Piracy

· Piracy, Counterfeit, Copyrights, Patents

· Mean 100% tariffs on all China products imported into the Unites States.
· Also 2 billion in trade sanctions.

· This didn’t scare the minister of trade
o He retaliated by imposing trade sanctions himself from beef to mini vans.

· Were they scared of the American influence?
§ Or
· Were the Americans being too aggressive?

· Why Aggressive you might ask. Well I say aggressive because piracy has been growing and is virtually unstoppable..

· China never set regulations to deter this crime but instead broke it by closing down factories and forcing fines.

· When 98% of the software market is pirated it is very difficult and costly to jail all these individuals.

· Instead why not just tax the US and other countries to make up for their sanctions.

· Controlling Piracy efforts were later made as:

· April 8, 1999 Prime minister Zhu Rangji announced that it was illegal to use pirated software in the government systems.

· He assited the Software and Information Industry Association in cracking down underground factories.

· So if economics show that a 10% decrease in piracy would help the job market and create 77.7 millinon in government revenue would the government resist this change for such a long time.

· Some economist say that there was just no control at early stages thus creating a situation that nobody could handle.

· Others say that there is a greater cost savings if they decide not to use licenses for each individual person. In the long run as more computers are used and more software is developed it will ultimately cheaper for China to keep the pirates software.


· www.mgtrading.com

Category: Miscellaneous