A parallel import is a non-counterfeit product imported from another country without the permission of the intellectual property owner. Parallel imports are often referred to as grey product, and are implicated in issues of international trade, and intellectual property.
The practice of parallel importing is often advocated in the case of software, music, printed texts and electronic products, and occurs for several reasons:
- Different versions of a product are produced for sale in different markets. E.g.: Top Gear Magazine (UK Edition) is officially sold in UK and Top Gear Magazine (Australian Edition) is officially sold in Australia. However some unofficial distributors in Australia also sell Top Gear Magazine (UK Edition).
- Companies, either the manufacturer or the distributor, set different price points for their products in different markets. Parallel importers ordinarily purchase products in one country at a price (P1) which is cheaper than the price at which they are sold in a second country (P2), import the products into the second country, and sell the products in that country at a price which is usually between P1 and P2. See arbitrage.
- Consumers who are able to obtain more competitively priced items, and may be able to avoid local sales taxes, are placed on an even footing with consumers who have less access to overseas sales online.
- Some advocacy groups support parallel importing on the grounds of enhancing the free flow of information.
Read more about Parallel Import: International Approach, Parallel-imported Foodstuffs, Etc., Issues
Famous quotes containing the words parallel and/or import:
“One writes of scars healed, a loose parallel to the pathology of the skin, but there is no such thing in the life of an individual. There are open wounds, shrunk sometimes to the size of a pin-prick but wounds still. The marks of suffering are more comparable to the loss of a finger, or the sight of an eye. We may not miss them, either, for one minute in a year, but if we should there is nothing to be done about it.”
—F. Scott Fitzgerald (1896–1940)
“Every tree sends its fibres forth in search of the Wild. The cities import it at any price. Men plow and sail for it. From the forest and wilderness come the tonics and barks which brace mankind.”
—Henry David Thoreau (1817–1862)