This book defines intra-conglomerate transaction as the transaction among the firms belonging to the same conglomerate. It is differentiated from intra-firm or internal transaction.

The conglomerate is just one form of many forms of firm organization. Therefore, the motives and the effects of the intra-conglomerate transaction is similar to those of the intra-firm transaction. As the intra-firm transaction has nothing to do with suppression of competition, the intra-conglomerate transaction does not restrict competition. Furthermore, the current enforcement of the regulation on the intra-conglomerate transaction does not handle the competition problems, but the industrial policy issues such as restructuring of investment or corporate governance.

Even though the intra-firm transaction does not restrict competition, it can cause the problems of tax evasion, regulation evasion, and profit transfer through the manipulation of transfer prices. Such problems can be best solved by the relevant laws and regulations not by the fair trade laws. The role of the fair trade laws in such areas is to promote competition to assure the efficient operation of conglomerates.