Multinational Corporations Transfer Pricing and Performance Assessment in a Perspective of International Supply Chain
Multinational corporations have been exploiting transfer price to achieve optimum profit worldwide.Therefore,how to choose the right transfer price which could realize the utmost total profit of the corporation has become the academic focus.In a perspective of international supply chain,this paper sets a model of deciding transfer price between a multinational corporations two subsidiaries in different countries.The two subsidiaries are considered as an international supply chain,and theres a domestic supply chain in country A.Two supply chains compete with each other in the countrys same market.Considering not only the market condition but also tax conditions of country A and B,such as income tax,tariff,value added tax,this paper utilizes game theory to solve two supply chains competition and finally gets the conclusion:a multinational corporations best transfer price is decided by the quantitative relations of two countries income tax,tariff and value added tax.Additionally,in specific quantities relations,transfer price could have no impact to increase multinational companys total profit.This paper has sense in guiding multinational companies to adjust their transfer price to governments tax conditions.
Multinational Corporation Transfer Pricing Performance assessment International supply chain
ZHANG Hanjiang Li Min
College of Economics and Trade,Hunan University,Changsha,Hunan,China
国际会议
The 3rd International Conference on Logistics and Supply Chain Management 2010(第三届物流与供应链管理国际研讨会)
长沙
英文
64-70
2010-07-18（万方平台首次上网日期，不代表论文的发表时间）