If this isn't obvious to most people, many companies have a lot invested in product development. This means that the company has spent a considerable amount of time and money developing and marketing a product. All the ripoffs have to do is copy said product and sell it for a little more than it costs to make. The innovator has to keep a higher price to try to recoup the development costs.
It's also funny how little the Chinese government does to curb these practices, but then supports protections of Chinese IP. I saw this recently in a story that advertising giant Weiden & Kennedy was ruled against in a Chinese court for developing a commercial with similar artwork to a Chinese artist. They had to pay up and stop running the ad.