China's going to copy us. Should we care?

We've developed an innovative, unique IP which we are in the process of getting a US patent for. When our customers use the product it's obvious we are leagues ahead of the competition, but we're still small, and won't be at a scaling stage for another year (it's a slow industry).

A partner of ours is using one of our products for cross promotional purposes in China, which will give us a lot of early exposure there. I'm certain someone in China will see our product and copy it. Should we care?

Possible results A) They copy it and saturate the China market, we get US and Europe, compete for India in 2016. B) They copy it and do a ton of free research for us in China, so that when we're ready to move there, we can jump ahead of them and retake the market. C) I'm overestimating the risk and nothing or very little will happen.

Thoughts? Has this happened to anyone else?