Terms

Conglomerate - Large corporation run as a single business, but made up of

several firms (acquired through mergers or takeovers) supplying diverse goods
and/or services.

Subsidiary company A subsidiary is a company with voting stock that is more

than 50% controlled by another company, usually referred to as the parent
company or the holding company. A subsidiary is partly or completely owned by
the parent company, which holds a controlling interest in the subsidiary
company. In cases where a parent company owns a foreign subsidiary, the
subsidiary must follow the laws of the country where it is incorporated and
operates, and the parent company carries the foreign subsidiary's financials on
its consolidated financial statements.

Vertical integration - The combination in one firm of two or more stages of

production normally operated by separate firms.

Horizontal integration This is the process of a company increasing production of

goods or services at the same part of the supply chain. A company may do this
via internal expansion, acquisition or merger. The process can lead to monopoly
if a company captures the vast majority of the market for that product or service.

Independent company - An independent business is a business that is free from

outside control. It usually means a privately owned establishment, as opposed to
a public limited company, the latter of which is owned by investment shares
traded in the stock market. In many cases, independent businesses are sole
proprietorship companies.