Hammer's Hardware, a nationwide chain of hardware stores, sells a line of tools under the Hammer's brand even though they were actually produced by another firm. Since the products are actually produced by another firm, the Hammer's Hardware brand is an example of a knockoff brand.

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Knockoff brands are illegal copies of brand-name goods. However, there is nothing illegal about a firm (such as Hammer's Hardware) putting its brand on a good produced by another firm. This is an example of a dealer (or private) brand. Many retailers (the text cites the example of Sears) use this type of brand.

Hammer's Hardware, a Nationwide Chain of Hardware Stores, Sells a Line