Factors about transfer pricing, Strategic Management

Q. Factors about transfer pricing?

Does the supplier have a solid track record for delivery e.g. references from other satisfied customers in terms of the quality of service they provide should be sought.
Financially stability of supplier should be investigated e.g. obtain previous sets of accounts and credit ratings.
Does the supplier have the resources required to cope with peak periods when demand for their product or service may be high.
Will the supplier be increasing prices above their quoted price in long-term?
Good service level agreement (SLA) for a minimum standard of service expected and penalties for non-performance.
Can the internal seller find external work to fill spare capacity caused by a reduction of internal demand, if the buyer goes elsewhere?

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