Protection from counterfeits in auto industry
According to the study of the auto global market by the International Organization for Economic Cooperation and Development (OECD):
Principal threats of counterfeits for consumers:
- Auto spare parts authenticity is not guaranteed at unauthorized locations;
- In most countries customs regulations treat as counterfeits even authentic auto spare parts imported without explicit authorization by trademark holder’s representative office;
- Counterfeit auto spare parts are often offered at lower prices due poor quality and even unsatisfactory materials used in manufacturing and absence of licensing contributions. These products are usually available at small car services and unauthorized shops;
- Reputation damage to original brand is acutely tangible due to cutthroat competition in auto industry;
- Consumers risk paying authentic product price for counterfeit low-quality products.