Cost-benefit analysis of investment projects

Authors

  • Theresa Flynn

DOI:

https://doi.org/10.14738/abr.87.8575

Keywords:

Economic analysis, Coase’s Economic theory, transaction costs economics (TCE), transfer pricing

Abstract

The paper contents included considerations of the relationships existing between business units of Multinational Organizations (MNOs).  Relevant economic theory provided a framework for the review of accounting practices.  An example of consequences derived as the result of transfer pricing strategies compared with the  transaction costs of pharmaceutical MNO GlaxoSmithKline (GSK) was provided.

References

Brickley, J. A., Smith, C. W., Zimmerman, J. L., & Willett, J. (2014). Designing organizations to create value: From strategy to structure. Custom ed. New York, NY: McGraw-Hill Companies.

Canada v. GlaxoSmithKline Inc., SCC 52, [2012] 3 S.C.R. 3. Available from http://scc-csc.lexum.com/scc-csc/scccsc/en/item/12613/index.do?r=AAAAAQAMR2xheG8gQ2FuYWRhAAAAAAE.

Coase, R. (1991). Ronald H. Coase - Prize lecture: The institutional structure of production. Nobelprize.org. Nobel Media AB 2014. Available from http://www.nobelprize.org/nobel_prizes/economicsciences/laureates/1991/coase-lecture.html

GlaxoSmithKline (GSK). (2015). Company names and addresses: GlaxoSmithKline. Available from https://www.gsk.com/media/3611/gsk-group-company-names-and-addresses.pdf

Ocneanu, L., & Bucsa, R. (2014). The Importance of Economic Analysis in Investment Projects. Economy Transdisciplinarity Cognition, 17(2), 84-92. Available from http://www.ugb.ro/etc/etc2014no2/14_Ocneanu,_Bucsa.pdf

Ricketts, M. (2014). The Contribution and Intellectual Legacy of Ronald Coase (1910-2013). Economic Affairs, 34(1), 46-58. doi:10.1111/ecaf.12052

Verbeke, A., & Kano, L. (2013). The transaction cost economics (TCE) theory of trading favors. Asia Pacific Journal of Management, 30(2), 409-431. doi:10.1007/s10490-012-9324-6

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Published

2020-07-13

How to Cite

Flynn, T. (2020). Cost-benefit analysis of investment projects. Archives of Business Research, 8(7), 22–24. https://doi.org/10.14738/abr.87.8575