Enterprise Group Law and Legal Definition
An enterprise group consists of all the enterprises under the control of the same owner. When a group of owners has control of more than one enterprise, the enterprises may act in a concerted way and the transactions between them may not be driven by the same concerns as “arm’s length” transactions. The Framework for Direct Investment Relationships can be used to determine which enterprises are under control or influence of the same owner.
A multinational enterprise group consists of all the enterprises located in different economies and under the control or influence of the same owner wherever located.
An economy-specific enterprise group consists of all the enterprises located in the same economy and under the control or the influence of the same owner also located in the same economy. Ownership links that are external to the economy are not recognised in the formation of local enterprise groups.
