subsidiaries and divisions

Subsidiaries and divisions refer to separate entities within a larger organization. A subsidiary is a company or legal entity that is partially or wholly owned by another company. It operates independently, with its own management structure and financial statements, while being controlled by the parent company. The parent company holds a majority of the subsidiary's shares, allowing it to influence or control its operations and decisions. On the other hand, divisions are functional or operational units within a single organization that focus on specific product lines, markets, or business activities. Divisions usually have their own dedicated resources, such as employees and assets, and are responsible for managing their operations and achieving their goals within the larger organization's overall objectives. Both subsidiaries and divisions enable organizations to diversify their operations or focus on specific business aspects while maintaining a level of autonomy.

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