Knowledge (XXG)

Lost sales

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90:. Critics of the "lost sales" concept note that some consumers, for example those in developing countries, or those with lower income such as students, may not be able to afford the market price of certain products and if there were no pirated copies available, it is likely they would simply not purchase the ones available at the market price. Others may treat pirated goods as samples that entice them to buy the product later on. It has been suggested that the better term would be "retail value of pirated ", and that equating such a concept with 99:) that leads to overestimation of the content industry losses. In academic literature there is no consensus that the concept of piracy is clearly correlated with reduction of revenue of sales of the pirated product, and estimates of lost sales have been similarly criticized, with a 2010 U.S. government report noting that many commonly cited figures cannot be substantiated. Similarly, estimates of lost sales translated to concepts such as lost jobs or reduction in individual or national incomes have been shown to be highly problematic. 57:
activists argue that the industry figures are grossly inflated, because some, if not most, individuals who obtain pirated copies would not have purchased the content even if the opportunity for piracy did not exist. In other words, it is dubious whether most of the consumers of the pirated content
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to refer to sales that did not occur because potential customers have chosen not to buy a product but to obtain it from an illegal source for a lower cost or for no cost. Figures for lost sales usually assume that consumers who use pirated content would always choose to purchase the product at the
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ruled that the content industry equation of lost sales with illegal downloads is not valid, with the judge noting "Those who download movies and music for free would not necessarily purchase those movies and music at the full purchase price... although it is true that someone who copies a digital
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is fallacious. Treating each pirated copy as a lost sale, and using an estimate for the number of pirated copies in existence, multiplied by their retail value, as tangible loss of profits by the industry has been called disparagingly "copyright math" (a term coined by writer
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version of a sound recording has little incentive to purchase the recording through legitimate means, it does not necessarily follow that the downloader would have made a legitimate purchase if the recording had not been available for free."
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The concept of lost sales has been criticized, primarily due to its assumption that if illegal (pirated) copies were not available, the consumers of such a pirated copy would instead purchase the product at an average
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Estimates of lost sales commonly are given in the values of billions of U.S. dollars for the U.S. market alone, with the worldwide figures being several times higher.
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to "show the absurdity on the process of putting a value to a copy". A similar project called "Strata Kazika" was already launched by Polish activists in 2012.
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PIRACY CULTURES: How a Growing Portion of the Global Population is Building Media Relationships Through Alternate Channels of Obtaining Content
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have argued that every pirated copy is a lost sale. Similar arguments have been made with regards to sales of counterfeited goods.
786: 731: 708: 71: 50: 583: 96: 46: 757:"Twórca "Straty Kazika": Dość szantażu moralnego w przemyśle muzycznym, piractwo to zdrowa kultura" 532:"CD Projekt – Pirated games are not lost sales, DRM is "a lot" for legitimate users to put up with" 658: 91: 20: 563: 511: 484: 478: 457: 451: 430: 424: 398: 366: 360: 339: 333: 312: 306: 285: 279: 255: 225: 217: 196: 169: 131: 557: 505: 392: 249: 163: 190: 143: 67: 42: 30: 791: 137: 29:, also referred to as lost revenue, income or profit, is a term used in the context of 559:
The Fight for the Future: How People Defeated Hollywood and Saved the Internet—For Now
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has endorsed studies concluding that the value of lost sales amounts to billions of
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This article is about loss of sales due to Internet piracy. For other uses, see
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would purchase most of it at all if they were not able to consume it for free.
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Proceedings of the 1992 Academy of Marketing Science (AMS) Annual Conference
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Digital Broadcasting: Policy and Practice in the Americas, Europe and Japan
609:"From gigabytes to petadollars: copyright math begets copyright currency" 54: 477:
Lionel Bently; Jennifer Davis; Jane C. Ginsburg (28 October 2010).
635:"How Much Do Music and Movie Piracy Really Hurt the U.S. Economy?" 251:
Music Business and the Experience Economy: The Australasian Case
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Peter Tschmuck; Philip Pearce; Steven Campbell (16 April 2013).
