A subsidiary is a company that is controlled by another company, known as the parent company. The parent company typically owns a majority of the subsidiary’s shares, giving it the power to make decisions and exert control over the subsidiary’s operations. Subsidiaries are separate legal entities from their parent companies and can operate independently, but they are ultimately accountable to the parent company. Subsidiaries are commonly used by companies to expand their business operations, enter new markets, or manage different business segments.
