@techreport{Hackett2012Cutting,
abstract = {Continued lobbying by high-end, American designers for intellectual property-type fashion design protection has culminated in the proposed Innovative Design Protection and Piracy Prevention Act, intended to introduce EU standards. Using a sequential, 2-firm, vertical differentiation framework, we analyze the effects of protection on investment in innovative designs by high-quality (designer) and lower-quality (mass-market) firms when the mass-marketer may opt to imitate, consumers prefer trendsetting designs and firms compete in prices. We show that design protection, by transforming mass-marketers from imitators to innovators, may reduce both designer profits and welfare. The model provides possible explanations for the dearth of EU case law and the increase in designer/mass-marketer collaborations.},
address = {M\"{u}nchen},
author = {Petal Jean Hackett},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
keywords = {D21; L13; O31; O34; 330; intellectual property rights; fashion design protection; imitation; licensing; Mode; Produktdesign; Immaterialg\"{u}terrechte; Wirkungsanalyse; Bekleidungsindustrie; Innovation; Imitationswettbewerb; Wohlfahrtseffekt; Theorie; EU-Staaten},
language = {eng},
number = {3716},
publisher = {CESifo},
title = {Cutting too close? Design protection and innovation in fashion goods},
type = {CESifo working paper: Industrial Organisation},
url = {http://hdl.handle.net/10419/55348},
year = {2012}
}
