Profiting from being pirated by pirating the pirates

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14 January 2014
By CEE-M

Pirates are not only copiers, they can also be innovators. They possess skills and a creative capital that allow them to explore new directions. Their innovations can be freely and profitably re-appropriated by the high-end designers of the pirated firms. Creative pirates are engaged in a kind of tacit reciprocity, where they appropriate illegally creations of high end designers and launch modified or new versions that can in return inspire in a profitable way, the designers of the original fashion houses. Moreover, pirates can create a pro-competitive environment that stimulates the innovative abilities of the pirated firm at unexpected levels without piracy.