Intracompany trade

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Intracompany trade

Transactions between or among subsidiaries that are part of the same parent company.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Intracompany Trade

A transaction that occurs between two subsidiaries of the same parent company. For example, if a supplier sells to a retailer, and both are owned by the same conglomerate, this is said to be an intracompany transaction. It should not be confused with an intercompany transaction.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
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How might complex intra-company transactions be affected by the United Kingdom-Europe breakup?
It also allows for efficiencies across a global organisation by eliminating things like duplicate part numbers and streamlining intra-company transactions. The global instance also provides senior management with visibility of the global organisation through one data model across all enterprises and entities.
The first step for a global firm should be doing an inventory of intra-company transactions, especially those involving affiliates in low-tax jurisdictions, Pena says.
Intra-company transactions "are inherently fraught with the potential for conflict," O'Donnell says.
The effects of intra-company transactions have been eliminated.
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Should a firm's international involvement depend largely on the set-up of subsidiaries, oftentimes it is necessary to bolster the subsidiary's competitive edge by aggressively adjusting the price of intra-company transactions in face of new threats.
"The CITE/Momen Group team successfully found the proper solution for automating all intercompany and intra-Company transactions between the Group subsidiaries, which encompass 5 companies, 43 fast food stores, 18 pizza stores and 3 dining restaurants.

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