TRANSFER PRICING STRATEGY MANAGEMENT IN IMPROVING FINANCIAL TRANSPARENCY AND ACCOUNTABILITY

Abstract

This study aims to analyze the role of transfer pricing strategy management in improving corporate financial transparency and accountability, particularly in multinational companies with complex inter-unit transactions. The research approach used is a qualitative descriptive literature review, with data sources from the latest national and international journals, textbooks on management accounting, taxation, and business strategy, as well as academic articles related to transfer pricing practices and financial accountability. The analysis is conducted by examining the concepts, principles, implementation, and impact of transfer pricing on the quality of financial reports and internal company compliance. The results show that the systematic implementation of a transfer pricing strategy can improve the quality of financial report disclosures, strengthen managerial accountability, and support compliance with tax regulations. This strategy also helps organizations manage risks, use resources efficiently, and improve corporate governance. Despite challenges such as regulatory complexity, internal resistance, and limited human resource competencies, the implementation of an appropriate transfer pricing strategy through training, information system integration, and regular monitoring and evaluation can result in optimal transparency and accountability.