it and with the purpose of deceiving or defrauding. Such rights are legally covered by patents (for inventions), copyright (for artistic works and software), trademarks (for words, pictures, symbols and industrial designs) and other forms of intellectual-property protection.
Counterfeiting is as diverse as any legal business, ranging from back-street sweatshops to full-scale factories. Counterfeiters often get their goods by bribing employees in a company with a valuable brand to hand over manufacturing moulds or master disks for them to copy. 3 ________ One of the most frustrating problems for brand owners is when their licensed suppliers and manufacturers "overrun" production lines without permission and then sell the extra goods on the side.
Distribution networks can be as simple as a stall in the street, or a shop on the other side of the world. The internet has been a great help to counterfeiters, giving them detailed information about which goods to copy and allowing them to link consumers and suppliers with ease. 4 ________
Counterfeiting is not a victimless crime. For a start, legitimate businesses lose sales because of competition from counterfeiters. If their brand loses value (because it is seen as less exclusive or is confused with shoddy imitations), there is a long-term threat to profitability. In addition, firms have to bear the cost of anti-counterfeiting measures. 5 ________
One strategy that companies increasingly use is to load their vulnerable products with anti-counterfeiting features. 6 ________ Companies also use these features, primarily to help them track their products through the supply chain and to distinguish genuine articles from fakes, especially should they need to take the copycats to court. But no amount of effort will ever completely stop the copycats. For as long as there is consumer demand, companies will find that imitation is the severest form of flattery.
Vocabulary
branded goods n товары с торговой маркой производителя
CIB abbreviation for Chartered Institute of Bankers Институт банковского дела (в Великобритании)
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churn out v производить быстро и в большом количестве
claim n 1 претензия; заявление права; иск; рекламация; 2 заявление
copycat n копировщик; имитатор; контрафактор
copyright n авторское право, издательское право
counterfeit n 1 подделка; 2 контрафакция (чужое произведение, использованное вопреки воле автора); 3 фальшивые деньги; v подделывать; заниматься контрафакцией; незаконно копировать; adj контрафактный; поддельный; counterfeiter n подделыватель; контрафактор; фальшивомонетчик; counterfeiting n 1 подделка; 2 контрафакция; commercial counterfeiting n коммерческая контрафакция (напр. неправомерное использование товарного знака)
currency n деньги; валюта
defraud v обманывать; мошенничать
digitization n цифрование
diverse adj разнообразный
download v скачать (с компьютера)
enforce v 1 обеспечивать соблюдение; 2 осуществлять соблюдение (права, закона); enforcement n применение (права, закона); enforceable adj обеспеченный правовой санкцией; имеющий исковую силу
fake n подделка; копия; v подделывать; копировать
forge v подделывать документ
frustrate v расстраивать; срывать (планы)
full-scale adj крупномасштабный
genuine goods n подлинный товар
hand over v передавать
infringement n нарушение (прав, закона, норм); контрафакция
intellectual property n интеллектуальная собственность
legitimate business n законный бизнес
mould n 1 форма; 2 шаблон; 3 матрица
overrun v превышать обусловленный тираж
patent n патент
peril n риск; at one’s peril на свой собственный риск
perpetrator n преступник; нарушитель
piracy n 1 пиратство; 2 нарушение авторского права; плагиат;
контрафакция
production line n ассортимент изделий
production master n оригинал продукции
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profitability n доходность; рентабельность
protection n защита
shoddy adj 1 дрянной; 2 поддельный
reckon v считать; полагать
software n программное обеспечение; программы
sweatshop n амер. мастерская, в которой рабочие получают крайне низкую зарплату и работают в тяжелых условиях
track v продвигать
trademark n товарный знак
vulnerable adj уязвимый, беззащитный
Reading tasks
A Read the text again and answer the following questions.
1 What do patents protect?
2 Why does the music industry lose millions?
3 What does a counterfeit mean?
4 Who is called “a copycat”?
5 What is a trademark?
6 Why does counterfeiting increase in recent years?
7 What role has technology played in the expansion of counterfeiting?
8 What kind of goods are being copied?
9 How do counterfeiters often obtain their production masters?
10 What is one of the most frustrating problems for brand owners?
11 How does the internet help counterfeiters?
12 What are the distribution networks for counterfeit products?
13 Have you ever bought anything through the internet?
14 Have you ever bought a fake?
15 Is counterfeiting a crime or a legitimate business?
16 What effects does counterfeiting have on legal businesses?
17 How do companies defend their brands?
B Below is a list of copyright infringements. In pairs, rank them according to which ones you consider to be the most dishonest.
