Counterfeiting poses a major problem for international companies and consumers alike. The World Customs Organization estimates that $600 billion worth of knockoffs are sold each year, about 7 percent of all goods worldwide.

CFO - 20 June 2008  The U.S. Customs and Border Protection agency says it seized $196.7 million worth of counterfeit product last year, up from $155.3 million in 2006. However, as the number of counterfeit products has increased it seems the products being imitated are getting more dangerous. Fake medications, automotive parts, and electrical components all present severe safety problems, and are all on the rise. Other commonly imitated products include electronics, purses, watches, computer hardware, and designer sunglasses. China is considered the worst offender when it comes to counterfeiting, with 80 percent of the products confiscated by U.S. customs in 2007 originating there. Completely avoiding counterfeiters is next to impossible for a popular brand. However, there are a number of steps companies can take to avoid becoming easy targets. Supply chain management, taking civil and criminal action against counterfeiters, adding product elements that make producing copies more difficult, and educating consumers and business partners to identify fakes are just some of the strategies companies can use to thwart counterfeiters. Companies should also ensure their trademarks are registered with customs officials around the world and institute a program for consumers to report counterfeit products.