Fake Apple Store fallout

By , ITworld |  IT Management, Apple, Apple Store

An employee stands inside a fake Apple Store in Kunming, Yunnan province July 22, 2011. The fake Apple store in China, made famous by a blog that said even the staff working there didn't realise it was a bogus outlet, is probably the most audacious example to date of the risks Western companies face in the booming Chinese market. The less-publicised phenomenon of unauthorised vendors setting up shop to peddle real products has grown alongside China's manufacturing prowess. Many of the factories that produce brand-name goods on contract have been known to do extra runs of the goods to make extra cash, analysts say.

REUTERS/Aly Song

A posed picture shows a fake iPhone 3GS charging next to an Apple logo on a Macbook Air laptop in Beijing July 22, 2011.

REUTERS/Jason Lee

Last week, news by a solo blogger using the name BirdAbroad broke the news about at least two fake Apple stores in Kunming, China. Her story was titled "Are you listening, Steve Jobs?" and got worldwide play almost immediately. She followed that story with several more, including today's "Kinming Fake Apple Stores Shut Down." However, the global press has run with this, and the stories are everywhere.

And the conversations have taken several interesting turns. Some stories relate how hard it must be to control intellectual property issues in China. Some talk about the obvious anguish of legit Apple resellers in Kunming and across China that see the stores remain open. And many wonder why in the world Apple hasn't said anything? Evidently, Steve Jobs wasn't listening.

Wake up, Apple

Has anyone considered that Apple must not have sufficient distribution in China? In the USA, just about every upscale mall has an Apple store. But in the huge country of China, there are four stores and they are in just two cities?
Rich_F on seekingalpha.com

If Apple responded to every issue concerning it, its products or its people it would have a staff of thousands working in PR. I prefer it that, by and large, Apple lets its products do the talking.
steftheref on seekingalpha.com

Apple has 4 stores in all of China and this guy opened 5 stores in one city. He's got some balls, I'll give him that.
DSpider on tomsguide.com

This is an interesting concept. If you own a store that mostly sells legitimate Apple products, do you have the right to call yourself an Apple store?
Shin-san on tomguide.com

Wake up, China

I wonder which path has China taken to become the “world’s second-biggest economy”. Humm… I wonder….
PathFinder on birdabroad.wordpress.com

Congratulations on exposing yet another shonky Chinese business/central government practise seekingfoolishness on seekingalpha.com

It is very difficult for me, who knows the Chinese mentality and culture well, to see why anyone outside of China would do business in China. Apple for one has been an example of short-sighted company, which allows the quick profits to blind them from long-term problems – big problems.
Veritas on birdabroad.wordpress.com

Piracy goes on, no matter what

lol, no one lost the job, the store is on and gets more business than ever before. The owners are alleging with certainty all the items are genuine, only the store is pirated. LOL again
romanicus on birdabroad.wordpress.com

There won’t be any sort of systematic crackdown on fake stores as long as they don’t start hurting the interests of state enterprises.
one on birdabroad.wordpress.com

Do you believe: A) Chinese entrepreneurs triumph no matter what, B) Apple got Jobbed here, or C) Apple is cool with this as long as they get the money from the products?

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