684:"Judge: 17,000 illegal downloads don't equal 17,000 lost sales" 192:
Pop Song Piracy: Disobedient Music Distribution Since 1929
584:"Copyright Math: the best TED Talk you'll watch all year" 709:"Pirate Bay Founder Builds the Ultimate Piracy Machine" 732:"Strata Kazika, czyli jak ukraść 86 milionów złotych" 254:. Springer Science & Business Media. p. 81. 243: 241: 480:
Copyright and Piracy: An Interdisciplinary Critique
418: 416: 414: 423:Martin Cave; Kiyoshi Nakamura (1 January 2006). 308:The Economic Impact of Counterfeiting and Piracy 453:Encyclopedia of Computer Science and Technology 633:Raustiala, Kal; Sprigman, Chris (2012-01-12). 220:. In Manuel Castells; Gustavo Cardoso (eds.). 273: 271: 38:, if the illegal sources were not available. 16:Revenue allegedly lost due to Internet piracy 8: 483:. Cambridge University Press. p. 393. 730:S.A, Wirtualna Polska Media (2012-08-28). 386: 384: 382: 195:. University of Chicago Press. p. 3. 216:Brett Robert Caraway (25 February 2013). 429:. Edward Elgar Publishing. p. 167. 332:Victoria L. Crittenden (13 March 2015). 659:"How Copyright Industries Con Congress" 154: 362:Routledge Handbook of Deviant Behavior 284:. John Wiley & Sons. p. 301. 365:. Taylor & Francis. p. 437. 7: 456:. Infobase Publishing. p. 445. 224:. Xlibris Corporation. p. 228. 510:. Infobase Publishing. p. 89. 359:Clifton D. Bryant (27 April 2012). 165:Media Piracy in Emerging Economies 14: 189:Barry Kernfeld (1 October 2011). 311:. OECD Publishing. p. 142. 218:"Survey of File-Sharing Culture" 504:Sandra Weber (1 August 2003). 49:. However, other scholars and 1: 556:Edward Lee (November 2013). 397:. Lulu.com. pp. 15–16. 808: 118:) created a device called 18: 338:. Springer. p. 265. 281:The Internet Encyclopedia 562:. Lulu.com. p. 12. 450:Harry Henderson (2009). 278:Hossein Bidgoli (2004). 168:. Lulu.com. p. 54. 391:Sean Swan, ed. (2012). 66:Representatives of the 787:Copyright infringement 162:Joe Karaganis (2011). 104:United States v. Dove, 507:The Personal Computer 305:OECD (19 June 2008). 62:Usage of the concept 102:A 2009 court case, 711:. 19 December 2015 21:Pure economic loss 690:. 19 January 2009 569:978-1-304-58361-1 517:978-0-7910-7450-3 490:978-1-139-49222-5 463:978-1-4381-1003-5 436:978-1-84720-160-7 404:978-1-105-70991-3 372:978-1-134-01557-3 345:978-3-319-13248-8 318:978-92-64-04552-1 291:978-0-471-22203-3 261:978-3-642-27898-3 231:978-1-4797-3227-2 202:978-0-226-43183-3 175:978-0-9841257-4-6 132:Budget constraint 799: 772: 771: 769: 768: 753: 747: 746: 744: 743: 727: 721: 720: 718: 716: 705: 699: 698: 696: 695: 680: 674: 673: 671: 670: 655: 649: 648: 646: 645: 630: 624: 623: 621: 620: 605: 599: 598: 596: 595: 580: 574: 573: 553: 547: 546: 544: 543: 528: 522: 521: 501: 495: 494: 474: 468: 467: 447: 441: 440: 420: 409: 408: 388: 377: 376: 356: 350: 349: 329: 323: 322: 302: 296: 295: 275: 266: 265: 245: 236: 235: 213: 207: 206: 186: 180: 179: 159: 144:Opportunity cost 68:content industry 43:content industry 807: 806: 802: 801: 800: 798: 797: 796: 777: 776: 775: 766: 764: 755: 754: 750: 741: 739: 729: 728: 724: 714: 712: 707: 706: 702: 693: 691: 682: 681: 677: 668: 666: 657: 656: 652: 643: 641: 632: 631: 627: 618: 616: 607: 606: 602: 593: 591: 582: 581: 577: 570: 555: 554: 550: 541: 539: 530: 529: 525: 518: 503: 502: 498: 491: 476: 475: 471: 464: 449: 448: 444: 437: 422: 421: 412: 405: 390: 389: 380: 373: 358: 357: 353: 346: 331: 330: 326: 319: 304: 303: 299: 292: 277: 276: 269: 262: 247: 246: 239: 232: 215: 214: 210: 203: 188: 187: 183: 176: 161: 160: 156: 152: 128: 114:(co-founder of 83: 64: 31:Internet piracy 24: 17: 12: 11: 5: 805: 803: 795: 794: 789: 779: 778: 774: 773: 748: 722: 700: 675: 663:Cato Institute 650: 625: 615:. 12 June 2012 600: 575: 568: 548: 523: 516: 496: 489: 469: 462: 442: 435: 410: 403: 378: 371: 351: 344: 324: 317: 297: 290: 267: 260: 237: 230: 208: 201: 181: 174: 153: 151: 148: 147: 146: 141: 138:lucrum cessans 134: 127: 124: 92:financial loss 82: 79: 63: 60: 15: 13: 10: 9: 6: 4: 3: 2: 804: 793: 790: 788: 785: 784: 782: 762: 758: 752: 749: 737: 733: 726: 723: 710: 704: 701: 689: 685: 679: 676: 664: 660: 654: 651: 640: 636: 629: 626: 614: 610: 604: 601: 589: 585: 579: 576: 571: 565: 561: 560: 552: 549: 538:. 19 May 2012 537: 533: 527: 524: 519: 513: 509: 508: 500: 497: 492: 486: 482: 481: 473: 470: 465: 459: 455: 454: 446: 443: 438: 432: 428: 427: 419: 417: 415: 411: 406: 400: 396: 395: 387: 385: 383: 379: 374: 368: 364: 363: 355: 352: 347: 341: 337: 336: 328: 325: 320: 314: 310: 309: 301: 298: 293: 287: 283: 282: 274: 272: 268: 263: 257: 253: 252: 244: 242: 238: 233: 227: 223: 219: 212: 209: 204: 198: 194: 193: 185: 182: 177: 171: 167: 166: 158: 155: 149: 145: 142: 140: 139: 135: 133: 130: 129: 125: 123: 121: 117: 113: 108: 105: 100: 98: 93: 89: 80: 78: 75: 73: 69: 61: 59: 56: 52: 48: 44: 39: 37: 32: 28: 22: 765:. 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Index

Pure economic loss
Internet piracy
market rate
content industry
U.S. dollars
free culture
copyleft
content industry
BSA
market rate
financial loss
Robert Reid
Peter Sunde
Pirate Bay
Kopimashin
Budget constraint
lucrum cessans
Opportunity cost
Media Piracy in Emerging Economies
ISBN
978-0-9841257-4-6
Pop Song Piracy: Disobedient Music Distribution Since 1929
ISBN
978-0-226-43183-3
"Survey of File-Sharing Culture"
ISBN
978-1-4797-3227-2


Music Business and the Experience Economy: The Australasian Case

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