An analysis of the extent to which distributors deal with the counterfeit problem in Tanzania: the case of electronic goods

This study is based on the prevailing issue of counterfeits of consumer electronic goods. Studies have proved it to be a problem to the world economy. Regardless of many addresses, its existence is rapidly increasing. This study then has embarked on analyzing the extent to which distributors deal with the counterfeit problem in Tanzania. It aimed at examining the understanding and perception of distributors towards counterfeit electronic goods, analyzing the challenges that they encounter and identifying their contributions on government efforts towards addressing counterfeits. To attain these, collection of secondary and primary data through a descriptive research design was done. The gathered qualitative and quantitative data were analyzed to bring out findings. Findings reveal that distributors are aware of counterfeit electronic goods and are highly negative on their existence as they cause loss of brand integrity and customer loyalty. Distributors have identified associated challenges among being fraud in importation of counterfeits, loss of brand image and customer loyalty and absence of a forum to raise their opinions. Though they do not implement any, distributors currently propose some strategies against counterfeits. This led to conclude that, with the identified challenges, the government should involve all stakeholders in its fight against counterfeits. With this understanding, the study recommends for distributors to create ant-counterfeiting associations for information sharing and undertake proactive changes in marketing mix. The government should recognize the contribution of distributors and amend the Merchandise Marks Act, 2002 that it may cope with the situation.