(sorry that my Chinese typing is very slow...) Years before i was in a China factory. This was a common phenomenon that when some new concepts / new products coming out (whether it's from foreign or China domestic), many factories rushed to copy it. I would say this is just a normal business practice, no big deal.
The crucial point is: The first lot copy was usually great, very similar to the real one. However, when the copying factory received new repeat orders, they would try to 'modify' (meaning taking out something) in order to cut cost down so as getting higher profit. Then at the end, that 'new concept' finally became crap...
This keeps on happen....
