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Unit 10 CounterfeitingThis unit is about counterfeiting and the unauthorized use of other people’s intellectual property. Counterfeiting is one of the toughest challenges facing the business world today: it is estimated that worldwide trade in counterfeit products amounts to about 10% of world trade, i.e. approximately $300 billion.Counterfeiting affects many business sectors, e.g. clothing, cosmetics, cigarettes, pharmaceuticals, computer software, automotive parts and alcoholic drinks. The consequences of counterfeiting are serious to the economy, as companies may be forced to shut down or make staff redundant as business suffers. They are also potentially serious to buyers, as the quality of counterfeit products may prove to be a safety risk, e.g. counterfeit brake pads for a car, or counterfeit pharmaceuticals. A key part of the unit is about the infringement of copyright in the music industry. Over the last five years there has been a massive rise in the use of the internet to infringe intellectual property rights, e.g. people sharing music or movies with other people over file-swapping or file-sharing networks, where no money is paid to the copyright holders. This is called ‘peer-to-peer’ (or P2P) file sharing. The original file-swapping network, Napster, was shut down in 2001 due to legal action by the music industry; however, other file sharing still continues. The music industry, now recognizing that file sharing will continue to exist, is working to turn file shares into purchases. In this way, P2P networks will become online markets that sell music legally, much like iTunes, Apple Computers’ online music store.Introduce the topic by asking Ss what they think the picture represents (it shows the destruction of counterfeit goods, including fake Disney Pooh bears). Also ask Ss what they understand by the title The globalization of deceit. Explain the vocabulary in the title and ensure that Ss understand that it means that counterfeit products have become a global problem. Ask what intellectual property might include. This unit focuses particularly on counterfeiting in relation to music so check that Ss understand what is meant by file sharing systems.Warming up1Ask Ss to rank the list in order 1–6, with 1 being the most dishonest infringement. Elicit Ss’ answers and ask them to explain their reasons. Then encourage Ss to think of otherexamples to add to the list; ensure that Ss include these additional examples in their ranked order.2One1consumers2overpriced; much less; chargeTwo1far outweigh2one year; competition3research and development; marketing; advertisingScript:OneYou have to admit counterfeiting benefits consumers, particularly in developing countries, by giving them access to lower-price goods, such as medicines, that they might not otherwise be able to afford. Anyway, some brands are just so overpriced I think it’s great to get almost the same quality for much less than those ridiculously high prices they charge.TwoI think the costs of counterfeiting far outweigh the benefits. Think of the enormous cost to companies who make clothing, toys, software and pharmaceuticals and the unemployment caused by it. I mean 17,120 jobs were lost in the European Union in just one year due to competition from cheaper counterfeits. The branded industries need to invest huge amounts in research and development, marketing and advertising, which counterfeiters don’t, of course. That’s why branded goods are more expensive.3patents; intellectual property; copyright; trademarks; fakes; Digitisation; file sharing; downloadingUnderstanding the text11 D2 B3 C4 E5 A2forged currency, imitation designer fashion, software, CDs / DVDs, medicines, mobiles phones, food, drink, car parts, tobacco31It has broadened the range of goods vulnerable to copying, dramatically improved their quality and lowered their cost of production.2By bribing employees, getting brand owners to hand over the master without realizing what they are doing, or by licensees doing unauthorized production overruns3Street stalls or shops anywhere in the world, or the internet4Loss of sales, loss of brand value, long-term threat to profitability, cost of anti-counterfeiting measuresLanguage work11 C2 D3 A4 D5 A6 B7 C8 C9 B22 invulnerable3 illegitimate4 unprofitable5 illegally6 unwillingly 7invisible32E 3I 4G 5C 6H 7D 8A 9J 10F41 from2 out3 of4 at5 of6 of7 to8 at51Once they put imitation designer fashion, software and CDs into mass production.2This improved their quality and cut their cost of production.3Someone copies and imitates something without permission in order to deceive or defraud, which is called counterfeit.4Their brand value goes down because of shoddy imitations, which is a long-term threat to profitability.5Companies also use these methods, such as tracking their products through the supply chain and distinguishing genuine articles from fakes, especially taking some legal actions.61从前的仿品都是对正品廉价劣质的仿造，而与此不同的是，当今仿品的包装和内容（尤其是电子产品，如软件、音乐CD和DVD）都与正品相差甚微、难辨真假。
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