Offshore companies in today’s economy

Abstract

This paper studies the offshore’s significance for optimization of transaction costs of multinational companies. The R.Coase’s approach to explanation of the nature of firm, incl. it’s origin as an economic entity, rules for resource allocation and factors for growth, has been taken as a theoretical basis. Analyzing the reasons for multinational companies to incorporate offshore companies, it is hypothesized that offshore companies can be considered as intermidiaries in world economy.