Hoskins’ concern about the current transfer pricing model is…
Hoskins’ concern about the current transfer pricing model is that it undervalues the contributions of Global Investors, Inc. (GI) subsidiaries, especially if they were ever sold or spun off. @Hoskins believes that the current model underreports the subsidiaries’ profits, which could lead to undervaluation if the subsidiaries were ever sold. Page 170 of the 5th edition