INVESTMENT IN ANTI-COUNTERFEIT LABEL FOR BRANDED FIRM - TAKE MAOTAI AS AN EXAMPLE

Ran Wang
2016 Eurasian Journal of Economics and Finance  
The paper examines the anti-fake investment for the branded product market. Through the analysis of the special branded market, the conditions for the sustainable naturalized anti-fake equilibrium and subsidized anti-fake equilibrium are given. The paper shows that when the profit loss with entry deterrence is small, naturalized anti-fake equilibrium exists. When profit loss is intermediate, subsidized equilibrium exists. However, when profit loss with entry deterrence is really large, it would
more » ... lly large, it would be beneficial to the society to have some degree of fake product and antifake is harmful to the society.
doi:10.15604/ejef.2016.04.03.004 fatcat:eitv54heu5amvad2agldjce5ru