From www.thetaxadviser.com: (US context) CEOs of multinational corporations should be aware of transfer pricing due to its significant financial implications and potential legal consequences, with disputes often involving billions in taxes, penalties, and interest.

The IRS is increasingly assertive in its examination of transfer pricing practices, leading to heightened risks in financial reporting and customs valuation.

Recent cases involving major companies demonstrate the urgency for CEOs to understand their transfer pricing policies to address inquiries from investors and regulators effectively.