Product details

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Case
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Reference no. 195-004-1
Published by: Babson College
Published in: 1992
Length: 6 pages
Data source: Field research

Abstract

This case offers the opportunity to explore issues surrounding transfer pricing. Both the domestic and multinational transfer pricing systems for Xerox are presented. The case shows how the systems work and how conflicts are resolved. The link between performance measures and managing currency risk are explored. The case shows how Xerox uses transfer pricing in harmony with the corporate culture and the management control system. The students see how performance distortions are created and how managers manage transfer pricing.
Location:
Industry:
Size:
USD14 billion
Other setting(s):
1992

About

Abstract

This case offers the opportunity to explore issues surrounding transfer pricing. Both the domestic and multinational transfer pricing systems for Xerox are presented. The case shows how the systems work and how conflicts are resolved. The link between performance measures and managing currency risk are explored. The case shows how Xerox uses transfer pricing in harmony with the corporate culture and the management control system. The students see how performance distortions are created and how managers manage transfer pricing.

Settings

Location:
Industry:
Size:
USD14 billion
Other setting(s):
1992

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