Margin Notes
Observations from the edges of Transfer Pricing Practice
Margin Notes is where we explore themes at the heart of the Transfer Pricing craft. These reflections are shaped by evolving guidance, economic undercurrents, and overlooked moments in economic analysis that can sharpen the formation of a policy or elevate documentation. Whether sparked by a headline, or inspired by long hours at the workbench, we bring insights with evident impact — always with clarity in mind. And, occasionally, with wit.
Riskier Business — Paradoxes of Infrastructure & Operational Risks
This Margin Note continues our series on non-transactional risks under the OECD Transfer Pricing Guidelines (TPG). After exploring Strategic and Marketplace Risks, herein we examine Infrastructure and Operational Risks—the internal systems, facilities, processes, and capabilities that enable a business to function profitably and scale.
The paradox is straightforward: these risks are foundational and often enterprise-defining, but their inherently expansive and complex nature results in them frequently being reduced into a generic notion of “market risk” within transfer pricing documentation. That framing increasingly feels incomplete.