According to the World Customs Organization… Chinese counterfeits account for nearly 2% of world trade.
One of the risks of having a successful brand is counterfeit products appearing on websites, street markets, and even within your own supply chain. According to the World Customs Organization, 75% of all counterfeit goods seized worldwide between 2008 and 2010 were produced in China, and Chinese counterfeits account for nearly 2% of world trade. That fact combined with 1.4 billion potential customers for your product provide excellent reasons to establish an anti-counterfeiting program right at the source of the problem.
We have unparalleled experience tracing the source of counterfeit goods, gathering the necessary evidence and taking swift action against counterfeiters. Our team of dedicated investigators are stationed in counterfeit hotspots all over China and have a vast network of informants supplying them with information in key supply chains.
Our Anti-Counterfeiting services include:
- Investigation of Known Counterfeiters (both online and offline)
- Gathering Intelligence on Counterfeiters (sightings)
- Surveys of Online and Offline Markets
- Administrative Enforcement Action
- Criminal Enforcement Action
- Market Surveys and Sweeps
- Notarization of Infringement
US companies and other entities should take strong precautions against the insider threat
– Overseas Security Advisory Council
When setting up valuable operations in Asia, security must be a priority. Security measures set by headquarters abroad may not be effectively implemented by local staff, putting your workers and other assets at risk, especially when using third-party suppliers. Local competitors, criminals, and even your own employees stand to profit from theft of your physical and intellectual assets. A report by the Overseas Security Advisory Council in particular notes that “US companies and other entities should take strong precautions against the insider threat”.
CBI has worked with multinationals’ own facilities and third-party suppliers to ensure that vulnerabilities are successfully identified and addressed. Our skilled team of auditors have prevented thefts of prototypes, provided training to security managers, and discovered issues such as diversion and overproduction in legitimate supply chains. We have provided security details for executives visiting the region and extracted corporate hostages.
Our Security and Incident Response services include:
- Site Security Audits and Training
- Supply Chain Investigations and Surveillance
- Vulnerability and Penetration Testing
- Incident Management and Threat Response
- Travel and Event Security Assessment
- Incident Reporting Hotline Management
In 2013, the U.S. Department of Justice and the SEC together collected over US$635 million in civil and criminal penalties from individuals and corporations for FCPA-related offences
Companies with operations in multiple jurisdictions must ensure their commitment to compliance with the U.S. Foreign Corrupt Practices Act (FCPA) and U.K. Bribery Act. As foreign investment in Asia continues to grow, so too does the level of scrutiny placed on companies operating in the region. Proper investigations into partners, suppliers and subsidiaries, along with the implementation of anti-corruption compliance policies can help to avoid costly fines, potential litigation and adverse effects on share price.
CBI has extensive experience working with in-house teams and external counsel to create programs and best practices, whilst encouraging a culture of compliance. Whether performing introspective policy reviews, assessing corruption risk of third-party suppliers, or creating a new program from the ground-up, our team has the expertise to guide you.
Our Anti-Corruption Compliance services include:
- Anti-bribery and corruption (FCPA/ U.K. Bribery Act) investigations
- Third-party and vendor corruption screening
- Internal corruption risk assessment
- Corruption policy audit and review
- Whistleblower hotline management
- Internal investigation in response to whistleblowers
- Training on anti-corruption policies and best practices
A well-run internal investigation can enhance a company’s overall well-being and can help detect the source of lost funds, identify responsible parties and recover losses
– Association of Certified Fraud Examiners
Disputes and misconduct inevitably arise when large companies cross borders. Internal investigations of your facilities and third-party suppliers can discover numerous business risks. Companies engaging in operations in Asia frequently encounter child labor, internal fraud, corruption, theft and other issues, and unfortunately often only become aware of these issues after they have been seized by the media.
Our investigators have discovered potential problems during routine inspections and uncovered key facts to support internal allegations. We have worked on cases spanning a vast range of issues across a broad variety of industries. We aim to provide objective, discreet investigations, whilst causing minimum business disruption, and often work in conjunction with internal and external legal counsel.
Our Investigations and Surveillance services include:
- Facility Monitoring and Inspections
- Discreet Site Visits
- Investigative Response to Internal Allegations
- Fraud and Complex Financial Investigations
- Infidelity Investigations
- Private, Tailored Investigations
Undertaking a due diligence investigation prior to engaging in a trade transaction can minimize risk of encountering commercial disputes
– U.S. Department of Commerce
Prior to any agreement or transaction, it is essential to assess potential partners’ financial standing, organizational structure, reputation and capabilities. Conducting these assessments in countries with less transparency and more business risks can be challenging but can be the difference between long-term success or failure. Whilst internal checks and balances can address some of these concerns, an independent perspective provides invaluable insight.