- buying a fake Rolex watch
- photocopying pages from a published book
- lending a book you enjoyed to a friend to read
- downloading music from an internet file-sharing system
- making a digital copy of a CD or DVD
- showing a video to agroup of people for money
C 1 Two people talk about counterfeiting. What examples of copyright infringement do they mention?
One
You have to admit counterfeiting benefits consumers, particularly in developing countries, by giving them access to lower-price goods, such as medicines, that they might not otherwise be able to afford. Anyway, some brands are just so overpriced I think it's great to get almost the same quality for much less than those ridiculously high prices they charge.
Two
I think the costs of counterfeiting far outweigh the benefits. Think of the enormous cost to companies who make clothing, toys, software and pharmaceuticals and the unemployment caused by it. I mean 17,120 jobs were lost in the European Union in just one year due to competition from cheaper counterfeits. The branded industries need to invest huge amounts in research and development, marketing and advertising, which counterfeiters don't, of course. That's why branded goods are more expensive.
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2 Answer the questions.
According to the first speaker:
1 How does counterfeiting benefit consumers?
2 Why would she buy copies of brands?
According to the second speaker:
1 Which industries are affected by the problem in the European Union?
2 What are the most serious consequences of counterfeiting?
3 How are high prices of branded goods justified?
3 Which of the speakers are you most likely to agree with? Why?
Vocabulary tasks
A Match the following words with their definitions.
| shoddy | a | easy to attack | |
| flattery | b | small factories with bad conditions | |
| churn out | c | criminal | |
| vulnerable | d | poor quality | |
| perpetrator | e | praise | |
| sweatshops | f | mass produce cheaply |
B Choose the best word to complete each sentence.
1 Expensive _________fashion items are commonly copied products.
a excluded b invented c designer d prototype
2 Copies are so well made that they are almost ________ from the original.
a identical b the same c incomparable d indistinguishable
3 Many consumers prefer to pay more for a ________ brand.
a genuine b right c normal d reality
4 ________ manufacturers receive permission to produce branded goods.
a Partner b Associated c Agreed d Licensed
5 The overseas printer produced extra books and sold them ________.
a on the side b besides c inside d over the side
6 The music industry is very concerned about ________ infringement.
a patent b copyright c trademark d intellectual
7 Increased counterfeiting affects the brand owners' future ________.
a balancing b potential c profitability d finance
8 CDs and Videos are particularly ________ to piracy.
a easy b suspect c vulnerable d valuable
9 One legal action against counterfeiters is to take them to ________.
a justice b court c account d copyright
C Form the opposites of these adjectives and adverbs by adding in-, un- or il-.
Use a dictionary to help you.
1 distinguishable indistinguishable
2 vulnerable
3 legitimate
4 profitable
5 legally
6 willingly
7 visible
Language focus
Conditionals 1-3
A 1 Study these examples of conditional sentences and answer the questions below.
a Ifthere is high consumer demand for abrand it will be vulnerable to counterfeiting. (Type l)
b If so much of a product'sworth wasn’t tied upin brand and intellectual property it wouldn't be so easy to sell poor quality substitutes. (Type 2)
c If we hadn't produced overseas, we wouldn't have had the pirate copies flooding the market. (Type 3)
1 Does each example refer to past, present or future time?
2 In c did the company produce overseas?
3 In c did pirate copies flood the market?
4 Which examples refer to a situation that is unreal or unlikely to happen?
5 Which example refers to a situation that is likely to happen?
2 Match the two halves to form the correct conditional forms.
Type 1: if + apresent tense, a would / could + verb
Type 2: if + a past tense, b would / could have + past participle
Type 3: if + had + past participle, c present tense or modal verb
B Complete the sentences with the correct forms of the verbs.
1 If I (have) 'd had enough money, I (buy) 'd have bought a real Rolex
but I just didn't, so I bought a fake.
2 If local counterfeiters only (pay) ________ a fine of $1,000 when they are caught they (keep on) ________ producing counterfeit goods.
3 There (not/be) ________ so many imitation drugs on the market if the prices of the genuine products (not/be) ______ so high.
4 If we (not/drop) ________ our prices in the region I think we (be) ________ vulnerable to counterfeiting by local companies.
5 We (not/manufacture) ________ locally if we (not/trust) ________ them to produce only the agreed quantities. It's been fine so far.
6 If I (know) __________________ it was a fake, I (not /buy) ________ it.
7 We're considering introducing some sophisticated anti-counterfeiting
features but it (cost) ________ a lot of money if we (use) ________ them.
8 I (not/work) _________________ for a counterfeiter if I (can/get) ________ another job elsewhere, but I can't.
C Read the article below and decide which word (A-C) best fits each space
(1-10). The exercise begins with an example (0).