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The paper aims to explore the management control challenges faced by multinational firms operating as Foreign Sales Corporations.

Management Control of a Foreign Sales Corporation: Some Special Considerations.

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The paper aims to explore the management control challenges faced by multinational firms operating as Foreign Sales Corporations.
Discusses management control systems in relation to Foreign Sales Corporation.
Analyzes strategic decision-making processes impacting cash flow and tax minimization.
Examines regulatory influences on transfer pricing policies.
Highlights that the choice of operating as an FSC significantly affects management control practices.
Demonstrates that transfer pricing becomes regulated rather than a discretionary choice due to tax statutes.
Indicates that initial decisions in organizational structure play a crucial role in overall management systems.

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Paper analyzes management control in multinational firms using Foreign Sales Corporation model, suggesting tax benefits impact control systems.

Jacobs et al. (1992) studied this question.

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Paper analyzes management control in multinational firms using Foreign Sales Corporation model, suggesting tax benefits impact control systems.