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Consumer decisions in the black market for stolen or counterfeit goods

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  • Casola, Luca
  • Kemp, Simon
  • Mackenzie, Alexander

Abstract

Three studies investigated hypothetical consumer behaviour in buying stolen, pirated or counterfeit goods from the black market. Study 1 found that both students and members of the general public rated the acceptability of such purchases higher when the victim was an organisation or society rather than an individual, and when there was a survival need rather than not otherwise being able to afford the good or wanting to save money. Study 2 used an adaptive method to find the price at which hypothetical consumers would buy from the black market rather than legally. The price was higher if the victim was society or an organisation, was little affected by the legal price, and generally averaged about a third of the legal price. Study 3 found that providing participants with information about the costs incurred by victims lowered the price they were willing to pay for black market goods, and increased the number of refusals to buy at any price.

Suggested Citation

  • Casola, Luca & Kemp, Simon & Mackenzie, Alexander, 2009. "Consumer decisions in the black market for stolen or counterfeit goods," Journal of Economic Psychology, Elsevier, vol. 30(2), pages 162-171, April.
    • Handle: RePEc:eee:joepsy:v:30:y:2009:i:2:p:162-171
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    References listed on IDEAS

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    2. James E. Prieger, 2023. "Tax noncompliance: The role of tax morale in smokers' behavior," Contemporary Economic Policy, Western Economic Association International, vol. 41(4), pages 653-673, October.
    3. Haesun Park-Poaps & Jiyun Kang, 2018. "An experiment on non-luxury fashion counterfeit purchase: the effects of brand reputation, fashion attributes, and attitudes toward counterfeiting," Journal of Brand Management, Palgrave Macmillan, vol. 25(2), pages 185-196, March.

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    Keywords

    Black market Counterfeiting;

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