Source: a16z
Counterfeit goods and fake accounts function as a permanent drag on established brands. Fraudulent versions persist in shadowy marketplaces and social platforms faster than takedowns can happen, creating customer confusion that damages trust and pricing power. The asymmetry is structural: a brand owner must patrol every marketplace and platform globally in perpetuity, while counterfeiters need only one successful channel to stay profitable. For growth teams, brand strength carries a hidden operational cost—the constant work of defending that brand's integrity across an ever-fragmenting ecosystem of platforms where enforcement is weak.