Analysis on Transfer Price Discrimination of Intermediate Product Based on Tax

DOI

10.2991/icemse-17.2017.18How to use a DOI?

Keywords

transfer price, price discrimination, intermediate product, tax

Abstract

Based on linear demand function of final product market, the paper built a perfect and complete information dynamic game model to analyze the transfer price discrimination in multinational enterprises when the divisions face different tax rates. And then got strategies about transfer price of the enterprises. Based on this, it is concluded that the internal transfer price is lower than the external transfer price and the downstream division will be more competitive in the final product market.

Copyright

© 2017, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Shao-gang Chen
AU  - Hao-xian Wang
PY  - 2017/12
DA  - 2017/12
TI  - Analysis on Transfer Price Discrimination of Intermediate Product Based on Tax
BT  - Proceedings of the 2017 2nd International Conference on Education, Management Science and Economics (ICEMSE 2017)
PB  - Atlantis Press
SP  - 75
EP  - 77
SN  - 2352-5428
UR  - https://doi.org/10.2991/icemse-17.2017.18
DO  - 10.2991/icemse-17.2017.18
ID  - Chen2017/12
ER  -