Why Consumers Buy Counterfeit Products ? A Case Study of the Indian Clothing Industry

Abstract

The Indian textile and apparel industry is one of the pioneers in the world with an enormous raw material and manufacturing base. Globalization has brought radical changes for India in terms of increased FDI, trade, and commerce. However, it has also opened up the gates for the counterfeiters to use India's low-cost manufacturing base for the production and distribution of counterfeit apparels. The presence of counterfeiting in textiles and apparel industry has become a serious concern for genuine brand manufacturers, policy makers, and for the government. Counterfeiting has become a problem of immense magnitude. The present study explored the counterfeit markets of Chandigarh in order to study the counterfeit consumption behaviour among consumers and also tried to identify the key demographic determinants influencing consumers' buying intentions. The results confirmed that income and age of the consumers played a significant role in consumers' buying intentions for purchasing counterfeit products, while marital status was found to be insignificant. Finally, the study provided anti-counterfeiting measures and strategies to combat counterfeiting in the Indian apparel industry.