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In view of rising cases of gray market on digital products in Nigeria, Regional Manager, Fujitsu Africa, Adrain Cafferkey has offered two-way alternatives to end the scourge.
Fujitsu is a Japanese brand with quality products and services, noted that it has also become very important for economies to digitize their products and services.
In an interview, he said patronage of indigenous products and introduction of low price digital devices would do a lot in neutralizing gray products in emerging markets and Nigeria in particular.
Latest World Bank report revealed that global economies lose between $600 billion and $700 billion yearly to counterfeiters and theft of intellectual property and much of the losses take place in emerging markets due to lack of anti-gray market policies and actions.
The markets for counterfeit and pirated products are of two genres – primary and secondary.
Within the primary market, consumers purchase counterfeit and pirated products believing they have purchased genuine articles, while at the secondary market, the buyers duly know what they are purchasing is fake but for the price.
According to Cafferkey, “It may be one dollar cheaper bringing the products from across the globe to the local market, but most don’t have warranty and may be difficult to fix damages when they occur. Rather than building Donald Trump’s America, it is better to support the local, buy local, invest in local businesses and economy. Good business should not be allowed to slip out of the country. Every gray market activity must be curbed and tackled adequately.”
Explaining more, the Chief Executive Officer, IQ Distributions, Ameachi Ani, a Fujitsu partner in Nigeria said activities of gray marketers slow the economy and affect market expansion.
“One thing we have understood with products distribution in Nigeria is that there are challenges, but surmountable.
One thing to do to keep counterfeiters, gray marketers at a distance is to introduce a low price. The problem we see with the competing brands is that once they get into the market, they are selling, making profit, doing business, then they push up the price, when you keep the price high, the bad guys will come in between, and make some profits, but when you keep the price affordable, constantly, it will be difficult for them to come in and survive in such market.
“It is also important for products to be a specialist product, which becomes difficult to copy, imitate. Such brands don’t get damaged,” Ani noted.