Golf Holdings has two divisions: Alpha and Bravo. Alpha has a variable cost of sales of \($11\) per unit, which is its transfer price to Bravo. However, Alpha can sell its product on the open market for a variable selling cost of \($17\) per unit. It is unable to do so, however, as Bravo takes the entire product that Alpha can produce. Bravo uses the product it buys from Alpha as a raw material and adds its own cost of sales of \($12.\) Bravo's market selling price is \($45,\) although it incurs variable selling expenses of \($10\) per unit.

How does the transfer price influence the performance evaluation of Alpha and Bravo? What changes would you suggest?