Negotiated transfer pricing: Theory and implications for value chains in agribusiness
In this article, the author reviews the transfer pricing problem that occurs when trust, the structure of bargaining, relation-specific investment, and complementarities in organizational design affect trading relationships. A literature review focuses on negotiated transfer pricing in the context of both intra- and interfirm transactions. The author analyzes the strategic implications of transfer pricing for organizational design as a result of the imposition of strong informational assumptions without the explicit consideration of the complementary incentives in organizational design. The author review demonstrates that there are practical benefits from addressing these issues, and points to a number of directions for future analysis. [JEL classification: D82, L23, L15, L66] © 2007 Wiley Periodicals, Inc. Agribusiness 23: 279-292, 2007.
Volume (Year): 23 (2007)
Issue (Month): 2 ()
|Contact details of provider:|| Web page: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1520-6297|
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Hayenga, Marvin L. & Schrader, Lee F., 1980. "Formula Pricing in Five Commodity Marketing Systems," Staff General Research Papers Archive 11303, Iowa State University, Department of Economics.
- Brent Hueth & Ethan Ligon, 1999.
"Producer Price Risk and Quality Measurement,"
American Journal of Agricultural Economics,
Agricultural and Applied Economics Association, vol. 81(3), pages 512-524.
- Hueth, Brent & Ligon, Ethan, 1999. "Producer Price Risk and Quality Measurement," Staff General Research Papers Archive 5037, Iowa State University, Department of Economics.
- MacDonald, James M. & Perry, Janet E. & Ahearn, Mary Clare & Banker, David E. & Chambers, William & Dimitri, Carolyn & Key, Nigel D. & Nelson, Kenneth E. & Southard, Leland W., 2004. "Contracts, Markets, and Prices: Organizing the Production and Use of Agricultural Commodities," Agricultural Economics Reports 34013, United States Department of Agriculture, Economic Research Service.
- Ghosh, Dipankar, 2000. "Complementary arrangements of organizational factors and outcomes of negotiated transfer price," Accounting, Organizations and Society, Elsevier, vol. 25(7), pages 661-682, October.
- John R. Schroeter & Azzeddine M. Azzam, & Mingxia Zhang, 2000. "Measuring Market Power in Bilateral Oligopoly: The Wholesale Market for Beef," Southern Economic Journal, Southern Economic Association, vol. 66(3), pages 526-547, January.
- Schroeter, John R. & Azzam, Azzeddine M. & Zhang, Mingxia, 2000. "Measuring Market Power in Bilateral Oligopoly: The Wholesale Market for Beef," Staff General Research Papers Archive 1777, Iowa State University, Department of Economics.
- Steiner, Bodo, 2006. "Governance Reform of German food safety regulation: Cosmetic or real?," MPRA Paper 26252, University Library of Munich, Germany.
- Darby, Michael R & Karni, Edi, 1973. "Free Competition and the Optimal Amount of Fraud," Journal of Law and Economics, University of Chicago Press, vol. 16(1), pages 67-88, April.
- Hueth Brent & Marcoul Philippe, 2003. "An Essay on Cooperative Bargaining in U.S. Agricultural Markets," Journal of Agricultural & Food Industrial Organization, De Gruyter, vol. 1(1), pages 1-15, March.
- Hueth, Brent & Marcoul, Philippe, 2003. "An Essay on Cooperative Bargaining in U.S. Agricultural Markets," Staff General Research Papers Archive 10234, Iowa State University, Department of Economics.
- Ramon Casadesus-Masanell, 2004. "Trust in Agency," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 13(3), pages 375-404, 09.
- Eckel, Catherine C. & Wilson, Rick K., 2004. "Is trust a risky decision?," Journal of Economic Behavior & Organization, Elsevier, vol. 55(4), pages 447-465, December. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:wly:agribz:v:23:y:2007:i:2:p:279-292. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing)or (Christopher F. Baum)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.