Despite the high importance of corporate bonds for the financing of corporations, there was only some empirical research done in the past on the major factors determining corporate bond prices. The objective of the thesis is to investigate these major factors by means of a literature research and an empirical study. The master thesis focuses on the main characteristics and types of corporate bonds and discusses the essential criteria which have to be considered for corporate bond pricing. The analysis of the literature concludes, that changes of market interest rates, credit risk, liquidity risk as well as foreign exchange risk are most essential for bond prices. Besides interest rate risk (change of market rates during the life of the bond), the credit risk is most significant for corporate bond prices. Credit risks materialize in different ways from country risk, industry risk up to the company level of the issuer. In the master thesis the influence of the various criteria on corporate bond prices is discussed. On the basis of an empirical study the influence of six quantitative indicators on the prices of corporate bonds was investigated by means of a correlation- and regression analysis. The sample consisted of 16 European corporate bonds. The results of the study reveal that there is no statistically significant relationship between corporate bond prices and the debt ratio, the return on sales, the EBITDA as well as the ratio of operating cash flow and debt. The reasons for these surprising findings can be found in the limited sample size as well as the separate investigation of the financial factors. However the study identifies a statistically significant negative relationship between the bond prices and the 3 months EURIBOR. Furthermore the findings indicate a significantly positive relationship between the prices of the bonds and the gross domestic product. Both statistically significant results are consistent with the findings of the literature research.