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Original Win Learn how to respond to knockoffs so you can put your product back on top.

By Don Debelak

Opinions expressed by Entrepreneur contributors are their own.

The Entrepreneurs: Steve Vetorino, 45, founder of AppliedInnovative Technologies Inc. in Fort Lupton, Colorado, and inventorof the NightStar; electrical engineer Jim Platt, 39, who helpedVetorino create the design and prototypes; and Todd Brown, 46,president of AIT, who provided business expertise for theproduct

Product Description: The NightStar flashlight usesmagnetic-force charging instead of batteries to power the light.Users gently shake the flashlight for a charge that lasts up to 30minutes. Today, the $39.95 product (as well as a compact versionthat's $29.95) is sold via QVC, catalogs, hardware stores,marine stores and more. Customers also include the U.S. militaryand distributors serving industrial markets such as mining andpetroleum companies.

Startup: Approximately $10,000, which was spent ondeveloping operational and marketable prototypes. When AIT receivedtheir first catalog order in 1998, an additional $280,000--raisedby the inventors and by selling stock to family and friends--wasspent to fund patents, tooling and an initial production run.

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