Problem
ABC Ltd. is the parent company of ABC Group of companies. To limit the tax liability of the group, the CEO Mr Martins. is considering the use of transfer pricing. In line with this, ABC Ltd sells inventory to its subsidiary, DEF Ltd. at a price that is deemed not be at arm's length.
Task
Premised on the above scenario, present a critical analysis of the ethical dilemma of the transfer pricing decision of ABC Group of companies.