A Strategic Management Approach to the Problems of EU Taxation

This paper adopts a strategic management approach (objectives, strategy, structure, control) to the study of the European Union's taxation problems. Union of States have some strengths vis-à-vis individual States. However, to ensure that all States benefit, they need constant redistribution. As opposed to fiscal problems of unitary states, Unions of States have additional problems related to their differentiated organizational form, and hence they need integrating control mechanisms. This paper studies the EU taxation in view of the above notions common to the literature on fiscal federalism. We find that a strategic management approach can be applied to highlight the problems of taxation in the EU. The approach could be pedagogically useful for management and tax policy disciplines