Full Project – Design and implementation of fake product review monitoring system
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CHAPTER ONE
INTRODUCTION
1.0 INTRODUCTION
Fake product means to imitate something authentic, with the intent to steal, destroy, or replace the original, for use in illegal transactions, or otherwise to deceive individuals into believing that the fake product is of equal or greater value than the real thing. Counterfeit products are often produced with the intent to take advantage of the superior value of the imitated product. Almost every company faces a counterfeit threat because it is not only affecting a company’s revenue, but also damages the brand’s reputation. Most of these companies are failing because of this loss. Globally, most markets are flooded with fake products that are juts counterfeit of the original produced by unlicensed criminals for goal of profit generation. The counterfeit market and counterfeit goods are on the rise. Government and state-owned organizations are taking steps to prevent this. A product sold in the counterfeit market may be counterfeit or original, although this is considered a violation of a sale rule.
According to Bollinge (2016), counterfeiters create serious problems for authentic businesses, but too many people are unaware of the full extent of the impact of counterfeit goods on brands. Counterfeit marketplace can affect the development of a country. Counterfeit products are fakes or unauthorized replicas of the real product. All the leading companies are making many efforts to stop this counterfeit product. Counterfeit products endanger consumers and cause serious physical harm to certain products.
According to the study of Counterfeiting Intelligence Bureau (CIB, 1997) of the International Chamber of Commerce (ICC), counterfeit goods make up 5 to 7% of world trade; however, these figures cannot be substantiated due to the secretive nature of the industry. Counterfeit products tend to have fake company logos and brands (resulting in patent or trademark infringement in the case of goods), have a reputation for being lower quality (sometimes not working at all) and may contain toxic substances such as lead. This has resulted in the deaths of hundreds of thousands of people, due to automobile and aviation accidents, poisoning, or ceasing to take essential compounds (e.g., in the case a person takes non-working medicine).
Madura et al. (2016) stated that some people see the rise in counterfeiting of goods as being related to globalization. As more and more companies, in an effort to increase profits, move manufacturing to the cheaper labour markets of the third world, areas with weaker labour laws or environmental regulations, they give the means of production to foreign workers. These new managers of production have little or no loyalty to the original corporation. They see that profits are being made by the global brand for doing little (other than advertising) and see the possibilities of removing the middle men (i.e. the parent corporation) and marketing directly to the consumer. This can result in counterfeit products being virtually indistinguishable from original products, as they are being produced in the same company, and in damage to the parent corporation due to copyright infringement.
Rayana and Akoglu (2017) noted that the consequences of fake products have a severe negative impact on a brand’s reputation and, in turn, consumer trust. Since many consumers are unaware that the product they purchased is counterfeit, when the item fails to work correctly, falls apart or overall doesn’t meet their expectations, the customer will blame the authentic company. This results in the customer losing trust in the brand and also likely means that they won’t purchase from the retailer in the future. There is also a business threat of counterfeit products, as it results in a loss of revenue for the brand that is being copied. Simply put, when counterfeiters sell a product that looks the same as the original but at a lower price, the authentic brand will lose sales. Not so long ago, consumers were able to identify fakes fairly easily. Now, with the explosion of e-commerce and social media, the lines between real and fake are much more blurred.
Mukherjee et al (2015) were of the opinion that the impact of counterfeit goods on an organization run deeply, and can cause long-lasting damage. Brands will see a sales hit once the problem becomes widespread, since counterfeiters are able to undercut them on price. Their reputation is also under threat, since consumers will equate their brand with the possibility of buying a counterfeit. Red Points’ research has shown that, when made aware of widespread counterfeiting of a brand, most consumers will see that brand as less desirable. The actions of counterfeiters can also damage a brand’s value in the eyes of distributors and other partners.
Schmidle (2010) asserted that certain consumer goods, especially very expensive or desirable brands or those that are easy to reproduce cheaply, have become frequent and common targets of counterfeiting. The counterfeiters either attempt to deceive the consumer into thinking they are purchasing a legitimate item, or convince the consumer that they could deceive others with the imitation. An item which makes no attempt to deceive, such as a copy of a DVD with missing or different cover art or a book without a cover, is often called a “bootleg” or a “pirated copy” instead.
1.1 BACKGROUND OF THE STUDY
Counterfeit (fake) and substandard antimalarial drugs may contain no active ingredients, less than the required amount of active ingredients, or ingredients not described on the package label. Manufacturers of counterfeit drugs tend to copy more expensive brands of drugs and make them look like brand-name drugs. They may also repackage expired products and substitute a later expiration date, or they may package another drug or alternative substance as if it were an active product. Substandard drugs are made by manufacturers trying to avoid costly quality control and good manufacturing practices; these can result from deliberate or unintended lapses in the manufacturing process. These medicines may have too little or too much of the active ingredients and may not be absorbed properly by the body. If they are taken to treat an illness like malaria, they may be incompletely effective or altogether useless. A counterfeit or substandard treatment can prolong illness and increase the risk of severe disease or death (Juceie, 2013).
