Counterfeit products: Alibaba ‘highly unlikely’ to take proactive steps to end grey/black market

Chinese e-commerce giant Alibaba is highly unlikely to take major steps to shut off the grey or black market on its online platforms without an effective reason to do so, according to an industry expert. Responding to IBTimes UK, with regard to the Paris-based Kering SA brands’ lawsuit against Alibaba over the sale of counterfeit products on its websites, Brian Buchwald, CEO of consumer intelligence company Bomoda, said Alibaba’s marketplace facilitates billions of dollars of annual transactions related to grey and black market goods in the heart of their domestic market. “The effect for the luxury label is a loss of direct consumer relationships, a loss of the control of their trademark and product quality, and the significant diminution of revenue,” he says.

http://www.ibtimes.co.uk/counterfeit-products-alibaba-highly-unlikely-take-proactive-steps-end-grey-black-market-1502811