New product easily copied

Re: [spiers] New product easily copied

Hi Fellow Marketeers:

Hate to break the bad news but China's Manufactures can duplicate any product
and have it to market in less than two weeks without regard to property rights
or pricing structures. I recently had a long conversation with a leading
designer of computer products based in Taiwan & China about the problem and he
stated that his organization plans on profit margins disappearing in about six
months on average because of the rapid duplication. Still plenty of money to be
made on unique products, just don't produce much more than you have orders for.

RoseFab
----- Original Message -----
From: wileyccc@aol.com
To: spiers@yahoogroups.com
Sent: Tuesday, July 06, 2004 6:54 PM
Subject: Re: [spiers] New product easily copied



In a message dated 7/6/04 6:23:59 PM, Splash10@aol.com writes:

<mimicked. Our concept employs an already widely used device, which any other
company
could get a hold of, and then change its size, for another use.

***Employs, or is.... if it IS an already widely used device, then you'll
have to compete on price..hard to do...***

It is really quite clever and I'm surprised no one has thought of it yet, but
it really is more readily "copyable" than most things we've come up with. I
know everyone always says they think their product will be copied, but with
this particular one, (since it's so easy to do,) it's a certainty the moment
we
have the item in the stores.

***I am not sure why you would think it would be copied so quickly, assuming
it is something you have designed..and if so, to whom will they sell it? Your
customers, not likely... they get it from you. WalMart? What do you care,
WalMart is not your customer anyway.***

We have done our market research, and asked for this item at retailers, and
stores have said it was a good idea, and they would carry our product.

***Upscale stores, right?***

One way to go, is to penetrate the market fast enough so you get the first
gains on it, and then realize that a competitor will see it, and make
something
similar. This would require making umpteen thousands of these widgets.

***There is no profit in this...if it is to be stolen anyhow, why invest in
overhead and distribution that you cannot recover with repeat business?***

Another way, would be to conceive of the design, and license it to a
manufacturer who has the market share and positioning to bring this forward
in mass.

***If it is a readily available item, why do they need you?***

My advice would be to go back to the stores, see if they would place orders
aginst the samples... if so, then refuse any orders, tell them you want the
names of leading reps in your area. Then go to those reps and get them to get
those orders from stores you have identified and more. if you can get enough
orders in a workabl amount of time to cover trhe suppliers minimum,
profitably,
start with that... and get repeat biz and allied items to build your own biz.
I sincerely doubt anyone will steal your idea as you believe. But even if
anyone does, you'll see you have so many options having begun the process that
you won't regret losing this item.***

John

I'm wondering if you can discuss the best ways to approach this?>>

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