April 28, 2011
In Hong Kong, the term “shadow company” refers to the unscrupulous use of another party’s well-known trademark in the registered name of a business, often for the purpose of conducting trade in illegitimate goods and services. In China, these companies are known as “unauthorized business enterprise name registrations.” While China and Hong Kong take action against these shadow companies, Southeast Asia is seeing a marked increase in the use of well-known trade names and trademarks in business name registrations.