The downside of globalization is the significant rise in illicit trade around the world. Illicit trade is estimated to cost trillions of dollars globally. No country is spared, although the magnitude of the problem varies.
This rise of illicit trade poses a quadruple threat – to commercial brands, to the economy, society, brands, and global security. Financial gains from illegitimate goods divert revenue from the legitimate economy.
The theft of intellectual property, such as counterfeit drugs and medicines negatively impacts a brand reputation. Moreover, possible links to terrorist financing create increased threats to national and global security.