Quick Definition

A subsidiary is a company that is controlled by another company, known as the parent company, through ownership of more than 50% of its voting stock.

Examples

• 1Alphabet Inc. owns Google LLC, making Google a subsidiary.
• 2Toyota Motor Corporation owns a majority of Lexus, classifying Lexus as a subsidiary.
• 3Nestlé owns Purina, which operates as a subsidiary under Nestlé's broader corporate structure.

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