CBI is a leading independent specialist providing due diligence and business critical investigations. Our research and investigative services provide our clients with valuable insights on deals, listings, stocks, companies and personalities, to facilitate important investment and transaction decisions in the world’s fastest-growing markets.
Our Due Diligence services include:
- Pre-transaction investigations
- Mergers and Acquisitions due diligence
- Joint-Venture partner screening
- KYC inquiries
- Financial due diligence
- Reputational and red flag checks
Business operations in Asia, whether manufacturing products, selling goods and services or opening storefronts, can be a major source of growth. Unfortunately, this also opens any business to a large number of risks, especially as for many companies this is an unfamiliar environment. Product safety concerns, compliance issues, and concerns with factory workers have forced global players to rethink their China strategy and take a more cautious, structured approach.
Asia is a veritably challenging and complex business environment and requires intensive research and intelligence to enter, establish a presence, and operate successfully. We bring our local expertise, constant diligence, and on-the-ground intelligence to represent your business interests.
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with the judicial reform of China in the last decade… the law constantly empowers parties with additional litigation rights
– Chambers and Partners
In today’s international business world, Asian governments are actively seeking to attract investment through improved legal recourse. According to Chambers and Partners, “with the judicial reform of China in the last decade… the law constantly empowers parties with additional litigation rights”. For both litigative and alternative dispute resolution, businesses and their legal counsel require hard data, evidence, and analysis to ensure a successful outcome.
Our team has experience spanning a number of industries and commercial disputes, working closely with both internal and external counsel. We have investigated, researched and managed thousands of cases, often with international implications. The evidence we have gathered has resulted in clear chains of evidence and class action lawsuits.
Our Litigation Support services include:
- Discreet Fact-Finding Investigations
- Identification and Interviews with Potential Witnesses
- “Test” Purchases and Notary Purchases
- Asset and Person Tracing
- Market Research for Loss Valuation
- Background Checks on Expert Witnesses
Competitive intelligence allows you to evaluate your potential market share before entry into new economies in Asia
Your company’s position amongst competitors can be difficult to determine, especially when comparing companies from different countries operating in rapidly developing business landscapes. Competitive intelligence allows you to evaluate your potential market share before entry into new economies in Asia.
CBI has assisted multinationals to successfully enter and dominate markets in Asia while avoiding costly entries into immature locales. Our intelligence has allowed clients to adjust services that match and beat their closest competitors. Our experience with many jurisdictions and industries has led to discovery of patent infringement, theft of trade secrets and dumping.
Our Competitive Intelligence services include:
- Market research and surveys
- Identification of unmet customer needs
- Product and price comparisons
- Assessing competitor perceptions and capabilities
- Discovery and response to market trends
- Counterintelligence training for trade secrets
With over 1.8 million trademark applications in 2013, and a first-to-file system, China in particular is a high risk country for trademark squatting and dilution
How secure is your brand? How large is your risk of copycats and counterfeits? Do you have any recourse if you discover these? According to the U.S. Patent and Trademark Office, only 15% of small businesses doing business overseas know that a U.S. trademark provides protection only in the United States. Many of these will manufacture in Asia, and put their brand at risk. Famously, many businesses, including some of the world’s largest names, have wanted to enter the Asian market only to find that someone else has already registered their trademark. With over 1.8 million trademark applications in 2013, and a first-to-file system, China in particular is a high risk country for trademark squatting and dilution.
We have worked with brand owners to ensure that their brand is secure. We explore which further protection is needed when suppliers handle sensitive material and that there are enforceable consequences should the worst happen. We set up programs to ensure that brands are not slowly eroded by cheap copycats and remain a respected brand for Asian consumers. CBI works with enforceable IP rights every day and can advise clients accordingly.
Our Brand Security services include:
- IP Security Audits
- Brand Dilution Investigations
- Trademark Opposition Investigations
- IP Acquisition Due Diligence
- Discreet IP Acquisition
- Brand Vulnerability Testing
In depth knowledge regarding potential partners, suppliers, employees and buyers is essential for long-term business success
Background investigations are your first defense against potential corporate threats. In depth knowledge regarding potential partners, suppliers, employees and buyers is essential for long-term business success. This knowledge however, is not always made readily available during initial discussions and inquiries.
CBI provides a comprehensive look into the reputations and backgrounds of both companies and individuals to verify their qualifications, and expose controversies or exclusions of information that could lead to future problems. Whether it’s a potential joint-venture partner, a new vendor in your supply chain or your company’s next regional director, CBI’s experience and expertise helps our clients make informed, calculated decisions.
Our Background Check services include:
- Supplier vetting
- Executive background checks
- Employee pre-hire screening
- Employment verification
- Education and professional qualification confirmation