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The IUP Journal of Marketing Management
Understanding the Drivers for Purchasing Non-Deceptive Pirated Products: An Indian Experience
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The study aims to understand the drivers for purchasing non-deceptive pirated products and the effect of demographic factors on purchasing criteria for choosing non-deceptive pirated products. The primary data was collected through a structured questionnaire from the respondents in Gandhidham-Adipur, a city in the state of Gujarat in western India, and was analyzed. This study was focused on those buyers (students and nonstudents) who have recently bought counterfeit product/s. Although ‘price’ was found to be a major criterion for identifying and buying pirated products, other non-price drivers were also found to induce the consumers to buy such products. The study also found the impact of demographic characteristic of respondents on the importance attributed to different drivers. Piracy and product counterfeiting are a severe threat to licit companies and consumers alike. As literature abundantly focuses on the general description or supply-side investigation of the problem, and due to paucity of research in the Indian context, the present study attempts to fill the gap by providing empirical evidence of drivers for purchasing pirated products, investigating the demand-side determinants (individual level) in the Indian context.

 
 
 

Counterfeits are reproductions of a trademarked brand (Cordell et al., 1996) which are closely similar or identical to genuine articles. This includes packaging, labeling and trademarks, to intentionally pass off as the original product (Kay, 1990; Chow, 2000; and Ang et al., 2001). Counterfeiting and piracy are in essence the same since they are both illegal reproduction of identical copies of authentic products. These two terms have been used interchangeably (Wee et al., 1995; and Kwong et al., 2003). However, piracy is mainly related to software and fixed medium content such as film and music recordings (Chow, 2000; and Cheung and Prendergast, 2006). Buyers may acquire counterfeit articles either because of not being aware of it (deceptive counterfeiting) or in spite of knowing the illegal nature of the product (non-deceptive counterfeiting) (Staake et al., 2009). In the first case, the buyer is a victim, who unknowingly purchases counterfeit goods since they resemble the genuine goods very closely (Mitchell and Papavassiliou, 1997; Grossman and Shapiro, 1988; and Tom et al., 1998). However, in the second case, the buyer is a willing consumer of counterfeit products, wherein s/he purchases counterfeit products even when s/he knows that the products are illegal (Cordell et al., 1996; and Prendergast et al., 2002). Research addressing awareness, purchase intentions, demographic characteristics or the attitudes of counterfeit consumers makes up the largest portion of the publications dealing with the counterfeit goods (Staake et al., 2009). But most of these researches have been conducted in the US, Europe and some Asian countries like China, Taiwan and Singapore. Business Action to Stop Counterfeiting and Piracy (BASCAP, 2009) had put some efforts in understanding the Indian consumers’ attitude towards counterfeiting and piracy. But their effort was limited to metro cities. The present study therefore attempts to study the drivers for purchasing pirated products in the context of smaller Indian cities. The paper first reviews the related literature and explains the adopted research method. It then analyzes and interprets the data, discusses the limitations of the study and throws light on future research avenues before concluding. Literature Review Counterfeiting research is classified into investigations of supply-side aspects and demand-side aspects (Bush et al., 1989; and Bloch et al., 1993). However, Staake et al. (2009) have proposed six categories of counterfeiting research, namely:

 
 
 

Marketing Management Journal, Understanding, Drivers, Purchasing, Non-Deceptive, Pirated, Products, Indian, Experience.