International Economics 8th Edition by Dennis Appleyard, Alfred Field

Exercise 9

In recent years, U.S. firms have become very concerned about the increasing production of "pirated" and "counterfeit" goods abroad, especially in Asia. Successful U.S. export products are copied by foreign producers without payment of royalties and/or adherence to patent or copyright protection. How might this phenomenon affect the product cycle and new product research and development in the United States?