Some counterfeits are produced in the same factory that produces the original, authentic product, using the same materials. How do the factories pull this off and what is being done to prevent this type of crime?

Question

What will be an ideal response?

Answer 1

The factory owner, unbeknownst to the trademark owner, orders an intentional overrun. Identical manufacturing methods and materials make this type of counterfeit—and it is still a form of counterfeit, as its production and sale is unauthorized by the trademark owner—impossible to distinguish from the authentic article without the employment of anti-counterfeiting measures.

To try to prevent their products from being counterfeited, companies may have the various parts of an item manufactured in independent factories and then limit the supply of certain
distinguishing parts to the factory that performs the final assembly to the exact number required
for the number of final products to be assembled (or as near to that number as is practicable)
and/or may require the factory to account for every part used and to return any unused, faulty, or
damaged parts. To help distinguish the originals from the counterfeits, the copyright holder may
also employ the use of serial numbers and/or holograms and so forth, which may be attached to
the product in yet a different factory.