If substandard medicines are widely used, they can also select for drug-resistant parasites. The problem of fake and substandard malaria drugs is so widespread that the World Health Organization, Global Fund and the United States Agency for International Development have all developed guidelines regarding the procurement of malaria medicines.
Globally, some 200,000 preventable deaths occur each year due to anti-malarial drugs that do not work. Substandard and counterfeit medicines may be responsible for up to 116,000 malaria deaths annually in sub-Saharan Africa alone, according to recent World Health Organization estimates.
Fraudulent pharmaceuticals are on the rise. Reports of counterfeit or falsified anti-malarials rose 90 percent between 2005 and 2010 (WHO, 2019).
1.2 STATEMENT OF PROBLEM
Fake product reviews have become one of the major concerns and a big threat in today’s world. A fake product operation can directly harm the company’s growth and its longevity. Various organizations have been using many initiatives and modern technology to prevent counterfeit goods. But the company that manufactures that product, which is rare for consumers to believe in a product, is introducing many modern technologies such as barcode and QR code. Customers consider their mobile application as a solution that helps companies and customers identify the authenticity of products. In the medical and health sector, a counterfeit or substandard treatment can prolong illness and increase the risk of severe disease or death. If substandard medicines are widely used, they can also select for drug-resistant parasites. It is on this backdrop that the present study proposed the direct involvement of government regulatory bodies such as the NAFDAC (in charge of food and drugs administration), NITDA (in charge of technological products review), NDLEA (in charge of drug use), DPR (in charge of petroleum products review), etc. in ascertaining the genuineness of a given product.
1.3 AIM AND OBJECTIVES OF THE STUDY
The aim of this research is to develop fake product review monitoring system that will be able to test and confirm the true attribute any of any registered product.
While the objectives of this research is to develop a system that will be able to achieve the following:
- To design an authentication system of registered product
- To develop a database of various registered companies’ product for the purpose of authentication.
- To implement the verification of various products via the sectoral authority company registration number
1.4 SCOPE OF THE STUDY
This study will focus on developing an anti-malaria drug reviewing system using the government regulatory body of food and drugs which is the NAFDAC. Focus is therefore on designing a system that will aid the general public in reviewing the authenticity of food or drug product using the NAFDAC unique registration number in the NAFDAC portal.
1.5 SIGNIFICANCE OF THE STUDY
The proposed system will help pharmaceutical companies to protect their brand name and retain integrity. Hence, this research is of utmost significance to aid Nigerian to having uncompromised product availability in the market. With the view of focusing on the health sector, the result of the study will reduce the dangers of false medicines which can present a huge health risk to the public. The number of illegitimate and counterfeit medicines across the country will be drastically reduced to the barest minimum.
1.6 LIMITATION OF THE STUDY
The implementation of the proposed system is limited by internet and computer technology literacy of the user of the system who is to verify the authenticity of certain product.
1.7 DEFINITION OF TERMS
COUNTERFEIT: To counterfeit means to imitate something authentic, with the intent to steal, destroy, or replace the original, for use in illegal transactions, or otherwise to deceive individuals into believing that the fake is of equal or greater value than the real thing.
FAKE: An imitation or an act or a statement intended to deceive.
FAKE PRODUCT: This is a replica is an exact copy as it was executed by the original producer, especially in terms of quality.
REVIEW: A review is an evaluation of a publication, service
MONITORING: Monitoring is the regular observation and recording of activities taking place in a project or programme. Monitoring also involves giving feedback about the progress of the project to the donors, implementors and beneficiaries of the project.
SYSTEM: A system is a group of interacting or interrelated entities that form a unified whole. A system, surrounded and influenced by its environment, is described by its boundaries, structure and purpose and expressed in its functioning.
AUTHENTICATION: Authentication is the act of proving an assertion, such as the identity of a computer system user. In contrast with identification, the act of indicating a person or thing’s identity, authentication is the process of verifying that identity.
NAFDAC: The National Agency for Food and Drug Administration and Control (NAFDAC) is a federal agency under the Federal Ministry of Health that is responsible for regulating and controlling the manufacture, importation, exportation, advertisement, distribution, sale and use of food, drugs, cosmetics, medical devices, chemicals and packaged water in Nigeria.
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Full Project – Design and implementation of fake product review monitoring system