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Indeed, if you owned a company and someone was making money off your back producing goods of inferior quality, how happy would you be about that? Not only is someone making money off your hard work but they're besmirching your IP.
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It's unrelated, but to answer the question; I've been there, done that. It infuriated me, but for the sake of good PR, and relations with high profile investors - I felt it was best to turn a blind eye to what was going on.
Smile and wave boys, smile and wave.
Everyone was happy. The Twats that mugged me off were smiling, the mugs that bought into the rip offs were smiling, and the investors were smiling because it was good PR to be seen doing something for the "fans", and I was smiling because I knew ultimately I was doing bigger and better things than those who were ripping me off. In the long run, it was better for everyone to let it happen than to clamp down on it with the force of the law.
If you know where to look, there's a lot more unlicensed Oddworld art doing the rounds than you'd care to think. To make my case, I'll leave you with a quote from Kevin Spacey regarding House of Cards - "
Give the people what they want, when they want it, at an affordable price - and they are less likely to steal it."