Divisional autonomy
　　▼Divisional managers should be free to make their own decisions.A transfer pricing system should eliminate the need for head office to tell divisions what to do
　　Commentary
　　▼Autonomy should improve motivation of divisional managers.
　　1.2.3 Divisional performance *uation
　　▼Transfer prices should be “fair” and allow an objective assessment of divisional performance.
　　▼There is likely to be conflict between these objectives.
　　Key point
　　▼Goal congruence must take priority.