As Sach described the transfer pricing policy, purely domestic transfers utilized a full standard cost price method while foreign transfers used an arms-length market price method. This was the general rule, but the system was quite flexible, which enabled a quick response to changing market conditions. The document processing industry was extremely competitive, and Xerox management realized that they must respond to various global market pressures and competitive challenges. A manager from the Xerox Brazilian operation asserted the following: "The transfer pricing system is designed to attack the marketplace. We drive the products in the market place, and Xerox knows the source of the revenue is the customer."