The Company Whose Stock Is Owned by the Parent Company

question 17

Multiple Choice

The company whose stock is owned by the parent company is usually called the

• A) controlled company.
• B) subsidiary company.
• C) investee company.
• D) sibling company.

---

Definitions:

Corporate Governance

The set of guidelines, procedures, and systems used to govern and manage a corporation.

Transparent Decision Making

A principle in which the rationale behind decisions is openly shared with relevant stakeholders to foster trust and inclusivity.

Ethical Principles

Fundamental guidelines that dictate fair, honest, and respectful behavior within a moral framework.

Incorporating Values

The act of embedding organizational values into everyday practices, decision-making processes, and overall culture.