Counterfeiting: Friend or Foe of Luxury Brands? An Examination of Chinese Consumers’ Attitudes Toward Counterfeit Luxury Brands

Abstract

ABSTRACT While the Chinese luxury industry is enjoying rapid growth, the market for counterfeit luxury brands is growing equally fast. There are contradictory views regarding the role counterfeit luxury brands play in the marketplace. Luxury brand owners denounce counterfeit luxury products for harming the reputation of luxury brands and reducing their profitability. Others believe that the availability of counterfeit luxury products may help increase the brand awareness of luxury names and thereby make authentic products more sought after. In this study, we examine the impact of counterfeit luxury products from the consumers' standpoint. Specifically, the authors investigate whether and how Chinese consumers with different luxury consumption experiences view counterfeit luxury products differently. The study contributes to a better understanding of Chinese consumers' attitudes toward counterfeit luxury products and thus helps marketers and policy makers develop more effective strategies for dealing with the issue. KEYWORDS: Brandconsumer behaviorcounterfeitsglobal brandluxury goods ACKNOWLEDGMENT The authors gratefully acknowledge financial supports from the National Natural Science Foundation of China (71172036, 71232008). The authors contributed equally to this article.