what’s a subsidiary and parent company and what are their jobs: a short thread

a subsidiary company or a sister company is a company owned and controlled by a parent company. when I said control I mean the parent company makes sure the finances and revenues are in tact. they make sure the company doesn’t go into bankruptcy. parent companies also provide

protection from any kind of threats that the sub company may encounter. they however do not control the productions of the sub companies as much as you think. Disney is a perfect example of parent and sub company relationship. see Disney owns all these companies and more

take for example marvels. Disney does not intervene with their production of their films if anything Disney promotes all their movies and have their biggest stars do it and maybe sometimes they get to act in some movies as well. see it’s a give and take kind of relationship

AND actually big hit is playing more of a shareholder role in their sub and parent relationship with pledis. see these are the companies that are under big hit right now. if anything big hit buying and managing these companies is helping BOTH parties. that means bh can grow as

a shareholder and buy more companies and increase their income AND image and become more popular in the industry while the sub companies can continue to run their idols the way they want without worrying about financial issues. end of thread