Location Specific Advantages

01 June 2012
By Sébastien Gonnet

Following a NERA-authored series of articles about location specific advantages (LSAs) published in BNA's Transfer Pricing International Journal, a Chinese translation has been published by NERA Vice President Sébastien Gonnet, with the assistance of Consultant Molvin Yiu, in China International Taxation. NERA's series of articles about LSAs triggered significant interest in China, as the Chinese State Administration of Taxation increasingly requires taxpayers to take into account in their transfer pricing set-up the cost advantages that they benefit from locally as well as the exceptional growth of local demand. In the Chinese article, Mr. Gonnet emphasizes the need for using economics to apply the arm's length principle between China and the rest of the world.

This article is available in Chinese only. The original series of articles can be viewed by clicking on the links in the right-hand column of this page.